HOUSTON AMERICAN ENERGY REPORTS PROFITABLE OPERATIONS ON 55% REVENUE GROWTH FOR 2007
Houston, Texas – March 28, 2008 – Houston American Energy, Corp. (Nasdaq: HUSA), today reported its financial results for the year ended December 31, 2007. The company reported a net profit for 2007 of $493,456, or $0.02 per share, on revenues of $4,977,172. Operational highlights for 2007 include: * Net income increased to $493,456 from a loss of $512,096 in 2006; * Oil & Gas revenues increased 55% over 2006 levels; * PV-10 value of oil & gas reserves increased almost 7 fold to over $70.0 million; * Year end cash and marketable securities balances exceeded $10.0 million; and * No debt at year end. Mr. John F. Terwilliger President and Chairman of Houston American Energy stated, “I am pleased to report the results of 2007 for Houston American Energy Corp. Management believes 2007 was a transitional year for the company, laying a foundation for anticipated acceleration in growth. Our drilling activities going forward will be in areas where we own a much larger interest then those exploited in the prior year and, if all things remain equal; this projected drilling has the potential to significantly enhance our growth rate. Our previously announced sale of certain assets, if it closes as proposed, should not materially affect this projected growth and will more than double the Company’s cash reserves. This projected growth is organic and fully funded by the Company’s current cash reserves.”
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, Louisiana and Colombia. Additional information can be accessed by reviewing our Form 10-K and 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, including statements regarding the previously announced sale and the terms and timing of such sale, the company’s ability to achieve similar drilling results from projected drilling, the company’s ability to increase its rate of revenue growth, and the company’s ability to fully finance drilling operations from cash reserves. Those statements, and Houston American Energy Corp., are subject to a number of risks, including the potential inability to satisfy the closing conditions in the purchase and sale agreement relating to the previously announced sale made on March 17, 2008, potential changes in price based on operations and fluctuations in oil prices, changes in market conditions and other factors, effects of government regulation, the ability of Houston American Energy to reinvest potential sale proceeds on a favorable basis and the ultimate results derived from our projects. 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.