Avalon Group Buys Control Stake in Domestic Energy Corp.

Avalon Group Limited, a priavte equity firm based in New York, has agreed to acquire a majority stake in Domestic Energy Corporation, a Honeoye, N.Y.-based OTC-listed oil and gas exploration company.


Domestic Energy Corporation. (OTC.PK: DMEC)(“Domestic Energy” or the “Company”)
announced today that on the 10th of October 2009 the majority shareholders and
the Board of Directors reached an agreement with the Avalon Group Limited for
the acquisition of controlling interest in the Company.

The Avalon Group Ltd will move to recapitalize the Company over the next few
months. The focus of Avalon will be to merge several of the Groups North
American and International natural resource projects into Domestic Energy to
advance the Company into a consistent and positive revenue stream. Pursuant to
the terms of the agreement, the board of directors and executive officers of
Domestic Energy resigned and were replaced by the board and officers of The
Avalon Group Ltd`s natural resource division.

“The successful completion of this transaction is a major milestone for us,”
stated Marcie Corbin, the Avalon Group Ltd`s Chief Financial Officer. “Our
acquisition of the controlling interest in the Domestic Energy Corporation will
provide us with new opportunities to expand our International natural resource
operations into North America, and enable us to grow our company, and greatly
enhance our visibility and market awareness of our products and services.”

“As a member of the new Board of Directors for Domestic Energy, I am excited for
the future of the business and the expansion of its role in the North American
and International oil and gas industries”, stated Dr. Bruce Fischer – Chairman
of the Board for the Domestic Energy Corporation /

Avalon Group Ltd is an International based private equity investment
corporation, which identifies and develops assets within the Agro-Forestry,
Healthcare, Exclusive Leisure Travel, Software Technology, Media Distribution,
Entertainment, Natural Resource and Real Estate economies with the potential for
above average capital appreciation and increasing cash flow returns. We maintain
a diversified portfolio of business and investments in order to limit
operational and industry risks.

Domestic Energy Corp is a independent oil and gas exploration-development
company focused on the exploitation of long-lived, low risk natural gas and oil
properties. Domestic Energy is in a position to acquire and exploit shut-in gas
wells and those wells whose profitability has declined due to interrupted
service. Additionally, revenue is generated by transporting gas to market for
other producers. Domestic Energy will be positioned to maximize production of
existing wells by proper engineering practices such as well stimulation in the
form of nitrogen or acid fracturing.

This press release contains forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933, as amended (“the Exchange Act”), as
such, may involve risks and uncertainties. Forward-looking statements are based
upon certain assumptions and describe future plans, strategies and expectations,
are generally identifiable by the use of words as “believe,” “expect,” “intend,”
“anticipate,” “project,” or other similar expressions. Forward-looking
statements relate to, among other things, future performance, and perceived
opportunities in the market and statements regarding the Company’s mission and
vision. The Company’s actual results, performance and achievements may differ
materially from the results, performance, and achievements expressed or implied
in such forward-looking statements. Additional factors could materially affect
these forward-looking statements and/or predictions include, among other things:
(1) managing acquisitions and expansion of operations; (2) obtaining necessary
financing and managing existing debt; (3) completing the investigation,
acquisition and integration of new business opportunities; (4) complying with
federal, state and local government and international regulations; and (5) other
factors over which we have little or no control.