Press Release
Source: Avalon Oil & Gas, Inc.

Avalon Oil & Gas Completes Work-Over on Chance # - 2

MINNEAPOLIS--Avalon Oil & Gas, Inc., (OTCBB: AOGS - News) announced today, through its relationship with KROG Partners, LLC, a Henderson, Texas based operator, that Avalon and KROG have completed the work-over the Chance #2 well.   The workover was performed as planned and within budget, and has achieved successful results.   Production from the Chance lease has increased approximately 2-3 BOPD as a result of the workover, with relatively low associated water production.   The workover included setting a packer to isolate a potential casing leak, and setting a pump, rods, and a pumping unit in order to re-establish production from the previously shut-in well.

The Chance lease, which includes the Chance #1 and #2 wells, is producing from the Woodbine Interval, within an active waterflood area. Total production from the Chance lease is averaging 7-8 BOPD, and Avalon owns a 50% working interest in the leasehold.  

Avalon's Chief Executive, Kent Rodriguez, commented, "We continue to make significant inroads in terms of increased production capacity on lease assets we believe to have low-risk and high production profiles and are continuing our efforts to locate and acquire new lease opportunities consistent with our growth-at-a-reasonable-price philosophy." He continued, "We believe that with enhancements, production profiles and capabilities on these properties can be ratcheted up dramatically, allowing this acquisition to effectively 'pay back' its principal purchase price within twelve months. We are currently evaluating other opportunities with similar return profiles and anticipate announcing more developments shortly.

About Avalon Oil & Gas, Inc.

Avalon Oil & Gas, Inc. is an oil and gas company engaged in the acquisition of oil and gas producing properties with multiple enhancement opportunities.  

Forward-Looking Statements

This press release contains statements, which may constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934, as amended by the Private Securities Litigation Reform Act of 1995. Those statements include statements regarding the intent, belief or current expectations of Avalon Oil & Gas, Inc., and members of its management as well as the assumptions on which such statements are based. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. The Company undertakes no obligation to update or revise forward-looking statements to reflect changed assumptions, the occurrence of unanticipated events or changes to future operating results.

FOR FURTHER INFORMATION , please visit the company's website at www.avalonoilinc.com , or contact:

Avalon Oil & Gas, Inc., Minneapolis Kent Rodriguez, 612-359-9020 Fax: 612-359-9017