Avenue Reports on Recent Developments at Karakilise.

Business Editors

SHERMAN OAKS, Calif.--(BUSINESS WIRE)--Jan. 15, 2004

Avenue Group, Inc. (OTCBB:AVNU)(Frankfurt:ITQ) (the "Company") and its wholly owned subsidiary, Avenue Energy, Inc. ("Avenue") announced that based upon the results from the Karakilise-1 well, the operator, Aladdin Middle East Ltd. (AME) has recently undertaken certain infrastructure improvements at the Karakilise license, including road reinforcement to allow tanker transport, the construction of a tank farm and electrification. It is the current intention of AME that the infrastructure being developed at the Karakilise-1 well will serve as the hub for any future potential development of the Karakilise license. This hub will accommodate the production, preparation, storage and loading of oil produced at Karakilise.

Avenue has a 45% interest in the Karakilise-1 well pursuant to the Farmin and Participation Agreement, as amended between AME and affiliated companies, Middle East Petroleum Services Ltd. and Avenue. Since commencing production in mid-September, the Karakilise-1 well has produced approximately 21,000 barrels of good quality light crude. During the month of December, a total of 3,538 barrels of good quality light crude (32.58 API) were produced at Karakilise-1.

Avenue and AME are currently in discussions with respect to Avenue's participation in expenditure for infrastructure improvements and the drilling of a second well at the Karakilise license which AME currently anticipates commencing during March of 2004.

In order to fully participate in all the activities at the Karakilise license, the other anticipated oil and gas related activities in the Republic of Turkey during the next twelve months and to fund corporate overhead expenditures, the Company will need to seek additional financing through the sale of debt and equity securities. As the Company previously reported, with the full conversion in September 2003 of the $1.3 million convertible note issued under a purchase agreement in April of last year into shares of the Company's restricted common stock, the Company has less than $100,000 of short and long term indebtedness.

Technical Overview

Turkey straddles the oil-rich Middle East and the energy hungry European Union (EU). The South-East Turkey region forms the north flank of the Arabian Basin, and lies adjacent to the major oilfield belt of Iraq, Iran and Syria. Only approximately 1,400 exploration and appraisal wells have been drilled in the whole country since 1961. Turkey's portion of the Arabian Basin has had relatively less exploration with fewer wells per acre drilled than the rest of the prolific oil producing Arabian Basin.

In November 2003, Avenue gave notice of its intention to exercise its options over interests in petroleum licenses and leases which along with the participating interests it currently holds, gives Avenue what it believes to be the largest non-governmentally operated petroleum exploration and production acreage in Turkey.

Over 50% (in area) of these licenses and leases are located between producing oilfields in SE Turkey (including Turkey's largest oilfield -- the Raman Oilfield) and the producing oilfields in northeastern Syria and northwestern Iraq. The remainder of the Licenses are located in central and western Turkey.

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 Reform 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.