----

| Comparative      Results                      |   | Three      Months Ended |   |   | Year      Ended   |   |
|-----------------------------------------------|--------|-------------------------|--------|--------|-------------------|--------|
| (In      thousands, except per share amounts) |   | December      31,       |   |   | December      31, |   |
|                                          |   | (unaudited)             |   |   | (unaudited)       |   |
|                                          |   | 2007                    |   |   | 2006              |   |   | 2007 |   |   | 2006 |   |
| Income      from Operations                   |   | $                       | 17,519 |   |              | $      | 11,358 |   |   | $ | 60,807 |   |   | $ | 381,802 | (1) |
| Net      income                               |   | $                       | 8,198  |   |              | $      | 7,963 |   |   | $ | 33,209 | (1) |   | $ | 237,772 | (1) |
| Basic      earnings per common share          |   | $                       | 0.56   |   |              | $      | 0.54 |   |   | $ | 2.25 | (1) |   | $ | 15.18 | (1) |
| Diluted      earnings per common share        |   | $                       | 0.55   |   |              | $      | 0.54 |   |   | $ | 2.24 | (1) |   | $ | 15.11 | (1) |
|                                          |   |                    |   |   |              |   |   |   |   |   |   |   |   |   |   |   |

----

|                                                                               |   | Three      Months Ended |    |   | Year      Ended   |   |
|------------------------------------------------------------------------------------|--------|-------------------------|---------|--------|-------------------|--------|
|                                                                               |   | December      31,       |    |   | December      31, |   |
|                                                                               |   | (unaudited)             |    |
|                                                                               |   | 2007                    |    |   | 2006              |   |   | 2007 |   |   | 2006 |   |
|                                                                               |   |                    |    |   |              |   |   |   |   |   |   |   |
| Net      Cash provided by Operating Activities                                     |   | $                       | 93,104  |   |              | $      | 78,701 |   |   | $ | 60,304 |   |   | $ | 67,390 |   |
| Changes      in Assets and Liabilities   Related      to Operations |   |                    | (65,681 | )      |              |   | (81,996 | ) |   |   | 35,322 |   |   |   | (37,554 | ) |
| Adjusted      Cash Flow from Operations                                            |   | $                       | 27,423  |   |              | $      | (3,295 | ) |   | $ | 95,626 |   |   | $ | 29,836 |   |

|               |   | Three      Months Ended |   |   | Year      Ended   |   |
|--------------------|--------|-------------------------|--------|--------|-------------------|--------|
|               |   | December      31,       |   |   | December      31, |   |
|               |   | (unaudited)             |   |
|               |   | 2007                    |   |   | 2006              |   |   | 2007 |   |   | 2006 |   |
| Net      Income    |   | $                       | 8,198  |   |              | $      | 7,963 |   |   | $ | 33,209 |   |   | $ | 237,772 |   |
| Interest,      net |   |                    | 3,851  |   |              |   | (2,545 | ) |   |   | 6,617 |   |   |   | (5,607 | ) |
| Income      Taxes  |   |                    | 5,470  |   |              |   | 5,940 |   |   |   | 20,981 |   |   |   | 149,637 |   |
| Depreciation       |   |                    | 19,987 |   |              |   | 11,243 |   |   |   | 70,844 |   |   |   | 33,735 |   |
| EBITDA             |   | $                       | 37,506 |   |              | $      | 22,601 |   |   | $ | 131,651 |   |   | $ | 415,537 |   |
|               |   |                    |   |   |              |   |   |   |   |   |   |   |   |   |   |   |

----

net, oil and natural gaswells.  Our leasehold position encompasses approximately 7,800 grossacres with approximately 3,900 net undeveloped acres remaining for developmentas of December 31, 2007.  We drilled 53 gross, 
41.7net, wells in the area in 2007 and produced approximately 8.2 Bcfe net to ourinterests.  Development wells drilled in the area range from 7,000 to9,500 feet in depth and the majority of wells are drilled directionally frommulti-well pads ranging from two to eight or more wells per drillingpad.  The primary target in the area is gas reserves, developed frommultiple sandstone reservoirs in the Mesaverde Williams Forkformation.  Well spacing is approximately ten acres perwell.

completion attempts are made in the slightly shallowerNiobrara carbonate reservoir.

horizontal drilling to the Midale/Nesson Formationat depths of approximately 6,800 feet with a lateral leg component of up to6,100.  We drilled 3 gross, 1.6 net wells

