Holloman Energy Announces Results of Oil Reserve Study Independent Petroleum Review Reports Substantial Increase in Probable Reserves in Cooper Basin
* Press Release * Source: Holloman Energy Corporation * On Thursday June 18, 2009, 9:20 am EDT
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HOUSTON, June 18, 2009 (GLOBE NEWSWIRE) -- Holloman Energy Corporation (OTCBB:HENC - News; "the Company"), reports the results of an independent petroleum study which increases its probable (P90) reserves in Australia's Cooper Basin by 600%. The study, received by the Company on June 12th, analyzed 10 of 45 drilling leads and concluded undeveloped P90 and mean risked reserves related to those leads were 25.3 MMbbl and 31.6 MMbbl, respectively. A copy of the detailed study is available on the Company's website at www.hollomanenergy.com.
Recent drilling successes by Beach Petroleum, Cooper Energy and Victoria Petroleum on adjoining leases prompted Holloman Energy's management to undertake a re-examination of its Cooper Basin reserves. The probabilistic reserve study was conducted by ISIS Petroleum Consultants Pty. Ltd. of Australia, an independent and internationally recognized petroleum engineering firm. The reported increase in reserves results, in largest part, from the likely migration of oil past the Cooper Basin's Permian zero edge resulting in the recognition of the Namur Sandstone as the Company's primary reservoir.
Mark Stevenson, Chairman of Holloman Energy's Board of Directors stated; "We are of course gratified by the good news on our Cooper tenements... our work however, is just beginning." "We intend to undertake a thorough examination of the study results" he continued, "and determine the best strategy to maximize the value of these findings for our shareholders."
Holloman Energy holds 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. The Company anticipates that seismic acquisition and a 5-well drilling program to begin exploration of the leases will require expenditures in excess of $11,000,000.