October 16, 2008
H-M Resource Management, Inc. ("HMRM") has successfully re-completed the #1 gas well on the Anderson Northington Unit Lease located 1 mile northwest of the town of Egypt in Wharton County, Texas. The well is now producing gas from the Miocene at a depth of 2,600’ and has been placed in the Northington (2600) Field Wharton County, Texas. This producing formation is a prolific producer in the area. The well began producing in September with gas sales being made to Gateway Gathering, Inc.

October 11, 2008
H-M Oil Company ("HMO") hosted twenty-eight graduate students and four faculty members of the Nicholas School of the Environment and Earth Sciences at Duke University for a tour of a typical Texas pumping oilfield at HMO’s Garrett-Cole Lease located on the Brookshire Salt Dome. It is the third year that the Duke students have toured the lease as part of their graduate studies. Randy Little provided his insights as to the role and place of the independent oilman in the energy industry and discussed the economics and philosophies of a small, family-run independent in today’s challenging environment.

October 12, 2007
HMRM and HMO announced that #1 Grandstaff “A” was plugged and abandoned as a dryhole. The well was located in Menard County Texas and was drilled to a total depth of 1,752’. The primary objective of the well was the King oil sand. Drilling samples and open hole log analysis determined that the King sand was not present. The company has no further plans for this lease.

October 6, 2007
HMO hosted twenty-three graduate students of the Nicholas School of the Environment and Earth Sciences at Duke University for a tour of a typical Texas pumping oilfield at HMO’s Brookshire Salt Dome Garrett-Cole Lease. It is the second year that HMO has been a “stop” for the Duke students on their Houston Field Trip as part of their graduate studies. Tracy Little provided his insights as to the role and place of the independent oilman in the energy industry and discussed the economics and philosophies of a small, family-run independent in today’s challenging environment.

March 23, 2007
HMRM has successfully drilled and completed a gas well on the Anderson Northington Unit Lease located 1 mile northwest of the town of Egypt in Wharton County, Texas. The #1 well is now producing gas in the Frio at a depth of 4,400’ and has been placed in the Northington (Frio) Field Wharton County, Texas. The well began producing in April with gas sales being made to Gateway Gathering, Inc.

October 5, 2006
HMRM has successfully re-completed a gas well on the Anderson Lease located 1 mile northwest of the town of Egypt in Wharton County, Texas. The #9 well is now producing gas in the Miocene at a depth of 2,700’ and has been placed in the Egypt, N.W. (Miocene 2760) Field Wharton County, Texas. The well began producing in early September with gas sales being made to Gateway Gathering, Inc. This is the fourth well HMRM has producing on the Anderson lease and the fourth well producing from this formation in the area.

June 27, 2006
HMRM has successfully re-completed an existing oil well on the Sampson Lease in the Brookshire Dome Field, located in Waller County, Texas. The Sampson #8 well was deepened to 2,200’ and completed in the Catahoula formation. The well produced at an initial rate of 15 barrels of oil per day with 230 barrels water per day.

June 14, 2006
HMRM and H-M Oil Company ("HMO") announced that #1 Grandstaff 1517 was plugged and abandoned as a dryhole. The well was located in Menard County Texas and was drilled to a total depth of 1,800’. The primary objective of the well was the King oil sand. Drilling samples and open hole log analysis determined that the King sand was present but not commercial. The company is analyzing the data from this well to determine if there is another drilling prospect on these leases.

March 6, 2006
HMRM and HMO announced that they have successfully participated in the completion of a producing oil well in the Marcado Creek, S. Field, located in Victoria County, Texas. The Lyssy 1-R was completed as an oil well in the 5170’ sand. The well produced at an initial rate of 58 barrels of oil per day with 69 barrels of water. The well was drilled and completed by John Kirkpatrick Oil LLC and HMRM will assume operations of the lease in April.

February 2, 2006
HMRM has successfully completed a gas well on the Anderson Lease located 1 mile northwest of the town of Egypt in Wharton County, Texas. The Anderson #9 well was drilled to 4,800’ and 5 ½” production casing was set to T.D. The well has been completed in the Frio formation and placed in the Northington (Frio) Field. It is currently selling 235 McfD on a 6/64” choke with 1,390 psi. Gas sales will be made to Gateway Gathering, Inc. under an existing sales contract.

November 10, 2005
HMRM announced that it has successfully completed two additional producing oil wells in the Brookshire Dome Field, located in Waller County, Texas. The Garrett-Cole #9 and #10 wells were completed as an oil well in the upper Frio sand, which is a new field pay for the Garrett-Cole lease. The Garrett-Cole #9 well produced at an initial rate of 55 barrels of oil per day with no water and the #10 well produced at an initial rate of 45 barrels or oil per day with no water.

This brings the total number of producing wells drilled and operated by HMRM in the Brookshire Dome Field to twenty-one.

