Magnum
Hunter Resources, Inc.600 E. Las Colinas Blvd., Suite 1100, Irving, TX  75039Phone (972) 401-0752   Fax  (972) 401-3110Internet Address: [website omitted]

FOR IMMEDIATE RELEASENEWS

New York Stock Exchange*
  Common    -  MHRAmerican Stock Exchange*   Bonds        -   MHR.B*   Warrants   -  MHR/WS/A

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# MAGNUM HUNTER REPORTS SECOND QUARTER 2003 FINANCIAL &
OPERATING RESULTS

# CORE PRODUCTION VOLUMES
UP 7%

Irving, Texas, August 4, 2003, Magnum
Hunter Resources, Inc. (NYSE:MHR) announced today financial and operating results for the
second quarter and six months ended June 30, 2003:

|                                                               | Three Months Ended | Six Month Ended
|-------------------------------------------------------------- | ------------------ | ---------------
|
|Daily Mcfe Production Average                                  |                    |                
|Average Mcfe Price Received (Net of Hedges)                    |                    |                
|Daily Natural Gas Production Average (Mcf/d)                   |                    |                
|Average Gas Price Received (Net of Hedges)                     |                    |                
|Daily Crude Oil Production Average (Bbl/d)                     |                    |                
|Average Crude Oil Price Received (Net of Hedges)               |                    |                
|Total Operating Revenues (000's)                               |                    |                
|Cost of Early Debt Retirement (000's)                          |                    |                
|Tax Adjusted Cost of Early Debt Retirement Per Share (Diluted) |                    |                
|Write-down of Affiliate Carrying Value (000's)                 |                    |                
|Tax Adjusted Cost of Write-down Per Share (Diluted)            |                    |                
|Net Income (000's)                                             |                    |                
|Income Per Common Share (Diluted)                              |                    |                

Second Quarter 2003
Financial Results

Magnum Hunter reported net income of $4.2
million ($0.06 per diluted share) for the three months ended June 30, 2003, as compared to
net income of $2.3 million ($0.03 per diluted share) for the three months ended June 30,
2002. Costs associated with the early retirement of $50 million of 10% Senior Notes
reduced net income by $2.2 million (pre-tax) during the second quarter of 2003 or $0.02
per share when tax-adjusted. On July 29, 2003, Magnum Hunter exercised its option to sell
its 30% equity investment in an unconsolidated affiliate. A write-down in the carrying
value of this investment to its net realizable value resulted in a non-cash loss of $719
thousand (pre-tax) being recorded as part of equity in loss of affiliate in the second
quarter of 2003. The tax adjusted cost of this write-down was $0.01 per diluted share.

Total revenues for the second quarter
of 2003 were $78.4 million, an increase of 3% over revenues of $76.2 million reported
during the second quarter of 2002. Magnum Hunter reported an operating profit of $21.4
million during the second quarter of 2003. This represented an increase of $388 thousand
or 2% over the similar period in 2002. Net cash provided by operating activities increased
by over 2 1⁄2 times or $39.1 million to $63.6 million from $24.5 million reported
during the second quarter of 2002.

Production volumes totaled 18.5
billion cubic feet equivalent (Bcfe) or 203.5 MMcfe per day for the second quarter of
2003, an increase of 7% over production volumes reported for the first quarter in 2002
when adjusted for non-core property sales. Natural gas production was 68% of total
equivalent production volumes for the second quarter of 2003. A decline in actual
production of 8% when compared to the second quarter of 2002 was attributable to
previously announced non-core property sales made during fiscal years 2002 and 2003.

Natural gas prices realized by the
Company were $3.37 per Mcf for the second quarter of 2003, compared to $3.20 per Mcf
realized during the second quarter of 2002. Oil prices realized were $26.35 per barrel for
the second quarter of 2003, compared to $24.40 per barrel realized during the second
quarter of 2002. Both the natural gas and crude oil prices discussed above take into
account the commodity price hedges that were in place during such periods.

First Six Months of 2003
Financial Results

For the first six months of 2003, net
income was $12.2 million ($0.18 per diluted share) as compared to net income of $9.7
million ($0.17 per diluted share) for the six months ended June 30, 2002. Costs associated
with the early retirement of $80 million of 10% Senior Notes reduced net income by $4.1
million (pre-tax) during the first six months of 2003, or $0.04 per diluted share when
tax-adjusted. The non-cash loss from the adjustment of the net carrying value of an
unconsolidated affiliate was $719 thousand (pre-tax), or $0.01 on a tax adjusted basis per
diluted share.

