Reservoir Extends its Geothermal Exploration Permit at Vranjska Banja
VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 12/20/10 -- Reservoir Capital Corp. (TSX VENTURE: REO)(FRANKFURT: ROC)(BERLIN: ROC) ('Reservoir' or the 'Company') is pleased to report that after successful completion of its 2010 work program, its geothermal exploration permit at Vranjska Banja has been extended until November 11, 2011. The Vranjska Banja exploration permit covers 1,750 hectares in area and surrounds the 2 hectare exploitation permit held by the Jumko A.D., with whom the Company signed an agreement to evaluate their existing geothermal wells (VG-2 and VG-3).
The final phase of the 2010 work program included a geophysical survey which utilized geo-electrical sounding to determine the structure and depth of the collector of the geothermal waters at Vranjska Banja. The survey included 12 resistivity soundings distributed along two survey lines totalling 6 line-km. Based on preliminary results of this survey, a target has been identified approximately 120 metres southeast of VG-2, with an interpreted zone with thermal water from about 100 metres to 1,500 metres in depth.
In addition to the geophysical survey, the Company has completed the first phase of the resource testing on VG-2 and VG-3, which included step-testing with three pressure draw-downs, and long-term simultaneous testing to determine the exploitation capacity of the existing wells. These tests concluded that VG-2 and VG-3 can be exploited with the capacity of 16.40 litres per second ('l/s') and 19.63 l/s respectively, with a total capacity of 36.03 l/s. The Company will continue to measure water temperature, pressure, flow rate and chemistry through a full twelve month cycle to be completed in September, 2011.
About Reservoir
Reservoir is a renewable energy company, engaged in development of a 58.4MW hydroelectric project at Brodarevo in southwest Serbia. Reservoir holds four geothermal exploration licenses in Serbia and has applied for three more hydroelectric licenses on the Cehotina River in Bosnia (17.75MW) and one to develop a 32 MW project from an existing dam at Vrutci in Serbia. The Company holds a portfolio of 8 precious and base metal exploration properties in Serbia, with Freeport McMoRan Exploration Corp farming into two of them. Reservoir's common shares trade on the TSX Venture Exchange (symbol 'REO') and on the Frankfurt and Berlin Exchanges (symbol 'ROC').
Neither the TSX Venture Exchange nor the Investment Industry Regulatory Organization of Canada accepts responsibility for the adequacy or accuracy of this release.
Contacts:
Reservoir Capital Corp.
Chris MacIntyre
VP Corporate Development
1 416 346-7660
info@reservoircapitalcorp.com
www.reservoircapitalcorp.com