Texhoma Energy, Inc.
PINK SHEETS : TXHE

Texhoma Energy, Inc.

January 16, 2007 13:50 ET

Texhoma Energy, Inc.: Edgerly Field Update

HOUSTON, TEXAS--(CCNMatthews - Jan. 16, 2007) - Texhoma Energy, Inc. ("Texhoma") (PINK SHEETS:TXHE) -

Peoples Energy Production, operator of the Edgerly Field, Calcasieu Parish, Louisiana, has informed Texhoma that it has completed the workover of the North American Land (NAL) #4 well. The well is producing at a rate of approximately 30 barrels of oil per day and the rate is expected to increase as the well continues to clean up and stabilize.

The workover rig has moved to the NAL #3 to install a submersible pump. This is the first time the well will be put on lift-assisted production and a production increase is expected.

Texaurus Energy, Inc., a wholly owned subsidiary of Texhoma, owns 11.76% working interest in the Edgerly Field which has four producing wells. The Field was producing about 500 barrels of oil per day (gross) with NAL #3 accounting for half the production. A significant increase in oil production is expected from the investment in pumping equipment. The cost of both workovers, estimated at $62,000 is funded from cash.

Safe Harbor Statement: "This News Release may include forward-looking statements within the meaning of section 27A of the United States Securities Act of 1933, as amended, and section 21E of the United States Securities and Exchange Act of 1934, as amended, with respect to corporate objectives, projections, estimates, operations, acquisition and development of various interests and certain other matters. These statements are made under the "Safe Harbor" provisions of the United States Private Securities Litigation Reform Act of 1995 and involve risks and uncertainties which could cause actual results to differ materially from those in the forward-looking statements contained herein." The Company takes no obligation to update or correct forward-looking statements and also takes no obligation to update or correct information prepared by third parties that is not sanctioned by the Company.

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