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|Opening Remarks

400 East Kaliste Saloom Road, Suite 6000

Lafayette, Louisiana 70508

Phone: (337) 232-7028

Fax: (337) 232-0044

www.petroquest.com

NYSE: PQ

Corporate Contact: Todd Zehnder



The information presented herein may contain predictions, estimates and other forward-looking statements within the meaning of
Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Although the company believes
that its expectations are based on reasonable assumptions, it can give no assurance that its goals will be achieved.  Important
factors that could cause actual  results to differ materially from those included in the forward looking statements include the timing
and extent of changes in commodity prices for oil and gas, the need to develop and replace reserves, the impact of inclement
weather conditions including hurricanes, drilling and operating risks, uncertainties about the estimates of reserves, competition,
environmental risks, government regulation and the ability of the company to meet its stated business goals.
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|Corporate Characteristics

Historically, our growth has come through the drill bit
and strategic acquisitions

8-year historical drilling success - 89%

8-year F&D and Reserve Replacement - $2.87/Mcfe

and 220%

Added resource play acreage to growth profile -
closed 12 acquisitions (68 Bcfe) since December
2003 (blended cost of $1.44/Mcfe)

Top quartile operator among peers

Highly experienced team with proven track record for
generating shareholder returns
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|98    99    00    01    02    03    04    05    06    June '07
    Stock Price    0.81    1.59    4.25    5.32    4.15    3.17    4.96    8.28    12.74    15.25
    Enterprise Value ($MM)    7.8    37.9    127.8    190.9    179.1    162.6    258.6    550    791    900


Adding Up Our Milestones

Merger

$0.81

$900

$163

$15.25
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|Eight Years of Growth



Reserves       33% CAGR

Production      41% CAGR

Cash Flow      125% CAGR

Shareholders' Equity     34% CAGR

Stock price      41% CAGR
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|Company Growth Strategy

Optimize Existing Production

Development Drilling

Resource Play Development

Synergistic Acquisitions

Exploration Program

Increases in Corporate Metrics
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|Our Properties

Arkoma

Basin

East Texas

PQ operated

We have grown beyond

being solely a Gulf Coast

Basin company - our goal

is to have 75% of our reserves

in long-lived basins

52% Reserves

48% Reserves
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|EAST TX

ARKOMA

South
Louisiana

Offshore

GOM

CONVENTIONAL PLAYS

UNCONVENTIONAL PLAYS

Proved

Reserves (1)

Drilling

Locations (1)

Yearly

Prod. (2)



EAST TEXAS

ARKOMA

SOUTH LOUISIANA

OFFSHORE GULF OF MEXICO

Our Portfolio

Three
separate
basins - all
poised for
growth

Three
separate
basins - all
core to PQ

Gulf Coast

Net Unrisked

Inventory (1)

(1) Reserves as of December 31, 2006;  inventory and locations as of June 30, 2007  (reserves and inventory in Bcfe)

(2) Based on guidance for 2007  (82 - 87 MMcfe/day)
        E. Texas    Arkoma    S. Louisiana    Offshore GOM
    East    16    12    23    49
    West    30.6    38.6    34.6    31.6
    North    45.9    46.9    45    43.9


45.4

24.5

23.8

40.8

134.5

308

517

112

284

1,221

467

624

24

22

1,137
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|Propelling our Future Growth

Approximately 40% of projected reserve growth will
come from new "resource" plays

52% of our reserves are in long-lived basins

To date - 94% drill bit success rate in long-lived areas

26% of our daily production is from these areas
(average of 2Q 2007)

Concentration in three core areas with significant
control of operations

Large acreage positions with expansion potential

Facilities ownership and control

Value adding potential through technology
improvements in long-lived areas
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|Arkoma Basin

Oklahoma

Arkansas

Hartshorne
Coal

Arkoma
Basin

Woodford Shale
Trend

Approximately 35,000 net acres in the Hartshorne Coal

Approximately 25,000 net acres in the Woodford Shale

One operated rig working in the Woodford Shale; continuous non-operated activity in
the Woodford Shale

Operated and non-operated Hartshorne Coal activity throughout the year

Operate 152 miles of gathering system

Current production of ~12,000 Mcf/day; increasing monthly
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|Arkoma Basin - Emerging Resource Play

