AEDC American Energy Development Corporation (CE)

American Energy Development Corp. (OTCBB:AEDC) hereafter "AED", is pleased to announce its $7,800,000 financing agreement with institutional investor, Metage Special Emerging Market Energy Ltd.

The financing agreement is structured in an equity format, and does not include any debt, or result in any debt obligations to AED. The financing should allow AED funding to continue its aggressive drilling, development and expansion program.

Joel Felix, Chief Financial Officer of American Energy Development Corp., said, "I'm delighted that we know we have capital backing to finance our long-term development strategy for the company. The equity investment structure will allow all funding received to be allocated to growing the company, while not burdening the company with servicing any debt."

Capital Expenditure Program

AED is currently underway with a drilling program in Michigan targeting Niagaran reef structures. Using the company's 19.23 square miles (over 12,300 acres) of high-resolution 3-D seismic data, a series of drill targets have been identified on the 1,343 acres Dansville Prospect.

The first well drilled on the acreage, Brown #2-12, has recently completed the sale of the first 1,000 barrels of oil produced, with construction of production facilities in the final stages.

Historical records of Niagaran reef production in Michigan show that over 4,200 wells have been drilled targeting reef formations, producing a total of 472 million barrels of oil and 2.8 trillion cubic feet of gas, with development of reef trends driven by Royal Dutch Shell, BP and ExxonMobil. According to a recent USGS report on the basin, the recoverable reserves are in excess of 1.8 billion barrels of oil and 17 trillion cubic feet of natural gas.

Herold Ribsskog, President of American Energy Development Corp., said, "With this financing, we intend to continue to build this company in a manner which we believe will create maximum shareholder value, through the drillbit. We are very grateful for the support Metage has shown us to date, and we believe continued positive results will facilitate an increase in the funding available."

About American Energy Development Corp.

American Energy Development Corp. is an independent U.S. energy company, committed to creating American energy independence through the development of acreage in established oil and gas basins. Using the latest geological, geophysical, and environmental technology, the Company's goal is to locate, drill, and produce oil and gas in the United States and secure regions. American Energy Development's focus is on the development of Niagaran oil reefs in Michigan and the underexplored onshore basins in the United Kingdom.

This press release contains forward-looking statements (as defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended) concerning future events and the Company's growth and business strategy. Words such as "expects," "will," "intends," "plans," "believes," "anticipates," "hopes," "estimates," and variations on such words and similar expressions are intended to identify forward-looking statements. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove to have been correct. These statements involve known and unknown risks and are based upon a number of assumptions and estimates that are inherently subject to significant uncertainties and contingencies, many of which are beyond the control of the Company. Actual results may differ materially from those expressed or implied by such forward-looking statements. Factors that could cause actual results to differ materially include, but are not limited to, changes in the Company's business; competitive factors in the market(s) in which the Company operates; risks associated with oil and gas operations inside and outside the United States; and other factors listed from time to time in the Company's filings with the Securities and Exchange Commission. The Company expressly disclaims any obligations or undertaking to release publicly any updates or revisions to any forward-looking statements contained herein to reflect any change in the Company's expectations with respect thereto or any change in events, conditions or circumstances on which any statement is based. 

Cautionary Note to U.S. Investors - The United States Securities and Exchange Commission permits oil and gas companies, in their filings with the SEC, to disclose only reserves that comply with the definitions presented at Rule 4-10(a) of Regulation S-X. We use certain terms in this press release that the SEC's guidelines strictly prohibit us from including in filings with the SEC. Examples of such disclosures would be statements regarding "probable," "possible," or "recoverable" reserves among others. U.S. Investors are urged to consider closely the disclosure in our Annual Report on Form 10-K and Form S-1, File No. 333-169014, available from us at American Energy Development Corp., 1230 Avenue of the Americas, 7th Floor, New York, NY 10020.

CONTACT: American Energy Development Corp.
         Joel Felix, Chief Financial Officer
         1230 Avenue of the Americas, 7th Floor
         New York, NY 10020
         Phone: (855)645-2332
         Fax: (917)639-4000
         Web: www.aed-corp.com
         Email: ir@aed-corp.com