News
Nov 27, 2008Sierra Geothermal Power Corp News Release
Sierra Geothermal Power Corp release their third quarter results:
VANCOUVER, BRITISH COLUMBIA—(Marketwire - Nov. 27, 2008) - Sierra Geothermal Power Corp. (SGP) (TSX VENTURE:SRA) today released financial results for its third quarter ended September 30, 2008.
Financial Overview
As previously disclosed, SGP changed its year end to December 31 from October 31, effective December 31, 2007. References to the third quarter 2008 and the comparable period of 2007 are for the three months ended September 30, 2008 and October 31, 2007, respectively.
Gary R. Thompson, President and CEO of SGP, said: “As I stated previously, SGP is aggressively pursuing its strategy of obtaining strategic joint venture partners to fund development of its Tier 1 properties. The current capital markets aside, many factors favor geothermal development. The new US administration plans to invest $150 billion over the next ten years to accelerate the clean energy sector and will introduce carbon cap-and-trade to reduce greenhouse gas emissions 80 percent by 2050. The demand for clean, baseload power remains strong and many utilities cannot acquire enough geothermal power to fulfill this need.
As of September 30, 2008, SGP’s cash and term deposits totaled approximately $4.9 million with no debt. We believe this is a sufficient amount of capital to carry the company through these difficult times. Until SGP has secured additional capital on acceptable terms, we will be extremely prudent with our existing cash resources. However, we still have sufficient funds to continue minimum exploration (non-drilling) and permitting work on our properties.”
For the three and nine months ended September 30, 2008, SGP reported a net loss of $571,949 or $0.01 per share and $2,244,528 or $0.03 per share, compared to a net loss of $351,167 or $0.01 per share and $1,385,125 or $0.03 per share for the three and nine months ended October 31, 2007. The increase in the net loss during the three and nine months ended September 30, 2008, compared to the three and nine months ended October 31, 2007, was primarily due to respective increases of $94,640 and $597,714 in stock-based compensation expense and respective increases of $118,130 and $313,557 in salaries, wages and benefits.
For the three and nine months ended September 30, 2008, SGP capitalized exploration expenditures of $746,956 and $4,543,415 compared to $1,449,980 and $4,400,841 exploration expenditures capitalized during the three and nine months ended October 31, 2007.
As at September 30, 2008, SGP had working capital of $4,731,757 compared to working capital of $10,676,587 as at December 31, 2007.
The full version of SGP’s unaudited interim financial statements and management discussion and analysis report is available on the Company’s website at http://www.sierrageopower.com and on SEDAR at http://www.sedar.com.
Third Quarter Highlight
- SGP received notice from Western Geothermal Partners, LLC that it has satisfied all requirements for a 100 percent interest in the Reese River geothermal power project in Lander County, Nevada. Under the terms of the exploration agreement, SGP was required to meet various thresholds of option payments and work program expenditures totaling US$5,250,000. SGP has the option to acquire Western Geothermal’s one percent gross royalty.
Pursuant to the fundamental acquisition of Cayley Geothermal Corp. (Cayley) dated November 21, 2006, SGP will acquire 100 percent by issuing 18,000,000 shares over a three-year period. On November 21, 2008, SGP increased its position by an additional 32.24 percent interest to hold a total of 83 percent interest in Cayley through the issuance of 6,000,000 common shares, of which 4,004,472 common shares were issued to common directors of SGP and Cayley. SGP will acquire the remaining 17 percent of Cayley shares through the issuance of 3,220,548 common shares by November 21, 2009.
Nov 22, 2008
MSNBC Geothermal Video
On November 18th, NBC’s Today Show had a live broadcast from Iceland talking about geothermal, showing footage from Geysir Green Energy plants and interviewing the staff.
The Today Show came to Iceland as a part of their “Ends of the Earth” program looking at water since eighty percent of Iceland’s energy comes from renewable sources, those being hydropwer and geothermal energy. TODAY’s Al Roker visits HS’s Blue Lagoon and geothermal power plants to discover why Iceland is ideal for this green energy and interviews Steinar Gudlaugsson, Senior Geophysicist at Geysir Green Energy.
Link to Geysir’s website http://www.gge.is/news/nr/76
Nov 22, 2008
Throne Speech: “Tackling Climate Change and Preserving Canada’s Environment ”
A quotation from the Throne Speech. Good news for renewables!
