Novy Neft II Limited Announces Further Repurchase of Shares

Hamilton, Bermuda: 4 April 2005 - Further to the announcement of 16 March 2005 the Directors of Novy Neft II Limited (the "Company") are pleased to advise that 1,023,000 Shares representing 10% of the total Shares in issue (as at 19 August 2004) were repurchased and cancelled at a price of US$13.80 on 31 March 2005. The price represents a 1% discount to the Net Asset Value as calculated based on the average price at which shares were sold to finance the repurchase.

The Directors received redemption requests in respect of 3,919,624 shares. As this exceeded the 10% maximum determined by the Directors, Shares were bought back on a pro rata basis. Accordingly, those shareholders who requested shares to be redeemed have had 26.10 % of their shares repurchased. The record date for the buy back was 29 March 2005. It is anticipated that proceeds will be available for distribution by 29^th April.

The Directors would like to remind shareholders that the Company's Prospectus states that at each annual general meeting falling after the anniversary of the Company's launch €˜an ordinary resolution shall be proposed that the Company continue as an investment company.  If that resolution is not passed, the Directors are required to formulate proposals to be put to shareholders for the winding up or other reorganisation or reconstruction of the Company'.  The annual general meeting is due to be held before the end of July 2005 and the Directors would like to confirm that there will be no further tender or buy back of Shares before that date.

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