SCOTTSDALE, Ariz., Nov. 1, 2011 /PRNewswire/ -- Delta Mutual, Inc. (OTCBB: DLTZ) is pleased to announce that the Valle de Lerma Exploration and Exploitation Oil & Gas Block License has been awarded to the Company through its wholly-owned subsidiary, SAHF, by the Government of Salta, Argentina, under Salta Governor Decree Number 4519 dated October 25th, 2011.

The License covers an area of approximately 5,259 square kilometers and is located in the Northwest Cretaceous Metan Basin surrounding the capital city of Salta situated approximately 1700 km Northwest of Buenos Aires. The license allows SAHF twenty years to explore and produce hydrocarbons with a renewal option of ten more years.

The Valle de Lerma block has been explored in the past by YPF and several seismic 2D lines were extensively performed to research the area. Two Exploratory Wells were drilled in December 1990 and November 1994 by a private Company; both indicated hydrocarbon traces or presence. In the second Well, named "La Troja" (total depth of 1433 mbbp), an oil production of 28 API density was tested at 1277 mbbp for a test time of 19 hs. For strategic reasons, the wells were capped.

Delta and its partner, Grasta Petroleum, (a mid size refinery) will develop the block exploration starting with 2D Seismic interpretation with Nexus LLC; geological model application and Hydrocarbon Micro seepage Survey with Geo Microbial Technologies Argentina (Guemes Method), and La Troja well work over with a local Rig Co; the target will be the Cretaceous zone, both in old and new wells.  

The exploration Terms are four years for the first period, three years for the second and two years for the last period.

Dr. Peralta, CEO and Chairman, says: "We are extremely excited about the challenge of developing this area in the Cretaceous Basin that we consider, after careful data analysis, to have been underexplored and, because of that, to have maintained its full reserve potential." Delta expects to commence the "work-over" phase of the "La Troja" Well exploration prospect in the Valle de Lerma Area (SAHF holds controlling interest and is the operator) in the fourth quarter of 2011.

ABOUT DELTA MUTUAL, INC.

Delta Mutual, Inc. invests in oil and gas properties in South America. It intends to focus on its investments in the energy sector, including development of energy producing investments and alternative energy production in Latin America and the United States and Canada. Delta is pursuing a strategy of balancing "carry-over" participation rights in producing Blocks, and capital-intensive investments in exploratory on-shore Blocks in which it has operational control.

FORWARD LOOKING STATEMENTS:

This press release contains forward – looking statements that involve risks and uncertainties, which may include statements about business strategy and development plans, plans for entering new business anticipated sources of funds, including proceeds from future operations and plans, objectives, expectations and intentions contained in the Press Release that are not historical facts such as "subject to the executions of definitive agreements, governments licenses etc."  Because these forward – looking statements involve risk, and uncertainties, actual results could differ materially from those discussed in the Press Release.  These risks are outlined in our SEC filings.

Contact: Delta Mutual, Inc.

Malcolm W. Sherman, Executive Vice President

Tel: 480-477 5809

E-Mail  Mwsherman3@aol.com

SOURCE Delta Mutual, Inc.

Copyright 2011 PR Newswire

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