HOUSTON, July 26, 2011 (GLOBE NEWSWIRE) -- Holloman Energy Corporation (OTCBB:HENC) announces the commencement of Work Area Clearance, which is the first step in the acquisition of seismic data and drilling on PEL 112. Holloman's field crew mobilized efforts earlier this week and is expected to complete the clearance process within 4-5 days. Work Area Clearance is the process by which anthropologists and representatives of Australia's Native Title Holders review proposed seismic sites to insure the acquisition of data does not harm the cultural integrity of the land to be explored.
"We are pleased with the recent progress in our exploration plan," stated Mark Stevenson, Holloman CEO. "WAC is being completed as scheduled and we should know more about the timing of seismic acquisition over the next week or so."
Holloman also disclosed an additional advance of AUD$150,000 from Brandenburg Metals Corp. which was made in connection with the beginning of its fieldwork. Holloman has accepted the terms of a preliminary farm-out agreement with Brandenburg through which Brandenburg can earn a working interest in Holloman's PEL 112 and PEL 444 licenses upon meeting certain milestones. On June 23, 2011, Brandenburg deposited CAD$600,000 in escrow with Holloman in satisfaction of its second and third payments under that agreement. Holloman expects to execute a final and definitive farm-out agreement with Brandenburg shortly.
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 Holloman Energy Corporation (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