updated 3/14/2011 2:04:48 PM ET 2011-03-14T18:04:48

HOUSTON, March 14, 2011 (GLOBE NEWSWIRE) -- Aztec Oil & Gas, Inc. (Pink Sheets:AZGS) announced today, "Contrary to a headline posted by The Houston Business Journal, the effect of which has been very negative for Aztec, a former CEO of our firm did not plead guilty to securities fraud, nor was he charged or convicted of any securities violation," stated Waylan R. Johnson, President, Aztec Oil & Gas, Inc. He went on to state, "We feel obligated to clarify some issues due to the referenced false headline and inaccurate inferences which could be drawn from some news postings, which seem intended to be misleading."

Mr. Franklin Fisher, a consultant to Aztec and a former CEO of the firm, recently pled guilty to one (1) count of Obstruction of Due Process of Justice relating to an interview he had with federal agents in 2008. That interview, in turn, was related to events which primarily took place in 2004 involving an investment banking firm, SBI USA, and its principal, Shelley Singhal.

Mr. Fisher, an attorney, was not an officer, director, or majority shareholder of Aztec in 2004. In 2004, Mr. Fisher and the investment banking firm legitimately provided multi-millions of dollars to Aztec for acquisition of a major interest in the 8,000 acre Big Foot oilfield in Texas. Aztec sold that Big Foot interest approximately 18 months later, in early 2006, for a very substantial profit.

During 2004 and 2005, SBI and Shelley Singhal were alleged to be in control of Aztec and to have caused newsletters to be published about Aztec. A very minor portion of the funds supplied by Mr. Fisher for Aztec are alleged to have been used by the firm Bedford Proprietary Trading, who paid for publication of some of the referenced newsletters. Bedford was disclosed in the newsletter(s) disclaimer as the company paying for the newsletter(s) in compliance with Section 17(b) and the SEC requirements. Shelley Singhal and SBI allegedly controlled Bedford Proprietary Trading at the time of the newsletters.

There was no pump and dump scheme asserted regarding Aztec Oil & Gas shares, nor has Aztec Oil & Gas itself, nor any of its officers or directors, been accused of any involvement or wrongdoing. The facts in the bodies of the subject newsletters, as they pertain to Aztec, appear to have been accurate and publicly known prior to publication. It is not illegal or a crime to pay for promotional newsletters for a public company, and such is a somewhat common practice. The contention regarding SBI and Shelley Singhal appears to be that the disclaimers in the subject newsletters, while disclosing that the newsletters were paid for by Bedford Proprietary Trading, were intentionally not inclusive enough. A point contested by Mr. Singhal, who has been indicted for dealings involving several public firms. However, it should be pointed out that Mr. Fisher was not indicted or charged in any of those matters, including those involving Aztec. In addition to Mr. Fisher, two other lawyers from New York also pled guilty to obstruction of justice, or the like, relating to SBI and Mr. Singhal's actions with public firms.

In early 2006, after Aztec profitably sold its interest in the Big Foot field, Mr. Fisher bought the majority of SBI's Aztec shares, as well as those of SBI's associates and affiliates, in order to get them out of Aztec. Mr. Fisher then spent the next 3 ½ years personally financing Aztec and working long hours to diligently rebuild Aztec into a very active, growing oil and gas firm. Mr. Fisher retired as CEO and Chairman of the Board of Aztec over a year ago, according to plan, in his 70th year of life. At present Mr. Fisher is a consultant to Aztec and is less than a 5% shareholder.

Aztec is a viable, successful oil and gas firm and by industry standards is doing quite well. Aztec is not dependent on Mr. Fisher for financing its operations. The firm does, however, value Mr. Fisher's consulting input and again wishes to clarify that Mr. Fisher was not charged with or found to be guilty of violating any securities laws or regulations, nor has Aztec. There is also no known or anticipated liability for Aztec regarding any of the events, historical or present, related to Mr. Fishers pleading, and none has been claimed, or alleged, by any agency or authority.

We hope that the foregoing clarifies and negates the false and erroneous rumors being floated around, plus the false and misleading headline which was published.

