Newfield Exploration Offers $500 Million of Senior Subordinated Notes

Newfield Exploration Company (NYSE: NFX) intends to commence an offering of $500 million of its Senior Subordinated Notes due 2016. The Company intends to use the net proceeds from the offering to redeem its 8 3/8% Senior Subordinated Notes due 2012 ($250 million aggregate principal amount outstanding) and for general corporate purposes, including to fund a portion of its 2006 capital program and the redemption premium for the 8 3/8% Senior Subordinated Notes due 2012.

This announcement shall not constitute an offer to sell or a solicitation of an offer to buy the Senior Subordinated Notes due 2016. The offering will be made under an effective shelf registration statement. A copy of the preliminary prospectus supplement relating to the offering can be obtained from Morgan Stanley & Co. Incorporated. Direct any requests to Morgan Stanley, Prospectus Department, 180 Varick Street, 2nd Floor, New York, NY 10014, by email: or by phone at 917-606-8474.

Newfield Exploration Company is an independent crude oil and natural gas exploration and production company. The Company relies on a proven growth strategy growing reserves through the drilling of a balanced risk/reward portfolio and select acquisitions. Newfield's domestic areas of operation include the Gulf of Mexico, the U.S. onshore Gulf Coast, the Anadarko and Arkoma Basins of the Mid-Continent and the Uinta Basin of the Rocky Mountains. The Company has international exploration and development projects underway in Malaysia, the U.K. North Sea and China.