Total revenues for the first six
months of 2003 were $158.5 million compared to $119.3 million in the corresponding 2002
period, a 33% increase. Magnum Hunter reported an operating profit of $47.4 million during
the first six months of 2003. This represented an increase of $17.0 million or 56% over
the similar period in 2002. Net cash provided by operating activities increased by $100.9
million from $537 thousand reported at the end of the first six months of 2002 to $101.4
million reported for the first six months of 2003.

Oil and natural gas production
increased 7% to 35.6 Bcfe or 196.6 MMcfe per day during the first six months of 2003
compared to 33.3 Bcfe or 184.0 MMcfe per day for the corresponding 2002 period. Natural
gas production was 67% of total equivalent production volumes for the first six months of
2003.

Natural gas prices realized by the
Company were $3.59 per Mcf for the first six months of 2003, compared to $3.02 per Mcf
realized during the first six months of 2002. Oil prices realized were $26.85 per barrel
for the first six months of 2003, compared to the $23.15 per barrel realized during the
first six months of 2002. Both the natural gas and crude oil prices discussed above take
into account the commodity price hedges that were in place during such periods.

Second Quarter 2003
Operating Results

Magnum Hunter participated in the
drilling of 31 new wells during the second quarter of 2003, 23 onshore and 8 offshore in
the Gulf of Mexico. Of these new wells drilled, 29 were deemed commercial successes and
two dry holes were drilled offshore, which provided for an overall success rate of 93% and
an offshore drilling success rate of 75%. Five of the 31 wells were deemed exploratory and
the Company made three new discoveries during the quarter that provided for an exploration
success rate of 60%. Since entering the Gulf of Mexico in 1999, Magnum Hunter has
successfully drilled 66 commercial discoveries out of 88 new wells attempted, for an
offshore drilling success rate of 83%.

Highlights for the second quarter in
the Gulf of Mexico include discoveries at Main Pass 163, Vermilion 100 and Vermilion 117.
The Main Pass 163 #3 well was a new discovery that found 50 feet of net pay in three
zones. The well was completed in the deepest sand and tested at a rate of 11.5 MMcfe per
day. The other two zones remain behind pipe. Magnum Hunter operates this well and owns a
60% working interest. First production is anticipated sometime early in the fourth quarter
of 2003.

Vermilion 117 was a new discovery
from the Big A sand with 40 feet of net pay. The well was completed and tested at a rate
of 9.2 MMcfe per day. Magnum Hunter owns a 40% working interest in this new well. First
production is anticipated to begin prior to year-end 2003.

Another new well was successfully
drilled at the Vermilion 100 block and when tested with another well on this block, they
produced at a combined rate of over 17 MMcfe per day. Magnum Hunter owns a 40% working
interest in this lease block. First production is anticipated to commence during the
fourth quarter of 2003.

First production on South Marsh
Island 24 began in May 2003 with rates approaching 23 MMcfe per day. Magnum Hunter owns a
36% working interest in this deep shelf discovery. Production was also initiated in late
June 2003 at Main Pass 263, were the Company owns a 60% working interest in this lease
block.

Onshore highlights center around the
Companys continuous drilling program in the Morrow/Atoka/Strawn formations in
Southeast New Mexico. Results continue to be very positive for the recently expanded 30
well drilling program. Further expansion of this program is anticipated based upon
excellent results to-date and due to various trades and farmouts the Company has recently
made to increase the number of future drilling locations.

The largest flow rate in the
Southeast New Mexico area for the second quarter of 2003 came from the Black River Fed Com
#2 located in Eddy County. The well flowed at a rate of over 6 MMcfe per day from the
Morrow zone. Magnum Hunter owns a 55% working interest in this well. Also located in Eddy
County, the Magnum Hunter 100% owned White Baby #4 began producing during the quarter at a
rate of 4 MMcfe per day from the Morrow. In Lea County, the Company owns a 37.5% working
interest in the Pennzoil 36 State Com #2 which began producing at a rate of 3.5 MMcfe per
day during the quarter. Additionally, the first two wells completed in the third quarter
have recently tested for a combined rate of 8 MMcfe per day, prior to stimulation. Magnum
Hunters ownership is over 90% working interest in each well.

