Highly Positive Update to Danica Jutland CPR

New World Oil and Gas Plc / Index: AIM / Epic: NEW / Sector: Oil & Gas

12 June 2012

New World Oil and Gas Plc ('New World' or 'the Company')

Highly Positive Update to Danica Jutland CPR

New World Oil and Gas Plc, a company focussed on making investments in the oil and gas sector, has received a highly encouraging update to the Competent Person's Report ('CPR') from RPS Energy ('RPS') for the Danica Jutland Project located in the highly prospective Jutland on-shore area in South Western Denmark ('the Project').

Key Findings of the CPR:

·; Update follows the completion of Phase 1 of a 2-D seismic acquisition programme on the 1/09 and 2/09 Licences ('the Licences') that total 4,107 sq km

·; Indicative volumetric outcomes of two Triassic (gas) Prospects - "Jelling" and "Harboe" and one Zechstein (oil) Prospect -"Jensen" are presented in Table 1

·; Indicative success case Net Present Values ('NPV10'), based on conceptual development scenarios, were reviewed by RPS and are found to be reasonable in the event of success (see Table 2)

·; Probability of Geologic Success for Triassic Prospects upgraded to 1 in 8 from 1 in 12 from the previous CPR

·; Probability of Geologic Success for Zechstein Prospect upgraded to approximately 1 in 12 from 1 in 16 from the previous CPR

·; Phase 1 seismic data is of very good quality - covered a total of 134.65 line km

·; All eight Zechstein and two Triassic leads and prospects identified in first CPR (August 2011) using old 2-D seismic data, have been confirmed by Phase 1 of seismic

·; RPS states the licences are large and offer significant exploration potential should a discovery be made

·; With the completion of Phase 1 seismic, New World has applied for the assignment of the first 12.5% working interest in the Project

·; Phase two seismic on the Project will begin in August 2012 and should be completed by the end of Q1 2013

·; Option to earn 80% interest in the Project upon completion of drilling two wells set out in the Farm-Out Agreement (announcement 11 October 2011)

Table 1: Indicative volumetric outcomes for Jelling, Harboe prospects and Jensen lead (100% working interest basis)

Table 2: Indicative success case economic outcomes

New World CEO William Kelleher said, "After just the first phase of seismic, we now have indicative volumetrics and success case economic outcomes for our Danica Jutland Project totalling 147 MMBOE (unrisked sum of individual P50, three discovery case) and a NPV10 of US $1.305 billion net to New World, surpassing our own expectations. Moreover, these numbers only include three of 10 identified prospects or leads.

"This is an extremely positive CPR update and another significant milestone for New World and underpins the tremendous confidence we have in our first Danish project. We intend to acquire 55 line km of additional 2-D seismic this summer and will conduct further AVO work in an effort to reduce the GPoS in the Triassic to a 1 in 5, or better, and elevate the status of these two prospects to "drillable" with a view to drilling sooner rather later.

"Earlier this year we secured our second project in Denmark, the Danica Resources Project, which RPS, in their initial CPR, reported as having tremendous volumetric potential of unrisked P50 recoverable volumes of 1.4 TCF of gas in a Rotliegendes target and 97 MMstb oil in a Zechstein target with a combined P50 NPV10 of US $2.4 billion based on a conceptual development plan assuming a discovery in both reservoirs. Combined, Danica Jutland and Danica Resources make New World the largest licence holder in Denmark with 2.7 million acres. I look forward to updating shareholders on our continued rapid progress as we unlock the potential value of both projects in Denmark as well as our flagship project in Belize. "

The conclusions section of the Update to the CPR is reproduced in its entirety below:

"New World Jutland ApS is a wholly owned subsidiary of New World Oil & Gas Plc. New World currently has a 12.5% working interest ("WI") in two licences, 1/09 and 2/09, onshore Denmark and has the right to earn up to 80% WI and became Operator in October 2011 after Government and partner approval.

The licences cover a large portion of the country of Denmark and are located in an under-explored area and overlie an interesting mirror-image play to the well-established northern platform edge of the Southern Permian Basin.

The terms and forward commitments for the licences are reasonable, manageable and appropriately scaled to high grade the existing leads into drillable prospects should the results prove positive.

The recent acquisition, processing and interpretation of approximately 135 km of 2D seismic met the Company's first phase of work obligations and has marginally de-risked the previously identified leads and prospects. The new data has provided sufficient encouragement to embark on the next phase of activity. This will require further targeted 2D data over the Triassic prospects, Jelling and Harboe and, most likely, a 3D seismic survey over the Jensen lead in the Zechstein. Upon completion of this work New World's working interest in the licences will increase to 25%.

The plan to acquire more seismic is an essential next step to identify a robust prospect (or prospects) but elements of the remaining geological risk will only be mitigated by drilling one or more wells. Key risks are the presence of reservoir quality rocks in the Zechstein and robust structural closure in the Triassic, although possible DHIs exist in the Triassic which, together with gas shows in the Novling-1 well, may indicate a working hydrocarbon system in the area. Both plays have an element of source and migration risk.

The planned acquisition of seismic and the identification of robust structures could reduce the current geological risk to approximately 1 in 8 for the Zechstein and 1 in 5 for the Triassic.

Indicative volumetrics based on the currently available data demonstrate a suitably wide range of uncertainty on the potentially in-place and recoverable hydrocarbons. New World has run screening economics based on the range of outcomes and concludes that in the event of discovery the projects are likely to be commercially attractive. RPS has reviewed the assumptions and other input parameters for the screening economics and finds them to be reasonable."

In compiling their report, RPS Energy has used the definitions and guidelines as set out in the Petroleum Resources Management System ('PRMS') by the SPE/WPC/AAPG/SPEE in 2007 as the internationally recognised Standard required by the AIM Guidance Note.

The information contained in this announcement has been reviewed and approved by Andrew Kirchin on behalf of RPS. Mr. Kirchin has 24 years of relevant experience in the oil industry and is currently VP, Consulting (US), with RPS in Houston.

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For further information please visit www.nwoilgas.com or contact:

Notes

New World Oil and Gas Plc is focussed on making investments in the oil and gas sector, either by acquisition or by participation through Farm-Out. The Company targets late stage exploration or early production projects that, in the opinion of the Directors, are undervalued, underdeveloped or under-performing, located in basins with large proven reserves. New World is currently operating in Central America and Europe where New World has acquired two highly prospective projects via Farm-Out Agreements, although the Board is actively identifying exploitation opportunities in areas including Africa, South America and South East Asia.

New World's first investment was in the Blue Creek Project, located in the productive Petén Basin in northwest Belize, and consists of two concessions, Blue Creek and Blue Creek South, totalling 420sq km. The Company has signed a Farm-Out Agreement for up to a 100% working interest in the project upon full completion of the earn-in work programme. A multi-phased 2-D seismic acquisition and interpretation programme is being undertaken, with Phase 1 complete and Phase 2 currently underway, the completion of which will earn the Company a 25% interest in the project.