Houston American Energy Announces Well Acquisition

HOUSTON AMERICAN ENERGY ANNOUNCES WELL ACQUISITION
Houston, Texas January 24, 2006 Houston American Energy Corp. (OTCBB: HUSA) announces well acquisition. Houston American acquired a 50% Working Interest and a 40% Net Revenue Interest in the Allar #2 well in Victoria County, Texas. This well was marginally productive in a 3000′ Frio Sand and Houston American plugged the well back to the 1900′ Salem Sand and re-completed the well. As a result it is now producing at the rate of 214 mcf of dry gas per day.
“We are pleased with having the opportunity to acquire an interest in a well with behind pipe pay. Houston American’s cost in this well is significantly below what it would now cost to drill, complete and hook this well up to sales. The Allar #2 is another example of the successful execution of our business plan to acquire assets with good upside relative to low risk and cost,” said John F. Terwilliger, Chairman Houston American Energy Corp.
About Houston American Energy Corp. Based in Houston, Texas, Houston American Energy Corp. is an independent energy company with interests in oil and natural gas wells and prospects. The Company’s business strategy includes a property mix of producing and non-producing assets with a focus on Texas and Colombia. Additional information can be accessed by reviewing the December 31, 2004 Form 10-KSB, and its other periodic reports filed with the Securities and Exchange Commission. The information in this release includes certain forward-looking statements that are based on assumptions that in the future may prove not to have been accurate. Those statements, and Houston American Energy Corp., are subject to a number of risks, including production variances from expectations, volatility of product prices, the capital expenditures required to fund its operations, environmental risks, competition, government regulation, and the ability of the company to implement its business strategy. These and other risks are described in the company’s documents and reports that are available from the company and the United States Securities and Exchange Commission. For additional information, view the company’s website at http://www.houstonamericanenergy.com or contact the Houston American Energy Corp. at (713) 222-6966.