Avalon Oil and Gas, Inc. (AOGN.OB)

Posted: Fri May 22, 2009 3:01 pm

Avalon Oil & Gas, Inc. is an independent domestic oil and natural gas producer focused on leveraging efficient reservoir maintenance and innovative technologies to generate stable cash flows and production. By acquiring a portfolio of oil and gas leases to generate asset growth, the company aims to deliver a sustainable rate of return for their shareholders. Avalon currently owns working interests in Texas, Arkansas, Louisiana, and Oklahoma.

Instead of engaging in exploration and drilling exploration wells, the company invests in underdeveloped properties with existing stable cash flows. This relatively low risk business strategy enables Avalon to realize almost immediate cash flows and allows management to concentrate on expanding production of the acquired oil and gas properties.

The company is also in the process of acquiring a portfolio of new technologies developed for the oil and gas industry. Avalon first evaluates the commercialization potential with regard to technology and market viability, and then if merited, proceeds to rapid prototype development and field testing. The technologies currently under review were developed at leading universities and research labs, including the University of Wyoming and the Lawrence Livermore National Laboratory.

Even during challenging times, the world depends on oil & gas exploration and production companies to deliver millions of barrels of oil every day. Increased demand from emerging countries such as China further escalates competition for this precious resource. With a solid management team and impressive portfolio of leasehold interests and joint ventures, Avalon is well positioned to generate substantial revenues in the short and long term future.

Posted: Wed May 27, 2009 4:45 pm

Avalon Oil & Gas, Inc. (AOGN.OB) Has Numerous Oil & Gas Properties

Avalon Oil & Gas Inc. is an independent domestic oil and natural gas producer. The company’s strategy is to use efficient reservoir maintenance and innovative technology to generate stable cash flows and production from a portfolio of oil and gas lease properties in Texas, Oklahoma, Louisiana and Arkansas.

Here is a brief overview of some of Avalon Oil & Gas properties:

In Miller County, Arkansas, Avalon owns a 50% working interest in the Dixon Heirs #1, Deltic Farms & Timber #1, and Gunn #1 wells along with associated units and leases. These are mature wells, originally drilled in the 1980s, with stable production. Through recent workovers and production optimization activities in the field, Avalon has doubled production since the acquisition of the property in July 2006.

In the state of Oklahoma, Avalon has a couple properties in Noble County. The company owns an undivided 16% working interest in the Hughes #1 well and surrounding acreage. This well was originally drilled and completed in 1998 and tested 4 Mmcf per day. Following a successful workover, the well’s production has been steadily increasing and the increase is expected to continue. Most recently, the well was producing both oil and gas at a rate of 5 barrels of oil per day and 20 Mcf per day.

Avalon also recently acquired a 10% working interest in a property in Nowata County, Oklahoma. The lease contains several wells not currently in production. Plans to bring the wells back into production are in the final evaluation phase and operations should commence before year-end.

Avalon also owns a 50% working interest in a horizontal Paluxy well located in Wood County, Texas. This well was originally drilled in the early 1990s and is currently shut-in to address a casing leak. The company is considering workover options for the well with the goal of re-establishing production.

Posted: Fri May 29, 2009 1:56 pm

Avalon Oil & Gas, Inc. (AOGN.OB) Has Numerous Oil & Gas Properties – Part 2

Avalon Oil & Gas Inc. is an independent domestic oil and natural gas producer. The company’s strategy is to use efficient reservoir maintenance and innovative technology to generate stable cash flows and production from a portfolio of oil and gas lease properties in Texas, Oklahoma, Louisiana and Arkansas.

Here is a brief overview of a few more of Avalon Oil & Gas properties:

Avalon has a property in Grant Parish, Louisiana. The Grant Parish leasehold consists of the Doris Hall and Fletcher leases. The company owns an undivided 25% interest in both the Doris Hall and Fletcher leases. The entire leasehold has six wells which were drilled in 1979 and had produced in excess of 200 barrels per day of oil. The wells, however, have been shut-in for several years. Avalon has managed to sell over 1,500 barrels of oil over the past six months from these wells.

Avalon also has a 0.7% working interest in the Lake Washington Field in Plaquemines Parish, Louisiana. This property is comprised of three producing wells which produce over 1,000 barrels of oil per day. This field was discovered over 80 years ago and since then has produced approximately 350 million barrels of oil, putting it among the largest oil and gas fields in the US. Avalon will be evaluating additional drilling opportunities in the field next year.

