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American Power Corp. Pace Coal Project Operations Update

December 22, 2011 - DENVER, CO

American Power Corp. (OTCBB: AMPW) ("American Power" or "the Company") is pleased to provide an update on the exploration program on its Pace Coal Project located in Judith Basin County, Montana.

Preliminary Laboratory Results from Phase II
Preliminary laboratory results for three core samples corresponding to Phase II of the drilling program were received and showed a high energy content with a range of 12,210 and 13,056 BTU measured on a moisture and ash free basis (MAF Btu). Sulfur content ranged from 3.2% to 4.9% on a dry basis while ash content ranged from 30.2% to 43.9% on a dry basis.

Revised Laboratory Results from Phase I
On November 9, 2011, American Power announced preliminary laboratory results for the five core samples of Phase I of its drilling program. At that time, the Company reported energy content with a range of 11,462 and 18,224 Btu/lb (MAF basis). Standard Laboratories, Inc. retested our core samples and revised results yielded a range of 11,462 and 13,081 MAF Btu. No changes were reported for the results on sulfur and ash content.

"We are very excited with the laboratory results for our 2011 drilling campaign. The results keep showing promising results for the Pace Coal Project's future development," commented Al Valencia, CEO of American Power. "During 2011, we completed the first two phases of our ambitious exploration program with a total of 14,076 feet drilled. We decided to suspend Phase III operations due to weather conditions that were causing decreasing returns in productivity and increasing operating costs. We anticipate our drilling program to resume on the spring of 2012 and focus on the eastern area of the property, where our team has identified the most promising results to date," added Mr. Valencia.

About American Power Corp.
American Power Corp. is a publicly traded, dynamic energy company based in Denver, Colorado. The Company was established with the focus of acquiring near-term, large-scale coal projects in close proximity to national transportation links. American Power envisions developing its large coal resources to support electricity generation.

In April 2010, American Power agreed to acquire the coal and mineral rights on roughly 29,000 acres in Judith Basin County, Montana, which make up the Pace Coal Project. The estimated resources in place, based on exploration work conducted by Mobil Oil Co. (now ExxonMobil Corp.), in several independent studies, range from 172 million up to 410+ million tons of high volatility bituminous B coal.

American Power is a member of the Montana Mining Association. American Power trades on the NASD OTC BB under the ticker symbol AMPW. Shareholders are invited to contact investor relations toll free at (800) 537-1110 for further information or visit the Company's website at

Forward-Looking Statements
Statements in this news release that are not historical facts are forward-looking statements that are subject to risks and uncertainties. Forward-looking statements in this news release include that American Power Corp.'s 29,000-acre leases in Judith Basin County, Montana, have high volatile bituminous B coal in the range of 172 and 410+ million tons. Readers should also refer to the risk disclosures outlined in the Company's quarterly reports on Form 10-QSB, annual reports on Form 10-KSB, and the Company's other disclosure documents filed from time-to-time with the Securities and Exchange Commission available at

Cautionary Note to U.S. Investors
The United States Securities and Exchange Commission ("SEC") permits mining companies, in their filings with the SEC, to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use certain terms in this document that SEC's guidelines may prohibit us from including in filings with the SEC.

Investor Relations Information:
American Power Corp.
Toll Free: 1-800-537-1110
E-mail: Email Contact


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