SOURCE: Avenue Group Inc.

July 01, 2008 10:50 ET

TRACS Retained to Study Heletz Field Oil and Gas Reserves

NEW YORK, NY--(Marketwire - July 1, 2008) - Avenue Group, Inc. (OTCBB: AVNU) ("AGI") is pleased to announce that its wholly owned Israel subsidiary Avenue Energy Israel LTD. ("AEI"), has retained the international consultant firm of TRACS International to study the oil and gas reserves underlying the Heletz field in the State of Israel.

With a team of over 50 professionals, TRACS operates from offices in Aberdeen (Scotland), Guildford (England) and Moscow. TRACS provides technical assistance in the disciplines of geophysics, geology, petrophysics, reservoir engineering, production technology, well engineering and completions design and petroleum economics. TRACS provides its consultancy services to a wide range of companies operating in the upstream oil and gas industry including a number of the world's largest multinational oil and gas companies.

TRACS will prepare estimates of remaining proved, probable and possible oil and gas reserves attributable to the Heletz field. TRACS will also evaluate the potential exploration upside in the field including an outline of the Contingent and Prospective Resources. The report is expected to take two months to complete.

TRACS' project scope includes: a subsurface review of the existing recoverable reserves in the field with consideration to volumes of hydrocarbons in place, the building of partial or full field static and dynamic models, an outline of future development scenarios, e.g. water flooding and/or infill drilling and an assessment of the deeper exploration potential.

"The preparation of a bankable reserve report will provide an additional cornerstone to the Heletz field redevelopment project," stated Levi Mochkin, CEO of Avenue Group. "The addition of a TRACS reserve report will assure the financial community of the oil reserves of the Heletz field in Israel and the exploration and development potential of the Jurassic Limestone."

Heletz Field Background

The Heletz-Kokhav license and the Iris license, equaling approximately 68,000 acres, are comprised of 3 oil fields -- Heletz, Brur and Kochav, and is located approximately 55 km south of Tel Aviv and 12 km east of the Mediterranean Sea. Heletz was the first oil field discovered in the eastern Mediterranean and remains the most significant oil field discovered onshore Israel with over 17 million barrels of oil having been recovered.

The first well (Heletz 1) was drilled to a depth of 4800 feet (1515 Meters) and recognized as a producing well on 12 October 1955. Initial production was approximately 400 barrels per day; oil was 29o API. A total of 88 wells have been drilled on the Heletz field to depths ranging from 4,000 to 6,500 feet., of which 59 were producing wells with the other 29 having oil shows. Peak production occurred in the 1960s when daily production peaked at over 4,000 barrels of oil per day ("BOPD").

Avenue recently announced that it has restarted production from the Heletz field at a rate of 35 BOPD.


Avenue Group, Inc. (OTCBB: AVNU) is engaged in the exploration and development of oil and gas reserves. Its strategy is to acquire a portfolio of oil and gas assets that include the acquisition of low risk oil and gas reserves and the generation of low risk drilling opportunities.

Certain statements in this announcement including statements such as "believes," "anticipates," "expects" and all similar statements regarding future expectations, objectives, intentions and plans for oil and gas exploration, development and production may be regarded as "forward-looking statements" within the meaning of the Securities Exchange Act of 1934, as amended. Forward-looking statements are based on the opinions and estimates of management at the time the statements are made. Management's current view and plans, however, are subject to numerous known and unknown risks, uncertainties and other factors that may cause the actual results, performance, timing or achievements of Avenue Group to be materially different from any results, performance, timing or achievements expressed or implied by such forward-looking statements. The various uncertainties, variables, and other risks include those discussed in detail in the Company's SEC filings, including the Annual Report on Form 10-KSB, for the year ended December 31, 2007 and its Quarterly Report on Form 10-Q for the period ended March 31, 2008. Avenue Group Inc. undertakes no duty to update or revise any forward-looking statements. Actual results may vary materially.

For further information, please visit our website at or contact Levi Mochkin at (888) 612-4188 ext 4 or email

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