Horizon Industries Ltd.
TSX VENTURE : HRZ

Horizon Industries Ltd.

January 19, 2007 10:02 ET

Horizon Industries Ltd.: Strong Initial Flow Results at Funk #2-Tie in to Sales Proceeding

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Jan. 19, 2007) - Horizon Industries Ltd. (TSX VENTURE:HRZ), is pleased to announce it has perforated and tested the first of four pay zones in the Funk #2 well in Goliad County, Texas.

Log results reported in the Company's news release dated January 10, 2007 showed four highly prospective pay zones in the well; two upper zones between 3,121 feet to 3,278 feet; the primary pay zone in the Yegua formation from 5,580 feet to 5,680 feet; and a secondary pay zone in the Cook Mountain formation from 5,820 feet to 5,840 feet.

The well was perforated on January 18 in its lowermost, secondary pay zone over 6 feet from 5,823 ft to 5,829 ft. The well flowed natural gas at the rate of 925 mcf per day on an 8/64ths choke with flow tubing pressure of 2,650 psi. An independent four point flow test is scheduled for today and tie in to sales is scheduled for completion by on or about Friday, January 26, 2007. As this is the deepest zone, the Company has decided to put the well immediately into production. After depletion of this zone, the Company will then proceed to develop the next shallower pay zone in the Yegua formation where the bulk of production is anticipated from this well.

There are six additional prospective well locations at the Funk prospect and the Company plans to drill up to four additional wells at Funk over the balance of the winter and through the spring.

Horizon Industries Ltd. currently holds a 54% working interest in the Funk Prospect.

Funk Prospect

The Funk Prospect is located in the G. Barrera survey A-2 in Goliad County and comprises approximately 500 acres. The Funk Prospect is situated in the prolific Middle Yegua gas trend, a formation that has produced gas and condensate in the nearby Maetze Yegua, Perdido Creek and Jobar fields. The Funk prospect currently has two producing wells, the Funk #1 and #3 wells.

About Horizon Industries Ltd.

Horizon Industries Ltd. is an emerging oil and gas exploration and production company building a high quality asset base in focused areas throughout the United States. For more information, please visit www.horizonindustriesltd.com.

On Behalf of the board of directors,

Christopher Wensley, President

WARNING: The Company relies on litigation protection for "forward looking" statements. Actual results could differ materially from those described in the news release as a result of numerous factors, some of which are outside the control of the Company.

The TSX has not reviewed and does not accept responsibility for the adequacy or accuracy of the content of this News Release.

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