New Century Energy Announces Record Operational and Financial Results

HOUSTON--(Business Wire)--
New Century Energy Corp. (OTCBB:NCEY) announced record financial
and operational results for the three months ending March 31, 2008.
Edward DeStefano, the Company's CEO, stated, "The strong first quarter
results are a direct result of our continuing success in our drilling
program in McMullen County, Texas. We are maintaining high production
levels into the second quarter and during April we also completed a
new oil well in Wharton County making 80 BOPD."

-- NCEY's first-quarter revenue was $5.9 million for the three
months ending March 31, 2008, a 100% increase from $3.0
million for the first three months of the prior year;

-- Total net oil production for the three months ended March 31,
2008 was 50,387 barrels of oil on Company operated properties;
which is up 48% from 34,032 barrels in the first-quarter 2007;

-- Total net gas production for the three months ended March 31,
2008 was 144 MMCF of gas;

-- Total proved reserves at year end 2007 equaled 2.1 million
barrels of oil equivalent (BOE);

-- Approximately 76% of New Century's proved reserves are oil,
with the remaining 24% natural gas;

-- Gross acreage under lease as of March 31, 2008 equaled 20,726
gross acres, compared to 17,214 gross acres as of March 31,
2007; and

-- Adjusted EBITDA for the first-quarter of 2008 was $3.8
million, compared to $1.7 million reported in the
first-quarter of 2007. For additional information regarding
EBITDA as a non-GAAP financial resource, please refer to the
disclosures contained at the end of this release.

DeStefano also stated, "The average price for oil in the
first-quarter of 2008 increased 73% to $96.67 per barrel from $55.62
in the first-quarter of 2007, and we are benefiting directly from the
increases in commodity prices." "We are very pleased with our
continued reserve growth and our plans to add to our reserves in 2008
as we continue our drilling program in McMullen County, Texas, with
three new wells scheduled to be drilled by the end of June."

About New Century Energy Corp.

New Century Energy Corp. is an independent energy company engaged
in oil and gas exploration, development and production. New Century
Energy Corp. currently owns oil and gas leases on over 20,000 gross
acres throughout the State of Texas; including oil producing acreage
in McMullen, Wharton, and Jim Hogg Counties, Texas. The Company also
owns natural gas producing fields which include the operated South
Sargent Field in Matagorda County, and non-operated interests in the
Wishbone Field in McMullen County, Texas. New Century Energy Corp's
mission is to increase shareholder value by acquiring proven oil and
gas reserves, profitable drilling and development on company owned
acreage, and by participating in joint ventures that can expand its
development program and prospect base. Additional information is
available at: www.newcenturyenergy.com

We define EBITDA, as adjusted, as income before accounting
changes, adjusted to exclude (1) interest and other financing costs,
net of capitalized interest, (2) income taxes, (3) depreciation,
depletion and amortization, and (4) changes in the fair value of
derivative liabilities. The Company believes BITDA is a useful measure
of evaluation of its financial performance. Because EBITDA is not a
measure of financial performance calculated in accordance with GAAP,
it should not be considered in isolation or as a substitute for
operating income, net income or loss, cash flows provided by
operating, investing and financing activities, or other income or cash
flow statement data prepared in accordance with GAAP. However, EBITDA
is a common alternative measure of operating performance used by
investors, financial analysts and rating agencies. A reconciliation of
EBTDA to net earnings is included below. EBITDA as presented may not
be comparable to other similarly titled measures reported by other
companies.

-0-
*T
First Quarter First Quarter
2008 2007
----------------------------------------------------------------------
Calculation of Adjusted EBITDA:
-----------------------------------------

Net loss $ (562,701) $ (2,156,065)
Interest expense 2,257,713 2,332,018
Income tax (benefit) expense --- ---
Depreciation, depletion & amortization
expense 1,950,417 2,114,423
Net Change in fair value of derivatives 110,556 (559,390)
-------------- --------------
Adjusted EBITDA $ 3,755,985 $ 1,730,986
============== ==============
*T

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," "anticipates," 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-Q and any reports on Form 8-K. New Century Energy Corp.
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 are not paid for by the Company.

New Century Energy Corp., Houston
Edward DeStefano, 713-266-4344
www.newcenturyenergy.com

Copyright Business Wire 2008