USA, Nevada:

Alternative Earth Resources to Sell Project Assets to Ormat (4-traders - News Release)

Alternative Earth Resources Inc. (AER), based in Vancouver, Canada, has announced that it has signed a non-binding Letter of Intent (LOI) with Ormat Nevada Inc. whereby Ormat has the right, following a due diligence review, to purchase all of AER's Crump Geyser (50% interest), North Valley and New Truckhaven geothermal project assets for a cash payment of US$1,500,000. AER has received a $50,000 deposit in respect of this LOI.

A definitive Asset Sale Agreement (ASA), to replace the LOI by June 30, 2014, is subject to the approval of the Board of Directors of AER and Ormat, the approval of the shareholders of AER at a Special Meeting to be in late July, 2014, and the acceptance of the TSX Venture Exchange. The ASA, if approved, is expected to close on or about July 31, 2014.

In addition to project assets covered under the ASA, AER had cash and cash equivalent assets of US$1.2 million as of March 31, 2014. The asset sale transaction will free up additional cash of US$175,000 currently pledged for project drilling bonds and will remove a liability for project well abandonment costs of approximately US$450,000.

Alternative Earth Resources intends to pursue other opportunities in the mineral resource development sector.