Dear Eric Sicre,
NEWS
RELEASE
DATE: MAY 6,
2008
FOR IMMEDIATE RELEASE
TRADING SYMBOLS: TSX-V (Canada): WGP.V
FRANKFURT: WE6.F
GEYSERS WELL DEMONSTRATES 10 MW INITIAL
CAPACITY
VANCOUVER, Canada, May 6, 2008, TSX Venture Exchange
Trading Symbol: WGP – Western GeoPower
Corp., a renewable energy development company, today announced that an eight
hour multi-rate flow test carried out on completion of the WGP-1 well at The
Geysers Geothermal Field in California has confirmed that the well is a
strong producer, with an initial capacity of 10 MW (gross) and a forecast
stabilized capacity of at least 7 MW (gross). The well will supply
steam to the 35 MWe Western GeoPower
Unit 1 plant, projected to start commercial operations in early 2010.
Well WGP-1 was directionally drilled to the east of
the pad to a total depth of 8,410 feet (2,563 m) with numerous steam zones
recorded between 5,400 feet (1,650 m) and bottom. Further deepening of the
well was considered unnecessary. An eight-hour multi-rate flow test carried
out by independent consultants GeothermEx, Inc. demonstrated an initial,
unstabilized steam flow rate of about 161,000 lb/hr (72,100 kg/hr) at the
design flowing wellhead pressure of approximately 80 psia. The rig has been
skidded across the pad to immediately begin drilling well WGP-2 which is
designed to intersect known productive zones to the north of the pad.
Completion of WGP-2 is projected for July.
“We note with great satisfaction that
the WGP-1 well is one of the strongest wells drilled at The Geysers during
the past 20 years,” said Dr. Subir Sanyal, President of GeothermEx.
“In addition, the higher than expected static reservoir pressure
encountered (at least 280 psia compared to 250 psia assumed for project
design) provide encouragement that future wells may show higher capacity than
had been anticipated throughout the Western GeoPower leasehold.”
California-based GeothermEx
is a recognized international authority in the evaluation of geothermal
resources and has been involved in the development of all the producing
geothermal fields in the United States and over 750 projects worldwide.
Their knowledge of The Geysers geothermal field is extensive, having been
associated with the development of the field for over 30 years.
“We are extremely pleased to report that the
well’s stabilized productivity is double our earlier expectations and
the well has been completed one month ahead of schedule and considerably
under budget,” said Kenneth MacLeod,
President and Chief Executive Officer of Western
GeoPower. “A review of earlier production records
from the steam field suggests that the target zones for future wells may have
similar potential to the well just drilled. If this is confirmed, and fewer
wells are required to supply the plant, considerable cost savings may be
realized.”
Following completion of well WGP-2 and relocation of
the rig to the next pad, isochronal tests will be conducted at both wells by
Geothermex to assess their long-term productivity and the results will be
used for reservoir modelling purposes. Current projections call for the
drilling of five to seven additional production wells and one injector well,
with the final number to be determined on completion of reservoir modelling.
An existing well is being assessed for re-work and may be used as a second
injection well. The drilling program is scheduled for completion in late 2009.
The Geysers geothermal
field, located 75 miles north of San Francisco, California, is the largest
producer of geothermal electricity in the world. Commercial geothermal power
has been generated continuously at The Geysers field since 1960, the present
generation level being about 900 MWe of clean, baseload electricity. Western
GeoPower's Unit 1 project is situated in the south-western region of The
Geysers field in Sonoma County.
About Western GeoPower Corp.
Western GeoPower Corp. is a
renewable energy company dedicated to the development of geothermal energy
projects for the delivery of clean, sustainable, baseload electricity
generation. The Company is developing The Western GeoPower Unit 1 geothermal
power plant at The Geysers Geothermal Field in California, United States and
the South Meager Geothermal Project in British Columbia, Canada.
On behalf of Western
GeoPower Corp.
“Kenneth
MacLeod”
Kenneth MacLeod, President & CEO
Cautionary
Note Regarding Forward-Looking Statements
Statements
in this release that are forward-looking are subject to various risks and
uncertainties concerning the specific factors identified above that reflect
the Company’s expectations and projections about its future
results. The Company has tried whenever possible to identify
these forward-looking statements which include but are not limited to, words
such as “anticipates,” believes,” “estimates,”
“expects,” “plans,” “intends,”
“potential,” and similar expressions. Although the Company
believes the expectations expressed in such forward-looking statements are
based on reasonable assumptions, such statements are not guarantees of future
performance and actual results or developments may differ materially from
those in the forward-looking statements. Investors are cautioned that
any such statements are not guarantees of future performance and that actual
results or developments may differ materially from those projected in the
forward-looking statements. The Company disclaims any obligation or
intention to update or to revise any forward-looking statement, whether as a
result of new information, future events or otherwise. Such information
contained herein represents management's best judgment as of the date hereof
based on information currently available.
The TSX Venture Exchange does not accept responsibility
for the adequacy or accuracy of this release. For more information or to be
put on our email list, please contact our office: (604) 662-3338 or US/Canada
Toll Free: 1-866-662-3322, email: info@geopower.ca
Investor Relations: IR@geopower.ca
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