Assessment of Geothermal Energy Potential Sulphurdale Geothermal Field, Sulphurdale, Utah

The Sulphurdale Geothermal Field is located in Beaver County Utah, within the boundaries of the Cove Fort--Sulphurdale Known Geothermal Resource Area (KGRA). During the past year, three wells drilled in Section 7, T-26-S, R-6-W, have produced dry steam from a fractured volcanic formation located at a depth of about 1100 feet. Two of these three wells are currently prepared to supply steam to a power plant, and one well has been plugged and abandoned. ThermaSource, Inc. was retained by Mother Earth Industries, the operator of the field, to conduct well tests and render an opinion as to the nature of the geothermal reserves and assess the commercial potential of these reserves. Because of the limited area that has been explored to date, there can be no assurance that the reserves estimate will prove accurate. Project economics are based on parameters believed to be accurate, but there is no assurance that such cash flow projections will be realized