Press Release -
 

NAL Oil & Gas Trust Completes Acquisition of 70 Percent of Addison Energy's Oil and Gas Assets and $233 Million Offering of Trust Units

CALGARY--(CCNMatthews - Feb. 10) - 

NOT FOR DISTRIBUTION TO U.S. NEWSWIRE SERVICES OR FOR DISSEMINATION IN 
THE UNITED STATES.

NAL Oil & Gas Trust ("NAL" or the "Trust") (TSX:NAE.UN) today closed 
its previously announced acquisition of all of the outstanding shares 
of Addison Energy Inc. ("Addison") for $550 million and the immediate 
sale of an undivided 30% interest in the Addison properties for   $165 
million to a wholly-owned subsidiary of Manulife Financial Corporation. 
Total consideration paid by the Trust for the 70% interest in Addison 
amounted to $385 million.

NAL today also completed the public offering of 17,000,000 Trust Units, 
which was announced concurrent with the above transactions, at a price 
of $13.70 per Trust Unit for gross proceeds of $232,900,000. As a 
result of this offering, NAL now has 70,134,332 Units issued and 
outstanding.

Trust Units purchased pursuant to this offering will participate in the 
March cash distribution of $0.16 per Trust Unit, payable on March 15, 
2005 to Unitholders of record on February 22, 2005.

The net proceeds of the offering will be used to fund a portion of the 
purchase price for the Addison acquisition.

RBC Capital Markets and BMO Nesbitt Burns Inc. co-led the underwriters' 
syndicate, which included CIBC World Markets Inc., Scotia Capital Inc., 
TD Securities Inc., Canaccord Capital Corporation, National Bank 
Financial Inc., Desjardins Securities Inc., Raymond James Ltd., Dundee 
Securities Corporation and Peters & Co. Limited.

This news release shall not constitute an offer to sell or the 
solicitation of an offer to buy the securities in any jurisdiction. The 
trust units offered will not and have not been registered under the 
United States Securities Act of 1933 and may not be offered or sold in 
the United States absent registration or applicable exemption from the 
registration requirement.

Forward-Looking Statements

This disclosure contains certain forward-looking statements that 
involve substantial known and unknown risks and uncertainties, many of 
which are beyond NAL's control, including: the impact of general 
economic conditions in Canada and in the United States, industry 
conditions, changes in laws and regulations including the adoption of 
new environmental laws and regulations and changes in how they are 
interpreted and enforced, increased competition, the lack of 
availability of qualified personnel or management, fluctuations in 
foreign exchange or interest rates, stock market volatility and market 
valuations of companies with respect to announced transactions and the 
final valuations thereof, and obtaining required approval of regulatory 
authorities. NAL's actual results, performance or achievement could 
differ materially from those expressed in, or implied by, these 
forward-looking statements and, accordingly, no assurances can be given 
that any of the events anticipated by the forward-looking statements 
will transpire or occur, or if any of them do so, what benefits, 
including the amount of proceeds, that NAL will derive there from.

Contact Information:

NAL Oil & Gas Trust Donald P. Driscoll President & Chief Executive Officer (403) 294-3600 or Toll Free: 888-223-8792 Fax: (403) 294-3699 or NAL Oil & Gas Trust Paul E. Belliveau Vice President Finance & Chief Financial Officer (403) 294-3600 or Toll Free: 888-223-8792 Fax: (403) 294-3699 or NAL Oil & Gas Trust Anne-Marie Buchmuller Manager, Investor Relations (403) 294-3600 or Toll Free: 888-223-8792 Fax: (403) 294-3699 Email: Investor.Relations@nal.ca Website: www.nal.ca