Hyperdynamics Announces Results of Independent Resource Evaluation on Initial Drilling Area of Offshore Republic of Guinea Concession

HOUSTON, Aug. 8, 2011 /PRNewswire/ -- Hyperdynamics Corporation (NYSE: HDY) today announced the results of a new resource evaluation conducted by Netherland, Sewell & Associates, Inc. ("NSAI") of the Company's oil and gas concession offshore Republic of Guinea.

NSAI, a leading provider of reserve audits and exploration resource assessments, conducted an assessment of the prospective oil resources in the selected prospects focused on the locations where Hyperdynamics plans to drill its first two exploratory wells in its concession offshore Guinea. The assessment of the prospective oil resources in the two selected prospects, and the stratigraphic prospect situated between them, which could also be tested by the wells, resulted in an aggregate of "Best Estimates" (P50) of 1.2 billion barrels of recoverable unrisked prospective oil resources as shown in Figure 4 of the NSAI report.

The NSAI evaluation focused on the shallow water area that was evaluated by a 3D survey acquired by PGS for Hyperdynamics in 2010. The processing was completed in April 2011 by PGS. The NSAI evaluation focused strictly on the area designated by Hyperdynamics for the drilling of the first two exploratory wells.

"We find the review and assessment by NSAI encouraging and a confirmation of our drilling program set to begin in the fourth quarter of 2011," said Hyperdynamics' President and CEO Ray Leonard.  "These were prospects not identified prior to the 3D seismic acquisition, processing and analysis completed earlier this year."

Hyperdynamics operates the concession with a 77 percent participating interest, with the remaining 23 percent held by Dana Petreoleum, a wholly owned subsidiary of the Korean National Oil Company.

The NSAI report is available on the Company's website, www.hyperdynamics.com.

Prospective resources are those quantities of petroleum which are estimated, as of a given date, to be potentially recoverable from undiscovered accumulations by application of future development projects. The prospective resources included in the NSAI report indicate exploration opportunities and development potential in the event a petroleum discovery is made and should not be construed as reserves or contingent resources.

About Hyperdynamics

Hyperdynamics is an emerging independent oil and gas exploration and production company that is exploring for oil and gas offshore the Republic of Guinea in West Africa. To find out more, visit our website at www.hyperdynamics.com.

Cautionary Note to Investors Concerning Prospective Resources

This news release uses the term "prospective resources." Hyperdynamics advises investors that the United States Securities and Exchange Commission (SEC) does not recognize this term, and the SEC permits oil and gas companies, in their filings, to disclose only "reserves." In addition, prospective resources have a great amount of uncertainty as to their existence, and economic and legal feasibility. Investors are cautioned not to assume that estimates of prospective resources are economically drillable, or will ever be upgraded into reserves.

Forward Looking Statements

This news release and the Company's website referenced in this news release contain forward looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, regarding Hyperdynamics Corporation's future plans and expected performance that are based on assumptions the Company believes to be reasonable. Statements preceded by, followed by or that otherwise include the words "believes", "expects", "anticipates", "intends", "projects", "estimates", "plans", "may increase", "may result", "will result", "may fluctuate" and similar expressions or future or conditional verbs such as "will", "should", "would", "may" and "could" are generally forward-looking in nature and not historical facts. A number of risks and uncertainties could cause actual results to differ materially from these statements, including without limitation, funding and exploration efforts, fluctuations in oil and gas prices and other risk factors described from time to time in the Company's reports filed with the SEC, including the Company's Annual Report on Form 10-K for the fiscal year ended June 30, 2010. The Company undertakes no obligation to publicly update these forward looking statements to reflect events or circumstances that occur after the issuance of this news release or to reflect any change in the Company's expectations with respect to these forward looking statements.

HDY-IR

SOURCE Hyperdynamics Corporation

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