new Configuration().configure("/src/com/abc/myhibernate.cfg.xml");

package util;

import org.hibernate.*;
import org.hibernate.cfg.*;

public class HibernateUtil
{

    private static final SessionFactory sessionFactory;

    static {
        try {
            // Create the SessionFactory from hibernate.cfg.xml
            sessionFactory = new Configuration().configure().buildSessionFactory();
        } catch (Throwable ex) {
            // Make sure you log the exception, as it might be swallowed
           System.err.println("Exception stack Trace ************** begin");
           ex.printStackTrace();
           System.err.println("Exception Stack Trace ********* END");
            System.err.println("Initial SessionFactory creation failed." + ex);
            throw new ExceptionInInitializerError(ex);
        }
    }

    public static SessionFactory getSessionFactory() {
        return sessionFactory;
    }

}

<?xml version='1.0' encoding='utf-8'?>

<!DOCTYPE hibernate-configuration PUBLIC
        "-//Hibernate/Hibernate Configuration DTD//EN"
        "http://hibernate.sourceforge.net/hibernate-configuration-3.0.dtd">

<hibernate-configuration>

    <session-factory>

        <!-- Database connection settings -->
        <property name="connection.driver_class">org.hsqldb.jdbcDriver</property>
        <property name="connection.url">jdbc:hsqldb:hsql://localhost</property>
        <property name="connection.username">sa</property>
        <property name="connection.password"></property>

        <!-- JDBC connection pool (use the built-in) -->
        <property name="connection.pool_size">1</property>

        <!-- SQL dialect -->
        <property name="dialect">org.hibernate.dialect.HSQLDialect</property>

        <!-- Enable Hibernate's automatic session context management -->
        <property name="current_session_context_class">thread</property>

        <!-- Disable the second-level cache  -->
        <property name="cache.provider_class">org.hibernate.cache.NoCacheProvider</property>

        <!-- Echo all executed SQL to stdout -->
        <property name="show_sql">true</property>

        <!-- Drop and re-create the database schema on startup -->
        <property name="hbm2ddl.auto">create</property>

        <mapping resource="events/Event.hbm.xml"/>
    </session-factory>

</hibernate-configuration>

Application
-src
    Myfile.java
-confg
    *.* cfg files
    *.*hbm files
-lib