Nevada Geothermal Power Inc.

Nevada Geothermal Power Inc.

March 23, 2005 09:20 ET

Nevada Geothermal Power Inc.: Completes $2.2 Million Financing


NEWS RELEASE TRANSMITTED BY CCNMatthews

FOR: NEVADA GEOTHERMAL POWER INC.

TSX VENTURE SYMBOL: NGP
OTC Bulletin Board SYMBOL: NGLPF

MARCH 23, 2005 - 09:20 ET

Nevada Geothermal Power Inc.: Completes $2.2 Million
Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - March 23, 2005) - Nevada
Geothermal Power Inc. (NGP) (TSX VENTURE:NGP)(OTCBB:NGLPF) is pleased to
report that the previously announced offering of 3,500,000 units at a
price of $0.65 Canadian (CDN) per unit for gross proceeds of $2,275,000
CDN has been closed. Each unit consists of one common share and one
share purchase warrant (a "Unit"). One warrant entitles the holder to
purchase one additional common share for a period of 24 months at a
price of $1.00 per warrant share, subject to an exercise acceleration
provision such that if, after six months following closing of the
Offering, the closing price per NGP share on the TSX Venture Exchange is
$1.35 or higher for twenty consecutive trading days, then NGP shall give
the investors notice that the warrants must be exercised or they will
expire within 30 days.

Dundee Securities Corporation ("Dundee") acted as the exclusive agent
for the Offering. Dundee received an 8% commission and an option (the
"Compensation Option") to acquire 280,000 Units exercisable at $0.65 per
Unit until March 23, 2007.

Proceeds realized by NGP from the private placement will be used to fund
further development at the Blue Mountain, Nevada Geothermal Project, and
for general working capital purposes. The securities issued under the
Offering are subject to a four month hold period.

NGP is an alternative renewable energy company developing geothermal
projects in the Western United States to provide electrical energy that
is clean, efficient and sustainable. NGP holds a 100% interest in 12
square-miles of geothermal leases at the Blue Mountain geothermal
project where it plans to develop an initial 30MW generating plant. NGP
has acquired additional geothermal sites, Pumpernickel Valley and Black
Warrior located in the "Corridor of Heat" to become a leading geothermal
development company.

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.

-30-

Contact Information

  • FOR FURTHER INFORMATION PLEASE CONTACT:
    Nevada Geothermal Power Inc.
    Brian D. Fairbank, P. Eng.
    President & CEO
    (604) 688-1553
    (604) 688-5926 (FAX)
    fairbank@intergate.ca
    or
    Nevada Geothermal Power Inc.
    Shelley Kirk
    Investor Inquiries
    (604) 633-1822 or Toll Free: 866-688-0808
    sfkirk@nevadageothermal.com
    www.nevadageothermal.com
    The TSX Venture Exchange does not accept responsibility for the adequacy
    or accuracy of this release.