| News GREENHUNTER ENERGY PROVIDES GRAPEVINE, TEXAS, SEPTEMBER 15, 2008 – GREENHUNTER ENERGY, INC. (AMEX: GRH), announced today the results of a preliminary damage assessment at its Renewable Fuels Campus in Houston, Texas, which includes the nation’s largest biodiesel refinery. The facility had been completely shut down in the 48 hours prior to the hurricane strike, and all personnel had been evacuated. Damages sustained at the facility were largely due to floodwater, which crested the 100-year flood plain level, rather than anticipated wind damage from Hurricane Ike. Structural losses at the facility include damages to offices, piping between some reagent tanks, some small and intermediate tank foundations, two bulk storage tanks - one vegetable oil feedstock tank and one methanol tank. The vegetable oil tank contained edible canola oil and the facility released some canola oil off-site due to high water. The release of canola oil to the environment was estimated at less than 50 barrels. In response to the release of the vegetable oils into the environment, the Company promptly notified all appropriate local, state, and federal agencies, as well as the Company’s third-party oil spill response organization. GreenHunter Energy’s Renewable Fuels Campus is currently without power or utility service, and will likely be out of operations for six to eight weeks. This estimate includes the expected timeframe in which the Company’s local utility in Houston, Center Point Energy, is able to restore electricity and natural gas service to the location. In the short term, temporary interruptible power will be provided by diesel and gasoline-powered generators with 600 kW and 5 kW capacities, respectively. Over the weekend, the Company was able to procure from the Gulf Coast of Louisiana, these generators which previously had been shipped there as backup power supply in the wake of Hurricane Gustav. Commenting on the structural damage at GreenHunter Energy’s Renewable Fuels Campus, Bruce Baughman, Senior Vice President of Technology and Engineering for GreenHunter BioFuels, stated, “So far in our assessment of this disaster, we have concluded that fortunately, damage to major process equipment is minimal. We have discovered damage to smaller reagent tanks, intermediate tanks and their interconnecting piping and pumps, as well as damage to the foundations of smaller tanks. Given the sheer volume of water and the extreme flood levels that we faced, our initial assessment is that we sustained overall minor to moderate impact to the Renewable Fuels Campus from Hurricane Ike.” Gary C. Evans, Chairman, President, and Chief Executive Officer of GreenHunter Energy, Inc., stated, “Our first concern has been the lives and well-being of our employees and their family members who are located in Houston. We have notified our respective property insurance carriers who are in the process of sending response team adjusters to Houston. With an understanding of our visual assessment of water damage and knowing firsthand the commitment and dedication of our people employed at our Renewable Fuels Campus, I am highly confident in our ability to return the nation’s largest biodiesel refinery back to operational status as soon as possible. We are dedicating all of our Company resources deemed necessary to ensure this is accomplished as quickly as possible for the benefit of our shareholders.” Forward-Looking Statements Any statements in this press release about future expectations and prospects for GreenHunter Energy and its business and other statements containing the words “believes”, “anticipates”, “plans”, “expects”, “will” and similar expressions constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those indicated by such forward-looking statements as a result of various important factors, including the substantial capital expenditures required to fund its operations, the ability of the Company to implement its business plan, government regulation and competition. GreenHunter Energy undertakes no obligation to update these forward-looking statements in the future. # # # GreenHunter Energy is focused on the renewable energy sectors of wind, hydro, geothermal, solar, biofuels, and biomass power plants. Our assets consist of leases of real property for future development of wind energy projects located in Montana, New Mexico, California, Texas, wind development projects in Wyoming and China that we believe will be acquired in the future, the nation’s largest biodiesel refinery located in Houston, Texas, a cow manure-fired power plant located in Brawley, California, and a wood waste-fired power plant located in Telogia, Florida. Headquartered in Grapevine, Texas, GreenHunter Energy was formed to be the first publicly traded renewable energy company based in the U.S. that provides to investors a portfolio of diversified assets in the alternative energy sector. Additional information about GreenHunter Energy may be found at www.greenhunterenergy.com. # # # For Further Information Contact: |
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