HOUSTON, June 17, 2010 (GLOBE NEWSWIRE) -- Holloman Energy Corporation (OTCBB:HENC) continues to make significant progress in its Cooper Basin exploration. Consistent with its original plans, Holloman has entered into an agreement with Australian-based Dayboro Geophysical Pty Ltd to process more than 666 km (414 miles) of 2D seismic data. This data covers a significant portion of Holloman's PEL 112 and PEL 444 licenses. The Company also announced it has initiated steps to obtain "Work Area Clearances" and acquire additional targeted 3D and 2D seismic data on these concessions.
In late 2009, Holloman retained Macquarie Tristone to assist in finding a joint venture partner(s) to share in its Cooper Basin exploration. To facilitate completion of these negotiations with interested parties, on June 14, 2010, Holloman instructed Macquarie Tristone to issue a "solicitation to finalize current offers". Holloman believes the timing of its negotiations have been affected by recent flooding in the Cooper Basin. This rare flood event has resulted in a partial curtailment of Cooper Basin oil production since February and a contraction of exploration activities in the Basin. The flood waters are now receding. (See "Flooding in the Cooper Basin": http://www.google.com/search?q=cooper+basin+flooding&rls=com. microsoft:en-us&ie=UTF-8&oe=UTF-8&startIndex=&startPage=1)
Since certain interested parties have significant operations in the affected areas, Holloman had agreed to allow additional time to finalize offers. Holloman expects to announce details concerning which, if any, of the offers it will accept shortly after transaction details are settled.
"We are following a very deliberate development plan that was put in place in early 2009 -- we are in this for the long run," stated Mark Stevenson, CEO of Holloman Energy. "Our commitment to building value in the Cooper Basin is stronger than ever and we believe additional seismic study is the best way to significantly enhance our probability of drilling success. Speaking as the CEO of Holloman Corporation, the largest single shareholder, Mark Stevenson indicated that "Holloman Corporation remains confident regarding its investment in the company and believes in the opportunities that it presents."
About Holloman Energy
Holloman Energy Corporation is focused on exploring and producing oil in Australia's Cooper Basin. Holloman's Cooper Basin leases include interests in PEL 112 and PEL 444 which comprise 4,544 Sq km (1.125 million acres) in the southwest and northwest sectors of Australia's prolific Cooper - Eromanga Basin.
Forward-Looking Statements: This press release includes forward-looking statements as determined by the U.S. Securities and Exchange Commission (the "SEC"). All statements, other than statements of historical facts, included in this press release that address activities, events, or developments that the Company believes or anticipates will or may occur in the future are forward-looking statements. Such forward-looking statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements. Such factors include general economic and business conditions, the ability to acquire and develop specific projects, the ability to fund operations and changes in consumer and business consumption habits and other factors over which the Company has little or no control. The Company does not intend (and is not obligated) to publicly update any forward-looking statements. The contents of this press release should be considered in conjunction with the warnings and cautionary statements contained in the Company's recent filings with the SEC.
ON BEHALF OF THE BOARD OF DIRECTORS
Holloman Energy Corporation