Exhibit 99.3

                            American Energy Announces
            Plans to Move Forward with Galveston County Exploration

    WESTPORT, Conn.--(BUSINESS WIRE)--April 20, 2006--The American
Energy Group, Ltd. (OTC.BB: AEGG) announced today that is has executed
a Compromise Settlement Agreement with Smith Energy 1986A Partnership
("Smith Energy") and Howard A. Smith pertaining to its Galveston
County, Texas oil and gas leases removing the remaining obstacle to
its near term exploration plans for the properties. The two-year-old
dispute between American Energy and Smith Energy was based upon
American Energy's claims that it was entitled to a 15% back in working
interest in certain mid-depth producing zones under the Galveston
County, Texas leases as a result of the satisfaction of the payout
threshold criteria described in a 1986 assignment under which Smith
Energy acquired its working interest and rights to operate the
properties. Smith Energy had contested American Energy's payout
contentions.
    Under the terms of the Compromise Settlement Agreement, American
Energy Group acquired all of Smith Energy's 3% overriding royalty
interest in the deep zones greater than 10,000 feet as well as the
right to review valuable 3D seismic data covering the leases. American
Energy also acquired from Smith Energy affirmation of its claim to an
unfettered right to operate the oil and gas leases as to wells drilled
to depths greater than 10,000 feet. The Agreement also affords
American Energy access under mutually agreed terms to existing Smith
Energy facilities in connection with American Energy's future
operations, such as roads and salt water disposal facilities. American
Energy Group relinquished to Smith Energy Group under the agreement
its claims to the 15% back-in interest in the zones above 10,000 feet.
    Pierce Onthank, President and CEO of American Energy, stated: "We
are very pleased to have reached an amicable solution to our claims
without the need for protracted litigation. With these disputes behind
us, we intend to promptly analyze the high quality 3D seismic data
made available by the settlement. Based upon the results of this
analysis, we expect to identify the most favorable drillsites and to
make arrangements to drill the initial deep exploratory well on the
leases."
    This news release contains forward-looking statements.
Forward-looking statements include statements concerning plans,
objectives, goals, strategies, future events, or performance and
underlying assumptions and other statements, including opinions of
third parties regarding subsurface geologic conditions, which
estimates, assumptions or opinions are unproven. These statements are
subject to uncertainties and risks including, but not limited to,
economic conditions, the impact of competition and pricing, actual
operating conditions and results, and domestic and foreign government
regulation and approvals. All such forward-looking statements, whether
written or oral, and whether made by, or on behalf of the Company are
expressly qualified by the cautionary statements and any other
cautionary statements which accompany the forward-looking statements.
In addition, the Company disclaims any obligation to update
forward-looking statements to reflect events or circumstances after
the date hereof.

    CONTACT: The American Energy Group, Ltd.
             Pierce Onthank, 203-222-7315
             mail@aegg.net