Saxon Capital Group, Inc.

Saxon Capital Group, Inc. operates in the energy industry, specializing in acquiring, owning, operating, and applying enhanced oil recovery (EOR) techniques to existing shallow oil and gas fields. The company performs complete workover and stimulation services in these fields to restart or substantially increase production. It uses state-of-the-art workover and shallow-well drilling techniques, including new and innovative technologies under development, such as specialized shallow-well cased hole horizontal drilling (CHHD) and nitrogen (N2) injection. These technologies are intended to increase production volumes and reserve recoverability. Currently, Saxon Capital Group, Inc. is involved in developing, owning, and operating energy projects and prospects in East, Central, and South Texas. Active projects and prospects are located in Bastrop, Caldwell, Navarro, and Zavalla counties. These include the Bateman Project in Bastrop and Caldwell Counties (comprised of the Bateman Field and part of the adjacent Dale McBride Field), the Benton Field in Navarro County, and the Del Monte Prospect in Zavalla County. During 2007, the company prepared its shallow-well EOR projects for further development. In January 2007, it completed a reverse merger into a public company, acquired the Bateman Project, and raised $1,000,000 in additional capital through a private placement of common stock and warrants. The company began its second phase productivity improvement program in the Bateman Project, completing workover, initial repairs, and paraffin treatment on approximately 21 wells of the total 8 existing wells by year-end 2007. Monthly production from the Bateman Project increased to over 1,000 barrels in April 2008.