Eastland Energy Group Inc.

Eastland Energy Group, Inc., is located in Eastern Ohio. We assist clients from the initial land leasing phase, through completion of the well, to the operation of the well over its producing life. We deal with investors who are qualified to invest in our well programs, on a cost plus turnkey basis. We have acreage positions in the Clinton, Marcellus, Rose Run and Utica plays, and are currently taking leases in eastern and southeastern Ohio. We also help Landowners and professionals with curative work on mineral rights, we have a Landman on staff.    Eastland Energy Group, Inc. is a private corporation that was formed by an experienced oilman of over 25 twenty-five years.  Michael J. Belaj (President) owns 100% of the stock in Eastland Energy Group, Inc.  Eastland Energy Group, Inc. is a bonded independent producer of oil and gas in the state of Ohio.  We have wells located in Guernsey, Muskingum, Noble and Wayne Counties.  Eastland Energy Group Inc. is constantly reworking existing wells and looking to drill new wells that meet our standards.

Our Mission

As many people are aware, the oil and gas business can be a risky one, but there are ways to lower the risks involved.  We believe that investing in currently producing oil and gas wells or drilling offset wells has a much lower degree of risk then rolling the dice and betting on a wildcat well.  When Eastland Energy drills a well, we attempt to minimize drilling risk by drilling a well that offsets existing production.  We typically drill  in area were wells have proven  production and are currently producing.   There is always risks involved when drilling a well; thats why Eastland employs competent drilling crews, engineers and geologist to ensure that the drilling operation run smoothly.   Eastland Energy Group, Inc. examines every opportunity to acquire good, producing properties.  After targeting a property, we research the surrounding wells and production history, examine the engineering , and finally, we enter into negotiations with the property owner.  We believe that these days a focused independent operator can acquire producing properties and improve payback by reworking wells and reducing administrative overhead and operation costs.  There are many oil properties available today that present solid cash flows and very realistic opportunities to increase their present daily production rates and overall recoverable reserves.  This is achieved through improved maintenance, utilization of surface equipment, replacement of down hole equipment and simply better field monitoring and management.  There is a great deal of difference between the day to day operations of a large, major oil company and the smaller, leaner independent oil company, leading to improvement in the efficiency and increase in asset value.  Eastland Energy Group, Inc. is always seeking to acquire quality properties at favorable prices.  We at Eastland are always working hard for our investors.

Investors

The United States  is the worlds largest consumer of oil, and currently imports almost 60% of its oil from foreign countries.  Most of these imports come from OPEC countries, six of which are in the volatile Middle East.  According to Energy Secretary Spencer Abraham, the energy sector in this country is strained  to capacity and is facing its most serious shortages since the Arab oil embargoes and gasoline lines of the 1970s.  As the worlds largest economy, the United States is naturally the biggest consumer of oil.  For forty years our energy demand has grown at a sustained rate of 2 percent annually to a current estimated usage of 18 billion barrels  of oil per day.  According to the US department of Energy, our energy demand will be 30 percent higher by 2020.  Our dangerous reliance of foreign oil can be diminished by increasing our domestic production as much as possible.    When talking about crude oil and natural gas prices in the United States  the general public need to be reminded of these facts:  Political upheavals (not just war), weather (such as hurricanes shutting down productions in the Gulf of Mexico), supply and demand factors, and refinery and pipeline outages all can greatly influence what goes on at the trading floors on Wall Street and other markets around the world.  As any astute investor knows, it is extremely difficult during these time to find financial opportunities which provide both security and a solid return on your hard-earned money.  Conventional investments in CDs, savings accounts, money markets, mutual funds, stocks and bonds, etc. are currently bringing very unsatisfactory returns and according to the Wall Street Journal and other well-know financial publications, prospect for performance improvements in the near future are not good.  With even the best performers projected and annual return of 8 percent or less, the average investor will realize much smaller returns than this.  One key to better returns is to diversify your portfolio to take advantage of opportunities which have excellent risk-to-reward ratios while still maintaining your personal and/or family financial foundations.  One should not be satisfied with the meager returns on CDs, passbook savings and money market accounts, and with the thousands of mutual funds available, it takes a financial genius to pick the right fund in the right sector.  Prudent investment in sound, well researched oil and gas drilling programs, through still considered a high risk, may offer a significant monthly cash flow from the sale of production from oil and gas wells, and very significant tax advantages as well.  Each investor is treated as a individual investor for tax purposes, generation substantial tax benefits which flow directly to individual investors.  Investors may receive tax deductions totaling approximately 78 to 85 percent of capital contributions in the first year, with the remaining balance written off during the subsequent years, for most investors, percentage depletion and depreciation of tangible equipment costs are available to shelter ordinary income at rates of up to 50 percent of cash distribution in the first seven years and 30 percent thereafter.   The drilling program also shelters passive income.  In other words, tax deductions obtained from intangible drilling and development costs (as well as depreciation  of tangible costs) may be used to offset the investors taxable income from other sources.   Also, a portion of the investors taxable income generated by the drilling program may be reduced by deductions from depreciations and percentage of depletion allowances.

Mineral Leasing or Buying

Eastland Energy Group Inc is working with Alpha Omega Acquisition a Texas Company in Leasing and Buying of Minerals for those landowners still looking for services.    The areas of interest that they are looking for are Jefferson (South Half),  Belmont, Monroe, Harrison, Guernsey and Noble.