Houston Natural Resources Corp. (OTCPK:HNRC) signed a letter of intent to acquire an unknown interest in Cunningham Energy LLC for $100 million on March 23, 2022. Consideration will be paid in cash and securities of Houston Natural Resources Corp. Transaction is subject to the competition of due diligence and financing. Under the Letter of Intent additional future development funding for up to $600,000,000 and PIPE follow on transactions are also planned. The parties are committed to closing the transaction on or before June 30, 2022.

Houston Natural Resources Corp. (OTCPK:HNRC) completed the acquisition of 9% interest in Cunningham Energy LLC on September 19, 2022. An independent engineering company has completed an evaluation of the Oil & Gas Assets of Cunningham Energy. The appraised value of the company's leasehold position as of May 18, 2022, is $218 million, assuming the current proposed 40 well drilling program is completed. The acquisition of the 9% interest of Cunningham Energy, in cash and securities, is valued at $19.620 million, which increases the company asset value by $0.39 per share to $2.82 per share from $2.43 per share, up 16% as reported in their Q2 financials an August 1, 2022, based on the current shares outstanding.