Magnum Hunter Reports Record First Quarter 2001 Operating Results

Production Up 23%;

Total Revenues Up 100%;

Operating Profit Up 220%;

Cash Flow Up 278%;

EBITDA Up 136%



Apr 25, 2001, 01:00 ET from Magnum Hunter Resources, Inc.

    IRVING, Texas, April 25 /PRNewswire/ -- Magnum Hunter Resources, Inc.
 (Amex:   MHR) ("Magnum Hunter") today announced record financial results for the
 first quarter ended March 31, 2001 of $14.0 million in net income applicable
 to common shareholders, or $0.37 per diluted share.  This compares to
 $362 thousand, or $0.02 per diluted share, in net income applicable to common
 shareholders for the first quarter of last year.  Operating and financial
 results have increased in each of the nine most recent consecutive reporting
 quarters.
     Underlying oil and gas production, after effect of 2000 dispositions, for
 the first quarter of 2001 was 7.4 billion cubic feet equivalent (Bcfe), an
 increase of 23% over production of 6.0 Bcfe reported for the first quarter of
 2000.  Gas production was 75% of total equivalent production in the first
 quarter of 2001.
     Total revenues for the first quarter of 2001 were $50.8 million, an
 increase of 100% over revenues of $25.4 million for the first quarter of 2000.
 Oil prices received for the first quarter were $26.89 per barrel in 2001
 versus $21.73 per barrel in 2000, after the effect of commodity hedges.  Gas
 prices for the first quarter were $6.32 per Mcf in 2001 as compared to
 $2.67 per Mcf in 2000, after the effect of commodity hedges.  Magnum Hunter
 reported an operating profit of $26.0 million for the first three months of
 2001, a 220% increase over operating profit of $8.1 million reported during
 the similar period in 2000.
     Earnings before interest, taxes, and depreciation ("EBITDA") for the first
 quarter of 2001 increased 136% to $33.5 million ($0.90 per diluted share),
 compared to $14.2 million ($0.71 per diluted share) in 2000.  Cash flow from
 operations, before changes in working capital and after dividends, during the
 first quarter of 2001 increased 278% to $28.2 million ($0.75 per diluted
 share).  This compares to cash flow from operations of $7.5 million ($0.37 per
 diluted share), during the first quarter of 2000.
     Commenting on the 2001 operating results, Mr. Gary C. Evans, President and
 Chief Executive Officer, stated "Magnum Hunter's operating and financial
 results for the first quarter of 2001 should continue a trend of record
 reports for each quarter of 2001.  We are in a unique position of being able
 to increase our daily production from the drill bit at a 40% - 50% annual rate
 for 2001.  We saw just the beginning of that production increase during this
 quarter.  We have nine new offshore Gulf of Mexico exploration discoveries
 scheduled to come on line throughout the remainder of the year and into early
 2002.  We also have six new onshore discoveries in various stages of
 completion.  Our existing inventory of over 600 onshore drilling locations
 along with 60 untested OCS blocks in the Gulf of Mexico, including
 25 successfully bid, but unawarded OCS blocks, give Magnum Hunter a minimum
 three to four years of future drilling projects.  The continued production
 increase to be experienced throughout the year, coupled with record commodity
 prices, is creating an environment that is allowing for substantial financial
 returns for our shareholders."
 
     Magnum Hunter Resources, Inc. is one of the nation's fastest growing
 independent exploration and development companies engaged in three principal
 activities: (1) the exploration, development and production of crude oil,
 condensate and natural gas; (2) the gathering, transmission and marketing of
 natural gas; and (3) the managing and operating of producing oil and natural
 gas properties for interest owners.
 
     The information in this release includes certain forward-looking
 statements that are based on assumptions that in the future may prove not to
 have been accurate.  Those statements, and Magnum Hunter Resources, Inc.'s
 business and prospects, are subject to a number of risks, including volatility
 of oil and gas prices, the need to develop and replace reserves, the
 substantial capital expenditures required to fund its operations,
 environmental risks, drilling and operating risks, risks related to
 exploration and development drilling, uncertainties about estimates of
 reserves, competition, government regulation, and the ability of the company
 to implement its business strategy.  These and other risks are described in
 the company's reports that are available from the SEC.
 
