Horizon Industries Ltd.
TSX VENTURE : HRZ

Horizon Industries Ltd.

August 09, 2006 10:55 ET

Horizon Industries Ltd.: Logging Concluded-Completion of Horizon/Funk #1 Well Underway

VANCOUVER, BRITISH COLUMBIA--(CCNMatthews - Aug. 9, 2006) - Horizon Industries Ltd. (TSX VENTURE:HRZ) is pleased to announce that the Company has received down hole logs from the Horizon Funk #1 Well in Goliad County, Texas. Based upon the interpretation of the logs and advice from the Company's technical advisors, the Company has elected to proceed with completion operations.

The Horizon/Funk #1 well was drilled to a total depth of 2,530 feet well. The well was logged by Schlumgerger and shows a gas pay zone spanning fifteen feet from 2,018 feet to 2,033 feet. The sand appears very clean with indicated porosities in excess of 30% throughout with estimated permeability of 500md.

Side wall core analysis is underway and the drilling contractor is preparing to set pipe. Flow tests will be performed within the next 10 days to two weeks after which the well is expected to be tied in to sales.

Horizon Industries Ltd. currently holds an 86.5% working interest in the Funk Prospect and a 93.25% working interest in the GeoGoliad #3 and GeoGoliad #4 wells.

About the Funk Prospect

The Funk Prospect is located in the G. Barrera survey A-2 in Goliad County and consists of two tracts of land comprising 240 acres and 160 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 Perdido Creek field is located one and a half miles northeast of the Funk Prospect. Perdido Creek hosts seven producing wells with cumulative production of approximately 3-4 Bcf and 80,000 bbl. of oil and condensate from the Yegua sands. The best well in Perdido Creek, the Vrazel #1 produced 1.8 BCF and 30,000 barrels of oil and condensate from a 90' sand covering 36 acres. These Yegua sands appear to be similar to that underlying the Funk prospect which hosts 2D defined Yegua sand bodies of 35 to 50 acres in aerial extent.

The Maetze Field, is located 3,500 feet to the southeast of the Funk lease. Total production from this field was approximately 5BCF. The best well in this field, the Cron Dreier, drilled in the early 1950's blew out for over six months releasing up to 2 BCF of gas before being shut-in.

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. The Company is currently developing strategic alliances in high impact oil and gas plays in Western Canada. 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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