The Exploration Company Unveils Enhanced Web Site.

Energy Editors/Business Editors

SAN ANTONIO--(BUSINESS WIRE)--June 16, 2003

The Exploration Company (Nasdaq:TXCO) today posted its newly enhanced corporate Web site on the Internet.

"We want our shareholders and the public to be fully informed about our progress," said James E. Sigmon, president and chief executive officer. "This new Web site is a cornerstone of our communications plan."

The enlarged site features background information on TXCO's Maverick Basin operations area, news releases, annual reports, investor presentations and important corporate governance information. It also features links to the Edgar Web site of the Securities and Exchange Commission, so visitors may review TXCO's recent SEC filings, and to the Nasdaq Stock Market(sm) Web site, providing current TXCO stock quotes and other information. The Company's Web site address remains the same, www.txco.com. Visitors can use the site frequently to keep abreast of important TXCO developments.

About The Exploration Company

The Exploration Company is an independent oil and gas enterprise with interests primarily in the Maverick Basin in Southwest Texas. Its long-term business strategy is to acquire undeveloped mineral interests and internally develop a multi-year drilling inventory through the use of advanced technologies, such as 3-D seismic and horizontal drilling. The Company accounts for its oil and gas operations under the successful efforts method of accounting and trades its common stock on the Nasdaq Stock Market under the symbol "TXCO."

Statements in this press release or on the Company's Web site which are not historical, including statements regarding TXCO's or management's intentions, hopes, beliefs, expectations, representations, projections, estimations, plans or predictions of the future, are forward-looking statements and are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Visitors to the Company's Internet Web site should read the legal disclaimer on the site before use. It is important to note that actual results may differ materially from the results predicted in any such forward-looking statements. Investors are cautioned that all forward-looking statements involve risks and uncertainty, including without limitation, the costs of exploring and developing new oil and natural gas reserves, the price for which such reserves can be sold, environmental concerns affecting the drilling of oil and natural gas wells, as well as general market conditions, competition and pricing. More information about potential factors that could affect the Company's operating and financial results is included in TXCO's annual report on Form 10-K for the year ended December 31, 2002, and its Form 10-Q for the quarter ended March 31, 2003. These and all previously filed documents are on file at the Securities and Exchange Commission and can be viewed on TXCO's Web site at www.txco.com. Copies are available without charge upon request from the Company.