SGNE.OB

[basonista]

Avalon Energy's LAK Ranch Oil Project Expanding


By Market Wire
Last Update: 7/25/2005 6:31:02 AM Data provided by 

BELLINGHAM, WA, Jul 25, 2005 (MARKET WIRE via COMTEX) -- Avalon Energy Corporation (AVLN) reports that further to our News Release dated June 30, 2005, Ivanhoe Energy Inc. and Derek Oil & Gas Corporation have agreed to expand the enhanced oil recovery pilot program at the LAK Ranch field in Weston County, Wyoming.

The Company owns a 0.70% (.70 of 1%) proportionate, reducible, Gross Overriding Royalty interest in the LAK Ranch Oil Project located in Newcastle, Wyoming. This royalty interest equates to $0.35 per barrel based on a price of $50.00 per barrel for Avalon.

The pilot steam flood in the LAK Ranch field will be expanded with the drilling of three steam injection wells. This expansion follows completion of a 3-D seismic survey of the area and a thorough interpretation of the survey results. The new wells will provide for a continuous injection of steam above the existing horizontal wells. The pilot program to date has consisted of three cycles of steam injected into a horizontal well, located approximately 25 feet above the injection well. Oil production has increased with each cycle and is currently about 20 barrels per day following the third steam cycle.

Ivanhoe has reported that it estimates that at the low end of the projected recovery range, the initial development program could grow to more than 20 producing wells and oil production volumes in excess of 4,500 barrels per day. Optimum daily production rates could exceed 10,000 barrels per day.

The LAK Ranch field, originally discovered in the 1920s, covers approximately 7,500 acres in the Powder River Basin. Thirty wells have been drilled by several operators to define the significant oil in place for this project, and a number of small scale attempts have been made to economically recover the oil. Ivanhoe Energy believes the use of horizontal wells and continuous steam injection offers the most promising chance of success and some encouraging results have been achieved to date. The pilot expansion is expected to be completed by August pending drill rig availability.

While the Company maintains its position in the LAK Ranch, its main focus is the Shotgun Draw Uinta Basin overpressured gas project.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical fact are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays in testing and evaluation of products and other risks detailed from time to time in Avalon's filings with the Securities & Exchange Commission.

SOURCE: Avalon Energy Corporation

[David Randolph]

After a day where AVLN.OB traded just 14,500 shares management decided to issue a press release, thank God !

Avalon Energy's LAK Ranch Oil Project Expanding

I don't know if this will have an effect on AVLN.OB, but I'm holding the stock ...

[David Randolph]

Nah, no effect, nothing new on AVLN.OB, I'll continue to hold though.

[puenthouse]

are any of you adding in at this point.  I feel this is bottom, so i will at this time. add at .112
GL

[David Randolph]

Another visit to support from AVLN.OB and the stock held again.

[David Randolph]

Very low volume day on AVLN.OB, it made a just one price, that is, there's nothing to say or consider about this stock today.

[David Randolph]

AVLN.OB has a market cap of just $3.57M, so anything could push this penny stock higher. Oil prices are now hovering around $61 a barrel, how much will this oil option (AVLN.OB) be valued at when oil gets to $80 a barrel?

[David Randolph]

Some life at the bottom for AVLN.OB. I have just 3.33% of portfolio in this penny stock, so I'm allowed to have a lot of patience. The oil price is moving in the right direction, so it's just a matter of time, I believe.

The stock is still stuck on a range between $0.11 and $0.14.

[David Randolph]

Another day without history on AVLN.OB, but hey, SKPI was like this too, and now look at her 

Still on that range, still with a very small market cap ...

[basonista]

Another press release.  Maybe this will put some fire under AVLN...


