Hemisphere Energy Closes First Tranche of Private Placement

VANCOUVER, BRITISH COLUMBIA, Jul 30 (MARKET WIRE) --
Hemisphere Energy Corporation (TSX VENTURE: HME) successfully closed the
first tranche of its private placement announced May 25, 2009. This
tranche consisting of the sale of 765,000 units at $0.25 per unit, for
proceeds of $191,250. Each unit consists of one common share and one
share purchase warrant, with each warrant entitling the holder to
purchase one additional common share at a price of $0.35 until July 29,
2010. The proceeds raised will be used for financing acquisitions,
including the Sylvan Lake property acquisition announced by Hemisphere
Energy on May 4, 2009, and general working capital purposes. All of the
securities issued in connection with the closing of this first tranche
are subject to a hold period in Canada until November 30 2009.

The Sylvan Lake acquisition is aligned with Hemisphere Energy's overall
strategy of focusing on developing and purchasing areas with multi-zone
potential that provide medium to low risk drilling opportunities that
will increase the Company's production, reserves and cash flow.

The Company's management and board view the market conditions as
providing an excellent opportunity to aggressively pursue value-added
acquisitions. Hemisphere Energy continues to evaluate numerous
opportunities that complement its producing Trutch property in northeast
British Columbia.

Hemisphere Energy is committed to building a strong and successful oil
and gas company through its experienced management and directors and will
continue to grow its cash flow, production and reserves, while
maintaining a low overhead.

HEMISPHERE ENERGY CORPORATION

Don Simmons, President & CEO

Forward-looking Statements

This news release contains "forward-looking statements" that are based on
Hemisphere's current expectations, estimates, forecasts and projections.
These forward-looking statements include statements regarding
Hemisphere's outlook for our future operations, plans and timing for the
commencement or advancement of exploration and development activities on
our properties, and other expectations, intention and plans that are not
historical fact. The words "estimates", "projects", "expects", "intends",
"believes", "plans", or their negatives or other comparable words and
phrases are intended to identify forward-looking statements. Such
forward-looking statements are subject to risks, uncertainties and other
factors that could cause actual results to differ materially from future
results expressed or implied by such forward-looking statements. Many of
these factors are beyond the control of Hemisphere. Consequently, all
forward-looking statements made in this news release are qualified by
this cautionary statement and there can be no assurance that actual
results or developments anticipated by Hemisphere will be realized. For
the reasons set forth above, investors should not place undue reliance on
such forward-looking statements. Hemisphere disclaims any intention or
obligation to update or revise forward-looking information, whether as a
result of new information, future events or otherwise.

This news release may contain forward looking statements based on
assumptions and judgments of management regarding future events or
results that may prove to be inaccurate as a result of factors beyond its
control, and actual results may differ materially from the expected
results.

Neither the TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the TSX
Venture Exchange) accepts responsibility for the adequacy or accuracy of
this news release.

Contacts:
Hemisphere Energy Corporation
Don Simmons
President and CEO
1-604-685-9255 or 1-800-449-4435
1-604-685-9676 (FAX)
www.hemisphereenergy.ca

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