HOUSTON, April 24, 2012 (GLOBE NEWSWIRE) -- Holloman Energy Corporation (HENC.OB) is pleased to announce that the TSX Venture Exchange has approved its Cooper Basin farm-in transaction with Terra Nova Minerals Inc., subject to standard conditions. Those conditions include, but are not limited to, execution of a definitive farm-out agreement and receipt of final title report. It is anticipated that the definitive agreement on the farm-out will be signed this week. Macquarie Private Wealth Inc. (Canada) has been engaged by Terra Nova to act on a commercially reasonable best efforts agency basis with respect to a private placement financing for proceeds of up to CAD$11,000,000 to fund the transaction. It is anticipated that the first tranche in the financing will close following execution of the definitive farm-out agreement.
The net proceeds of this first tranche closing of the financing will be used to fund Terra Nova's immediate payment obligations for the seismic acquisition programs on the Petroleum Exploration Licenses (PEL) 112 and 444.
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
http://www.hollomanenergy.com