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U.S. Geothermal Announces Results for the 9 Month Period Ended December 31st, 2012

BOISE, IDAHO--(Marketwire - Mar 28, 2013) - U.S. Geothermal Inc. (the "Company") (GTH.TO)(NYSE MKT:HTM), a leading renewable energy company focused on the production and sale of electricity from geothermal energy, announced today an update on its operations and reported its financial and operating results for the nine months ended December 31st, 2012 ('the Year End'). This earnings release should be read in conjunction with U.S. Geothermal's financial statements, and management's discussion and analysis ("MD&A"), which are available on the Company's website and have been posted on SEDAR at www.sedar.com and at the U.S. Securities and Exchange Commission website at www.sec.gov. This Year End report is only for nine months due to a recent change in fiscal year end March 31 to calendar year end December 31. The year end report for 2013 will include twelve months from January 1 to December 31.

Notable achievements for the nine month period include:

  • Approval of a 19.9 Megawatt power purchase agreement ("PPA") for San Emidio
  • Successful completion of well and pump repairs at Raft River
  • Mechanical completion of module 1 at Neal Hot Springs
  • Strategic investment by Lincoln Park Capital
  • Achieved commercial operations at San Emidio
  • Mechanical completion of module 2 at Neal Hot Springs
  • Signed a binding 50 MW Memorandum of Understanding for 15 year PPA for El Ceibillo, Guatemala
  • Increased power output rating from 8.6MW to 9.0MW at San Emidio
  • Achieved commercial operations at Neal Hot Springs
  • Strategic institutional investors buy $4.37 million stake
  • Received the $1.05 million balance of its $11.75 million cash grant from the U.S. Department of Treasury

Daniel Kunz, Chief Executive Officer of U.S. Geothermal Inc. said, "With this current financial performance an important milestone was reached. All three power plants were operating for part of November and all of December. For the calendar quarter ending December 31, the Company produced positive net income and positive cash flow from operations and this marks our transition from a development to an operating company."

Revenue for the nine month Year End period was $8.6 million with $1.3 million in net income from plant operations and a net loss of $1.9 million (with $1.3 million attributable to the Company). Cash for the period increased by $8.5 million with a balance of $15.9 million and grant proceeds receivable stood at $42.9 million. The total long term project construction loans for Neal Hot Springs and San Emidio increased to $102.1 million.

The financial performance for the calendar quarter ending December 31 highlights a favorable improvement due to commercial operation in mid November at Neal Hot Springs. While not reported separately in the Year End financial statements, revenue was $5.30 million with $1.67 million in net income from plant operations, net income of $0.75 million (with $0.4 million attributable to the Company) and cash from operations was $1.0 million and total cash increased by $6.60 million.

About US Geothermal:

U.S. Geothermal Inc. is a leading renewable energy company focused on the development, production and sale of electricity from geothermal energy and is operating geothermal power projects at Raft River, Idaho, San Emidio, Nevada and Neal Hot Springs, Oregon. The company is developing El Ceibillo, an advanced stage, steam geothermal prospect located within a 24,710 acre (100sq km) energy rights concession area located 8.5 miles (14 km) from Guatemala City, the largest city in Central America.

Please visit our Website at: www.usgeothermal.com

The information provided in this news release may contain forward-looking statements within the definition of the Safe Harbor provisions of the US Private Securities Litigation Reform Act of 1995. These statements are based on U.S. Geothermal Inc.'s current expectations and beliefs and are subject to a number of risks and uncertainties that can cause actual results to differ materially from those described, including but not limited to, the expectations that the projects will continue to generate positive earnings and cash flows. Readers are cautioned to review the risk factors identified by the company in its filings with Canadian and US securities agencies. Forward-looking statements are based on management's expectations, beliefs and opinions on the date the statements are made. U.S. Geothermal Inc. assumes no obligation to update forward-looking statements if management's expectations, beliefs, or opinions, or other factors, should change.