Victory Energy Announces Investment in the Lightnin' Prospect

AUSTIN, Texas, March 26, 2012 /PRNewswire/ -- Victory Energy Corporation (OTCQB: VYEY), through its partnership with Aurora Energy Partners, today announced the acquisition of a 75% working interest (56.25% net revenue interest) in the Lightnin' Prospect, a 320 acre position located in Glasscock County, Texas.  The acreage is surrounded by production and is prospective in several oil and gas shale zones.  Prospective targets include the Cline, Wolfberry (with Wolfcamp & Strawn), Fusselman and horizontal Wolfcamp.  

Kenny Hill, Victory Energy's CEO, stated, "This investment is our second acquisition of an unconventional resource play.  The size of this prospect and the significantly larger working interest taken by the company are representative of the types of projects we intend to add to our drilling portfolio this year.  Companies our size rarely see opportunities with this kind of range and quality.  We will be modeling our drilling program on the vertical and horizontal wells in the area that have demonstrated ultimate recovery values ranging from 120,000 and 535,000 barrels of oil equivalent."

Victory Energy paid $480,000 for the acquisition of the acreage, which is covered by 2D seismic data and is surrounded by existing production from the target formations.  The project will be operated by Unitex Oil and Gas, L.L.C., out of Midland, Texas.  Unitex plans to drill an initial vertical well to test the prospect targets, probably in the fourth quarter of 2012.  40 acre spacing provides adequate acreage for up to eight wells, if successful. 

Please note that Victory Energy intends to use its website, www.vyey.com, as a means of disclosing material non-public information and for complying with its disclosure obligations under Regulation FD. Such disclosures will be included on the Victory Energy website in the "Investor Relations" section. Accordingly, investors should monitor such portions of the Victory Energy website in addition to following press releases, SEC filings and public conference calls and webcasts.

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About Victory Energy Corporation
Victory Energy Corporation is engaged in the exploration, acquisition, development, and exploitation of domestic oil and gas properties. The company now leverages both internal capabilities and strategic industry relationships to acquire working interest positions in low-to-moderate risk oil and gas prospects.

Future investment will focus primarily on oil or liquid-rich gas projects within longer-life reservoirs that offer lower F&D costs / BOE.

The company had nine wells on production entering FY 2011 and seventeen on production at the end of the calendar year. Currently held acreage provides a pipeline of eighteen additional gross wells that could be drilled in FY 2012; however, we have line of sight to incremental projects beyond current acreage with generally higher working interest participation.

The company's current producing oil and gas assets are located in the United States. Download the investor fact sheet for current summary of projects and activity.   Victory Energy is current with its SEC filings and is a full reporting company.  The Company is traded under the ticker symbol VYEY on the OTCQB tier, operated by OTC Markets Group.

Safe Harbor Statement under the Private Securities Litigation Reform Act of 1995
There are forward-looking statements contained in this news release.  They use such words as "intend," "will," "may," "expect," "believe," "plan," or other similar terminology.  These statements involve known and unknown risks, uncertainties and other factors, which may cause the actual results to be materially different than those expressed or implied in such statements.  These factors include, but are not limited to: risks associated with the implementation of the Company's strategic growth plan; legislation and government regulation including the ability to obtain satisfactory regulatory approvals; conditions beyond the Company's control such as weather, natural disasters, disease outbreaks, epidemics or pandemics impacting the Company's customer base or acts of war or terrorism; availability and cost of materials and labor; demand for natural gas; cost and availability of capital; competition; the Company's overall marketing, operational and financial performance; economic and political conditions; the continued service of the Company's executive officer; adverse developments in and increased or unforeseen legal costs related to the Company's litigation; the success of the Company's strategic partnerships and joint venture relationships; the Company's ability to pay certain debts; adoption of new, or changes in, accounting policies and practices; adverse court rulings; results of other litigation in which the company is involved; and other factors discussed from time to time in the Company's news releases, public statements and/or filings with the Securities and Exchange Commission.  Forward-looking information is provided by Victory Energy Corporation pursuant to the safe harbor established under the Private Securities Litigation Reform Act of 1995 and should be evaluated in the context of these factors.  In addition, the Company disclaims any intent or obligation to update these forward-looking statements.

SOURCE Victory Energy Corporation