Nevada Geothermal Power Inc. announces reorganization plans

         Nevada Geothermal Power Inc. announces reorganization plans

PR Newswire

VANCOUVER, Jan. 29, 2013

VANCOUVER, Jan. 29, 2013 /PRNewswire/ - Nevada Geothermal Power Inc. (the
"Company") (TSX.V: NGP) is pleased to announce that it will implement a
reorganization plan that was approved earlier by shareholders at the Annual
and Special General Meeting on July 24, 2012. In addition, the Company will
explore opportunities for asset sales, project development, acquisitions and
potential mergers.

It is proposed  that the Company  name will be  changed to "Alternative  Earth 
Resources Inc." upon completion of the reorganization plan, and there will  be 
approximately 24,482,000 shares outstanding following a 1 for 5 reverse  split 
of the stock. Completion of the reorganization is subject to the acceptance of
the TSX Venture Exchange.

On closing of the Blue Mountain equity transfer agreement as announced January
16, 2013,  the  Company  will  have ownership  interests  in  four  geothermal 
development properties  in  the  western US  (Crump  Geyser,  New  Truckhaven, 
Pumpernickel and North Valley) and no long-term liabilities. The Company  will 
not have an ownership interest in  the Blue Mountain project, however it  will 
operate the Blue Mountain geothermal  power plant through a transition  period 
up to 12 months.  The Company expects  to have sufficient  cash and income  to 
cover project costs,  lease payments, staffing  and corporate overhead  beyond 
the end of the transition period.

The  Company  will  seek  buyers   and/or  joint  venture  partners  for   its 
advanced-stage geothermal  projects.  New tax  legislation  passed by  the  US 
Senate  and  Congress  in  early  January,  2013  should  provide  significant 
Production Tax Credit ("PTC") and Investment Tax Credit ("ITC") incentives for
prospective partners. Under  old rules, qualifying  renewable energy  projects 
needed to have started construction in 2012 with an additional requirement  to 
be "placed  in  service"  by  January  1,  2014.  The  fixed  completion  date 
requirement caused several  projects that  were underway,  like the  Company's 
Crump project with Ormat, to drop out after having started construction. Under
new rules, geothermal projects will  be eligible for the PTC  or a 30% ITC  on 
certain project  costs if  project construction  commences before  January  1, 
2014. Significantly, there is no  preset date for a  project to be placed  in 
service once construction starts, which  helps reduce project financing  risk. 
Project sponsors or financing partners must choose between the PTC,  currently 
valued at $22/MWh and  applied with an inflation  index through the first  ten 
years of production, or the 30% ITC. The Company has completed planning  under 
which its Crump Geyser, New Truckhaven and Pumpernickel projects can be  ready 
for development drilling or start of construction in 2013.

Brian Fairbank,  President  & CEO  said  "the  Company looks  forward  to  new 
challenges and  opportunities  armed  with valuable  project  development  and 
operating experience."

About Nevada Geothermal Power Inc.:
Nevada Geothermal  Power  Inc. is  an  experienced renewable  energy  producer 
focusing on the development  of CLEAN electrical  power from high  temperature 
geothermal resources  in  the  United  States.  NGP  currently  owns  a  100% 
leasehold interest in several properties in  Nevada and California, and a  50% 
interest in Crump Geyser, in Oregon. These properties are at different levels
of exploration and development.

This Press  Release contains  certain  forward-looking statements  within  the 
meaning of the  Private Securities  Litigation Reform  Act of  1995. We  have 
tried, whenever possible, to  identify these forward-looking statements  using 
words such  as  "anticipates," "believes,"  "estimates,"  "expects,"  "plans," 
"intends," "potential" and similar expressions. These statements reflect  our 
current  belief  and   are  based  upon   currently  available   information. 
Accordingly, such forward-looking statements involve known and unknown  risks, 
uncertainties and  other  factors  which  could  cause  the  Company's  actual 
results, performance or achievements to differ materially from those expressed
in or implied  by such statements.  We undertake no  obligation to update  or 
advise in the event of any change, addition, or alteration to the  information 
catered in this Press Release including such forward-looking statements.

Neither the TSX Venture Exchange nor its Regulation Services Provider (as that
term is  defined  in  the  policies  of  the  TSX  Venture  Exchange)  accepts 
responsibility for the adequacy or accuracy of this release.

Nevada Geothermal Power Inc.
Brian D. Fairbank, P. Eng. President & CEO
Telephone: 604-688-1553
Toll Free: 866-688-0808

Investor Inquiries:
Telephone: 604-688-1553
Toll Free: 866-688-0808

SOURCE Nevada Geothermal Power Inc.


Nevada Geothermal Power Inc.
Brian D. Fairbank, P. Eng. President & CEO
Telephone: 604-688-1553
Toll Free: 866-688-0808

Investor Inquiries:
Telephone: 604-688-1553
Toll Free: 866-688-0808
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