HOUSTON, Jan. 9, 2007 (PRIME NEWSWIRE) -- Aztec Oil & Gas, Inc. (OTCBB:AZGS) announced today that the Company has completed the funding of its first new drilling partnership, the Aztec Oil & Gas 2006A Oil & Gas Drilling Partnership, with approximately 20 outside investors. The new multi-well drilling program based in the Wetzel County area of West Virginia is expected to commence immediately. The first well in the program is expected to be spudded by the end of January and the remaining wells are expected to be spudded by the end of March 2007.
In this new Partnership, Aztec Oil & Gas, Inc., through its wholly-owned subsidiary, Aztec Energy, LLC, will retain thirty percent ownership and will act as the Managing General Partner. Another Aztec subsidiary, Aztec Drilling & Operating, LLC, will serve as the Partnership's drilling company and operator.
"This new Partnership with outside investors enables Aztec to further diversify its domestic oil and gas holdings. Last month Aztec announced that it had significantly increased both revenues and net profits for the 2006 fiscal year. We see this first Partnership as a way to continue building on that success for many years to come. Our goal with this Partnership is the same as with all of our endeavors: to participate in and purchase oil and gas interests utilizing strategies that seek to manage and reduce the risk associated with traditional exploration and production operations, thus building long-term shareholder equity," says Kirk Blackim, President of Aztec Oil & Gas, Inc.
Calabasas, CA-based AFA Financial Group, LLC, a member of NASD and SIPC, acted as Managing Broker/Dealer for this transaction.
About Aztec Oil & Gas, Inc.
Aztec is an oil and gas exploration and production company focusing on numerous areas of the U.S. It owns a minority interest in a 40-well oil and natural gas drilling program in McKean, Potter, Clearfield and Cambria counties in Pennsylvania where drilling of all wells is nearing completion and approximately half of the wells are already producing into pipelines. Aztec also owns a minority interest in two Deep Lake wells in Cameron Parish, Louisiana ranging from 13,600 to 14,300 feet in depth. Both wells are now flowing commercial quantities of natural gas into pipelines. Aztec additionally participated in drilling one well in Wharton County, Texas which is currently producing oil and natural gas; and one well in the Barnett Shale play area located in Cooke, Wise and Montague Counties, Texas which had good initial oil and gas shows. Aztec has a minority interest in two gas wells in Oklahoma which have been drilled, completed and are awaiting pipeline hookups. One is a conventional well, and the second is a horizontal, Coal Bed Methane (CBM) well. Additional wells and drilling are presently being analyzed. Through its subsidiary, Aztec Energy, LLC, Aztec is also undertaking a multi-well drilling program in the Wetzel County area of West Virginia.
For more information on Aztec Oil & Gas, Inc., visit www.aztecoil-gas.com.
The statements contained in this news release that are not historical facts may be statements regarding the Company's future that involve risks and uncertainties which could cause actual results to differ materially from those currently anticipated. For example, statements that describe the Company's hopes, plans, objectives, goals, intentions or expectations are all forward looking statements. Any such statements made herein about the Company's future are only made as of the date of this news release. Numerous factors, many of which are beyond the Company's control, may affect actual results. Also, the price Aztec Oil & Gas, Inc. and the other parties involved in these properties receive for the oil produced on their properties may be less than quoted NYMEX prices at any given time. The Company undertakes no obligation to publicly update such forward looking statements to reflect subsequent events or circumstances.