Welcome!

Web 2.0 Authors: Frank Huerta, Sandi Mappic, Esmeralda Swartz, Gary Kaiser, Greg Schulz

News Feed Item

Nevada Geothermal Power Announces 20-Year Power Purchase Agreement for up to 35 MW of Geothermal Power with Nevada Power Company

Nevada Geothermal Power Announces 20-Year Power Purchase Agreement for up to 35 MW of Geothermal Power with Nevada Power Company

VANCOUVER, BRITISH COLUMBIA -- (MARKET WIRE) -- 08/09/06 -- Nevada Geothermal Power Inc. (NGP) (TSX VENTURE: NGP)(OTCBB: NGLPF) announced today that it has signed a 20-year Power Purchase Agreement (PPA) with Nevada Power Company, a subsidiary of Sierra Pacific Resources, for up to 35 MW of geothermal power to be produced from a new geothermal power plant to be built at NGP's Blue Mountain geothermal site, in northern Nevada. The power will be used by the utility to serve its customers in Nevada.

The PPA is subject to the approval of the Public Utilities Commission of Nevada and Federal Energy Regulatory Commission. The Blue Mountain project is projected to come on line in 2009. Contract provisions are in place which take into account the Production Tax Credit.

The initial power plant at Blue Mountain, to be named the "Faulkner 1 Power Plant", will be a state-of-the-art, zero-emission, water-cooled, binary geothermal plant with greater than 150oC (300oF) thermal water supplied by seven production wells. Geothermal water will be reinjected to maintain reservoir pressure and productivity. Further development drilling and reservoir testing is underway.

"Fuel diversity is important to our customers, not only to meet the state's goals for renewable energy standards, but to help stabilize energy prices during times of volatile energy markets. Geothermal power has an impressive track record of being clean and reliable and is becoming competitively priced with conventional power generation," said Tom Fair, Executive, Renewable Energy for Sierra Pacific Resources.

Brian Fairbank, President and CEO of Nevada Geothermal Power Inc., stated, "The signing of this PPA for an initial geothermal power plant at our Blue Mountain project is a significant step for Nevada Geothermal. NGP's energy will benefit Nevada with much-needed renewable resources and help Sierra Pacific in achieving the state's renewable energy goals. We expect there will be additional MW capacity at Blue Mountain for future development and we are also exploring the growth potential of our three other geothermal sites in Nevada and Oregon."

About Sierra Pacific Resources:

Headquartered in Nevada, Sierra Pacific Resources is a holding company whose principal subsidiaries are Nevada Power Company, the electric utility for most of southern Nevada, and Sierra Pacific Power Company, the electric utility for most of northern Nevada and the Lake Tahoe area of California. Sierra Pacific Power Company also distributes natural gas in the Reno-Sparks area of northern Nevada. Other subsidiaries include the Tuscarora Gas Pipeline Company, which owns 50 percent interest in an interstate natural gas transmission partnership.

About Nevada Geothermal Power Inc.

Nevada Geothermal Power Inc. is a renewable energy company exploring and developing geothermal projects in the United States to provide electrical energy that is clean, efficient and sustainable. NGP is committed to the geothermal industry and currently owns a 100% leasehold interest in the Blue Mountain, Pumpernickel, Black Warrior projects in Nevada and the Crump Geyser Project in southern Oregon.

Nevada Geothermal Power Inc.

Brian D. Fairbank, P. Eng., President & CEO

This Press Release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. We have tried, whenever possible, to identify these forward-looking statements using words such as "anticipates", "believes", "estimates", "expects", "plans", "intends", "potential" and similar expressions. These statements reflect our current belief and are based upon currently available information. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance or achievements to differ materially from those expressed in or implied by such statements. We undertake no obligation to update or advise in the event of any change, addition, or alteration to the information catered in this Press Release including such forward-looking statements.



The TSX Venture Exchange does not accept responsibility for the adequacy or accuracy of this release.

Contacts:
Nevada Geothermal Power Inc.
Shelley Kirk
Investor Inquiries
(604) 688-1553 X118 or Toll Free: 1-866-688-0808 X118
[email protected]
www.nevadageothermal.com

Pro-Edge Consultants Inc.
Tracy Weslosky
Managing Partner
(416) 581-0177 or Toll Free: 1-866-544-9622

Pro-Edge Consultants Inc.
Fred Cowans
Managing Partner
(416) 581-0177 or Toll Free: 1-866-544-9622
[email protected]
www.pro-edge.com

More Stories By Marketwired .

Copyright © 2009 Marketwired. All rights reserved. All the news releases provided by Marketwired are copyrighted. Any forms of copying other than an individual user's personal reference without express written permission is prohibited. Further distribution of these materials is strictly forbidden, including but not limited to, posting, emailing, faxing, archiving in a public database, redistributing via a computer network or in a printed form.