Interest Payable on Nexen's 7.35% Notes

Nexen Inc.

Nexen Inc. announced the regular quarterly interest payment on its 7.35% subordinated notes due 2043 of US$0.459375 per note, payable August 1, 2006, to note holders of record on July 15, 2006.

The notes are listed for trading on the TSX: NXY.PR.U and the NYSE: NXYPRB.

Nexen Inc. is an independent, Canadian-based global energy company, listed on the Toronto and New York stock exchanges under the symbol NXY. The company is positioned for growth in the North Sea, deepwater Gulf of Mexico, the Athabasca oil sands of Alberta, the Middle East, and offshore West Africa.