SOURCE: American Power Corp.

American Power Corp.

February 01, 2011 12:05 ET

American Power Corp. Retains Gryphon Partners as Its Financial and Strategic Advisor

DENVER, CO--(Marketwire - February 1, 2011) -  American Power Corp. (OTCBB: AMPW) ("American Power" or "the Company"), an independent coal exploration company headquartered in Denver, Colorado, is pleased to announce that it has retained Gryphon Partners ("Gryphon") to act as financial and strategic advisor to undertake a review of various alternatives available to the Company to maximize the untapped value in its coal exploration and development assets.

In 2010, the global coal-mining sector witnessed merger and acquisition transactions worth more than $47 billion through over 968 transactions, the highest number of deals on record. The increased corporate activity in the sector and the strong coal market fundamentals made American Power's board of directors search for an advisor that could help the Company take advantage of this market environment. American Power believes Gryphon's extensive experience in strategic consulting and transaction advisory services to resource companies will help the Company in evaluating all opportunities available, with the objective of further enhancing shareholder value.

"Our Pace Coal Project in Judith Basin County, Montana is of great importance to American Power and its shareholders. With both long-term development potential and substantial exploration upside, the Pace Coal Project represents significant value. We therefore look forward to working with Gryphon to unlock this value for our shareholders," commented Al Valencia, CEO of American Power.

"Gryphon is a leading and globally recognized independent advisory firm with in-depth knowledge of the natural resource markets and possesses a wide network of contacts within major resource corporations on a global basis, particularly in North America, Europe and throughout Asia. Thus, we strongly believe that Gryphon is well-positioned to assist American Power in this mandate," added Mr. Valencia.

ABOUT GRYPHON PARTNERS
Established in 2003, Gryphon Partners is an independent corporate advisor dedicated to the resources and energy sectors. Gryphon's team members have extensive experience working in the resources industry in either corporate development teams or as corporate advisors. Its principals have worked on some of the most complex mergers, takeovers, restructures and financings in the industry, providing advice to clients around the world in the traditional areas of mergers and acquisitions, corporate and project finance.

Gryphon's relevant transactions in the global mining sector include: Yanzhou Coal Mining's acquisition of Felix Resources ($2.8 billion); Macarthur Coal bid for Gloucester Coal ($560 million) and subsequent bid by Peabody Energy for Macarthur Coal ($3.7 billion); Noble Group's investment in Gloucester Coal ($350 million); Banpu PCL's investment in Centennial Coal Company ($250 million); Oxiana Ltd's merger with Zinifex Limited (A$12 billion); Newmont Australia Ltd's acquisition of a stake in Normandy NFM Limited (A$160 million), among others. For further information about Gryphon visit its website at www.gryphonpartners.ca.

ABOUT AMERICAN POWER CORP.
American Power Corp. is a publicly traded, dynamic energy company based in Denver, Colorado. The Company was established with the focus of acquiring near-term, large-scale coal projects in close proximity to national transportation links. American Power envisions developing its large coal resources to support electricity generation.

American Power is a member of the Montana Mining Association, and holds approximately 29,000 acres in Judith Basin County, Montana. The estimated resources in place, based on exploration work conducted by Mobil Oil Co. (now ExxonMobil Corp.), in several independent studies, range from 172 million up to 410+ million tons of high volatility bituminous B coal.

American Power Corp. trades on the NASD OTC BB under ticker symbol AMPW. Shareholders are invited to contact investor relations toll free at (800) 537-1110 for further information or visit the Company's website at www.americanpowerco.com.

Forward-Looking Statements
Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements in this news release include that American Power Corp.'s 29,000-acre leases in Judith Basin County, Montana, have high volatile bituminous B coal in the range of 172 and 410+ million tons. Readers should also refer to the risk disclosures outlined in the Company's quarterly reports on Form 10-QSB, annual reports on Form 10-KSB, and the Company's other disclosure documents filed from time-to-time with the Securities and Exchange Commission available at www.sec.gov.

Cautionary Note to U.S. Investors
The United States Securities and Exchange Commission ("SEC") permits mining companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms in this document that SEC's guidelines may prohibit us from including in filings with the SEC.

Contact Information

  • Investor Relations Information:
    Toll Free: 1-800-537-1110
    E-mail: Email Contact