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Allied Energy, Inc. Announces Decision to Complete Yakesch #2H Horizontal Well

BOWLING GREEN, KY -- (Marketwire) -- 02/13/13 -- Allied Energy, Inc. ("Company") (OTC Pink: AGGI) today announced that plans have been finalized to move forward with the completion of the Yakesch #2H horizontal oil well located on the Company's Yakesch Unit in Milam, County, TX.

The well was drilled to a total vertical depth (TVD) of 5,923 feet, and a total measured depth (TMD) of 6,755 feet. During drilling operations, oil was detected in the "pits" and a series of fractures in the Buda Limestone were encountered with a significant show of gas. The gas to surface was very significant, to a point that mud had to be diverted through a gas control choke and flared. Samples indicated limestone with fractures along with a bright blue and yellow fluorescence, which is indicative of oil. Completion operations have commenced, and management expects to be in a position to report an initial production rate of the well within 30 to 40 days.

Allied further announces that, based on the initial analysis of this well (the Yakesch #2H), the Company plans to drill an additional horizontal well on the Yakesch Unit.

Allied's CEO, Scott Harris, stated: "I believe that what we know about this well provides an excellent rationale for proceeding to drill a second location on this lease."

The costs of developing the Yakesch #2H well are being funded by two general partnerships sponsored by the Company. The partnerships hold an aggregate majority working interest in the Yakesch #2-H well. The Company holds a 0.1% working interest (0.075% net revenue interest), inclusive of its interests in the general partnerships.

About Allied Energy:

Allied Energy, Inc. is engaged in the oil and gas exploration and development business, with operations located primarily in Texas, Oklahoma and Ohio. The Company sponsors oil & gas partnerships through which it raises funds for the drilling and development of oil & gas wells. The Company serves as managing general partner of the partnerships and often owns differing partnership interests in the partnerships and/or differing direct interests in the properties in which the partnerships participate.

The Company's subsidiaries include Allied Operating, LLC and Allied Operating, Texas, LLC, two operating companies that are used to manage the drilling, development and operations of the oil & gas drilling partnerships sponsored by the Company, as well as for other non-affiliated oil and gas companies that are joint interest owners in drilling activities owned primarily by partnerships sponsored by the Company. The Company is also majority owner of Allied Gas Transmission, Inc., which owns the pipeline system used to transmit production from gas wells located in Rogers County, Oklahoma to gas purchasers.

The Company's ultimate strategic focus is on the development of oil and natural gas production and reserves. The Company believes that its oil and natural gas development strategy will provide growth to the Company in the future. For more information:

Forward-Looking and Continuing Statements:

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, price of oil and natural gas, state of the economy, industry regulation, reliance upon expert recommendations and opinions, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. The Company's future operating results are dependent upon many factors, including but not limited to: (I) the Company's ability to obtain sufficient capital or strategic business arrangements to fund its drilling plans; (ii) the Company's ability to 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, including but not limited to the strength of the overall economy; and (iv) other risk factors inherent to the oil and gas industry.

Heather Age
Allied Energy, Inc.
2427 Russellville Road
Bowling Green, KY 42101
Phone: 866-256-5836
Fax: 800-251-9322



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