VANCOUVER, April 1, 2013 /CNW/ - Nevada Geothermal Power Inc. ("NGP" or "the Company") (TSX.V: NGP) announces that the Company and funds managed by EIG Global Energy Partners (collectively "EIG"), the mezzanine lender for the Blue Mountain Geothermal Project, closed the Equity and Collateral Transfer Agreement on March 28, 2013 (refer to News Release dated January 16, 2013).
EIG has accepted the transfer of ownership of NGP Blue Mountain Holdco LLC ("BM Holdco") in full satisfaction of all amounts owing under BM Holdco's loan agreement with EIG. NGP received $500,000 in satisfaction of a current account receivable from BM Holdco.
Nevada Geothermal Operating Company LLC (Opco) will continue as project operator of the Faulkner 1 geothermal power plant during a cooperative transition period of up to twelve months. EIG may provide written notice at any time during the transition period, electing to replace the operator or purchase Opco for a nominal amount plus the value of the then existing working capital.
Effective April 2, 2013, the Company will change its name to Alternative Earth Resources Inc. ("Alterative Earth"), and complete a five for one share consolidation (refer to news release dated March 27, 2013). Alternative Earth retains its ownership interests in four geothermal development properties in the western US (Crump Geyser, New Truckhaven, Pumpernickel and North Valley).
About Nevada Geothermal Power Inc.:
Nevada Geothermal Power Inc. is an experienced renewable energy producer focusing on the development of CLEAN electrical power from high temperature geothermal resources in the United States. NGP currently owns a 100% leasehold interest in several properties in Nevada and California, and a 50% interest in Crump Geyser, in Oregon. These properties are at different levels of exploration and development.
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.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE: Nevada Geothermal Power Inc.
For further information:
Nevada Geothermal Power Inc.
Brian D. Fairbank, P. Eng. President & CEO
Toll Free: 866-688-0808
Toll Free: 866-688-0808
Nevada Geothermal Operating Company LLC / Blue Mountain Faulkner I Plant
4500 Blue Mountain Road, Winnemucca, NV 89445