SOURCE: Tri-Valley Corporation

September 28, 2005 09:00 ET

Tri-Valley Unit Announces Initial Production and Sales

BAKERSFIELD, CA -- (MARKET WIRE) -- September 28, 2005 -- On Tuesday, September 27, 2005 Tri-Western Resources, LLC, a 50-50 joint venture operated by Select Resources Corporation, the minerals subsidiary of publicly traded Tri-Valley Corporation (AMEX: TIV), announced that the company has now initiated its mining operation with the ripping of 20,000 tons of basalt in preparation for crushing and screening at its Boron, California Basalt Quarry and begun product sales.

The quarry processing site has been prepared, the jaw and cone crushers are being placed and the stackers / conveyers are being upgraded and arranged. The three Mid-Western screens, cones and storage bins, and other material handling equipment used in sorting crushed rock will be arriving within the next two weeks so that the facilities can begin operations within a month with revenue beginning in the fourth quarter of the year. The Boron Quarry has an initial capacity of 500,000 tons per year on a single shift basis.

In the interim, Tri-Western Resources has been able to sell some of its overburden basalt to the City of Los Angeles Department of Water and Power (LADWAP) for ballast and rip-rap in association with LADWAP's new Pine Tree Wind Development Project located near Pine Tree and Jawbone Canyons, north of Tehachapi, California. LADWAP is in the process of erecting 80, 1.5MW wind turbines in Pine Tree Canyon, and it needs basalt for road repair and maintenance. As LADWAP proceeds with its development, it will repair and upgrade the Jawbone Canyon road, including building multiple permanent stream crossings and culverts.

"The LADWAP project presents us (Tri-Western Resources) with a number of opportunities," said Executive Director Dr. Henry (Rick) J. Sandri. "First, we are able to sell some of our overburden basalt at market rates, second, the rock is being applied to the Jawbone Canyon portion of the road, the same road we will be using for the mining and hauling of our Monarch calcium carbonate, and third, LADWAP will be upgrading the road so that it can transport the wind towers and blades. Our haul trucks will benefit from the improved roads."

"The industrial minerals business of our Select Resources mining subsidiary is, like our other enterprises, focused on producing increasing revenue from commodities with strengthening prices. Commercial production allows Tri-Valley to book proven reserves and contribute to bolstering the value per share of the Company, which is a primary corporate goal, and we will be reporting our multiple efforts in that regard at our upcoming shareholder meeting," said F. Lynn Blystone, president and chief executive officer of the parent, Tri-Valley Corporation.

Tri-Valley Corporation is in its 43rd year of business as a successful operating company and for 32 years has been a full reporting 12 (g) publicly traded Delaware Corporation. The Company's stock is publicly traded on the American Stock Exchange under the symbol "TIV" in the United States and is also traded in Europe on the Frankfurt Stock Exchange under the symbol "TVC WKN 911919." Our company websites, which include all SEC filings, are www.tri-valleycorp.com and www.tri-valley.de.

This press release contains forward-looking statements that involve risks and uncertainties. Actual results, events and performance could vary materially from those contemplated by these forward-looking statements which includes such words and phrases as exploratory, wildcat, prospect, speculates, unproved, prospective, very large, expect, potential, etc. Among the factors that could cause actual results, events and performance to differ materially are risks and uncertainties discussed in the company's quarterly report on Form 10-Q for the quarter ended June 30, 2005, and the annual report on Form 10-K for the year ended December 31, 2004.

Contact Information

  • Contact:
    Dr. Henry J. Sandri
    Executive Director
    800-579-9314