Mr. Ravi Sood reports

TRANSEASTERN POWER TRUST REPORTS SECOND QUARTER 2015 RESULTS

Transeastern Power Trust has released its unaudited financial results for the second quarter ended June 30, 2015. (All amounts in this release are expressed in Canadian dollars unless otherwise indicated.)

Second quarter highlights:

• Produced 3,070 megawatt hours of energy from the hydro projects in the second quarter of 2015, generating revenue of $505,072, with $180,815 from the sale of electricity and $324,257 in revenue from the sale of green certificates;
• Declared and paid second quarterly distribution of 2015 of 2.1875 cents per unit of the trust in accordance with the targeted yield of 8.75 per cent on an annualized basis through a combination of cash and unit issuances to unitholders who have elected to participate in the trust's distribution reinvestment plan;
• Incurred net loss of $2,355,362 and an adjusted net loss of $975,047 (net losses include non-cash charges of $1,176,300 relating to mark-to-market losses on debentures, as well as non-cash charges of $204,015, relating to the increase of the estimated fair value of milestone units) during the three months ended June 30, 2015, with basic and diluted loss of 20 cents per unit.

Subsequent events:

• On Aug. 27, 2015, the trust and Mediterranean Resources Ltd. entered into an arrangement agreement for the acquisition by the trust of all of the issued and outstanding common shares of Mediterranean.
• On July 24, the trust completed the acquisition of SC Power Live One SA and SC Corabia Solar SRL, adding a portfolio of solar assets with a capacity of 16 megawatts peak to its producing asset base, closed the main tranche of its subscription receipt financing and closed a $5-million debt facility.

J. Colter Eadie, chief executive officer of Transeastern, commented: "The new solar acquisitions have increased our production capacity and diversified our power generation portfolio. The completion of these financings and the cash to be acquired through the Mediterranean acquisition strengthen Transeastern's balance sheet significantly and position us well to pursue opportunities to further grow the business."

Engagement of Palisade Capital Corp. for investor relations services and issuance of restricted trust units

Effective Aug. 5, 2015, the trust engaged Palisade to provide investor relations services to Transeastern for a 12-month term.

Palisade is a consulting and investor relations company based in London, United Kingdom. As part of the compensation payable for services, Palisade will be granted 50,000 restricted trust units pursuant to the terms of the trust's restricted trust unit plan. The RTUs will be granted forthwith and vest and become redeemable on the last day of the term. The terms of the agreement with Palisade also provide that Transeastern will reimburse Palisade for reasonable disbursements and pay a monthly cash fee. The grant of the RTUs is subject to regulatory approval. Palisade currently owns 150,200 units and warrants exercisable for 150,200 units. Details on the terms of the warrants are included in the trust's press release dated July 27, 2015.

Subject to the approval of the TSX Venture Exchange, the trust will grant 75,000 RTUs that vest and become redeemable upon issuance in lieu of the payment of cash fees to non-executive members of the board of directors.

We seek Safe Harbor.