HS Orka hf - Fyrirtækjafréttir

Alterra Power Receives Offer to Purchase Icelandic Holdings

Alterra Power Corp. (TSX: AXY) announces that it has received an unsolicited
offer from a private Icelandic entity for the purchase of Alterra's interest in
HS Orka hf 



Vancouver, BC, Canada, June 29, 2012 - Alterra Power Corp. (TSX: AXY) announces
that it has received an unsolicited offer from a private Icelandic entity for
the purchase of Alterra's interest in HS Orka hf, an Iceland geothermal power
company owned 66.6% by Alterra and 33.4% by a syndicate of Icelandic pension
funds. Alterra has signed a non-binding term sheet to pursue such a transaction
conditional on reaching a definitive agreement, obtaining necessary approvals
from the Icelandic government and other customary conditions. 



Alterra's VP Corporate Relations, Anders Kruus, stated, “Exploring this
transaction does not change Alterra's focus on expanding and optimizing its
clean energy operations in Iceland. However, we felt we should consider this
unsolicited proposal if it maximizes value for Alterra shareholders and is
supported by Icelandic stakeholders.” 



About Alterra Power Corp.



Alterra Power Corp. is a leading global renewable energy company.  We operate
six power plants totalling 567 MW of capacity, including two geothermal
facilities in Iceland, a geothermal plant in Nevada, British Columbia's largest
run-of-river hydro facilities and the province's largest wind farm. Our 298 MW
share of production capacity generates approximately 1,400 GWh of clean power
annually. We have an extensive portfolio of exploration and development
projects, a skilled international team of developers, explorers, builders and
operators and the financial capacity to support our growth plans. 



The company trades on the Toronto Stock Exchange under the symbol AXY and OTC
in the United States as MGMXF.