CALGARY--(CCNMatthews - July 12) - Mr. Charles Caty, Chairman of the Board, is pleased to announce the addition of Gordon Lackenbauer of Calgary, Alberta to the Board of Directors of NAL Oil & Gas Trust (TSX:NAE.UN) (the "Trust").

Recently retired as Deputy Chairman of BMO Nesbitt Burns, Mr. Lackenbauer brings significant financial expertise to his new position, including a background in energy, capital markets, and mergers and acquisitions. During a 36-year career in investment banking, he was actively involved in the underwriting and distribution of corporate securities and provided financial advice to many Canadian corporations. He currently serves as Chairman of Tembec Inc., Director of TransAlta Corporation and Governor of Mount Royal College.

Mr. Lackenbauer will fill a vacancy on the Trust's Board that was created by the retirement of Richard Coles of Toronto, Ontario effective June 30, 2006. Prior to retiring in 2001, Mr. Coles served as Executive Vice President, Investments of Manulife Financial Corporation ("Manulife") where he was responsible for Manulife's investment portfolios valued at approximately $14 billion.

Mr. Caty said "We are very grateful for Richard's service to NAL since the inception of the Trust ten years ago. We welcome Gord Lackenbauer to the Board and look forward to benefiting from his counsel."

The addition of Mr. Lackenbauer increases the number of independent directors serving on the Trust's Board to five, including Charles Caty, Irvine Koop, Dennis Flanagan and Barry Stewart. The Trust continues to enjoy a positive relationship with Manulife, which is represented on the Board by Leo de Bever, Executive Vice President, Global Investments for Manulife and Andrew Wiswell, President and Chief Executive Officer of NAL Resources Management Limited. NAL Resources Management Limited currently manages approximately 19,500 barrels of oil equivalent production per day on behalf of the Trust and 17,000 barrels of oil equivalent production per day on behalf of Manulife.

NAL Oil & Gas Trust is an open-end investment trust that generates distributions through the acquisition, development, production and marketing of oil, natural gas and natural gas liquids. The Trust owns high quality assets in Alberta, Saskatchewan and Ontario. Trust units trade on the Toronto Stock Exchange under the symbol "NAE.UN".

Contact Information:

NAL Oil & Gas Trust
Gord Currie
Manager, Investor Relations
(403) 294-3620 or Toll Free: 1-888-223-8792
Fax: (403) 515-3407
Email: Investor.Relations@nal.ca
Website: www.nal.ca