Western GeoPower Corp.
TSX VENTURE : WGP
FRANKFURT : WE6.F

Western GeoPower Corp.

December 18, 2006 09:00 ET

Western GeoPower Closes $2.6 Million Financing

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Dec. 18, 2006) - Western GeoPower Corp. (TSX VENTURE:WGP)(FRANKFURT:WE6.F)(NOTC:WGEO), a renewable energy company focused on geothermal energy development, today announced that it has closed a non-brokered private placement announced December 8, 2006 for total proceeds of CDN $2.63 million through the sale of 17,538,334 units at a price of $0.15 per unit. Each unit is comprised of one share and one share purchase warrant exercisable at a price of $0.25 per warrant share until December 30, 2008.

One million dollars of the proceeds from the financing were used to repay the outstanding credit facility, which was due December 15, 2006. The remaining proceeds from the financing will be used to continue the development of Western GeoPower's planned 25.5 megawatt (net) power plant at the Company's Unit 15 leasehold at The Geysers Geothermal Field 75 miles north of San Francisco, California, and for working capital.

Corporate Overview

Western GeoPower Corp. is a renewable energy company dedicated to the development of geothermal energy projects for the delivery of clean, base-load electricity generation. The Company holds 100% interests in the South Meager Geothermal Project in British Columbia, Canada and the Unit 15 Steam Field located in The Geysers Geothermal Field in California, United States.

On behalf of Western GeoPower Corp.

Kenneth MacLeod, President & CEO

Cautionary Note Regarding Forward-Looking Statements

Statements in this release that are forward-looking are subject to various risks and uncertainties concerning the specific factors identified above that reflect the Company's expectations and projections about its future results. The Company has tried whenever possible to identify these forward-looking statements which include but are not limited to, words such as "anticipates," believes," "estimates," "expects," "plans," "intends," "potential," and similar expressions. Although the Company believes the expectations expressed in such forward-looking statements are based on reasonable assumptions, such statements are not guarantees of future performance and actual results or developments may differ materially from those in the forward-looking statements. Investors are cautioned that any such statements are not guarantees of future performance and that actual results or developments may differ materially from those projected in the forward-looking statements. The Company disclaims any obligation or intention to update or to revise any forward-looking statement, whether as a result of new information, future events or otherwise. Such information contained herein represents management's best judgment as of the date hereof based on information currently available. This news release is not for dissemination in the United States of America or to United States of America news services.

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

Contact Information

  • Western GeoPower Corp.
    (604) 662-3338 or US/Canada Toll Free: 1-866-662-3322
    (604) 646-6603 (FAX)
    Email: info@geopower.ca
    or
    Western GeoPower Corp.
    Investor Relations
    (604) 662-3338 or US/Canada Toll Free: 1-866-662-3322
    (604) 646-6603 (FAX)
    Email: IR@geopower.ca
    Website: www.geopower.ca