COFFEYVILLE, Kan., March 27, 2007 /PRNewswire-FirstCall via COMTEX/ -- Allenergy, Inc. (OTC: ALRY), is pleased to announce that it has completed due diligence on the potential acquisition of the 600-acre Bayless 'B' Project located in Montgomery and Chautauqua Counties, Kansas. "The Bayless 'B' as well as the Company's Dark Treasures and Ball leaseholds are situated on the eastern slope of the Longton Anticline that supports valuable geology and untested formations," said Allenergy President Larry Sanford.

"The Bayless project consists of five leases with a total of 20 wells, and comes completely equipped with tank batteries, pumping units, disposal wells, and gas taps with meter runs," Sanford said.

"Two larger companies have already attempted to acquire these five leases," Mr. Sanford continued, "but the mineral rights owner has seen first-hand Allenergy's innovations, environmental focus, and, most importantly, ALRY's ability to rapidly place acquired properties and wells into production."

"Our due diligence on the Bayless project has shown that 100% of Allenergy's investment to acquire the properties can come back to the Company in first-year production revenue," Sanford said. "Financing should be complete by mid-April 2007," he concluded, "and Allenergy will continue its aggressive efforts to obtain additional acreage in this prolific area."

About Allenergy: Allenergy, Inc. (OTC: ALRY), with a 17-year history in the oil and gas industry and current involvement in the multi-billion dollar natural gas fields in Kansas and Oklahoma, is strategically focused on areas of these states believed to contain more than 1.5 trillion cubic feet of natural gas and helium at shallow depths. The Company currently holds approximately 5,500 acres of leased land with over 100 oil and gas wells on its producing properties.

For more information about the Company, please visit http://www.allenergyinc.com

Note: Certain statements in this news release may contain "forward looking" information within the meaning of rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Act of 1934 and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, may include forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will be accurate and actual results and future events could differ materially from those anticipated in such statements.

Allenergy, Inc.: 877-277-8171.

SOURCE Allenergy, Inc.

CONTACT:+1-877-277-8171 or Paul Knopick of E&E Communications, +1-949-707-5365, pknopick@eandecommunications.com

URL: http://www.allenergyinc.com

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