EXHIBIT 99.1
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                                                            [NEXEN LOGO OMITTED]

                                                     NEXEN INC. 801 - 7th Ave SW
                                                      Calgary, AB Canada T2P 3P7
                                                  T 403 699.4000  F 403 699.5776

N E W S   R E L E A S E

                                                           For immediate release

  NEXEN PRICES OFFERING OF US$1.04 BILLION OF 10-YEAR AND 30-YEAR SENIOR NOTES


CALGARY, ALBERTA, MARCH 7, 2005 - NEXEN INC. today priced and agreed to issue
US$1.04 billion of 10 and 30-year senior notes under a shelf prospectus dated
October 22, 2003, as amended December 16, 2004 and registered under the
multi-jursidictional disclosure system in Canada and the United States. The
senior notes are being offered and sold in the United States only. Of the total
US$1.04 billion, US$250 million mature on March 10, 2015 and were priced to
yield 5.216%, and US$790 million mature on March 10, 2035 and were priced to
yield 5.911%.

All proceeds from the senior notes will be used to repay a portion of the US$1.5
billion in bridge financing that was put in place for our UK North Sea
acquisition. The notes will be unsecured and rank equally with Nexen's other
senior unsecured debt.

Nexen's senior unsecured long-term debt is rated Baa2 (negative) by Moody's
Investor Service, Inc., BBB (negative) by Dominion Bond Rating Service Limited
and BBB- (stable) by Standard & Poor's Corporation. The underwriting syndicate
is lead managed by Deutsche Bank Securities and Citigroup.

This press release shall not constitute an offer to sell or the solicitation of
an offer to buy, nor shall there be any sale of these securities in any
jurisdiction in which such offer, solicitation or sale would be unlawful prior
to registration or qualification under the securities laws of any such state or
other jurisdiction.

A copy of the prospectus supplement relating to these securities may be obtained
from: Nexen Inc. 801 7th Ave S.W., Calgary, Alberta, Canada T2P 3P7.

Nexen Inc. is an independent, Canadian-based global energy and chemicals
company, listed on the Toronto and New York stock exchanges under the symbol
NXY.


For further information contact:
GRANT DREGER                             or         UNA POWER
Manager, Investor Relations                         Treasurer
(403) 699-5273                                      (403) 699-5156

801 - 7th Ave SW
Calgary, Alberta, Canada T2P 3P7



FORWARD LOOKING STATEMENTS

CERTAIN STATEMENTS IN THIS REPORT CONSTITUTE "FORWARD-LOOKING STATEMENTS" WITHIN
THE MEANING OF THE UNITED STATES PRIVATE SECURITIES LITIGATION REFORM ACT OF
1995, SECTION 21E OF THE UNITED STATES SECURITIES EXCHANGE ACT OF 1934, AS
AMENDED, AND SECTION 27A OF THE UNITED STATES SECURITIES ACT OF 1933, AS
AMENDED. SUCH STATEMENTS ARE GENERALLY IDENTIFIABLE BY THE TERMINOLOGY USED SUCH
AS "INTEND", "PLAN", "EXPECT", "ESTIMATE", "BUDGET", "OUTLOOK" OR OTHER SIMILAR
WORDS.

THE FORWARD-LOOKING STATEMENTS ARE SUBJECT TO KNOWN AND UNKNOWN RISKS AND
UNCERTAINTIES AND OTHER FACTORS WHICH MAY CAUSE ACTUAL RESULTS, LEVELS OF
ACTIVITY AND ACHIEVEMENTS TO DIFFER MATERIALLY FROM THOSE EXPRESSED OR IMPLIED
BY SUCH STATEMENTS. SUCH FACTORS INCLUDE, AMONG OTHERS: MARKET PRICES FOR OIL
AND GAS AND CHEMICALS PRODUCTS; THE ABILITY TO EXPLORE, DEVELOP, PRODUCE AND
TRANSPORT CRUDE OIL AND NATURAL GAS TO MARKETS; THE RESULTS OF EXPLORATION AND
DEVELOPMENT DRILLING AND RELATED ACTIVITIES; FOREIGN-CURRENCY EXCHANGE RATES;
ECONOMIC CONDITIONS IN THE COUNTRIES AND REGIONS WHERE NEXEN CARRIES ON
BUSINESS; ACTIONS BY GOVERNMENTAL AUTHORITIES INCLUDING INCREASES IN TAXES,
CHANGES IN ENVIRONMENTAL AND OTHER LAWS AND REGULATIONS; RENEGOTIATIONS OF
CONTRACTS; AND POLITICAL UNCERTAINTY, INCLUDING ACTIONS BY INSURGENT OR OTHER
ARMED GROUPS OR OTHER CONFLICT. THE IMPACT OF ANY ONE FACTOR ON A PARTICULAR
FORWARD-LOOKING STATEMENT IS NOT DETERMINABLE WITH CERTAINTY AS SUCH FACTORS ARE
INTERDEPENDENT UPON OTHER FACTORS, AND MANAGEMENT'S COURSE OF ACTION WOULD
DEPEND ON ITS ASSESSMENT OF THE FUTURE CONSIDERING ALL INFORMATION THEN
AVAILABLE. ANY STATEMENTS AS TO POSSIBLE COMMERCIALITY, DEVELOPMENT PLANS,
CAPACITY EXPANSIONS, DRILLING OF NEW WELLS, ULTIMATE RECOVERABILITY OF RESERVES,
FUTURE PRODUCTION RATES, CASH FLOWS AND CHANGES IN ANY OF THE FOREGOING ARE
FORWARD-LOOKING STATEMENTS.

ALTHOUGH WE BELIEVE THAT THE EXPECTATIONS CONVEYED BY THE FORWARD-LOOKING
STATEMENTS ARE REASONABLE BASED ON INFORMATION AVAILABLE TO US ON THE DATE SUCH
FORWARD-LOOKING STATEMENTS WERE MADE, NO ASSURANCES CAN BE GIVEN AS TO FUTURE
RESULTS, LEVELS OF ACTIVITY AND ACHIEVEMENTS. READERS SHOULD ALSO REFER TO ITEMS
7 AND 7A IN OUR 2004 ANNUAL REPORT ON FORM 10-K FOR FURTHER DISCUSSION OF THE
RISK FACTORS.



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