Reservoir Capital Corp.

Reservoir Capital Corp.

March 18, 2008 07:30 ET

Reservoir Capital Applies for Energy Licenses to Develop 48MW of Run-of-River Hydroelectric Generating Capacity

VANCOUVER, BRITISH COLUMBIA--(Marketwire - March 18, 2008) - Reservoir Capital Corp. ("Reservoir" or the "Company") (TSX VENTURE:REO) is pleased to announce that it has, through its wholly-owned subsidiary Renewable Energy Ventures (BVI) Ltd. ("REV"), filed applications for two Energy Licenses to develop the Brodarevo 1 and Brodarevo 2 run-of-river hydroelectric projects, with a combined 48 Megawatts of power generating capacity on the River Lim in Southwest Serbia.

Led by Miljana Vidovic, who worked previously in the region for Belgian utility Tractebel, Reservoir has built up a team of experts in the Serbian power sector and through 2007 has conducted a countrywide review of the hydroelectric power potential. The Brodarevo 1 and 2 sites were selected from various opportunities, as they had already been the subject of detailed technical studies as part of the government's long-range infrastructure planning in the 1980's.

The Brodarevo 1 and 2 Energy Licenses, once granted, will give the Company two years to complete detailed feasibility studies, power purchasing agreements, permitting and arrange for project financing to build the power plants.

Miles Thompson, Executive Chairman of Reservoir, says, "We are very pleased to be moving forward with the Brodarevo Projects and laying the foundations for another important avenue of growth for the Company."

About Serbia

Lack of investment over the last ten to fifteen years has led to a fall in both generating capacity and electricity output, such that Serbia has become a net importer of electricity. Given its rapid modernization in recent years, with GDP growth rates averaging 6% per annum, Serbia is working hard to both privatize existing infrastructure and encourage new investment. Serbia passed a new Energy Law in 2004 that allows private investment in the sector and the free trading of energy nationally and internationally. More recently it has ratified the Kyoto Protocol on Climate Change and become, as a non-Annex I country, a host country for Clean Development Mechanism ("CDM") projects. Over 30% of Serbia's power generating capacity is via hydroelectricity, most of which is run-of-river.

About Reservoir

Reservoir Capital Corp is a Serbian-focused company, with a mandate to acquire undeveloped natural resource opportunities in this emerging and resource-rich country. Reservoir is investing in precious metals exploration and renewable energy, with currently eight mineral exploration properties and various renewable energy projects under evaluation. The Company has already been successful in exploration efforts, most notably at Brestovac and Deli Jovan, where it has encountered high-grade gold systems with potential to grow into significant deposits. Reservoir's common shares trade on the TSX Venture Exchange under the symbol "REO".

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

Contact Information

  • Reservoir Capital Corp.
    Miljana Vidovic
    (604) 662-8448
    Reservoir Capital Corp.
    Miles Thompson
    (604) 662-8448
    Reservoir Capital Corp.
    Kim Casswell
    Corporate Secretary
    (604) 662-8448
    (604) 688-1157 (FAX)