UPDATE 1-NZ Oil and Gas H1 profit leaps, to pay dividend

(Updates with company comment, share price)

WELLINGTON, Feb 27 (Reuters) - Energy company New Zealand Oil and Gas Ltd (NZO.NZ: Quote, Profile, Research, Stock Buzz) reported a jump in first-half net profit, after its Tui oil field began production, and said the larger-than-expected field would lift future profits and allow dividend payouts.

Shares in the company jumped 8 cents or 5.8 percent to a six-month high of NZ$1.27 on the result, and last traded up 4.2 percent at NZ$1.24.

But the company, which announced its first dividend in 10 years, said volatile oil and currency markets meant it could not accurately forecast how big the profit increases would be.

NZOG posted a net profit for the six months to Dec. 31 of NZ$41.4 million ($33.7 million), compared with a profit of NZ$0.5 million last year.

Chief Executive David Salisbury said forecast earnings before interest, tax, depreciation and amortisation (EBITDA) of NZ$30 million in 2009, rising to NZ$50 million in 2010, made last June were out of date.

"They not only look conservative, we've already exceeded them by quite a margin this year," Salisbury told a media briefing, adding latest estimates put the Tui resource at 42 million barrels, 50 percent larger than its pre-development forecast.

The Tui field, in which NZOG is a junior partner, is located off the west coast of New Zealand's North Island. Australian Worldwide Exploration Ltd (AWE.AX: Quote, Profile, Research, Stock Buzz) is the operator of the field and has a 42.5 percent stake.

NZOG said it would pay a dividend for the full year of 5 cents a share, the first since 1998, and in future would pay a reasonable amount of profit by way of an annual dividend.