BOWLING GREEN, KY--(MARKET WIRE)--Aug 27, 2008 -- Allied Energy, Inc. (Other OTC:AGGI.PK - News) announced today that it has successfully drilled the first of six drill-site locations in Southeast Ohio and encountered indications of gas in various conventional and nonconventional reservoirs in Washington and Athens Counties.

The Humphrey #1 was drilled to a total reported vertical depth of 3,998 feet with indications of gas in multiple zones. The Humphrey #1 is currently schedule for completion to occur in the next couple of weeks.

"We expect to reach total depth on our 2nd location in the next day or two," said Steve Stengell, Allied's President. "We are tentatively scheduled to drill four more locations in Southeast Ohio over the next 2 months."

About Allied Energy

Allied Energy, Inc. (Other OTC:AGGI.PK - News) is an independent energy development firm primarily engaged in the exploration, development, and production of oil and natural gas in the continental United States. The company relies upon its industry partners, well operators, geologists, petroleum engineers, and financial analysts whose combined industry experience is essential to the success of each project. Allied Energy's strategic focus is the development of oil and natural gas reserves. As the fuel of choice to meet the growing demand for a clean-burning domestically produced fuel, the company firmly believes its natural gas exploration strategy should provide substantial growth to the company for the years to come.

For more information: www.alliedenergy.com

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, performance or achievements of the Company to be materially different from those expressed or implied by such forward-looking statements. No assurances can be made that any well completed for production will be profitable. Nor can any assurances be made that commercial production will be established. The Company may have varying degrees of working interest ownership in each well and/or prospect. Thus, gross revenue projections may not be equal to what is distributed net to the Company. The Company's future operating results are dependent upon many factors, including but not limited to the Company's ability to: (i) obtain sufficient capital or a strategic business arrangement to fund its expansion plans; (ii) 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; and (iv) other risk factors inherent to the oil and gas industry.

     Company Contact:
     Steve Stengell
     Allied Energy, Inc.
     2800 Griffin Dr.
     Bowling Green, KY 42101
     Phone: 866-256-5836
     Fax: 800-251-9322
     Website: http://www.alliedenergy.com
     Email: info@alliedenergy.com