             FOR FURTHER INFORMATION CONTACT: MICHAEL P. MCINERNEY,
                       INVESTOR RELATIONS (972) 401-0752
 
 
                 Magnum Hunter Resources, Inc. and Subsidiaries
                    (in thousands, except per share amounts)
 
                                                      Three Months Ended
                                                            March 31,
                                                       2001           2000
     Consolidated Statements of Operations          (Unaudited)    (Unaudited)
     Operating Revenues:
       Oil and gas sales                             $  43,137      $  21,365
       Gas gathering, marketing and processing           7,102          3,830
       Oil field management services                       515            198
         Total Operating Revenues                       50,754         25,393
 
     Operating Costs and Expenses:
       Oil and gas production lifting costs              4,650          4,616
       Production taxes and other costs                  4,015          2,840
       Gas gathering, marketing and processing           6,572          2,776
       Oil field management services                       362            115
       Depreciation, depletion and amortization          7,415          5,971
       Gains on sale of assets                              (2)           (18)
       General and administrative                        1,712            954
         Total Operating Costs and Expenses             24,724         17,254
 
     Operating Profit                                   26,030          8,139
 
       Equity in earnings of affiliate                     618             40
       Other income                                         94             76
       Interest expense                                 (4,161)        (5,736)
 
     Net Income before income tax and
      minority interest                                 22,581          2,519
       Provision for income tax                         (8,553)          (939)
 
     Net Income                                         14,028          1,580
 
       Dividends Applicable to Preferred Stock             ---         (1,218)
 
         Income Applicable to Common Shares          $  14,028      $     362
 
     Income per Common Share
       Basic                                         $    0.41      $    0.02
       Diluted                                       $    0.37      $    0.02
 
     Common Shares Used in Per Share Calculation
       Basic                                        34,582,683     19,704,943
       Diluted                                      37,410,509     20,010,970
 
     Consolidated Statement of Cash Flows
       Cash Flow from Operations, before changes
        in operating assets and liabilities          $  28,192      $   7,454
 
                                                    March 31,     December 31,
                                                       2001           2000
                                                    (Unaudited)
     Consolidated Balance Sheet Data
       Total Assets                                  $ 331,162      $ 315,612
       Long-term Debt                                $ 189,163      $ 191,120
       Total Stockholders' Equity                    $ 109,257      $  93,416
 
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                http://tbutton.prnewswire.com/prn/11690X34161457
 
 

SOURCE Magnum Hunter Resources, Inc.
    IRVING, Texas, April 25 /PRNewswire/ -- Magnum Hunter Resources, Inc.
 (Amex:   MHR) ("Magnum Hunter") today announced record financial results for the
 first quarter ended March 31, 2001 of $14.0 million in net income applicable
 to common shareholders, or $0.37 per diluted share.  This compares to
 $362 thousand, or $0.02 per diluted share, in net income applicable to common
 shareholders for the first quarter of last year.  Operating and financial
 results have increased in each of the nine most recent consecutive reporting
 quarters.
     Underlying oil and gas production, after effect of 2000 dispositions, for
 the first quarter of 2001 was 7.4 billion cubic feet equivalent (Bcfe), an
 increase of 23% over production of 6.0 Bcfe reported for the first quarter of
 2000.  Gas production was 75% of total equivalent production in the first
 quarter of 2001.
     Total revenues for the first quarter of 2001 were $50.8 million, an
 increase of 100% over revenues of $25.4 million for the first quarter of 2000.
 Oil prices received for the first quarter were $26.89 per barrel in 2001
 versus $21.73 per barrel in 2000, after the effect of commodity hedges.  Gas
 prices for the first quarter were $6.32 per Mcf in 2001 as compared to
 $2.67 per Mcf in 2000, after the effect of commodity hedges.  Magnum Hunter
 reported an operating profit of $26.0 million for the first three months of
 2001, a 220% increase over operating profit of $8.1 million reported during
 the similar period in 2000.
     Earnings before interest, taxes, and depreciation ("EBITDA") for the first
 quarter of 2001 increased 136% to $33.5 million ($0.90 per diluted share),
 compared to $14.2 million ($0.71 per diluted share) in 2000.  Cash flow from
 operations, before changes in working capital and after dividends, during the
 first quarter of 2001 increased 278% to $28.2 million ($0.75 per diluted
 share).  This compares to cash flow from operations of $7.5 million ($0.37 per
 diluted share), during the first quarter of 2000.
     Commenting on the 2001 operating results, Mr. Gary C. Evans, President and
 Chief Executive Officer, stated "Magnum Hunter's operating and financial
 results for the first quarter of 2001 should continue a trend of record
 reports for each quarter of 2001.  We are in a unique position of being able
 to increase our daily production from the drill bit at a 40% - 50% annual rate
 for 2001.  We saw just the beginning of that production increase during this
 quarter.  We have nine new offshore Gulf of Mexico exploration discoveries
 scheduled to come on line throughout the remainder of the year and into early
 2002.  We also have six new onshore discoveries in various stages of
 completion.  Our existing inventory of over 600 onshore drilling locations
 along with 60 untested OCS blocks in the Gulf of Mexico, including
 25 successfully bid, but unawarded OCS blocks, give Magnum Hunter a minimum
 three to four years of future drilling projects.  The continued production
 increase to be experienced throughout the year, coupled with record commodity
 prices, is creating an environment that is allowing for substantial financial
 returns for our shareholders."
 
