AREAS OF OPERATIONS

Petrohawk Energy Corporation is a leading explorer and producer of natural gas in North America. We leverage our technical expertise in tight-gas and shale reservoirs to establish and optimally develop large-scale operations in some of the fastest growing natural gas plays in the country. Our premier positions in the Haynesville Shale, Fayetteville Shale, and Eagle Ford Shale offer the potential for predictable, long-term production with very low costs achieved through effective drilling and completions techniques, efficient field management and scalable operations.

Core Operating Areas

Haynesville Shale

The Haynesville Shale has become one of the most active new natural gas plays in the United States. This area is defined by a shale formation located approximately 1,500 feet below the Cotton Valley formation at depths ranging from approximately 10,500 feet to 13,000 feet. The formation is as much as 300 feet thick and is composed of an organic rich black shale. It is located across numerous parishes in Northwest Louisiana, primarily in Caddo, Bossier, Red River,  DeSoto, Webster and Bienville parishes and also in East Texas, primarily in Harrison, Panola and Shelby counties. Our Elm Grove/Caspiana acreage position is located near what we believe is the center of the play. We currently own leasehold interests in approximately 300,000 net acres in the Haynesville Shale.

Fayetteville Shale

Petrohawk has assembled a position of approximately 157,000 net acres in the Fayetteville Shale, which we believe holds significant potential for production and reserve growth. The Fayetteville Shale is an unconventional gas reservoir located in the Arkoma Basin in Arkansas, at a depth of approximately 1,500 to 6,500 feet and ranging in thickness from 100 to 500 feet. The formation is a Mississippian-age shale that has similar geologic characteristics to the Barnett Shale in the Ft. Worth Basin of North Texas. Drilling in the play began in 2004 and has accelerated rapidly during the past two years, with approximately 350 wells drilled during 2008.

Eagle Ford Shale

In late 2008, Petrohawk announced the successful discovery of a new shale play in South Texas. The objective reservoir is the Eagle Ford Shale, found at a depth of approximately 11,000 feet to 12,000 feet and with thickness of approximately 250 feet. We currently have approximately 160,000 net acres leased in the play.

Elm Grove Field

Petrohawk has assembled a dominant position in this prolific Cotton Valley formation through several years of strategic acquisitions. Its engineers developed a process for co-mingling vertical Lower Cotton Valley production with more shallow Hosston production, allowing more efficient drilling at lower costs. Petrohawk’s initiation in 2007 of a horizontal drilling program in Elm Grove was highly successful. Upon discovery of the Haynesville Shale beneath the Lower Cotton Valley formation, the large position in Elm Grove field became particularly significant as an anchor for Haynesville Shale development activities.

The Field spans parts of Bossier, Caddo, De Soto and River Parishes in Northwest Louisiana, just south of Shreveport. The Hosston zone, comprised of “stringer” sands, is found at depths between 7,500 and 8,500 feet, and the Lower Cotton Valley zone is found at depths between 9,800 and 10,000 feet.

Terryville Field

Discovered in 2005, Terryville Field is a primarily operated for Cotton Valley production, but due to more complex deeper zones, has been a fruitful area of 3D seismic-based exploration in the Grey Sand and Bossier Sand zones. Terryville Field is located in Lincoln Parish, Louisiana.

WEHLU

The West Edmond Hunton Lime Unit (WEHLU) is a mature oil and gas field in Oklahoma County, Oklahoma. Technological advancements have made possible the continued development of the area through horizontal drilling techniques. The primarily oil resource play spans approximately 30,000 net acres.

East Texas James Lime / Travis Peak

In one of its first industry joint ventures, Petrohawk has partnered with EOG Resources, Inc. to develop approximately 30,000 net acres in the James Lime trend of East Texas. Operated by EOG, a portion of this acreage may also be prospective for Haynesville or Bossier Shale.

Permian Basin

Petrohawk operates properties in numerous long-lived oil and gas fields in the Permian Basin of West Texas and Eastern New Mexico. The fields include Waddell Ranch, Sawyer Field, Jalmat Field and TXL Field (North).

Hawk Field Services, LLC

Petrohawk’s midstream services business unit generates revenue through gathering fees associated with the transportation of natural gas to market. The company's gas gathering subsidiary, Hawk Field Services LLC, is engaged in gathering, conditioning, and treating activities related to the development of the company's Fayetteville and Haynesville Shale plays. Midstream revenues and expenses are expected to continue to grow in the future as gathering systems for the company's Fayetteville Shale and Haynesville Shale plays are constructed to support both the Company’s development plans as well as those of third parties active in these plays.