Benz Acquires Additional Interest in Old Ocean Field.

HOUSTON--(BUSINESS WIRE)--March 16, 1999--Benz Energy Ltd. (VSE:BZG) today announces that it has acquired a 39% working interest from Mobil in the Old Ocean Field in Brazoria and Matagorda Counties, Texas. This acquisition gives Benz a total 61.5% working interest below the deepest producing sand within the Old Ocean Field unit following completion of a 3-D survey. Outside the field, Benz controls a 69.2% working interest in approximately 44,000 acres. Old Ocean Field is the largest onshore Frio natural gas field in North America, having produced more than 4.5 TCF of gas and 450 million barrels of oil to date.

Due to high industry interest in Benz's 3-D project at Old Ocean, Benz expects to sell a portion of its total interest for approximately $9 million and use a portion of the proceeds to meet the remaining costs of the 3-D survey.

Benz expects to complete the data acquisition for the 102-square mile 3-D seismic survey in April. The 3-D survey will be instrumental in identifying exploratory and exploitation prospects and drill sites in the overpressured Middle and Lower Frio sands between 11,500 feet and 16,000 feet. Similar 3-D based exploration below established Frio production has resulted in major discoveries in the nearby Wadsworth and Chocolate Bayou Fields. Benz expects that drilling will commence by year-end.

Robert H. Herlin, Sr. VP and CFO, commented, "Old Ocean is one of our cornerstone properties, and we expect that it will ultimately surpass our Oakvale Dome Field in net revenues and net production. As part of our 1999 corporate growth strategy, Benz is also selling non-core projects and prospects estimated to generate net funds in excess of $11 million. We plan to use these proceeds to fund a portion of the Company's 1999 capital expenditure program."

Benz Energy Ltd. is an exploration and development oil and gas company based in Houston, Texas, focused on natural gas in the onshore U.S. Gulf Coast region of Mississippi, Texas and Louisiana.

Cautionary Statement as to Forward-Looking Information

Investors are cautioned that the preceding statements of the Company include certain estimates, assumptions and other forward-looking information ("forward-looking statements (information)"). The actual future performance, developments and/or results of the Company may differ materially from any or all of the forward-looking statements (information), which include current expectations, estimates and projections, in all or part attributable to general economic conditions and other risks, uncertainties and circumstances partly or totally outside the control of the Company, including rates of inflation, natural gas prices, reserve estimates, drilling risks, future production of oil and gas, changes in future costs and expenses related to oil and gas activities and hedging, financing availability and other risks related to financial activities.

The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or the accuracy of this release.