U.S. Geothermal Inc. has initiated development drilling at the Neal Hot Springs Geothermal Project in eastern Oregon. Well NHS-5, the first well in this new program, is currently drilled to a depth of 300 feet. The depth of the well is anticipated to reach approximately 2,800 feet where it is expected to encounter a large aperture fracture containing geothermal fluid. Up to three large diameter wells, ranging in depth from 2,300 to 3,800 feet are planned in this drilling program.

President and CEO, Daniel Kunz said, “These drilling programs are expected to maintain our current project development schedule and help define a geothermal reservoir needed to construct a power plant that will deliver 22 MW of electricity.” (Source: U.S. Ge othermal, September 22, 2009)

Contact: Saf Dhillon, Investor Relations, U.S. Geothermal, (866) 687-7059, saf@usgeothermal.com, www.usgeothermal.com