Other onshore activities during the
second quarter of 2003 include numerous workovers, recompletions and stimulation
activities in the Companys Mid-Continent, West Texas and South Texas regions.

The sale of non-core properties
primarily located in South Louisiana closed in the second quarter of 2003 with a sales
price of $13.4 million (before customary purchase price adjustments). These non-core
properties consisted of 42 wells in nine separate fields acquired in the Prize merger last
year. This sale was effective at the end of May 2003 and resulted in 5 MMcfe of daily
production loss.

Commodity Hedges

The Company continues to utilize
commodity hedges as a means to provide a minimum base level of cash flow to meet
anticipated capital requirements. During the second quarter of 2003, the Company had
approximately 60 MMcf per day hedged through fixed price swaps with a weighted average
price of $3.01 per MMbtu and approximately 40 MMcf per day hedged through cost-less
collars with a weighted average floor price of $3.06 per MMbtu and a weighted average
ceiling price of $4.30 per MMbtu. Approximately 73% of the Companys second quarter
2003 natural gas production was hedged. On the crude oil side, the Company had
approximately 1,000 Bbls per day hedged through fixed price swaps with a weighted average
price of $21.25 per barrel and approximately 6,000 Bbls per day hedged through cost-less
collars with a weighted average floor price of $23.00 per barrel and a weighted average
ceiling price of $27.00 per barrel. Approximately 64% of the Companys second quarter
2003 crude oil production was hedged.

Management Comments

Responding to Magnum Hunters
financial and operating results for the second quarter of 2003, Mr. Gary C. Evans,
Chairman, President and Chief Executive Officer of the Company stated, Management
has stayed on course during the second quarter of 2003 by continuing to divest of non-core
assets, redeploying drilling capital to higher rates of return projects, and realigning
the balance sheet in a manner to further reduce future interest expense. Core production
growth of 7% in the second quarter from internally generated projects is after the loss of
32.4 MMcfe per day attributable to asset sales compared to the second quarter of 2002.
With a combination of recent new discoveries that have been made in the Gulf of Mexico
that are now awaiting facility installation this year, and two new wells per month added
to our production base in our Southeastern New Mexico region, we remain highly confident
in our ability to continue meaningful daily production gains throughout the remainder of
2003.

Conference Call

A conference call will be hosted by
the Senior Management of Magnum Hunter Resources, Inc. on Monday, August 4, 2003 at 9:00
a.m. central time. The subject of the conference call will be to discuss the financial and
operating results of Magnum Hunter for the second quarter and six months ended June 30,
2003. If you wish to participate in the call, please dial in toll free (800) 706-3079 at
8:50 a.m. central time on Monday, August 4, 2003. Should you wish to participate, there
will be a Q & A session following the presentation by management.

International
callers, please dial (706) 643-1963.

A Web Broadcast will also be
available for listeners on the Magnum Hunter Web Site. Instructions are:

| | Go to www.magnumhunter.comGo to Investor Relations Go to Webcasts/Conference Calls
| | ----------------------------------------------------------------------------------

#

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: M. BRADLEY DAVIS SENIOR VICE PRESIDENT
 CAPITAL MARKETS (972) 401-0752

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# MAGNUM HUNTER
RESOURCES, INC. AND SUBSIDIARIES UNAUDITED CONDENSED
CONSOLIDATED BALANCE SHEETS (in thousands of
dollars)

