GreenHunter Wind Energy Updates Status of Texas Wind Development Projects

2008-10-06 18:22:03 -

www.greenhunterenergy.com - GREENHUNTER WIND ENERGY, LLC, a wholly-owned subsidiary of GREENHUNTER ENERGY, INC (AMEX: GRH), today provided an update on the progress of its approximately 500 Megawatts of wind power development projects in the Electric Reliability Council of Texas (ERCOT) market, which includes 21 million Texas customers and represents 85 percent of the state's electric consumption. These projects are part of GreenHunter Wind Energy's strategy of building a portfolio of smaller wind projects in the 40-90 Megawatt range located within the ERCOT market. This business approach allows development and construction of these new projects to occur more rapidly.

In addition to the smaller scale which allows for speedier development, GreenHunter Wind Energy's projects within ERCOT will benefit from what is believed to be more favorable power pricing due to the projects' relative proximity to the most populated regions of Texas. The chosen locations of these projects are based on a new market system, known as a "nodal" market. The "nodal" market system is presently being implemented by ERCOT and will positively impact the power pricing that wind development projects located closer to populated areas will ultimately receive.

Having recently completed land leasing activities and now initiating the permitting and meteorological data collection process, GreenHunter Wind expects to begin construction by the fourth quarter of 2009. Two specific projects have been identified representing a minimum of 100 Mw in the ERCOT market. Additionally, the Company plans to develop at least another 100 Mw per year of wind power in 2010 and 2011 within the ERCOT market.

Outside of the ERCOT market, the Company currently has leases of real property for future development of wind energy located in the states of Montana, Wyoming, New Mexico, California, and the People's Republic of China. These projects are in various states of development and represent total new capacity in excess of 1000 Mw.

Commenting on GreenHunter Wind Energy's progress in establishing a significant presence within the Texas market, Stephen A. Wiley, President of GreenHunter Wind Energy, stated, "The ERCOT market remains one of the most vibrant power markets in the United States. GreenHunter Wind Energy's experienced development team has diligently worked to develop projects that recognize the new nodal market paradigm. Further, these projects are located in areas with sufficient transmission capacity today and are not dependent upon the Competitive Renewable Energy Zone buildout that must first occur for most new wind projects. For an organization as young as GreenHunter Wind Energy, we believe the establishment of such a strong foothold in this attractive market is a significant achievement."

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, and a biomass-fired power plants located in Brawley, California and 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.

GreenHunter Energy, Inc.
Jack W. Zedlitz, 972-410-1044
jzedlitz@greenhunterenergy.com