Houston American Energy Corp Announces Completion of Farmout in Colombia

HOUSTON, June 24 /PRNewswire-FirstCall/ -- Houston American Energy Corp
(Nasdaq: HUSA) today announced that it has finalized a Farmout Agreement with
Shona Energy (Colombia) Limited ("Shona") for the right to earn an undivided
twelve and one half percent (12.5%) of the rights to the Serrania Contract for
Exploration and Production (the "Serrania Contract") which covers the Serrania
Block (approximately 110,769 acres) located in the municipalities of Uribe and
La Macarena in the Department of Meta in the Republic of Colombia. The
Serrania Contract was entered into between the National Hydrocarbon Agency
("ANH") in Colombia and Shona on September 15, 2008.

Under the Farmout Agreement, Houston American has agreed to pay 25% of the
Phase 1 Work Program of the Serrania Contract for which Houston American will
receive a 12.5% interest in the Serrania Block. The Phase 1 Work Program
consists of completing a geochemical study, reprocessing existing 2-D seismic
data, and the acquisition, processing and interpretation of a 2-D seismic
program containing approximately 115.93 kilometers of data. The Phase 1 Work
Program is estimated to be completed by September 15, 2009. Upon completion
of the Phase 1 Work Program, Hupecol Operating, LLC will have the rights to
acquire a fifty percent 50% participating interest in the Serrania Block, and
will act as operator. Houston American's costs for the Phase 1 Work Program
are estimated to total approximately $1,125,000 and will be funded from
working capital on hand.

"We are very pleased to be able to participate in the Serrania Block and
believe that the Contract area provides a significant growth opportunity for
Houston American. The Serrania Block is located just north of the Ombu Block,
where a recent 100 million barrel discovery was made and announced by the
Colombian Ministry of Energy. We believe that the Contract provides very
favorable fiscal terms, with a sliding scale royalty between 8% and 20% from
5,000 to 125,000 barrels per day of production.

In addition, we feel very fortunate to have partnered once again with Hupecol,
and for the first time with Shona, which is managed by a very experienced
group of individuals. This Farmout Agreement also significantly expands our
exposure in Colombia." said John F. Terwilliger, CEO, 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, Louisiana and Colombia.

Forward-Looking Statements

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 estimated costs of, and time to complete, the Phase 1 Work
Program and potential production, revenues, reserves, growth or profitability
Houston American may realize from the Serrania Contract. 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 filed from time to time with the Securities
and Exchange Commission, which reports are available from the company and the
United States Securities and Exchange Commission.

For additional information, view the company's website at
www.houstonamericanenergy.com or contact the Houston American Energy Corp at
(713) 222-6966.

SOURCE Houston American Energy Corp

Houston American Energy Corp, +1-713-222-6966