Alston Ventures Inc.
TSX VENTURE : ALO

Alston Ventures Inc.

April 22, 2010 09:00 ET

Alston Ventures Inc. Signs LOI for Oil and Gas Assets in Alberta

VANCOUVER, BRITISH COLUMBIA--(Marketwire - April 22, 2010) - ALSTON VENTURES INC. (TSX VENTURE:ALO) ("Alston") is pleased to announce that it has signed a letter of intent (LOI) with a private Alberta company (the "Company") to acquire 100% of the Company including all of their oil and gas assets in the province of Alberta.

SUMMARY OF THE TRANSACTION

With this acquisition Alston would acquire high quality oil and gas assets in the Alexander area of central Alberta. The assets include a 14.0% average working interest in 10 proved producing gas/oil wells, three proved development locations, related production facilities and pipelines and 6,560 gross acres of mineral leases. The three development locations will require $244,000.00 of capital expenditures in 2010. As of March 1, 2010 an independent engineering evaluation prepared by Sproule Engineering assigned net proved and probable reserves of 19.6 m Bbls of oil and 459 MMCF of gas with a present net worth of $1,791,000 at a discount rate of 10%. The Company's current production rate as at March 31, 2010 is approx. 60 BOE/d.

Wayne Babcock, Chairman and CEO, states, "We are very pleased with the quality of the assets and the willingness of both parties to negotiate in good faith. Together with our previous acquisition, Alston is well on the way to meeting our 2010 corporate goals."

This transaction is subject to TSX approval.

Alston Ventures Inc. is a Canadian-based energy company engaged in the production and exploration of oil and natural gas reserves in western Canada's sedimentary basins. Alston has working interests in producing and early-stage exploration properties located in the provinces of Saskatchewan and Alberta.

This document contains certain forward looking statements which involve known and unknown risks, delays and uncertainties not under the Company's control which may cause actual results, performance or achievements of the Company to be materially different from the results, performance or expectations implied by these forward looking statements. BOEs may be misleading, particularly if used in isolation. A BOE conversion ratio of 6 Mcf: 1bbl is based on an energy equivalency conversion method primarily applicable at the burner tip and does not represent a value equivalency at the wellhead. The estimated values disclosed do not represent fair market value.

Alston Ventures Inc.

Don Umbach, President + COO

Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Alston Ventures Inc.
    Troy Winsor
    VP Corporate Development
    (604) 466-8934 or Toll Free: (800) 663-8072
    or
    Alston Ventures Inc.
    Mike England
    Director
    (604) 683-3995 or Toll Free: 888-945-4770
    (604) 683-3988 (FAX)