Genalta Power Inc. Announces another 2MW Waste Energy to Power Project with
Pengrowth Energy

CALGARY, Oct. 8 /CNW/ - Genalta Power Inc., ("Genalta" or the "Company"), an independent developer and operator of waste energy to electricity generation facilities, announced today a second two MW (Megawatt) waste energy to power project with Pengrowth Corporation ("Pengrowth") within their Olds Sour Gas Facility. This project represents five distinct and separate opportunities to develop renewable energy identified within the Olds Sour Gas Facility. In addition, Genalta has been awarded a $1.89 million grant for the project from the Climate Change and Emissions Management Corporation (CCEMC). "CCEMC's funding is of vital importance in these initiatives and provides the foundation for proving the financial feasibility of waste energy projects in Alberta", said Graham Illingworth, CEO of Genalta. "Pengrowth and Genalta have been working together for the past year to bring this opportunity to fruition and we are very excited to prove out the economics of this technology."

Genalta Power will install and operate the power plant in exchange for a long term power purchase agreement with Pengrowth for onsite power use. Pengrowth will be participating as a minority stakeholder within a joint venture partnership and will purchase all of the energy produced by the project. In addition to generating sustainable power from several wasted energy sources, the project has the potential to generate green house offset credits, prove the commercial viability of power installations of less than 5 MW in size, provide much needed power in an area of instability and reduce the overall operating costs of the facility.

About Genalta Power

Genalta Power is a privately held Canadian corporation in the business of developing, owning and operating independent power plants that produce and sell environmentally-friendly electricity from waste energy sources. Genalta capitalizes on opportunities in the independent power market by actively pursuing the development of dependable, cost-effective and environmentally responsible power generation facilities. Genalta pursues a mix of waste heat recovery, waste fuel gas, and waste pressure projects. Genalta is developing projects in strategic regions of North America with an emphasis on the Oil and Gas industry. Visit www.genaltapower.com for more information.

About Pengrowth

Pengrowth Energy Trust is an oil and gas operating company, structured as a trust, with a focus on creating value with the drill bit by drilling operated, low cost, low risk, repeatable opportunities in the Western Canadian Sedimentary Basin ("WCSB"). Pengrowth's operation's includes production from a number of conventional and unconventional assets and is evenly balanced between oil and liquids and natural gas. Future growth opportunities include the development of conventional oil and natural gas production, heavy oil, shale gas and coal-bed methane as well as the addition of production through acquisition. Pengrowth's trust units trade on the Toronto Stock Exchange under the symbol PGF.UN and on the New York Stock Exchange under the symbol PGH.

Cautionary Statement Regarding Forward-Looking Information

Certain statements in this news release may constitute "forward-looking information" or "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 information. When used in this news release, such information uses such words as "estimates", "expects", "plans", "anticipates" and other similar terminology. This information reflects the Company's current expectations regarding future events, including the development, construction and operation of the Pengrowth Olds Sour Gas facility and speaks only as of the date of this news release. Forward-looking information involves significant uncertainties, should not be read as a guarantee of future performance or results, and will not necessarily be an accurate indication 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 information. Although the forward-looking information in this news release is based upon what management of the Company believes are reasonable assumptions, the Company cannot assure investors that actual results will be consistent with this forward-looking information. This forward-looking information is provided as of the date of this news release, and, subject to applicable securities laws, the Company assumes no obligation to update or revise such information to reflect new events or circumstances.

For further information:

Genalta Power Inc.
Drew Shaw
Chief Financial Officer
Telephone: [phone]
[email protected]