Our Government understands that Canada’s economic prosperity cannot be sustained without a healthy environment, just as environmental progress cannot be achieved without a healthy economy. Our Government will continue its realistic, responsible approach to addressing the challenge of climate change.
Our Government has committed to reducing Canada’s total greenhouse gas emissions by 20 percent by 2020. We will meet this goal while also ensuring that Canada’s actions going forward remain comparable to what our partners in the United States, Europe and other industrialized countries undertake. We will work with the provincial governments and our partners to develop and implement a North America-wide cap and trade system for greenhouse gases and an effective international protocol for the post-2012 period.
To meet the challenge posed by climate change, we will also need to make greater use of technologies that do not emit greenhouse gases. Our Government will set an objective that 90 percent of Canada’s electricity needs be provided by non-emitting sources such as hydro, nuclear, clean coal or wind power by 2020. In support of this ambitious national goal, our Government will continue to provide support for biofuels, wind and other energy alternatives.
To ensure protection of our vital resources, our Government will bring in legislation to ban all bulk water transfers or exports from Canadian freshwater basins.
Our Government will work with all parties in Parliament to introduce sensible policies that can help consumers and improve our environmental well-being, such as increasing incentives for energy-saving home retrofits.
Nov 21, 2008
Geothermal Educational Video
CanGEA often gets asked about geothermal educational videos. Here is a video CanGEA Board Member Craig Aspinall has suggested viewing.
http://www.kqed.org/quest/television/geothermal-heats-up2
Take a look!
Nov 20, 2008
President-Elect Obama on Climate Change
Link to President-Elect Obama’s approach to climate change, including cap & trade.
http://www.youtube.com/watch?v=hvG2XptIEJk
Nov 15, 2008
CanGEA: FAQ #1 Groundwater Contamination
CanGEA will begin to feature frequently asked questions that we receive.
The first in our series is:
Q. How will drillers avoid contaminating the groundwater in shallow aquifers with the water in deeper pockets or fissures?
A. The drilling process includes sealing up and cementing off the edges of the drill hole to prevent contamination.
If you have any other questions please email .(JavaScript must be enabled to view this email address)
Nov 15, 2008
The Calgary Herald: “Geothermal Bubbles up as Clean Energy Solution”
The following article was posted in the Calgary Herald, originally published in the Los Angeles Times by Marla Dickerson. The article highlights geothermal investment by Warren Buffet and Google Inc, as well as geothermal fundamentals and EGS (enhanced geothermal systems).
To read the full article: Geothermal (Herald_Article).pdf
Nov 12, 2008
Western GeoPower Secures US$11 Million Secured Loan Facility
CanGEA corporate member news release from Western GeoPower:
WESTERN GEOPOWER SECURES US$11 MILLION SECURED LOAN FACILITY
VANCOUVER, Canada, November 10, 2008, TSX Venture Exchange Trading Symbol: WGP – Western GeoPower Corp., a renewable energy company, today announced that it has entered into a US$11 million secured loan facility. Under the terms of the loan facility the initial tranche of US$2,480,000 will be available to the company upon receipt of approval of the TSX Venture Exchange for the issuance of warrants and the payment of certain lending fees and expenses. The second tranche of US$8,520,000 will be available to the company upon the later of 15 business days following the initial advance having elapsed or the date upon which all conditions precedent to that tranche have been met, including the perfection of security, the discharge of any liens other than permitted liens, payment of certain lending fees and expenses, and that no event of default then exists. Interest will be payable at a rate of 1% for the first six months, 1.25% for the second six months and 1.5% thereafter. The lender will have the right, subject to the prior approval of the TSX Venture Exchange, to elect to receive the payment of interest on the loan in the form of common shares of the company.
As partial consideration for entering into the loan facility, the company has agreed to issue 29,629,629 warrants of the company, each warrant being exercisable for a period of 24 months at a price per warrant of CDN$0.18. The warrants and underlying shares will be subject to a hold period of four months following their issuance.
The proceeds of the loan may be used for drilling, project management, development cost, plant equipment, and up to US$300,000 in monthly working capital and general corporate purposes.
The company is proceeding with the loan facility in lieu of completing additional tranches of its CDN$25 million non-brokered private placement announced August 7, 2008. The company completed CDN$10.6 million of that non-brokered private placement as announced on October 20, 2008.
Nov 12, 2008
New Lease Sale Date
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Nov 12, 2008
Geothermal Funding Opportunity
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