GREENHUNTER ENERGY SUBSIDIARY SELLS
BIOMASS POWER PLANT IN FLORIDA

GRAPEVINE, TEXAS, FEBRUARY 12, 2009 – GREENHUNTER RENEWABLE POWER, LLC, a wholly-owned subsidiary of GreenHunter Energy, Inc. (NYSE Alternext: GRH), announced today the closing of the sale of its 14 MW wood waste-fired biomass power plant located in Telogia, Florida.
 
Having initially acquired the Telogia biomass power plant in September of 2008 for approximately $2.5 million in cash, GreenHunter Renewable Power sold the asset for $5.7 million in cash, which included the assumption of approximately $1.7 million in debt.  The new owner, Multitrade Telogia, LLC, is a Virginia Limited Liability Company.

Commenting on the sale of the biomass power plant located in Telogia, Florida, Mr. Gary C. Evans, Chairman, President, and CEO of GreenHunter Energy stated, “The sale of this non cash flow-producing asset will allow our Company to improve our liquidity position as well as redeploy our capital in a more efficient manner.  In less than a six month period, GreenHunter was successful at achieving a rate of return of approximately 60% on this asset.  We continue to evaluate new market opportunities for acquiring existing, cash flow-producing assets within the renewable energy space that are very attractive.  By having a diversified portfolio of alternative energy assets, we are able to quickly concentrate management’s efforts on any one particular segment that offers the greatest returns on capital employed.  Our goal is to become cash flow positive with each asset we own so as to minimize any potential future dilution to our existing shareholders during this very difficult period in the capital markets.” 

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, Wyoming and The Peoples Republic of China, the nation’s largest biodiesel refinery located in Houston, Texas, a biomass-fired power plant located in Brawley, California, and an option to lease acreage associated with a terminaling facility in Port Sutton, 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:
GreenHunter Energy, Inc.
Jack W. Zedlitz
1048 Texan Trail
Grapevine, TX 76051
Tel: (972) 410-1044