Turning to Texas, Avalon owns a fifty percent working interest in the E.A. Chance #1 and #2 wellbores, and associated 40 acre lease in Camp County, Texas. This is a mature property with these wells having been drilled during the 1950s. The #1 well is currently producing while #2 well is temporarily shut-in pending evaluation of a tubing leak. The #2 well is also under consideration for a conversion into a saltwater disposal well.

Posted: Mon Jun 01, 2009 2:52 pm

It has sort of been a quite rise of late, but has anybody noticed what the price of oil is up to? Sometimes a quite company will bring nice profits so this one is one to get in on.

Posted: Tue Jun 02, 2009 9:32 am

The Texas play looks solid

Posted: Tue Jun 02, 2009 12:48 pm

Avalon Oil & Gas, Inc. (AOGN.OB) Has Numerous Oil & Gas Properties – Part 3

Avalon Oil & Gas Inc. is an independent domestic oil and natural gas producer. The company’s strategy is to use efficient reservoir maintenance and innovative technology to generate stable cash flows and production from a portfolio of oil and gas lease properties in Texas, Oklahoma, Louisiana and Arkansas.

Here is a brief overview of the rest of Avalon Oil & Gas properties:

Avalon has a 10% working interest in the New Diana Field, which is located in Upshur County, Texas. The property consists of thirteen wellbores, which include six producing oil wells, three salt water disposal wells and four shut-in or marginally producing wells. The working interest was purchased from an Oklahoma independent oil producer who continues to be a partner in the property.

These wells were originally drilled in the 1960s by various operators. This property produces significant volume of salt water and as a result has a self-contained salt water disposal system. This results in a very low unit cost of salt water disposal, which is important for the company. These mature wells have stable production and produce 25 barrels of oil per day.

Avalon also owns an undivided 15% working interest in the Janssen #1A property, which is located in Karnes County, Texas. This well has been flowing at an average rate of 330 thousand cubic feet of gas per day and producing 10 to 20 barrels of high grade condensate. At present, the well is flowing into the sales line without the need of a gas compressor.

Total reserves for the well are estimated to be 75,000 to 100,000 barrels of condensate and 3 to 4 billion cubic feet of gas. The company has a gas sales contract for the well that fluctuates with the Houston Ship Channel price index and the liquid condensate will be sold at the monthly spot price for product in the regional Texas area. Avalon received their initial revenue distribution for the products sold from the well in July 2008 and this well is expected to produce revenues for many years to come.

Posted: Wed Jun 03, 2009 9:53 am

Loving the price of oil. A solid co.

Posted: Thu Jun 04, 2009 9:15 am

One way or the ther the country will need the oil and gas. This one is in the right place to capitalize as all guns are brought to bare on the energy sit.

Posted: Fri Jun 05, 2009 10:24 am

Oil is on its way. Get in profit and take it

Posted: Fri Jun 05, 2009 1:20 pm

Avalon Oil & Gas, Inc.’s (AOGN.OB) Focus on Acquiring Oil Production Enhancing Technology

Avalon Oil & Gas, Inc. is an independent domestic oil and natural gas producer. The company’s strategy is to use efficient reservoir maintenance and innovative oil production enhancing technology on a portfolio of oil and gas properties. Avalon expects this strategy to generate stable cash flows for the company.

Avalon’s technology arm acquires and develops oil production enhancing technologies from early stage licensing partners. The company’s business model is to evaluate the commercialization potential of a technology and its market viability. If warranted, Avalon will then proceed to rapid prototype development and field test of the technology.

One of Avalon’s licensing partners is UTEK, Inc., a global technology transfer company that enables firms to rapidly acquire innovative technologies from universities and research labs worldwide. Through UTEK, Avalon has acquired a few new oil production technologies.

One such technology license acquired by Avalon via UTEK is from researchers at the Lawrence Livermore National Laboratory. This technology involves ’smart oil well borehole casings’ for oil recovery. The smart borehole casing technology uses a densely spaced network of customized casing sensors to monitor critical parameters in a subsurface oil reservoir.

Applications include real-time mapping and monitoring of subsurface fluid composition and distribution in deep oil reservoirs to maximize oil recovery without interfering with normal well operations. Bypassed oil and fluid-flow barriers can be identified and fluid saturation changes can be effectively mapped. Additionally, hydrocarbon recovery and well locations can be optimized.

