SOURCE: Victory Energy

October 01, 2007 09:00 ET

Victory Energy Finalizes Due Diligence on Natural Gas Options

CARSON CITY, NV--(Marketwire - October 1, 2007) - Victory Energy Corporation (OTCBB: VYEY) announced today that the Corporation is in the final stages of due diligence for the five (5) options on the shallow gas wells located in the Adams Ranch, Adams-Baggett Canyon Sandstone gas field in Crockett County, Texas.

The Corporation's advisory team will perform on-site inspection at the Adams Ranch located approximately 25 miles south of Ozona, Texas as part of the due diligence process. There the team will conduct an evaluation of the existing producing wells and an inspection of the contiguous locations currently under option to the Corporation.

"This due diligence will verify the potential of the opportunity offered to Victory as sound and worth the investment. We expect this stage of the due diligence process to support the findings to date. This being the case, we will be able to close on the options and begin drilling later this year," stated Jon Fullenkamp, President of Victory Energy Corporation.

The "Canyon Sandstone" gas wells located on this ranch are part of the large prolific Adams-Baggett Canyon Sandstone field. The Canyon Sandstone formation is found at a depth of 4,300 feet to 4,900 feet.

Victory will develop these options with an operator who has successfully drilled five (5) out of five (5) gas wells on leases offsetting Victory's acquisition. Average production for these wells is approximately 250,000 cubic feet of gas per day per well. Victory has a right of first refusal on five (5) additional options in this Canyon Sandstone field.

Each well drilled in the field has an estimated proven undeveloped reserve of 500 million cubic feet of gas per well, giving a total of approximately 2.5 billion cubic feet of natural gas of proven undeveloped reserves for the Corporation.

About Victory Energy Corporation:

Victory Energy Corporation (http://www.victoryenergyoilandgas.com) is a publicly traded, developmental stage petroleum company primarily dedicated to energy-related opportunities. The Company goal is to evaluate profitable options, develop a solid foundation through leadership and sound business acumen, and acquire producing wells as well as other potentially profitable prospects within the Oil & Gas Industry. Certain statements contained herein are "forward-looking" statements (as such term is defined in the Private Securities Litigation Reform Act of 1995). Because such statements include risks and uncertainties, actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially from those expressed or implied by such forward-looking statements include, but are not limited to, those discussed in filings made by the Company with the Securities and Exchange Commission. The Company's filings may be accessed at the SEC's EDGAR system at www.sec.gov. Statements made herein are as of the date of this press release and should not be relied upon as of any subsequent date. The Company cautions readers not to place reliance on such statements.

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