pukeko-1 progress report

FYI.
Kapuni 'C' Sands expected at 3300m
Kapuni 'D' Sands expected at 3500m
Kapuni 'F' Ssnds expected at 3700m

MINE: NOG: PUKEKO-1 PROGRESS REPORT

19 May 2004

PUKEKO-1 PROGRESS REPORT

At 6:00am NZ time on 19 May, Pukeko-1 was at a depth of 3212 metres and
drilling ahead in 8 ?" hole.

New Zealand Oil & Gas Limited holds a 12.5% interest in PEP38460 through
subsidiary Stewart Petroleum Company Limited.

Other participants in the venture are New Zealand Overseas Petroleum Limited
(operator) 45%; WM Petroleum Limited (a wholly owned subsidiary of Pan
Pacific Petroleum N.L.)10%; AWE New Zealand Pty Ltd 20%; and Mitsui E&P New
Zealand Limited 12.5%.