Arkoma Basin

Woodford Shale

PQ acreage

LEGEND

Caney Woodford
Shale Trend

Fayetteville

 Shale Trend

Barnett

Shale Trend

Texas

Oklahoma

Louisiana

Arkansas

Woodford Shale

    Approximately 25,000 net acres

    Projected 80 acre spacing - 300+ locations

    Projected 40 acre spacing - 600+ locations

    Current economics per horizontal well: 2.5 to
   3.5 Bcf; $4.5MM to $5.0MM completed well
   cost; 2.5 to 4.0 MMcf/day I.P. rate

    PQ currently drilling horizontal wells and
shooting seismic
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|Arkoma Basin
        4    6    8    10
    East    11.66    25.8    41.7    58.9
    West    30.6    38.6    34.6    31.6
    North    45.9    46.9    45    43.9


Woodford Shale Well Economics

Internal Rate of Return (%)

Gas Price (per Mcf)

Krebs

Morrow

Devonian

Hartshore Coal   2,500'

Mayes Shale   Frac Barrier

Woodford Shale   7,000'

Sylvan Shale   Frac Barrier

Cromwell Sandstone   5,400'

Cromwell Sandstone   5,400'

Mississippian

Caney Shale   6,400'
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|Woodford Shale - Upside Leverage
   Ticker   Woodford Acres   Acres/EV (1)
   PQ   25,000   30.7
   NFX   145,000   17.2
   SM   39,000   16.3
   CHK   100,000   3.9
   DVN   50,000   1.3
   (1) Represents number of acres per million dollars of enterprise value.  Enterprise values as of July 30, 2007   (1) Represents number of acres per million dollars of enterprise value.  Enterprise values as of July 30, 2007   (1) Represents number of acres per million dollars of enterprise value.  Enterprise values as of July 30, 2007

Pontotac

Coal

Pittsburg

Macintosh

Haskell

Latimer

NFX

CHK

PQ

SM

DVN

Oklahoma

Tulsa

Oklahoma City

Hughes
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|East Texas Basin

50,000 net acres; anchored by SE Carthage Field

11 MMcfe/day net production (average of 2nd
quarter)

10,000 Mcfe/day net production in SE Carthage Field

1,000 Mcfe/day net production in other areas

Travis Peak and Cotton Valley Formations

$1.9 MM average well cost - dual completion

1+ Bcfe reserve potential per well

Over 100 identified locations in SE Carthage Field

Adding locations through internal prospect generation
and acreage acquisitions

One full time rig working in the basin
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|East Texas Basin

SE CARTHAGE

NET ACRES: 23,900

POTENTIAL DRILLS: 100+

NICKLAUS PROSPECT

NET ACRES: 1,700

POTENTIAL DRILLS: 15+

JONES PROSPECT

NET ACRES: 10,000

POTENTIAL DRILLS: 15+

SOUTH ALTO

NET ACRES: 1,900

POTENTIAL DRILLS: 15

HOGAN PROSPECT

NET ACRES: 500

POTENTIAL DRILLS: 15+

PALMER PROSPECT

NET ACRES: 800

POTENTIAL DRILLS: 15+

PROSPECTS

DISCOVERIES

TEXAS

WEEKLEY PROSPECT

NET ACRES: 5,500

POTENTIAL DRILLS: 15

TOMS PROSPECT

NET ACRES: 1,500

POTENTIAL DRILLS: 6
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|East Texas Basin
        4    6    8    10
    East    3    19    35    52
    West    30.6    38.6    34.6    31.6
    North    45.9    46.9    45    43.9


 Capital Expenditure   $1.9MM

 Reserves      1.1 Bcfe

 F&D Cost (per Mcf)      $1.73

 LOE         $0.73 / Mcfe

 I.P. Rate      1.3 MMcfe/d

 Reserve Life      30+ years

Internal Rate of Return (%)

Gas Price (per Mcf)

Carthage Field - Dual Completed Well Economics
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|Resource Players

Cash Flow Comparison

PetroQuest Energy

Bill Barrett Corp

Carrizo Oil & Gas

Denbury Resources

EOG Resources

Gasco Energy

Goodrich Petroleum

Quicksilver Resources

Southwestern Energy

The Exploration Co.

Ultra Petroleum

Average, excluding PetroQuest

Average, excluding high / low & PetroQuest

2006E CF
Multiple(1)

4.7

5.1

14.2

7.7

5.9

20.4

15.6

13.8

14.9

12.8

17.7

12.8

11.5

(1) Complied analyst cash flow per share estimates Bloomberg L.P.. Company stock
prices are as of (1) 12/31/2006 and (2) 04/30/2007.

