Western GeoPower Closes $18.6 Million Financing

Western GeoPower Corp. (TSX VENTURE:WGP) (FRANKFURT:WE6), a renewable energy
development company, today announced that it has closed a non-brokered private
placement announced July 27, 2007 along with the warrant incentive program
announced July 18, 2007 to raise a total of $18.6 million.


The entire private placement of 25,000,000 shares of Western GeoPower at $0.25
per share for proceeds of $6,250,000 has been purchased by one strategic
investor, Iceland-based geothermal developer, Geysir Green Energy. The shares
will be subject to a four month hold period ending December 30, 2007. No
commissions were paid with respect to the private placement. Following this
transaction, Geysir owns 34,333,334 common shares of Western GeoPower,
representing approximately 18.8 per cent of Western GeoPower's outstanding
common shares, and 9,333,334 warrants exercisable to purchase one common share
of Western GeoPower at $0.35 per share.


Geysir Green Energy was formed in early 2007 with a mission to become a leading
investor in geothermal power projects. Geysir is pursuing expansion through
mergers and acquisitions and the development of new projects. Well capitalized
to realize on its goals, Geysir has a suite of directors, management and
technical staff with considerable experience in geothermal funding, development
and operations. Geysir is investing in the development and construction of
geothermal plants, acquiring interests in geothermal plants currently owned by
power utilities and participating in the privatization of energy companies in
various parts of the world.


"Our purchase of an equity interest in Western GeoPower fits perfectly with our
plan to be a participant in the largest energy market in the world - the United
States," said Mr. Margeirsson. "We look forward to assisting Western GeoPower in
expanding its capacity to acquire and develop additional projects."


Glitnir, a Nordic bank with a global niche focus on geothermal energy, has
substituted its previously announced subscription for 5,000,000 private
placement shares by purchasing shares through the open market. Glitnir's center
of excellence of geothermal energy is based in Iceland, but the bank's teams
work on geothermal projects globally. In its recent report on the U.S.
Geothermal Market, Glitnir estimates that around 7,000 Megawatts of capacity
could be added in California by 2025, providing up to 20% of the state's
electricity. "California will be at the forefront for geothermal development in
the U.S. and we believe Western GeoPower will be a significant player in the
years to come", said Arni Magnusson, who heads Glitnir's Global Sustainable
Energy team.


"We regard the increased equity participation by Geysir Green Energy and Glitnir
as further validation of the Company's decision to make a strategic entry into
the extremely dynamic market for renewable energy in California," said Kenneth
MacLeod, Western GeoPower's President and CEO. "That market is responding to
State legislation that requires California utilities to produce 20% of their
electricity product from renewable energy sources such as geothermal by the year
2010 - with an increase to a 33% target now under consideration. With our Power
Purchase Agreement with Pacific Gas & Electric now awaiting approval by the
California Public Utilities Commission, we are both well placed and well
financed to proceed with project development."


A total of 46,964,668 warrants were exercised at a price of $0.25 per share for
proceeds of $11,741,167. Of this amount, 16,433,334 free-trading shares were
issued to some subscribers and 30,531,334 units (the "Units") were issued to
other subscribers pursuant to the warrant exercise incentive program announced
June 29, and July 18, 2007. The Units comprise one common share at $0.25 and one
new warrant which will allow the holder to acquire one common share of Western
GeoPower at $0.35 per share until December 30, 2008. The warrants are subject to
an acceleration provision, which provides that, if the Company's shares trade at
$0.50 or more for ten consecutive trading days, it will trigger a 30 day
timeframe within which to exercise the warrants or they will expire. The Units
are subject to a four-month hold, expiring on November 28, 2007.


Dundee Securities exercised 4,170,416 Agents options at $0.15 for proceeds of
$652,562 pursuant to an Agent Option agreement dated December 2005. Under the
terms of the Agent Option agreement, Dundee also received 4,170,416 warrants to
acquire one common share of Western GeoPower at $0.25 per share until December
30, 2008.


Corporate Overview

Western GeoPower Corp. is a renewable energy company dedicated to the
development of geothermal energy projects for the delivery of clean, baseload
electricity generation. The Company is developing a 25.5 Megawatt (net)
geothermal power plant at The Geysers Geothermal Field in Sonoma County,
California, United States. Western GeoPower is also developing the South Meager
Geothermal Project in British Columbia, Canada.


On behalf of Western GeoPower Corp.

Kenneth MacLeod, President & CEO

Cautionary Note Regarding Forward-Looking Statements

Statements in this release that are forward-looking are subject to various risks
and uncertainties concerning the specific factors identified above that reflect
the Company's expectations and projections about its future results. The Company
has tried whenever possible to identify these forward-looking statements which
include but are not limited to, words such as "anticipates," believes,"
"estimates," "expects," "plans," "intends," "potential," and similar
expressions. Although the Company believes the expectations expressed in such
forward-looking statements are based on reasonable assumptions, such statements
are not guarantees of future performance and actual results or developments may
differ materially from those in the forward-looking statements. Investors are
cautioned that any such statements are not guarantees of future performance and
that actual results or developments may differ materially from those projected
in the forward-looking statements. The Company disclaims any obligation or
intention to update or to revise any forward-looking statement, whether as a
result of new information, future events or otherwise. Such information
contained herein represents management's best judgment as of the date hereof
based on information currently available. This news release is not for
dissemination in the United States of America or to United States of America
news services.


About Glitnir

The financial group Glitnir offers universal banking and financial services with
the Nordic region as home base. Glitnir is a leading niche player in three
global industry segments; seafood/food, sustainable energy, and offshore
services vessels. The group's services include retail, corporate and investment
banking, stock trade/brokerage and capital management. Glitnir considers Iceland
and Norway its home markets. The Glitnir group has operations in Iceland,
Norway, Sweden, Denmark, Finland, the UK, Luxembourg, Russia, Canada and China.
Glitnir Capital Corporation opens a US office in New York on 5 September 2007.
Glitnir is listed on the Icelandic Stock Exchange. For more information:
www.glitnirbank.com.