Avalon Oil & Gas Testing Operations in Grant Parish, Louisiana

Avalon's field operations on the Doris Hall and Fletcher Leasehold in Grant Parish, Louisiana, produce from the 2nd Wilcox sand from 4300 to 4400 feet. This sand is very prolific containing oil and gas in commercial quantities. The Leasehold has six (6) wellbores. These wells were originally drilled in 1979 and produced in excess of 200 barrels of oil per day per well, and have been shut in for several years.

The Doris Hall Lease has three wellbores and the Fletcher lease has field operations that are designed to provide a measure of the productive capabilities of this property prior to acquisition. The first phase of fieldwork consisting of moving a bottom hole assembly for a pumping unit deeper in one of the wells, along with related modification of the surface components of the pumping unit, have been completed.

The Grant Parish Properties are operated by Norman Oklahoma independent operator DRG Energy. Dave Geyer, President of DRG Energy stated, 'We are excited to begin the workovers of the three (3) wellbores on the Doris Hall Leasehold. Initial test results on each well are very promising'. 'The oil cut in each well is starting to increase', said Oklahoma City independent Oil Producer and working interest owner, Stan Barta.

Avalon, DRG and Barta all own an undivided twenty five percent (25%) working interest in the Doris Hall and Fletcher Leasehold.

Avalon is actively seeking the acquisition of other oil and gas properties in Northeast Louisiana, Southwest Arkansas and East Texas.