US Geothermal : U.S. Geothermal Inc. Reports First Quarter 2015 Results, Reaffirms 2015 Guidance

BOISE, IDAHO--(Marketwired - May 15, 2015) - U.S. Geothermal Inc. (the "Company") (NYSE MKT:HTM)(TSX:GTH) -

U.S. Geothermal Inc. (the "Company") (NYSE MKT:HTM)(TSX:GTH), a leading and profitable renewable energy company focused on the development, production, and sale of electricity from geothermal energy, announced today its financial and operating results for the First 3 months ending March 31, 2015 (the "First Three Months" or "First Quarter"), reaffirmed guidance for 2015, and highlighted notable achievements for the First Three Months. This earnings release should be read in conjunction with U.S. Geothermal's financial statements, and management's discussion and analysis ("MD&A"), which are available on the Company's website at www.usgeothermal.com and have been posted on SEDAR at www.sedar.com and at the U.S. Securities and Exchange Commission website at www.sec.gov.

Revenue for the First Three Months of 2015 was $8.47 million, compared to $8.50 million for the prior year period. Adjusted EBITDA for the First Three Months of 2015 was $5.13 million, compared to $5.26 million for the prior year period, while EBITDA was $4.72 million for the First Three Months of 2015 compared to $5.09 million for the prior year. Net Income for the First Three Months of 2015 was $1.76 million, compared to $2.55 million in the prior year period. Net Income attributable to U.S. Geothermal as adjusted for the First Three Months of 2015 was $1.17 million, or $0.01 per share, compared to $1.34 million, or $0.01 per share in the prior year period.

"We are very pleased with the high availability of our operating plants during this first quarter, with corresponding financial results fully meeting our expectations," said Dennis Gilles, U.S. Geothermal's Chief Executive Officer. "Starting the year with a strong quarter, in spite of the unseasonably warm weather experienced during this first quarter, positions us well for achieving the financial results provided as guidance. This continuing strong operational and financial condition supports our continued growth of the company; both from developing our internal project pipeline and through strategic acquisitions."

U.S. Geothermal reaffirms 2015 full-year guidance for Operating Revenue estimated between $28 and $33 million, 2015 Adjusted EBITDA estimated at between $15 and $19 million, 2015 EBITDA estimated between $12 and $16 million, and provides 2015 full-year guidance for Net Income as Adjusted of between $1.9 and $5.9 million.

U.S. Geothermal, will host a telephone conference call for investors and analysts on Tuesday, May 19^th, 2015 at 2:00 p.m. ET (11:00 a.m. PT) to discuss their First Quarter 2015 results, which were filed after the Market Close on Friday May 15^th, 2015.

The conference call may be accessed by dialing (877) 407-8133 in the United States or Canada, or (201) 689-8040 internationally. A simultaneous webcast of the conference call will be provided through: http://www.investorcalendar.com/IC/CEPage.asp?ID=173967

Notable Achievements for First Three Months of 2015 include:

• Operations:

• Generated fleet wide total 95,926 megawatt-hours for the period, as compared to 98,884 megawatt-hours in prior year
• Delivered annual average availabilities for each plant (excluding planned maintenance hours) as follows: Raft River - 99.7%, San Emidio - 99.9%, Neal Hot Springs - 96.9%
• Completed the drilling of the first production/injection well for the Crescent Valley project
• Finalized permits and approvals for drilling a water supply well at Neal Hot Springs to support the potential hybrid cooling project
• Worked with the Guatemalan Ministry of Energy and Mines toward finalizing the adoption of a new project construction schedule for the El Ceibillo project
• Permitted new temperature gradient wells at San Emidio for Phase II.

• Cash Management:

• Received combined $4.6 million cash flow from the 3 operating projects
• Ended the Quarter with $230.5 million in Total Assets, and Cash and Cash Equivalents of $13.3 million
• Reduced long-term debt by $2.5 million.

