SOURCE: Allied Energy Group, Inc.

March 14, 2007 09:30 ET

Allied Energy Group, Inc. Announces Successful Drilling for Its 3-Well Program in Oklahoma

BOWLING GREEN, KY -- (MARKET WIRE) -- March 14, 2007 -- Allied Energy Group, Inc. (PINKSHEETS: AGGI) announced today that it has successfully drilled the first of three wells in a 3-well coalbed methane drilling program located in Rogers County, Oklahoma.

The Company moved a drilling rig on location last week and began drilling the Stanford #2-3 (first of three wells) on the Company's leasehold near the town of Talala located in Rogers County, Oklahoma. On Monday, the drilling reached total depth after passing through several coal seams that appear to have commercial amounts of natural gas.

"The Stanford #2-3 has an estimated 5-7 feet of potentially productive zone and indications of gas in the Mulky, Croweburg, and Rowe coal seam formations," said Steve Stengell, Allied's Sr. Vice President of Operations. "We are currently moving to the 2nd location and expect to reach total depth by the weekend", added Stengell.

Based on this area's production history and Allied's results to date, the Company's medium-range objective is to achieve gross well production of 1,700 MCFD from 38 wells as early as summer 2007. At average market prices in the area, this would translate into total production revenues of approximately $9,350 per day before deducting line charges, royalties, taxes and operating expenses. The Company has varying interests in each of the properties it is developing where these 38 wells are located. No assurances can be given that such production will be achieved or revenues realized.

About Allied Energy Group

Allied Energy Group, Inc. (PINKSHEETS: AGGI) is an independent energy development firm primarily engaged in the exploration, development, and production of oil and natural gas in the continental United States. The company relies upon its industry partners, well operators, geologists, petroleum engineers, seismic specialists, and financial analysts whose combined industry experience is essential to the success of each project. Allied Energy Group's strategic focus is the development of oil and natural gas reserves. As the fuel of choice to meet the growing demand for a clean-burning domestically produced fuel, the company firmly believes its natural gas exploration strategy should provide substantial growth to the company for the years to come.

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Certain statements in this release and the attached corporate profile that are not historical facts are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements may be identified by the use of words such as "anticipate," "believe," "expect," "future," "may," "will," "would," "should," "plan," "projected," "intend," and similar expressions. Such forward-looking statements involve known and unknown risks including but not limited to geological and geophysical risks inherent to the oil and gas industry, uncertainties and other factors that may cause the actual results, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. The Company may have varying degrees of working interest ownership in each well and/or prospect. Thus, gross revenue projections may not be equal to what is distributed net to the Company. The Company's future operating results are dependent upon many factors, including but not limited to the Company's ability to: (i) obtain sufficient capital or a strategic business arrangement to fund its expansion plans; (ii) build the management and human resources and infrastructure necessary to support the growth of its business; (iii) competitive factors and developments beyond the Company's control; and (iv) other risk factors inherent to the oil and gas industry.

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