Posted: Mon Jun 08, 2009 9:36 am

The tech. is key for this one. It should ben. as prices rise.

Joined: 20 Jan 2009 Posts: 1084

really sounds like a money saver, would consumers see anything?

Joined: 20 Jan 2009 Posts: 1084

My understanding was that gas wasn't suppost to be very high, just look how things change.

Posted: Wed Jun 10, 2009 10:28 am

Gas has hit the skids lately but it would seem that it is only time till it goes much higher given almost all banking on it as one of the next resources for industrial production

Posted: Wed Jun 10, 2009 1:56 pm

Avalon Oil & Gas, Inc.’s (AOGN.OB) Paraffin Wax Mitigation Technology

Avalon Oil & Gas, Inc.’s technology arm acquires and develops oil production enhancing technologies from early stage licensing partners. The company’s business model is to evaluate the commercialization potential of a technology and its market viability. If warranted, then Avalon will proceed to rapid prototype development and field test of the technology.

One of Avalon’s licensing partners is UTEK, Inc., a global technology transfer company that enables firms to rapidly acquire innovative technologies from universities and research labs worldwide. Through UTEK, Avalon has acquired a few new oil production technologies.

One such technology license acquired by Avalon via UTEK is from researchers at the University of Wyoming. This license provides Avalon with exclusive rights to paraffin wax removal technology for improving oil production efficiency. The technology utilizes ultrasonic waves to mitigate deposits of paraffin wax from crude oil.

The technology breaks wax bonds, inhibiting the wax from attaching to the tubing and surface flow equipment. This helps operators maintain optimal oil viscosity, thereby increasing flow rates and production efficiency. A build-up of paraffin wax can actually choke off flow-lines. This technology could lead to a solution for a very expensive problem effecting all oil producers globally.

Posted: Thu Jun 11, 2009 1:34 pm

Oil on a run. This only bodes well for the company as marginal wells become more desireable

Joined: 20 Jan 2009 Posts: 1084

There really are many uses for paraffin wax, look just another way.

Posted: Fri Jun 12, 2009 2:05 pm

oil and gas are the real thing at this point

Posted: Mon Jun 15, 2009 1:50 pm

Ok, down a bit but solid going forward. Demand will kick it as things change

Posted: Wed Jun 17, 2009 1:10 pm

Avalon Oil Oil & Gas, Inc. (AOGN.OB) Revenues Climb with First Check From Scissortail

Avalon Oil & Gas, Inc., an independent domestic producer/investor of oil and natural gas, announced last month that it has received its first check for gas revenues from Scissortail Energy, an Oklahoma based provider of natural gas midstream services. The payment is for natural gas produced in the East Chandler Field in Lincoln County, Oklahoma, northeast of Oklahoma City, encompassing various wells in which Avalon holds partial interest. It represents the continuation of a climb in revenues for Avalon over the past year, with more expected.

Avalon is an investment company that acquires oil and gas producing properties. In addition, the company’s technology group acquires and develops various oil production technologies. Avalon, through its majority owned subsidiary Oiltek, is building an asset portfolio of innovative technologies to enhance the company’s oil and gas properties. The strategy is to use efficient reservoir maintenance and innovative technologies to generate stable production and cash flows at domestic sites.

Kent Rodriguez, Avalon CEO, detailed the work going on at the East Chandler Field: “We are pleased to report that the workovers of the Grace #2, Grace #5A, and Grace #6 wells have been completed. Avalon began selling gas from the Grace #2 in January, the Grace #5A in February, and the Grace #6 in April, and we have received our first revenue check from production on the Grace #2 and Grace #5A wells. We are excited to have completed the first portion of our initial workover program in the Grace Field. Given the encouraging price movement for natural gas, production from the Grace wells will have a significant effect on Avalon’s revenue stream going forward.”

Avalon holds the following interests in the East Chandler wells:

• 30.50% working interest and a 23.88% net revenue interest in the Grace #2
• 37.50% working interest and 23.72% net revenue interest in the Grace #5A
• 33.50% working interest and a 25.69% net revenue interest in the Grace #6

Avalon is continuing to acquire additional fractional working interests in each well. In addition, the company is currently looking at leases in southern Kansas, Texas, Louisiana, and other sites in Oklahoma.