Utah's Energy Boom Affirming for Avalon
Wednesday August 3, 6:30 am ET


BELLINGHAM, WA--(MARKET WIRE)--Aug 3, 2005 -- Avalon Energy Corporation (OTC BB:AVLN.OB - News) owns an undivided 85% working interest in a giant gas field lease in the prolific natural gas producing Uinta Basin, located in the U.S. Rockies, Utah. The lease comprises 13,189 acres with a potential 4 TCF recoverable gas and is overpressured by a 0.55 - 0.85 gradient.
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Robert Klein, President, states that according to a recent article in The Salt Lake Tribune, the resurgence of the Rocky Mountain natural gas rush spurred on by the price of energy and the Bush administration's directive to encourage exploration and development is viewed as positive by the management of Avalon.

"Anytime you have an energy boom, you're reaping the glory of good, high-paying jobs," said Bill Johnson, director of economic development for Uintah County. "Everybody is running to the bank with smiles on their faces."

Unlike better-developed fields in Wyoming and Colorado, it's still unknown just how much gas eventually will be recovered. However, it's certain to be more than what drillers found during the last boom, which extracted only about 3 percent of the known reserves, said Duane Zavadil, a spokesman for Denver-based gas exploration company Bill Barrett Corp. Armed with high-tech exploration techniques including seismic surveys, gamma-ray measurement and high-pressure hydraulics to fracture deep rock, energy exploration companies are fanning out across the basin, drilling 4,000 to 15,000 feet to get at so-called unconventional gas trapped in the wrinkles of the Earth.

A study completed last year by the Utah Energy Office estimated that a single gas well in Uintah or Duchesne County would create 13 new jobs and $309,300 in additional personal income. The state would net $55,300 in tax revenues, the counties $29,200.

According to the Department of Energy; Bill Barrett Corporation; the Independent Petroleum Association of Mountain States; Estimates for technically recoverable natural gas in the Rocky Mountains range from 226 to 383 trillion cubic feet. A single gas well will produce about 2 billion cubic feet of gas. An average household uses 125,000 cubic feet of natural gas per year, which means one well will supply 800 homes during its 20-year life span. In 2003, proven natural gas reserves in the Rocky Mountain states represented 27 percent of U.S. reserves, or 18 percent of the nation's supply. The Rockies' share of lower-48 production will near 40 percent by 2025. Currently, natural gas supplies about 20 percent of the nation's energy needs, but is the fastest-growing energy source. Demand is forecast to increase nearly 40 percent during the next 20 years, including a 50 percent uptick in demand for gas-fired electric power. Gas heats 61 percent of U.S. households, cools homes and provides fuel for cooking.

On behalf of the Company,
/s/Robert Klein
Robert Klein, President
Visit our website at www.avalonenergy.ws

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995: The statements contained herein which are not historical fact are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements, including, but not limited to, certain delays in testing and evaluation of products an other risks detailed from time to time in Avalon's filings with the Securities & Exchange Commission.



Contact:
     For further information
     Contact investor relations:
     1-888-488-6882
     


--------------------------------------------------------------------------------
Source: Avalon Energy Corporation

[shaker340]

Well, at least a little life was shown

[David Randolph]

Thanks for posting the press release basonista.

AVLN.OB did rally a bit from support zone. Resistance now is at $0.14. Considering the market cap on this stock which is very low I believe it doesn't need much to fly higher, and technicals point that way, after a big base was built.

I'll continue to hold AVLN.OB.

[David Randolph]

AVLN.OB couldn't hold yesterday's rise. Not surprising. I'll continue to hold this micro cap for the expected bubble in oil and oil related stocks.

[aitech61]

Nice volume today. I like the way the stock is performing under the radar. I suspect some nice accumulation is taking place before the word gets out regarding the potential of AVLN in the Uinta Basin. I know I am. This will be big!!

Oil and NG is maintiaining its uptrend and no catalyst is in sight to stop it...

IMHO this stock is definitely going to have a nice autumn and winter season..

[David Randolph]

I agree with you aitech61, nice volume above 1 million shares on AVLN.OB.

The stock is still stuck on that range between $0.11 and $0.14, a break of the $0.14 level with volume above average would give us a very strong buy signal. I'm expecting that, and with the oil price above $64 I believe this outcome is just a matter of time.