Argan building a biomass plant in Texas

May 15, 2012, Rockville, MD – Argan, Inc. has announced that its wholly owned
subsidiary, Gemma Power Systems (GPS), has received full notice to
proceed from East Texas Electric Cooperative (ETEC) for a contract to
design and build a 49.9 MW, biomass-fired power plant near Woodville,
Texas. GPS previously announced the awarding of this contract on October
17, 2011.

The project is estimated to be completed in December 2014. Rainer
Bosselmann, Chairman and Chief Executive Officer of Argan, stated, "We
look forward to working with ETEC toward the successful, on-time
completion of this important project."

About Argan, Inc.

Argan's primary business is designing and building energy plants through
its Gemma Power Systems subsidiary. These energy plants include
traditional gas as well as alternative energy including biodiesel,
ethanol, and renewable energy sources such as biomass, wind and solar.
Argan also owns Southern Maryland Cable, Inc.