Development Drilling Projects
As explained in the description of Aztec’s Phase III, these projects are focused on systematically drilling development and step out wells in under-exploited, low-cost areas of the U.S. by including “local” operators and outside investors under a variety of scenarios. Based on carefully focused research, we believe this opportunity exists in a number of regions of the U.S. Aztec has successfully demonstrated its ability to exploit this strategy to the benefit of everyone involved. Exploratory Drilling Participation
Aztec is aggressively seeking to acquire minority participations in exploratory wells which meet its strict investment criteria — these criteria include rigorous seismic research, an extensive historical production record coupled with high resource potential in the target area, and partnership with the industry’s better E&P companies, drilling operators and contractors. The company has already completed six or more such participations and plans to make more announcements in the future. New Properties
Aztec Oil & Gas plans to seek out other producing oil & gas properties with promising, proven undeveloped reserves (PUDs). Aztec is also seeking similar properties where it can acquire stakes in existing production and apply its unique strategy of leveraging the capital of all investor participants. Company Acquisitions
Aztec also plans to leverage its status as a publicly traded company to possibly acquire other oil & gas companies and/or holdings in order to rapidly increase its size and market value. This strategy, while dependent on the equities involved, affords Aztec the ability to grow much faster than relying exclusively on financing drilling participations and the reinvestment of profits from existing operations. Aztec is not a “promise in the future”, as are many public oil companies. Aztec has existing production and substantial reserves attributable to its presently owned interest, and Aztec has already sold its first Phase I property interest/investments for a significant profit and sufficient proceeds in 2006 to pay off substantially all of its outstanding debt. | 
