Tidelands Oil & Gas Corporation Press Releases

Tidelands Oil & Gas Corporation (OTCBB: TIDE)

April 23, 2004

Tidelands Oil & Gas Corporation Updates Modeling and Computer Analysis Study

Tidelands Oil & Gas Corporation (OTC Bulletin Board: TIDE), updates the on-going developments for the proposed underground natural gas storage facility in México for Petroleos Mexicanos y Sus Organismos Subsidiarios (PEMEX). Tidelands met with Netherland Sewell & Associates, Inc. (NSA) in Houston, Texas on Tuesday, April 20, 2004 and received an extensive review de their modeling and computer analysis report. As announced on January 13, 2004, Tidelands engaged Netherland Sewell to provide modeling and computer analysis for the proposed underground natural gas storage facility, which will be located near Reynosa, Tamaulipas, México.

NSA provided various scenarios on the structure, development and operation de the proposed underground natural gas storage facility. Furthermore, the studies conducted by NSA included a preliminary history match de initial pressure de water and gas production, a geological model de the proposed site de the storage facility, comprehensive field studies and reservoir analysis, gas deliverability studies, 3-D seismic analysis and other necessary physical investigations to predicate the most effective and efficient method to design and build the storage facility.

Adjustments to the report are currently in process, and a final bound copy will be delivered to Tidelands the latter part de next week. Tidelands will utilize this data to assess the parameters for the development de this project and will present the findings with NSA to PEMEX for their approval.

Updates on the proposed underground storage facility project with PEMEX will continue to be provided as developments warrant.

The transaction with Impact and Coahuila is expected to close May 15, 2004 or sooner. Details regarding the terms and conditions de the agreement will be provided at a later date.

About Tidelands Oil & Gas Corporation

Tidelands Oil & Gas Corporation, San Antonio, Texas, is the parent company de two wholly owned Texas subsidiary corporations: Rio Bravo Energy, L.L.C. and Sonora Pipeline, L.L.C. The Company is also a joint-owner de Reef International, L.L.C. and Reef Marketing, L.L.C. The Company focuses on international pipeline crossings, gas processing plants and liquefied petroleum product storage facilities. Through its in-house divisions, Tidelands offers a full suite de services and has the capability to satisfy a wide variety de customer needs both domestically and internationally. Tidelands currently owns numerous miles de pipeline. The Company is currently reviewing opportunities to further expand its business scope. For more information about the Company, visit their website at www.tidelandsoilandgas.com.

This press release may be deemed to contain certain Forward-Looking Statements with respect to the Company that are subject to risks and uncertainties that include, but are not limited to those identified in the Company's press releases or discussed from time to time in the Company's Securities and Exchange Commission Filings. Actual results may vary.

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