Deep Well Oil & Gas Receives Financing Commitment

Deep Well Oil & Gas reports that on December 17, 2004 Mikwec Energy Canada Ltd. (which will be the Company's operating subsidiary upon finalization of the escrowed share exchange between the two entities and required corporate filings with the appropriate governmental authorities) has concluded a binding agreement with 1140100 Alberta Ltd., a private Alberta, Canada corporation, to complete a Debenture Financing. This financing was previously announced in a November 15, 2004 Letter of Intent.

Mikwec Energy Canada Ltd. is currently issuing the $15,000,000 Convertible Working Interest Debenture in exchange for the credit facility being granted by the Debenture Holder, 1140100 Alberta Ltd.. The oil sands leases held by Mikwec Energy Canada Ltd are initially the security for the credit facility. As each of as many as ten wells are drilled and completed, 1140100 Alberta Ltd. will have an option to convert the funds expended during drilling operations into a 20% working interest in each of the wells as they are completed. If the Debenture Holder does not convert, the funds are repayable within 3 years with an interest coupon of 12%.

The first draw is due immediately upon delivery of the debenture and formal registration with the Alberta government of the security lien against the oil sand leases held by Mikwec Energy Canada Ltd.

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