Western GeoPower Corp.

Western GeoPower Corp.

January 22, 2007 09:00 ET

Western GeoPower Welcomes Federal Incentive

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 22, 2007) -


Western GeoPower Corp. (TSX VENTURE:WGP) (FRANKFURT:WE6.F), a renewable energy company focused on geothermal energy development, welcomed today's announcement by the Canadian Government of the ecoENERGY Renewable Initiative to provide funding incentives for renewable power.

Western GeoPower President Kenneth MacLeod said the incentive of 1 cent per kilowatt hour could help the economic viability of the Company's South Meager Geothermal Project, located 170 kilometers north of Vancouver, British Columbia.

The incentive was announced in Victoria today by Prime Minister Stephen Harper and Natural Resources Minister Gary Lunn. Canada is targeting a potential 4,000 MW of renewable power production from eligible sources including geothermal and has allocated a budget of $1.48 billion. A ten-year incentive program will be established for eligible projects to be constructed over the next four years

"This comes at an opportune time for Western GeoPower as we are presently planning the next stage of our resource confirmation program at South Meager," MacLeod said. The Company has confirmed temperatures up to 275 degrees C at South Meager and will initiate production flow tests this summer on the three wells completed to date.

"While the flow tests will help to confirm the 'technical' feasibility of the project, we also will be conducting financial feasibility studies," he said. "Obviously, the option of plugging a federal incentive into our financial model could assist in establishing project viability."

Corporate Overview

Western GeoPower Corp. is a renewable energy company dedicated to the development of geothermal energy projects for the delivery of clean, baseload electricity generation. The Company is developing a 25.5 Megawatt (net) geothermal power plant at the site of the former Pacific Gas & Electric Unit 15 steam field located in The Geysers Geothermal Field in California, United States. The Company is also developing 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.

For more information or to be put on our email list, please contact our office.

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

Contact Information

  • Western GeoPower Corp.
    (604) 662-3338 or US/Canada Toll Free: 1-866-662-3322
    (604) 646-6603 (FAX)
    Email: info@geopower.ca
    Western GeoPower Corp.
    Investor Relations
    (604) 662-3338 or US/Canada Toll Free: 1-866-662-3322
    (604) 646-6603 (FAX)
    Email: IR@geopower.ca
    Website: www.geopower.ca