TSX:V - NRG

CALGARY, Aug. 2 /CNW/ - Alter Nrg Corp. is pleased to announce that a newly formed wholly owned subsidiary (collectively Alter or the Company) has entered into a strategic joint venture (JV) agreement with Atlanta-based Jacoby Energy Development, Inc. (Jacoby Energy), parent company of Geoplasma, LLC, to develop large scale and environmentally friendly waste to energy (WTE) projects in Canada and the United States (US). This agreement is the continuation of Alter's strategy to form strategic partnerships with companies with existing market penetration and a proven track record in the Company's target markets.

Alter will own 49% of the JV and contribute its proprietary Westinghouse Plasma Gasification Technology on an exclusive basis for WTE projects, using household, industrial or commercial waste as feedstock to produce steam or electricity. Jacoby Energy will own the remaining 51% and during the term of the JV will contribute the first US$15 million of JV operating capital and its expertise in developing WTE projects. The JV will market the Westinghouse Plasma Gasification Technology and provide project development services to third party WTE project developers. Alter will benefit from receiving 100% of the plasma gasification technology product and service revenues at current prices and the JV will split all other revenues and costs based on the JV ownership percentages.

As part of the JV agreement, Alter has the option to invest up to 25% in Jacoby Energy's St. Lucie, Florida WTE project - to be operated via its Geoplasma subsidiary, which is expected to initially convert 1,000 tons of municipal solid waste per day into 40 MW of electricity using Alter's proprietary Westinghouse Plasma Gasification Technology. The project plans to scale up to 3,000 tons per day, which would result in 120 MW of electricity. The St. Lucie project is planned to be the world's largest plasma gasification facility. The project has received bond allocation from the State of Florida, secured a waste feedstock agreement, and has support from the County of St. Lucie. Construction is expected to commence in early to mid 2008 upon final receipt of various development permits.

In addition, Alter has the option to participate, up to 49%, in any WTE project developed by the JV.

The JV intends to advance new and existing opportunities in the US market, as well as continue to aggressively pursue opportunities in Ontario which remains a key target market.

Jacoby Energy is obligated to contribute US$8 million in the first three years, after which Jacoby Energy has the option to terminate the agreement. If Jacoby Energy chooses not to terminate, it will fund the next US$7 million of JV expenses, after which both companies will fund the JV based on their respective ownership. The JV agreement includes an initial 6 month term to formalize commercial product and service sales agreements where both parties have an option to terminate if not satisfactorily completed. Jacoby Energy will maintain its exclusive access to the Westinghouse Plasma Gasification Technology for waste feedstock producing steam or electricity by meeting predetermined levels of technology sales.

Mark Montemurro, President and CEO of Alter notes, "This joint venture agreement is another tangible example (like the NRG agreement released April 28, 2007) of our use of strategic joint ventures to accelerate our market penetration and mitigate risk. I am excited to be working with the experienced business development team at Jacoby Energy who have a proven record of success including moving forward the world's largest plasma gasification project at St. Lucie. I believe this relationship will add significant value to both companies."

"At Jacoby Energy, we believe that we can be more efficient and offer more as a company when we form strategic partnerships with companies like Alter NRG," said Jim Jacoby, Chairman and CEO of The Jacoby Group, the parent company of Jacoby Energy. "Since 2003 we have been working with Westinghouse Plasma Corporation as our technology partner for plasma gasification projects, and we are thrilled that we will continue to work with Alter in this capacity."

ABOUT ALTER NRG

Alter is pursuing alternative energy solutions to meet the growing demand for environmentally responsible energy in world markets. The Company's vision is to become a North American leader in the development of innovative gasification projects for the commercial production of energy. The Company's objective for the next decade is to become a senior energy producer of hydrogen, syngas, and transportation fuels such as biodegradable sulphur-free diesel, ethanol, steam and electricity, all of which are fundamental products for the world's growing energy needs.

ABOUT JACOBY ENERGY DEVELOPMENT, INC.

Jacoby Energy Development, Inc. (Jacoby Energy) is an alternative and renewable energy company focused on providing environmentally sustainable and economically viable alternative energy solutions. Jacoby Energy is committed to working with communities and municipalities, in public-private partnerships, to implement the most appropriate and tailored technology that fits the needs and challenges of the community. Headquartered in Atlanta, Georgia, Jacoby Energy is a wholly-owned subsidiary of The Jacoby Group, a consortium of companies focused on real estate, sustainability, renewable and alternative energy, education and research, and media - all with an emphasis on sustaining quality of life.

ADVISORIES:

Certain statements in this disclosure may constitute "forward-looking" statements which involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. When used in this disclosure, such statements use such words as "may", "would", "could", "will", "intend", "expect", "believe", "plan", "anticipate", "estimate", and other similar terminology. These statements reflect the Company's current expectations regarding future events and operating performance and speak only as of the date of this disclosure. Forward-looking statements involve significant risks and uncertainties, should not be read as guarantees of future performance or results, and will not necessarily be accurate indications of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward-looking statements. Although the forward-looking statements contained in this disclosure are based upon what Management believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with these forward-looking statements. These forward-looking statements are made as of the date of this disclosure, and, subject to applicable securities laws, the Corporation assumes no obligation to update or revise them to reflect new events or circumstances. This disclosure may contain forward-looking statements pertaining to the following: capital expenditure programs; supply and demand for the Company's services and industry activity levels; commodity prices; income tax considerations; treatments under governmental regulatory regimes and other risk factors as disclosed in the Company's long-form prospectus dated April 10, 2007 available on SEDAR at www.sedar.com. No assurance can be given that any of the JV projects will be developed or advanced, nor can any assurance be given that any such JV projects will be financially accretive to the Company.

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