     Magnum Hunter Resources, Inc. is one of the nation's fastest growing
 independent exploration and development companies engaged in three principal
 activities: (1) the exploration, development and production of crude oil,
 condensate and natural gas; (2) the gathering, transmission and marketing of
 natural gas; and (3) the managing and operating of producing oil and natural
 gas properties for interest owners.
 
     The information in this release includes certain forward-looking
 statements that are based on assumptions that in the future may prove not to
 have been accurate.  Those statements, and Magnum Hunter Resources, Inc.'s
 business and prospects, are subject to a number of risks, including volatility
 of oil and gas prices, the need to develop and replace reserves, the
 substantial capital expenditures required to fund its operations,
 environmental risks, drilling and operating risks, risks related to
 exploration and development drilling, uncertainties about estimates of
 reserves, competition, government regulation, and the ability of the company
 to implement its business strategy.  These and other risks are described in
 the company's reports that are available from the SEC.
 
             FOR FURTHER INFORMATION CONTACT: MICHAEL P. MCINERNEY,
                       INVESTOR RELATIONS (972) 401-0752
 
 
                 Magnum Hunter Resources, Inc. and Subsidiaries
                    (in thousands, except per share amounts)
 
                                                      Three Months Ended
                                                            March 31,
                                                       2001           2000
     Consolidated Statements of Operations          (Unaudited)    (Unaudited)
     Operating Revenues:
       Oil and gas sales                             $  43,137      $  21,365
       Gas gathering, marketing and processing           7,102          3,830
       Oil field management services                       515            198
         Total Operating Revenues                       50,754         25,393
 
     Operating Costs and Expenses:
       Oil and gas production lifting costs              4,650          4,616
       Production taxes and other costs                  4,015          2,840
       Gas gathering, marketing and processing           6,572          2,776
       Oil field management services                       362            115
       Depreciation, depletion and amortization          7,415          5,971
       Gains on sale of assets                              (2)           (18)
       General and administrative                        1,712            954
         Total Operating Costs and Expenses             24,724         17,254
 
     Operating Profit                                   26,030          8,139
 
       Equity in earnings of affiliate                     618             40
       Other income                                         94             76
       Interest expense                                 (4,161)        (5,736)
 
     Net Income before income tax and
      minority interest                                 22,581          2,519
       Provision for income tax                         (8,553)          (939)
 
     Net Income                                         14,028          1,580
 
       Dividends Applicable to Preferred Stock             ---         (1,218)
 
         Income Applicable to Common Shares          $  14,028      $     362
 
     Income per Common Share
       Basic                                         $    0.41      $    0.02
       Diluted                                       $    0.37      $    0.02
 
     Common Shares Used in Per Share Calculation
       Basic                                        34,582,683     19,704,943
       Diluted                                      37,410,509     20,010,970
 
     Consolidated Statement of Cash Flows
       Cash Flow from Operations, before changes
        in operating assets and liabilities          $  28,192      $   7,454
 
                                                    March 31,     December 31,
                                                       2001           2000
                                                    (Unaudited)
     Consolidated Balance Sheet Data
       Total Assets                                  $ 331,162      $ 315,612
       Long-term Debt                                $ 189,163      $ 191,120
       Total Stockholders' Equity                    $ 109,257      $  93,416
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X34161457
 
 SOURCE  Magnum Hunter Resources, Inc.