Avenue Has Recovered Oil from Karakilise-1, Its Second Exploration Well in Turkey.

Energy Editors/Business Editors

SHERMAN OAKS, Calif.--(BUSINESS WIRE)--Sept. 8, 2003

Avenue Group, Inc. (OTCBB:AVNU) (Frankfurt:ITQ) (the "Company") and its wholly owned subsidiary, Avenue Energy, Inc. ("Avenue"), announced today that oil production testing operations are underway at Avenue's second exploration well, Karakilise-1, in the Diyarbakir Petroleum District of Southeast Turkey.

On September 7, 2003, Karakilise-1 reached a depth of 8,110 feet and one double drill pipe stand of good quality oil had been recovered from a drill stem test in the Mardin Group reservoir objective. Significantly, only oil and drilling mud and no formation water was recovered by testing, which suggests that the well has not intersected an oil / water contact.

Avenue has elected to increase its participation interest in the Karakilise-1 well and License to 45%, through an additional investment of $1 million.

KARAKILISE-1

Karakilise-1 is an exploration well, designed to test the petroleum potential of the Cretaceous age Mardin Formation. The top of the objective Mardin Formation reservoir was encountered at 8,055 feet and the well was drilled to the current total depth of 8,110 feet.

The Operator and Avenue's Joint Venture partner, Aladdin Middle East Ltd ("Aladdin"), reports that Drill Stem Test Number 4 over the interval 8,020 to 8,110 feet recovered one double drill pipe filled with clean light oil from an oil pool with high reservoir pressure, which is close to the natural flowing pressure value. Preparations are being made to put the well on immediate production. At this stage we have insufficient data to determine the commerciality of this well.

The Karakilise Prospect is situated in the foreland immediately south of the thrust fault zone, which forms the northern edge of the Arabian Basin. The Karakilise License is 6 kilometers south of a producing oil trend of 18 fields discovered by Shell. The Karakilise License is located 135 kilometers east of the Tosun License and holds several additional undrilled structures.

TOSUN-1

Avenue announced on May 27, 2003 that its first exploration well, Tosun-1, had encountered oil in the objective Derdere formation below 10,709 feet. The well recovered approximately 100 barrels of good quality light oil (32-34 API) as well as formation water. Subsequent swab testing indicated that a high volume percentage of formation water is produced with the oil and that it is unlikely that the oil-producing zone can be separated from the water-bearing zone in this well. The Tosun-1 well is now being abandoned and the Joint Venture is considering a seismic program to map the extent of the oil pool intersected by the Tosun-1 well and to detail additional structures which may hold commercial oil accumulations within the License.

The technical content of this release was provided by Avenue's Director of Exploration, Dr Jaap Poll, a Certified Member of the American Association of Petroleum Geologists (AAPG) and a Distinguished Member of the Petroleum Exploration Society of Australia (PESA). For technical information, please contact [e-mail]

Certain information contained in this Press Release is considered forward-looking statements within the meaning of the Private Securities Litigation Act of 1995 (the "Act"), which became law in December, 1995. In order to obtain the benefits of the "safe harbor" provisions of the Act for any such forward-looking statements, we wish to caution investors and prospective investors about significant factors which, among others, have in some cases affected our actual results and are in the future likely to affect our actual results and cause them to differ materially from those expressed in any such forward-looking statements. This Press Release contains forward-looking statements relating to future operational and business prospects. Actual results may differ as a result of factors over which we have no control, including general economic and business conditions; competition; success of operating initiatives; operating costs; advertising and promotional efforts; the existence or absence of adverse publicity; changes in business strategy or development plans; the ability to retain management; availability, terms and deployment of capital; business abilities and judgment of personnel; availability of qualified personnel; labor and employment benefit costs; changes in, or failure to comply with various government regulations; slower than anticipated completion of research and development projects and movements in the foreign exchange rate. Future results with respect to oil and gas properties would be subject to the timing and amount of capital expenditures by us; drilling of wells; timing and amount of future production of oil and gas; operating costs and other expenses; cash flow and anticipated liquidity; prospect development and property acquisitions; and our marketing of oil and gas. Other factors which could affect our results with respect to its future oil and gas operation are the consummation of our acquisition of an interest in Anzoil (Thailand) Pty Ltd and the timing of such transaction. These other factors include, among others: general economic conditions; oil and gas price volatility; our ability to find, acquire, market, develop and produce new properties; the risks associated with acquisitions and exploration; operating hazards attendant to the oil and gas business; downhole drilling and completion risks that are generally not recoverable from third parties or insurance; uncertainties in the estimation of proved reserves and in the projection of future rates of production and timing of development expenditures; potential mechanical failure or underperformance of significant wells; the strength and financial resources of our competitors and our ability to find and retain skilled personnel.