Polaris Geothermal Inc.
TSX VENTURE : GEO

Polaris Geothermal Inc.

May 30, 2005 10:42 ET

Polaris Successfully Completes Steam Blow at San Jacinto Project

TORONTO, ONTARIO--(CCNMatthews - May 30, 2005) - Polaris Geothermal Inc. ("Polaris Geothermal"), (TSX VENTURE:GEO) an emerging renewable energy power producer, announced today that the steamfield "steam blow", a critical element of the commissioning process for the San Jacinto-Tizate Geothermal Power Project (SJT) in Nicaragua, had been successfully completed.The "steam blow" involved opening the main production well to blow water and steam through the pipelines to clean and ready them for final connection to the two 5 MW backpressure turbine generators. This was the first full discharge of the well since testing in October 2002 and the well performance exceeded expectation.

The steam blow culminated in checking the steam quality by inserting brass "target bars" into the steam flow to confirm that the steam is free from dirt and grit. The turbines will now be connected to the steamfield steam supply. The next step in the commissioning process will be to energize the transmission line and switchyard, which is expected to be completed in early June. It is anticipated that power sales will commence during the next two to three weeks as the turbines complete testing and become available to run under dispatch control.

Polaris Geothermal is a renewable energy resource company focused on the development of geothermal projects. Polaris Geothermal Inc. has (34,363,114) Class A common shares issued and outstanding.

FORWARD-LOOKING STATEMENTS

This press release includes certain forward-looking statements. All statements regarding potential estimated capacity, reserves and future plans and objectives of Polaris, are forward-looking statements that involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from these forward-looking statements include: the ability to extract sufficient geothermal fluid of usable quality from the resource, in a cost-effective manner, and other factors disclosed under the heading "Risk Factors" in Polaris' Management Information Circular revised, for filing purposes July 7, 2004 and elsewhere in Polaris documents filed from time to time with regulatory authorities.

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

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