SK & Company of Dallas, Texas has replaced Pan American Production Co. of Houston, Texas as operator of the New Waverly Prospect effective January 1, 2009. SK and Horizon have agreed upon the formation of a Joint Operating Committee which will meet quarterly to review operations and set drilling and development schedules. Scheduling of certain operations and drilling which had been in abeyance, is now proceeding. Further information concerning the timing and nature of these initial operations is expected within the next week.

Horizon looks forward to working together with SK & Company and we are excited about the opportunity to move forward on the New Waverly prospect in a proactive and diligent manner.

The New Waverly Prospect comprises approximately 4,200 acres. Exploration potential exists in the Vicksburg/Jackson, Yegua, Cook Mountain, Wilcox, and Woodbine formations. Up to fifty-two shallow wells are proposed to develop the Vicksburg/Jackson formations.

Tags: Horizon Industries Ltd, SK & Company of Dallas