2007E CF

Multiple(2)

3.2

6.0

12.8

9.1

6.3

16.4

10.8

12.2

12.7

6.4

17.7

11.0

10.8

2008E CF

Multiple(2)

2.9

5.5

8.9

7.5

5.6

9.0

6.7

10.8

9.4

4.8

13.1

8.1

7.9
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|2007 Gulf Coast Drilling Program

Lafayette

Atchafalaya (P&A'd)

Kosati Pines

(P&A'd)

WC Drilling
Program


SS 72 Drilling
Program


Fricasse
(Completing)

Pelican Point

(T&A'd)

Bandon
Dunes

(Completing)

La Cantera
(Drilling)

Ballyliffin

Brittas Bay
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|2007 Gulf Coast Drilling Program
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|Consistent Approach Generates

Continued Growth

Economic reserve additions and
production growth

Effective cost control

Balanced portfolio of projects

Use acquisitions to augment future
drilling program
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|Growth in Reserves
        1998    1999    2000    2001    2002    2003    2004    2005    2006    2007
    East    13.585    28.289    48.824    82.225    68.685    54.31    55.507    65.427    64.7
    West                        28.951    29.385    40.098    45.4
    North                            16.463    25.447    24.5


East Texas

Arkoma

Gulf Coast

Bcfe

2007

2008
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|Cash Flow Growth
        1998    1999    2000    2001    2002    2003    2004    2005    2006
    East    -960    4.59    15.926    42.317    32.813    32.915    70.31    83    133
    West        38.6    34.6    31.6
    North        46.9    45    43.9


in millions
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|Gross Margin
        1998    1999    2000    2001    2002    2003    2004    2005    2006    1H07
    East    -0.07    1.23    3.08    3.06    2.44    3.43    4.47    5.97    5.94    6.91
    West
    North


$ / Mcf
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|1st Qtr    2nd Qtr    3rd Qtr    4th Qtr
    East    35    20    18    27
    West    30.6    38.6    34.6    31.6
    North    45.9    46.9    45    43.9


Capital Investment Program -

Our Change is Complete

Onshore

Offshore

100% Gulf Coast

33% East
Texas

34% Arkoma

14% South
Louisiana

20% GOM

$185 - 200 million

Drill 70 - 80 Wells

$64 million

Drilled 10 Wells

2002


2007
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|Drilling Activity Leads to Production Growth
        1998    1999    2000    2001    2002    2003    2004    2005    2006
    Completed    2    6    8    13    10    10    33    78    103
    Drilled    0    1    2    3    3    2    1    8    10
    North
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|We're Forecasting Production Growth
        1998    1999    2000    2001    2002    2003    2004    2005    2006    2007E
    Gulf Coast    1.553    3.461    4.848    13.774    13.34    9.267    12.206    11.3    18.2    11.7
    East Texas                        0.033    1.758    3.1    4.2    1.9
    Arkoma                            0.252    1.7    3.3    1.9
                                            15.2


Gulf Coast

East Texas

Arkoma

Bcfe
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|Hedging Positions Mitigate Risks

Target of hedging 40%-50% of annual production - approximately
36% of 2007 production is currently hedged (based on mid-point of
production guidance)



$92 million of revenue (55% of 2007 capital expenditures) has been
locked in through hedged production



PetroQuest's open oil and gas hedging positions (costless collars)
for 2007:

Crude Oil   Hedged Volumes
(Bbls)
Average Price
   Q1 '07   300   $65.00 - $79.10
   Q2 '07   1,300   $61.15 - $71.52
   Q3 '07   533   $68.12 - $76.17
   Q4 '07   700   $68.57 - $75.95

Natural
Gas   Hedged Volumes (Mmbtu)
Average
Price
   Q1 '07   22,500   $8.02 - $9.71
   Q2 '07   27,500   $7.86 - $9.52
   Q3 '07   27,500   $7.86 - $9.52
   Q4 '07   27,500   $7.86 - $9.52
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|Framework for Future Growth

PetroQuest has the inventory and capability to
continue its steady production and reserve
growth in all three basins

Resource plays forecasted to grow production
and reserves in our long-lived areas

Continue to improve operating efficiencies in our long-
lived areas through continuous drilling

15 high quality exploration prospects in inventory

Balance sheet supports reserve base expansion

Management owns largest portion of company
among peer group
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