|                                                                         | June 30,
2003 | December 31,
2002
|------------------------------------------------------------------------ | ------------- | -----------------
|
|Current Assets                                                           |               |                  
|Cash and cash equivalents                                                |               |                  
|Restricted cash                                                          |               |                  
|Accounts receivable - trade, net of allowance of $4,521 and $4,573,      |               |                  
|respectively                                                             |               |                  
|Deposits                                                                 |               |                  
|Income tax refund receivable                                             |               |                  
|Other current assets                                                     |               |                  
|                                                                         |               |                  
|Total Current Assets                                                     |               |                  
|                                                                         |               |                  
|Property, Plant, and Equipment                                           |               |                  
|Oil and gas properties, full cost method                                 |               |                  
|Unproved                                                                 |               |                  
|Proved                                                                   |               |                  
|Gas processing plants and pipelines                                      |               |                  
|Other property                                                           |               |                  
|                                                                         |               |                  
|Total Property, Plant and Equipment                                      |               |                  
|Accumulated depreciation, depletion, amortization and impairment         |               |                  
|                                                                         |               |                  
|Net Property, Plant and Equipment                                        |               |                  
|                                                                         |               |                  
|Other Assets                                                             |               |                  
|Goodwill                                                                 |               |                  
|Other assets                                                             |               |                  
|                                                                         |               |                  
|Total Assets                                                             |               |                  
|                                                                         |               |                  
|LIABILITIES AND STOCKHOLDERS' EQUITY                                     |               |                  
|Current Liabilities                                                      |               |                  
|Trade payables and accrued liabilities                                   |               |                  
|Accrued interest                                                         |               |                  
|Due to affiliates                                                        |               |                  
|Current portion of long-term debt                                        |               |                  
|                                                                         |               |                  
|Total Current Liabilities                                                |               |                  
|                                                                         |               |                  
|Long-Term Liabilities                                                    |               |                  
|Long-term debt, less current maturities                                  |               |                  
|Asset retirement obligations                                             |               |                  
|Derivative liabilities, noncurrent                                       |               |                  
|Deferred income taxes payable                                            |               |                  
|Stockholders' Equity                                                     |               |                  
|Preferred stock - $.001 par value; 10,000,000 shares authorized, 216,000 |               |                  
|designated as Series A; 80,000 issued and outstanding, liquidation       |               |                  
|amount $0                                                                |               |                  
|Common Stock - $.002 par value; 100,000,000 shares authorized,           |               |                  
|71,730,830 and 71,707,897 shares issued, respectively                    |               |                  
|Additional paid-in capital                                               |               |                  
|Accumulated other comprehensive loss                                     |               |                  
|Accumulated deficit                                                      |               |                  
|Common stock in deferred compensation plan at cost (34,416 shares)       |               |                  
|Unearned common stock in KSOP, at cost (1,242,868 and 757,246 shares,    |               |                  
|respectively)                                                            |               |                  
|                                                                         |               |                  
|                                                                         |               |                  
|Treasury stock, at cost (4,489,992 and 3,168,013 shares, respectively) . |               |                  
|                                                                         |               |                  
|Total Stockholders' Equity                                               |               |                  
|                                                                         |               |                  
|Total Liabilities and Stockholders' Equity                               |               |                  
|                                                                         |               |                  

# MAGNUM HUNTER
RESOURCES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED
STATEMENTS OF INCOME (Unaudited) (in thousands, except
for per share amounts)

|                                                           | Three Months Ended
June 30, | Six Months Ended
June 30,
|---------------------------------------------------------- | --------------------------- | -------------------------
|
|Operating Revenues:                                        |                             |                          
|Oil and gas sales                                          |                             |                          
|Gas gathering, marketing and processing                    |                             |                          
|Oil field management services                              |                             |                          
|                                                           |                             |                          
|Total Operating Revenues                                   |                             |                          
|                                                           |                             |                          
|Operating Costs and Expenses:                              |                             |                          
|Oil and gas production lifting costs                       |                             |                          
|Production taxes and other costs                           |                             |                          
|Gas gathering, marketing and processing                    |                             |                          
|Oil field services                                         |                             |                          
|Depreciation, depletion, amortization and accretion        |                             |                          
|Gain on sale of assets                                     |                             |                          
|General and administrative                                 |                             |                          
|                                                           |                             |                          
|Total Operating Costs and Expenses                         |                             |                          
|                                                           |                             |                          
|Operating Profit                                           |                             |                          
|Equity in earnings (loss) of affiliate                     |                             |                          
|Other income                                               |                             |                          
|Provision for impairment of investments                    |                             |                          
|Costs associated with early retirement of debt             |                             |                          
|Other non-cash hedging adjustments                         |                             |                          
|Interest expense                                           |                             |                          
|                                                           |                             |                          
|Income Before Income Tax                                   |                             |                          
|Deferred income tax (expense) benefit                      |                             |                          
|                                                           |                             |                          
|Income Before Cumulative Effect of a Change in Accounting  |                             |                          
|Principle                                                  |                             |                          
|Cumulative effect of a change in accounting principle, net |                             |                          
|of income  tax expense of $244                             |                             |                          
|                                                           |                             |                          
|Net Income                                                 |                             |                          
|                                                           |                             |                          
|Income per Common Share - Basic                            |                             |                          
|In come before cumulative effect of a change in accounting |                             |                          
|principle                                                  |                             |                          
|Cumulative effect of a change in accounting principle      |                             |                          
|                                                           |                             |                          
|Income per Common Share - Basic                            |                             |                          
|                                                           |                             |                          
|Income per Common Share - Diluted                          |                             |                          
|Income before cumulative effect of a change in accounting  |                             |                          
|principle                                                  |                             |                          
|Cumulative effect of a change in accounting principle      |                             |                          
|                                                           |                             |                          
|Income per Common Share - Diluted                          |                             |                          
|                                                           |                             |                          
|Common Shares Used in Per Share Calculation                |                             |                          
|Basic                                                      |                             |                          
|                                                           |                             |                          
|Diluted                                                    |                             |                          
|                                                           |                             |                          

