HOUSTON, Nov. 8, 2012 /PRNewswire/ -- Aztec Oil & Gas, Inc. (Pink Sheets: AZGS) announced that Aztec gained control over operations of the Guthrie Ranch field in Brown County, Texas, effectively in early 2012. After that, there was a period of time needed to inventory, clean up the former operator's (Ziegler Peru Inc.) presence, and implement the typical standard operations in the field to which Aztec is accustomed.
There also had to be electrical service and vendor transfers occur in conjunction with the lawsuit filed against ZPI and its principal on January 5, 2012.
Once the change over was accomplished, Aztec began focusing on the field operation and production. The result of Aztec's production improvement program for the Aztec Brown County wells is beginning to show.
For the 14 months that ZPI operated the field, monthly reporting of oil production averaged 286 barrels. After the start up period for Aztec, we are reporting approximately 436 BO per month average over the last few months, with approximately 828 BO produced for October 2012.
"In spite of a difficult beginning with the Brown County field, and Aztec having to remove the former operator (ZPI), we are encouraged with our progress," stated Waylan R. Johnson, President of Aztec Oil & Gas, Inc. He further stated, "We are currently in the field completing additional wells and adding production weekly."
About Aztec Oil & Gas, Inc.
Aztec is an experienced oil and gas exploration, development and production company focusing on Texas, plus other areas of the U.S. Its interests are highly diversified between development drilling and exploration drilling; however, when it offers drilling/production partnerships, Aztec focuses primarily on Texas shallow, lower risk, development and step out oil wells. When offered, those programs/partnerships are placed, with accredited investor partners, only through FINRA registered Broker Dealers, and Registered Investment Advisors; and, are focused primarily on oil, with natural gas normally being the secondary target of production.
Aztec has been in the oil/gas business since 2004, and entered the sponsored drilling program industry in 2006. Over the next two and one half years, beginning in late 2006, Aztec intentionally restricted itself to only three small, very limited Appalachian, natural gas drilling partnerships. Such was done in order to study and become fully familiar with the nuances of the sponsored drilling program industry before expanding to the Company's full capabilities. In the summer of 2008, Aztec fortuitously and publicly announced it was discontinuing any natural gas drilling in Appalachia, and was ready to substantially expand its sponsored drilling program activities, along with its other activities, primarily for oil in Texas.
As to only its sponsored drilling partnerships, when offered; since 2008, Aztec has, indeed, focused almost all of those partnerships on oil wells in Texas. In addition to its early, initial three small Appalachian natural gas drilling partnerships mentioned above; Aztec has, intermittently, sponsored and closed a significant number of other drilling/production partnerships (all of the latter, as stated, focused primarily on drilling for oil in Texas). Aztec Energy LLC, a wholly-owned subsidiary of Aztec Oil & Gas Inc., is the Managing General Partner of all Aztec drilling partnerships; and another wholly-owned Aztec Oil & Gas Inc. subsidiary, Aztec Drilling & Operating, LLC, is the drilling contractor and contractual well operator for such partnerships. Through its own participation, contributions and coverage, Aztec owns a 30% interest in all of its drilling/production partnerships. In general clarification of its activities, in addition to its own direct corporate participations in industry partner wells, Aztec sometimes sponsors lower risk, development drilling/rework/production programs which include significant tax benefits; all of which are offered only through FINRA Registered Broker Dealers and Registered Investment Advisors to Accredited Investors. Aztec's sponsored drilling/rework/production programs, when offered, focus primarily on shallow oil/gas drilling, are considered unique, and also incorporate a sophisticated exit strategy for investors.
Please feel free to visit Aztec on the web at www.AztecOG.com. An option is provided on the website to join the Aztec (corporate) mailing list and receive up to date information on general Aztec activities, including all Aztec press releases.
This release/announcement/document is neither an advertisement, an offer to sell, nor a solicitation of an offer to buy securities, Units or participations of Aztec Oil & Gas Inc., its subsidiaries or affiliates (collectively "Aztec"). This release/document contains certain statements, estimates, and forecasts with respect to future performance and events. All statements other than statements of historical fact included in this release/announcement/document, a Memorandum, or the Aztec website, including, but not limited to, statements regarding future performance of events, are forward-looking statements. All such forward-looking statements are based on various underlying assumptions, estimates and expectations and are subject to risks and uncertainties which could cause actual events to differ materially from those expressed in such statements. As a result, there can be no assurance that the forward-looking statements included in this release/ announcement/document, a Memorandum, or the Aztec Website will prove to be accurate or correct. In light of these risks, uncertainties and assumptions, the future performance or events described in the forward-looking statements in this release/announcement/document, a Memorandum, or the Aztec Website might not occur. Accordingly, investors should not rely upon forward-looking statements or historical performance as a prediction or indicator of actual or future results. Also, Aztec Oil & Gas, Inc., its officers, principals, employees, agents, subsidiaries, affiliates and consultants, and the other parties, investors, shareholders, partnerships and partners, involved in any properties, programs, partnerships and Aztec ownership or activities, have various, material conflicts of interests. The price(s) received for the oil and natural gas produced from any investments, activities or properties may be less, or more, than quoted NYMEX prices at any given times. Specific results, yields, benefits, etc. are not guaranteed by Aztec and are subject to risks and limitations inherent in the energy industry and/or described in any Memorandum and elsewhere. Aztec does not undertake any obligation to update any forward-looking statements, facts or other information, whether as a result of new information, future events, subsequent circumstances or otherwise.
Contact: Phoenix IR Associates Investor Relations Tony Drake (281) 579-1602 Shareholders@AztecOG.com
SOURCE Aztec Oil & Gas, Inc.