HOUSTON, April 26, 2011 (GLOBE NEWSWIRE) -- Aztec Oil & Gas, Inc. (Pink Sheets:AZGS) announced today the recent filing of its financial results for the quarter and six months ending February 28, 2011. For the three months ending February 28, 2011, Oil and Natural Gas Sales increased to $474,804 versus $34,118 for the comparable three months ending February 28, 2010, or approximately a 1,292% increase. The Company has achieved further significant improvement over the year end results of six months ago, August 31, 2010. A quick summary of the filings show that Aztec's Total Assets more than doubled to $22,884,268. Cash (as reported in Current Assets) increased approximately 54% to $7,596,283. On a related basis, Current Liabilities decreased approximately 23% to $1,670,879 and Total Liabilities decreased from $3,115,185 to $2,505,362, or approximately 20%. In the foregoing regard, Aztec maintains a significant line of credit with a major Houston bank, but has paid down the outstanding balance on that line to the minimum of one thousand dollars ($1,000). Also, during the current six month reporting period, Total Equity for Aztec increased to $20,378,906 from $8,318,708, or approximately 145%. All of the latter foregoing percentages are compared to the period for the fiscal year ending August 31, 2010, and all percentages are rounded to the nearest full number.
"Aztec has been substantially ramping up its operations, and those efforts are beginning to show in its corporate financial results. With oil prices posting very dramatic increases, and our drilling focus being principally on oil for over 3 years now, we anticipate a very nice year in 2011," stated Waylan R. Johnson, President of Aztec Oil & Gas, Inc. Mr. Johnson further stated, "Our people have worked very hard establishing Aztec's reputation for quality, reliability and performance in both our corporate endeavors plus our public drilling programs. When we do offer our drilling programs, they have been gaining popularity with broker dealers and investors."
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 early, 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 lower risk, development drilling/production programs which include significant tax benefits, all of which are offered 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.
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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(s) 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 Memorandum 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