New Century Energy Corp. Provides Operations Update on South Sargent Natural Gas Field.

HOUSTON -- New Century Energy Corp. (OTCBB:NCEY), an oil and gas exploration and production company, announces that re-entry operations were commenced on the Hamill #17 well in the South Sargent Field during January. This well had been inactive since 2001.

According to Edward DeStefano, President and CEO of New Century Energy Corp., "The Company is pleased to announce results from running cased hole logging tools in this well during the re-entry operations, which helped identify numerous behind pipe gas sands in this well. The #17 well has been successfully re-completed in the first identified productive sand at 4,230 feet; producing at a rate of 275 MCF of gas per day on a 6/64" choke with a flowing tubing pressure of 1,000 PSI. The Company has identified additional re-entry and work-over potential in this field, and we expect to commence work-over operations on our Hamill #2 and #14 wells in the second quarter of 2005."

New Century purchased 100% of the working interest in the South Sargent Field, Matagorda County, Texas in January 2004 from Calpine Corporation, and currently owns 80% of the working interest in this field. The South Sargent Field to date has produced in excess of 39 billion cubic feet of gas (BCF) from 13 wells with completions in 25 different sands above 6,300 feet. The New Century leasehold covers approximately 3,645 acres. There are presently 3 producing wells with daily production exceeding 350 MCF of gas per day. New Century is currently using new 3-D seismic processing technology called Wavelet Energy Absorption to reprocess the 3-D seismic data set, along with traditional proven direct hydrocarbon indicator (DHI) processing technology.

About New Century Energy Corp.

New Century Energy Corp., headquartered in Houston, Texas, is an oil and gas exploration and production company. The Company's current holdings consist of over 4,000 acres throughout the State of Texas, including both large natural gas producing fields such as South Sargent in Matagorda County and oil producing acreage in the San Miguel Creek and Tenna oil fields in McMullen and Wharton Counties, Texas.

Forward-Looking Statements

This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"). In particular, when used in the preceding discussion, the words "believes," "expects," "intends," "will," "anticipated," or "may," and similar conditional expressions are intended to identify forward-looking statements within the meaning of the Act, and are subject to the safe harbor created by the Act. The Securities and Exchange Commission has generally permitted oil and gas companies in their filings with the SEC to disclose only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally producible under existing economic and operating conditions. We use the terms probable and possible reserves, reserve potential or upside or other descriptions of volumes of reserves potentially recoverable through additional drilling or recovery techniques that the SEC's guidelines may prohibit us from including in filings with the SEC. These estimates are by their nature more speculative than estimates of proved reserves and accordingly are subject to substantially greater risk of being actually realized by the company. Except for historical information, all of the statements, expectations and assumptions contained in the foregoing are forward-looking statements that involve a number of risks and uncertainties. The reserve data included herein represents only estimates. Reserve engineering is a subjective process of estimating underground accumulations of oil and natural gas that cannot be measured in an exact manner. As a result, estimates of different engineers often vary. The estimates of reserves, future cash flows and present value are based on various assumptions, including those prescribed by the SEC relating to oil and natural gas prices, and are inherently imprecise. Our reserves and future cash flows may be subject to revisions based on many factors. It is possible that the assumptions made by management are not necessarily the most likely, and may not materialize, including but not limited to the possible undeveloped gas reserve. In addition, other important factors that could cause actual results to differ materially include the following: business conditions and the amount of growth in the Company's industry and general economy; competitive factors; ability to attract and retain personnel; the price of the Company's stock; and the risk factors set forth from time to time in the Company's SEC reports, including but not limited to its annual report on Form 10-KSB; its quarterly reports on Forms 10-QSB; and any reports on Form 8-K. New Century Energy Corp. (OTCBB:NCEY) takes no obligation to update or correct forward-looking statements, and also takes no obligation to update or correct information prepared by third parties that is not paid for by the Company.