Additional accomplishments can be found in the April 29, 2015 First Quarter 2015 project update press release at the following link: http://www.usgeothermal.com/News.aspx

The below table summarizes revenues for 2015 and 2014, and reflects the seasonal variability by quarter of our generation and corresponding revenues, as well as the year over year comparison of revenues for the 4 quarters of each year.

Reconciliation of EBITDA:

EBITDA is calculated as net income before interest, income taxes, depreciation and amortization, and is not a measurement of financial performance or liquidity under generally accepted accounting principles in the United States. EBITDA is presented as a metric commonly used by securities analysts, investors and other interested parties in the evaluation of a company's ability to service and/or incur debt.

Adjusted EBITDA reflects EBITDA adjusted to exclude discretionary exploration costs, non-cash stock compensation as well as the value assigned to stock options granted, and write-off of discontinued exploration activities.

Net Income Attributable to U.S. Geothermal during the First Three Months of 2015 was $0.73 million, compared to $1.34 million in the prior year period. The year-over-year decrease in Net Income was primarily due the change in GAAP accounting associated with the one-time gain on the recognition of a deferred tax asset that occurred at the end of 2014. As detailed in Table 1, Net Income Attributable to US Geothermal, As Adjusted was $1.17 million for the First Three Months of 2015, compared to $1.34 million in the prior year period. The year-over-year change was driven largely by:

• Recognition of $0.44 million Income Tax Expense which is offset by Deferred Tax Asset

Please visit our Website at: http://www.usgeothermal.com

About U.S. Geothermal Inc.:

U.S. Geothermal Inc. is a leading and profitable renewable energy company focused on the development, production and sale of electricity from geothermal energy. The company is currently operating geothermal power projects Neal Hot Springs, Oregon, San Emidio, Nevada and Raft River, Idaho for a total power generation of approximately 45 MWs. The company is also developing projects at: the Geysers, California; a second phase project at San Emidio, Nevada; the El Ceibillo project located near Guatemala City, Guatemala; and at Crescent Valley, Nevada. U.S. Geothermal's growth strategy is to reach 200 MWs of generation by 2020 through a combination of internal development and strategic acquisitions.

The information provided in this news release may contain forward-looking statements within the definition of the Safe Harbor provisions of the US Private Securities Litigation Reform Act of 1995. Readers are cautioned to review the risk factors identified by the company in its filings with US and Canadian securities agencies. All statements, other than statements of historical fact, included herein, without limitation, statements relating to the future operating or financial performance of U.S. Geothermal, are forward-looking statements. Forward-looking statements are frequently, but not always, identified by words such as "expects", "anticipates", "believes", "intends", "estimates", "potential", "possible", and similar expressions, or statements that events, conditions, or results "will", "may", "could", or "should" occur or be achieved. These forward-looking statements may include statements regarding perceived merit of properties; interpretation of the results of well tests; project development; resource megawatt capacity; capital expenditures; timelines; strategic plans; or other statements that are not statements of fact. Forward-looking statements involve various risks and uncertainties. There can be no assurance that such statements will prove to be accurate, and actual results and future events could differ materially from those anticipated in such statements. Important factors that could cause actual results to differ materially from U.S. Geothermal's expectations include the uncertainties involving the availability of financing in the debt and capital markets; uncertainties involved in the interpretation of results of well tests; the need for cooperation of government agencies in the development and operation of properties; the need to obtain permits and governmental approvals; risks of construction; unexpected cost increases, which could include significant increases in estimated capital and operating costs; and other risks and uncertainties disclosed in U.S. Geothermal's Annual Report on Form 10-K for the year ended December 31, 2014 filed with the United States Securities and Exchange Commission and Canadian securities regulatory authorities and in other U.S. Geothermal reports and documents filed with applicable securities regulatory authorities from time to time. Forward-looking statements are based on management's expectations, beliefs and opinions on the date the statements are made. U.S. Geothermal Inc. assumes no obligation to update forward-looking statements if management's expectations, beliefs, or opinions, or other factors, should change.

The NYSE MKT and the TSX do not accept responsibility for the adequacy of this release.