SOURCE: Distributed Power, Inc.

February 09, 2007 08:00 ET

Distributed Power Acquires Producing Reserves

SUGAR LAND, TX -- (MARKET WIRE) -- February 9, 2007 -- Distributed Power, Inc. (PINKSHEETS: DPWI) announced the acquisition of 750,000 barrels of oil reserves currently in production in the Western Kentucky Basin from Joan and Jack Oil Company of Los Angeles, California. Distributed Power plans to increase current production from reserves by working over existing wells with enhanced recovery procedures such as polymer, surfactant, solvent, in situ combustion or CO2. Because of the close spacing of the existing wells Distributed Power expects these enhanced recovery techniques will recover up to 90% of the remaining oil reserves.

In addition to its work over operations, Distributed Power plans to drill new wells to 2,000 feet in the New Albany Shale. Initial production from wells drilled in 2006 was as high as 1,850 barrels per day. The deeper reservoir rocks in this part of the Western Kentucky Basin hold the potential of discovering a major oil reserve in this type of sedimentary rock.

Distributed Power also announced that Robert Harrison and Holly Katsaros had been named President and Secretary, respectively. Robert Harrison comes to Distributed Power with a history of successful oil and gas field re-development and independent exploration as well as in the financial services sector. He is presently employed by Northern & Western Insurance Company as its Senior Underwriter. Holly Katsaros brings an impressive and well-rounded business background to Distributed Power with an emphasis on sales and financial services. She is currently employed by Novartis Pharmaceuticals as a Sales Consultant. Both Harrison and Katsaros were also appointed to the Board of Directors along with Ricardo Arrioja, Managing Director of NAFTA Credit Financial Corp.

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