May 9, 2005
HMRM has successfully completed and re-completed two gas wells on the Anderson Lease located 1 mile northwest of the town of Egypt in Wharton County, Texas. The Anderson #8 well was drilled to 4,800’ and 5 ½” production casing was set to T.D. The well has been completed in the Frio formation and placed in the Egypt (3800) Field. It is currently selling 375 McfD on a 7/64” choke. The Anderson #2 well was re-completed in the Frio at a depth of 4,400’ and has been placed in the Northington (Frio) Field. The well is currently selling 280 McfD on a 6/64” choke. The wells began producing in early May with gas sales being made to Gateway Gathering, Inc.

December 8, 2004
HMO and HMRM announced the relocation of the main office to 8554 Katy Freeway, Suite 320, Houston, Texas. The phone and fax numbers will remain the same.

September 15, 2004
HMRM announced that it has successfully completed an additional producing oil well in the Brookshire Dome Field, located in Waller County, Texas. The Garrett-Cole #8 was completed as an oil well in the Catahoula sand, which is the main field pay in the Brookshire Field. The Garrett-Cole #8 well produced at an initial rate of 10 barrels of oil per day with 5 barrels of water per day. This well is producing from a new fault block on the lease.

This brings the total number of producing wells drilled and operated by HMRM in the field to nineteen.

July 2, 2004
HMO completed the purchase of the working interest of EXCO Resources Inc. in the E.G. Henry lease located in the A.W.P. field in McMullen County, Texas. HMO purchased a twenty-one percent (21%) working interest which equates to a fifteen and 75/100 percent (15.75%) net revenue interest. This lease has fourteen wells that produce from the Olmos formation at approximately 9,500’ and produces 1000 BO and 7,500 MMBTU per month. The lease is operated by HMO affiliate HMRM The purchase continues HMO’s long-standing goal of purchasing working interests in high quality producing properties in Texas. The effective date of the sale was May 1, 2004.

March 15, 2004
HMRM announced that it has successfully completed two additional producing wells in the Brookshire Dome Field, located in Waller County, Texas. The Garrett-Cole #7 was completed as an oil well in the Catahoula sand, which is the main field pay in the Brookshire Field. The Garrett-Cole #7 well produced at an initial rate of 67 barrels of oil per day with 150 barrels of water per day and is producing from the same fault block as the recently completed Garrett-Cole #5R and #6 wells.

HMRM also drilled and completed the Garrett-Cole “A”-1 well as a gas well in the first Miocene gas sand at a depth of approximately 1,650’. This sand produces on the Garrett-Cole lease to the east of the “A” lease. HMRM plans to produce 275-300 McfD from this well. The gas is sold in the field to Devon Gas Services L.P.

This brings the total number of producing wells drilled and operated by HMRM in the field to eighteen.

December 20, 2003
HMO completed the purchase of the working interest of States, Inc. in the E.G. Henry lease located in the A.W.P. field in McMullen County, Texas. This lease has fourteen wells that produce from the Olmos formation at approximately 9,500’ and produces 1000 BO and 7,500 MMBTU per month. The lease is operated by HMO affiliate HMRM The purchase continues HMO’s long-standing goal of purchasing working interests in high quality producing properties in Texas. The effective date of the sale was December 1, 2003.

December 17, 2003
HMRM has successfully re-completed two gas wells on the Anderson Lease located 1 mile northwest of the town of Egypt in Wharton County, Texas. The #2 well is now producing gas in the Frio at a depth of 4,700’ and has been placed in the Egypt, N.W. (Frio 4340) Field Wharton County, Texas. The #7 well is now producing gas in the Miocene at a depth of 2,700’ and has been placed in the Egypt, N.W. (Miocene 2760) Field Wharton County, Texas. The wells began producing in early November with gas sales being made to Gateway Gathering, Inc.

December 15, 2003
HMRM announced that it has successfully completed an additional producing well in the Brookshire Dome Field, located in Waller County, Texas. The Garrett-Cole #3 was completed as an oil well in the 2000’ sand, which had not previously produced in the Garrett-Cole fault block. The Garrett-Cole well produced at an initial rate of 322 barrels of oil per day and is producing from the same fault block as the recently completed Garrett-Cole #5R and #6 wells. Those wells are producing from the Catahoula sand, which is the main field pay in the Brookshire Field. HMRM anticipates additional drilling this year or early next year on the Garrett-Cole lease to test the 2000’ sand, the Catahoula and additional prospective producing sands. This brings the total number of producing wells drilled and operated by HMRM in the field to sixteen.

October 10, 2003
HMRM announced that it has successfully completed an additional producing well in the Brookshire Dome Field, located in Waller County, Texas. The Garrett-Cole #6 was completed as an oil well in the Catahoula sand, which is the main producing sand in the field. The Garrett-Cole well had an initial potential of 240 barrels of oil per day and is producing from the same fault block as the recently completed Garrett-Cole #5R well. HMRM anticipates additional drilling this year in the area to test the Catahoula and additional prospective producing sands. This brings the total number of producing wells drilled and operated by HMRM in the field to fifteen.