About Aztec Oil & Gas, Inc.

Aztec is an experienced oil and gas exploration, development and production company focusing on Texas plus other areas of the U.S. Its interests are highly diversified between exploration drilling and development drilling; however, when it offers drilling/production partnerships, Aztec focuses primarily on shallow, Texas, low risk, development wells. When offered, those programs/partnerships are placed only by FINRA registered Broker Dealers and Registered Investment Advisors with accredited investor partners, and are focused primarily on oil, with natural gas normally a secondary target.

Aztec entered the sponsored drilling program industry in 2006.  Over the next two and one half years, it intentionally restricted itself to only three small, very limited Appalachian drilling partnerships in order to study and become fully familiar with the nuances of the sponsored drilling program industry before expanding to the Company's full capabilities. In the summer of 2008, Aztec publicly announced it was discontinuing any natural gas drilling in Appalachia, and was ready to substantially expand its sponsored drilling program activities, primarily for oil in Texas.

Since 2008, Aztec has, indeed, focused most of its drilling partnerships on oil wells in Texas. In addition to its initial three small Appalachian natural gas drilling partnerships mentioned above, Aztec has, intermittently, sponsored and closed eight other drilling/production partnerships (all of the latter focused on drilling for oil in Texas). Aztec Energy LLC, a wholly-owned subsidiary of Aztec, is the Managing General Partner of all Aztec drilling partnerships and another wholly-owned Aztec subsidiary, Aztec Drilling & Operating, LLC, is the drilling contractor and operator for such partnerships. Through its own participation and contributions, Aztec owns a 30% interest in all of its drilling/production partnerships. In general clarification of its activities, in addition to its own direct corporate participations in industry partner wells, Aztec sometimes sponsors low risk, development drilling/production programs which include significant tax benefits, all of which are placed only through FINRA Registered Broker Dealers and Registered Investment Advisors to Accredited Investors. Aztec's sponsored drilling/production programs, when offered, focus primarily on shallow oil/gas drilling, are considered unique, and also incorporate a sophisticated exit strategy for investors.

Please feel free to visit Aztec on the web at www.AztecOG.com . An option is provided on the website to join the Aztec (corporate) mailing list and receive up to date information on general Aztec activities, including all Aztec press releases.

This release/announcement/document is neither an advertisement, an offer to sell, nor a solicitation of an offer to buy securities, Units or participations of Aztec. This release/document contains certain statements, estimates, and forecasts with respect to future performance and events. All statements other than statements of historical fact included in this release/announcement/document, a Memorandum, or the Aztec website, including, but not limited to, statements regarding future performance of events, are forward-looking statements. All such forward-looking statements are based on various underlying assumptions and expectations and are subject to risks and uncertainties which could cause actual events to differ materially from those expressed in the forward-looking statements. As a result, there can be no assurance that the forward-looking statements included in this release/document, a Memorandum, or the Aztec Website will prove to be accurate or correct. In light of these risks, uncertainties and assumptions, the future performance or events described in the forward-looking statements in this release/document, a Memorandum, or the Aztec Website might not occur. Accordingly, investors should not rely upon forward-looking statements or historical performance as a prediction or indicator of actual or future results. Also, Aztec Oil & Gas, Inc., its officers, principals, employees, agents, subsidiaries, affiliates and consultants, and the other parties, investors, shareholders, partnerships and partners involved in any properties, programs, partnerships and Aztec activities have various conflicts of interests. The price received for the oil and natural gas produced from any investments, activities, properties may be less than quoted NYMEX prices at any given times. Specific results, yields, benefits, etc. are not guaranteed by us and are subject to risks and limitations inherent in the energy industry and/or described in any PPM and elsewhere. Aztec does not undertake any obligation to update any forward-looking statements, facts or other information, whether as a result of new information, future events, subsequent circumstances or otherwise.

CONTACT: Phoenix IR Associates
         Investor Relations
         Tony Drake
         (281) 579-1602
         Shareholders@AztecOG.com

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