RENO, NV--(Marketwire - Oct 26, 2011) - Ram Power, Corp. (
SAN JACINTO PROJECT
Well SJ 12-3 at the San Jacinto Project was completed on August 23, 2011 to a depth of 7,841 ft. Well SJ 12-3 represents the Company's objective of drilling to confirm an eastwards extension of the San Jacinto Reservoir. After completion of the drilling, the well was flowed for 3 days to allow for stabilization. Following stabilization, the Company conducted a 10 day flow test under the supervision of Sinclair Knight Merz ("SKM"), the Company's resource consultant, which confirmed the well output of 30 tonnes per hour (t/h) of steam which equates to a power generation capacity of 3.9 MW (gross) at a design separation pressure of 5.1 barg. Following the flow test, the Company performed a pressure build-up test and determined that the well is connected to the main reservoir (constant pressure boundary) and is not isolated, therefore expanding the total volume of the confirmed San Jacinto resource. In addition, the well did exhibit some degree of impaired permeability possibly due to rock cuttings that may be removed through further stimulation which may result in improved well output.
CASITA PROJECT
As previously disclosed, the Company commenced in July of 2011 the drilling of the first of two slim holes designed to prove the commercial viability of the resource at the Casita concession. The first slim hole has been drilled to a depth of 842 meters with a total loss of circulation. A temperature survey conducted in the well has indicated temperature readings exceeding 230° Celsius (446° Fahrenheit). The temperature results obtained and the permeability found indicate that the location has a high probability of being a commercial resource. The company will commence in December the drilling of the second slim hole at a location approximately 1.7 km from the first slim hole.
CORPORATE RE-STRUCTURE
In September, the Company completed a reorganization of its personnel in the corporate office in Reno, Nevada. This reorganization resulted in the reduction of both expenses and staffing levels which will parallel the organization with the near term focus of completing the development of Phase I and II of the San Jacinto project. The reorganization is expected to save approximately $4 million a year in corporate G&A expense and will result in increased corporate cash flow.
"I am pleased with the results of our drilling program at both the San Jacinto project and the Casita concession," stated Shuman Moore, Chief Executive Officer of Ram Power. "We have also made great strides in reviewing the overall structure and composition of the Company, which will allow greater cash flow into the Company and will better suit the needs of our project base well into the future."
About Ram Power
Ram Power is a renewable energy company based in Reno, Nevada, engaged in the business of acquiring, exploring, developing, and operating geothermal properties. Ram Power has an interest in geothermal projects, primarily in the United States, Canada, and Latin America.
Cautionary Statements
This press release contains "forward-looking information" within the meaning of applicable securities laws including information regarding the business of Ram Power. Readers are cautioned not to place undue reliance on forward-looking information. Actual results and developments may differ materially from those contemplated by this information. The statements in this press release are made as of the date of this release. Ram Power undertakes no obligation to update forward-looking information, other than as required by law, or comment on analyses, expectations or statements made by third parties in respect of Ram Power, or its financial or operating results or its securities.
Contact Information:
Steven Scott
Director of Investor Relations
Ram Power, Corp.
Phone: 775-398-3711
Email:
www.ram-power.com