We present a detailed , photoionization modeling analysis of XMM-Newton /Reflection Grating Spectrometer observations of the Seyfert 2 galaxy NGC 1068 . The spectrum , previously analyzed by , reveals a myriad of soft-Xray emission lines , including those from H- and He-like carbon , nitrogen , oxygen , and neon , and M- and L-shell iron . As noted in the earlier analysis , based on the narrowness of the radiative recombination continua , the electron temperatures in the emission-line gas are consistent with photoionization , rather than collisional ionization . The strengths of the carbon and nitrogen emission lines , relative to those of oxygen , suggest unusual elemental abundances , which we attribute to star-formation history of the host galaxy . Overall , the emission-lines are blue-shifted with respect to systemic , with radial velocities \sim 160 km s ^ { -1 } , similar to that of [ O iii ] \lambda 5007 , and thus consistent with the kinematics and orientation of the optical emission-line gas and , hence , likely part of an AGN-driven outflow . We were able to achieve an acceptable fit to most of the strong emission-lines with a two-component photoionization model , generated with Cloudy . The two components have ionization parameters and column densities of log U = -0.05 and 1.23 , and log N _ { H } = 20.85 and 21.2 , and covering factors of 0.35 and 0.84 , respectively . The total mass of the X-ray gas is roughly of an order of magnitude greater than the mass of ionized gas determined from optical and near-IR spectroscopy , which indicates that it may be the dominant component of the narrow line region . Furthermore , we suggest that the medium which produces the scattered/polarized optical emission in NGC 1068 possesses similar physical characteristics to those of the more highly-ionized of the X-ray model components .