HMGP Hemi Energy Group Inc (GM)

Hemi Energy Group, Inc. (Pink Sheets HMGP): Hemi Energy will complete five shipments each of 180 bbls of oil from its Kansas leases in December. Increasing the rate of development and additional funding in December will bring more re-worked wells on line in January, therefore February production will increase to over 1400 bbls. We project that approximately 50% of the wells in the Woodson County, Kansas lease area will have been completely reworked by then and have a new base-line oil production established. Hemi is in the final stages of negotiations for additional leases and expanding their presence in Kansas. In December, as in November, additional financial entities have contacted Hemi Energy with offers to acquire stock or to participate in new well development. We are comparing the options proposed, that are consistent with Hemi's stated objectives of safeguarding our stockholder's interest, but will still allow for expediting new well development on our Kansas oilfield. More than 70% of Hemi's stock is closely held by management, institutions, lease mineral owners and large investors. Therefore, this group of investors has a long term goal and is not significantly affected by short term market price swings. Hemi's plan for development of leases for new well drilling in early 2007 is consistent with this group of investors' objectives. About Hemi Hemi Energy Group is an independent crude oil and natural gas producer employing a unique business model capitalizing on technological advances to exploit mature fields with millions of barrels of proven oil remaining in the ground. Using attractive lease/royalty packages, Hemi has secured, in its history, tens of thousands of acres of productive domestic projects. The company's forward-thinking strategy has placed it in an enviable position at a time when prices and global demand for oil continue to rise. Building on decades of experience in enhanced oil recovery, Hemi has successfully amassed a substantial and attractive portfolio of these high-quality domestic properties. By streamlining operations through cutting-edge technologies, Hemi has the ability to operate more effectively and efficiently than larger oil companies. For additional information, please go to www.hemienergy.com. or http://www.stockinformationsystems.com/c/HMGP/index.html. "Safe Harbor" Statement under the Private Securities Litigation Reform Act of 1995 Statements in this press release relating to plans, strategies, economic performance and trends, projections of results of specific activities or investments, and other statements that are not descriptions of historical facts may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking information is inherently subject to risks and uncertainties, and actual results could differ materially from those currently anticipated due to a number of factors, which include, but are not limited to, risk factors inherent in doing business. Forward-looking statements may be identified by terms such as "may," "will," "should," "could," "expects," "plans," "intends," "anticipates," "believes," "estimates," "predicts," "forecasts," "potential," or "continue," or similar terms or the negative of these terms. Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. The company has no obligation to update these forward-looking statements.