# MAGNUM HUNTER
RESOURCES, INC. AND SUBSIDIARIES CONDENSED CONSOLIDATED
STATEMENTS OF INCOME (Unaudited) (in thousands, except
for per share amounts)

|                                                                              | Six Months Ended
June 30,
|----------------------------------------------------------------------------- | -------------------------
|
|CASH FLOW FROM OPERATING ACTIVITIES:                                          |                          
|Net Income                                                                    |                          
|Adjustments to reconcile net income to cash provided by operating activities: |                          
|Cumulative effect of a change in accounting principle                         |                          
|Depreciation, depletion, amortization and accretion                           |                          
|Amortization of financing fees                                                |                          
|Imputed interest on debt due to merger                                        |                          
|Costs associated with early retirement of debt                                |                          
|Deferred income taxes (benefits)                                              |                          
|Equity in (income) loss of unconsolidated affiliate                           |                          
|Gain on sale of assets                                                        |                          
|Provision for impairment of investments                                       |                          
|Non-cash hedging adjustments                                                  |                          
|Stock compensation                                                            |                          
|Other                                                                         |                          
|Changes in certain assets and liabilities, net of the effect of               |                          
|acquisitions:                                                                 |                          
|Accounts and notes receivable                                                 |                          
|Derivative assets                                                             |                          
|Refund of income taxes                                                        |                          
|Deposits and other current assets                                             |                          
|Accounts payable and accrued liabilities                                      |                          
|                                                                              |                          
|Net Cash Provided by Operating Activities                                     |                          
|                                                                              |                          
|CASH FLOWS FROM INVESTING ACTIVITIES:                                         |                          
|Proceeds from sale of assets, net of purchase price adjustments               |                          
|Additions to property and equipment                                           |                          
|Cash paid in Prize merger net of cash acquired                                |                          
|Increase in note receivable                                                   |                          
|Decrease in other assets                                                      |                          
|Distribution from unconsolidated affiliate                                    |                          
|Investment in unconsolidated affiliate                                        |                          
|                                                                              |                          
|Net Cash Used in Investing Activities                                         |                          
|                                                                              |                          
|CASH FLOWS FROM FINANCING ACTIVITIES:                                         |                          
|Proceeds from issuance of debt                                                |                          
|Redemption of notes payable                                                   |                          
|Fees paid related to financing activities                                     |                          
|Payments of principal on debt and production payment                          |                          
|Loan made to stockholder                                                      |                          
|Increase in note receivable from affiliate                                    |                          
|Repayment of note receivable from affiliate                                   |                          
|Loan made to KSOP                                                             |                          
|Proceeds from issuance of common stock, net of offering costs                 |                          
|Purchase of common stock for deferred compensation plan                       |                          
|Purchase of warrants                                                          |                          
|Purchase of treasury stock                                                    |                          
|Increase in restricted cash for payment of notes payable                      |                          
|                                                                              |                          
|Net Cash Provided (Used) By Financing Activities                              |                          
|                                                                              |                          
|NET INCREASE IN CASH AND CASH EQUIVALENTS                                     |                          
|CASH AND CASH EQUIVALENTS AT BEGINNING OF PERIOD                              |                          
|                                                                              |                          
|CASH AND CASH EQUIVALENTS AT END OF PERIOD                                    |                          
|                                                                              |