----

|                       |   |   | Year  Ended  |
|----------------------------|--------|--------|------------------------|
|                       |   |   | December      31, 2007 |
| Area                       |   |   | Productive             |   | InProcess |   | Dry |   | Total |
| Wattenberg                 |   |   | 108                    |   | 46 |   | 4 |   | 158 |
| Grand      Valley/Piceance |   |   | 40                     |   | 12 |   | 1 |   | 53 |
| NECO                       |   |   | 69                     |   | 43 |   | 11 |   | 123 |
| Michigan                   |   |   | 2                      |   | 1 |   | 0 |   | 3 |
| Appalachian                |   |   | 7                      |   | 1 |   | 0 |   | 8 |
| North      Dakota          |   |   | 1                      |   | 0 |   | 2 |   | 3 |
| Fort      Worth Basin      |   |   | 0                      |   | 1 |   | 0 |   | 1 |
| Total                      |   |   | 227                    |   | 104 |   | 18 |   | 349 |
|                       |   |   |                   |   |   |   |   |   |   |

----

|                       |   |   | Year      Ended        |
|----------------------------|--------|--------|------------------------|
|                       |   |   | December      31, 2007 |
| Area                       |   |   | Productive             |   | InProcess |   | Dry |   | Total |
| Wattenberg                 |   |   | 54.4                   |   | 50.2 |   | 1.5 |   | 106.1 |
| Grand      Valley/Piceance |   |   | 25.1                   |   | 16.2 |   | 0.4 |   | 41.7 |
| NECO                       |   |   | 62.0                   |   | 42.0 |   | 11.0 |   | 115.0 |
| Michigan                   |   |   | 2.0                    |   | 1.0 |   | 0.0 |   | 3.0 |
| Appalachian                |   |   | 7.0                    |   | 1.0 |   | 0.0 |   | 8.0 |
| North      Dakota          |   |   | 0.2                    |   | 0.0 |   | 1.4 |   | 1.6 |
| Fort      Worth Basin      |   |   | 0.0                    |   | 1.0 |   | 0.0 |   | 1.0 |
| Total                      |   |   | 150.7                  |   | 111.4 |   | 14.2 |   | 276.4 |
|                       |   |   |                   |   |   |   |   |   |   |

|                                 | Twelve      Months Ended December 31,                                                                 |   | Change                                                                                                             |
|--------------------------------------|-------------------------------------------------------------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------|
|                                 | 2007                                                                                                  |   | 2006                                                                                                               |   | Amount |   | Percent |
| Natural      Gas (Mcf)               |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Appalachian      Basin               | 2,711,300                                                                                             |   | 1,451,729                                                                                                          |   | 1,259,571 |   | 86.8% |
| Michigan      Basin                  | 1,678,155                                                                                             |   | 1,399,852                                                                                                          |   | 278,303 |   | 19.9% |
| Rocky      Mountains                 | 18,123,852                                                                                            |   | 10,309,203                                                                                                         |   | 7,814,649 |   | 75.8% |
| Total                                | 22,513,307                                                                                            |   | 13,160,784                                                                                                         |   | 9,352,523 |   | 71.1% |
|                                 |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Average      Sales Price             |  $               5.30 |   |  $        5.91                                                        |   |  $         (0.62) |   | (10.4)% |
|                                 |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Oil      (Bbls)                      |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Appalachian      Basin               | 5,490                                                                                                 |   | 1,837                                                                                                              |   | 3,653 |   | 198.9% |
| Michigan      Basin                  | 4,301                                                                                                 |   | 4,439                                                                                                              |   | (138) |   | (3.1)% |
| Rocky      Mountains                 | 900,261                                                                                               |   | 625,119                                                                                                            |   | 275,142 |   | 44.0% |
| Total                                | 910,052                                                                                               |   | 631,395                                                                                                            |   | 278,657 |   | 44.1% |
|                                 |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Average      Sales Price             |  $            61.56                  |   |  $                 59.33 |   |  $           2.23 |   | 3.8% |
|                                 |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Natural      Gas Equivalents (Mcfe)* |                                                                                                  |   |                                                                                                               |   |   |   |
| Appalachian      Basin               | 2,744,240                                                                                             |   | 1,462,751                                                                                                          |   | 1,281,489 |   | 87.6% |
| Michigan      Basin                  | 1,703,961                                                                                             |   | 1,426,486                                                                                                          |   | 277,475 |   | 19.5% |
| Rocky      Mountains                 | 23,525,417                                                                                            |   | 14,059,917                                                                                                         |   | 9,465,500 |   | 67.3% |
| Total                                | 27,973,618                                                                                            |   | 16,949,154                                                                                                         |   | 11,024,464 |   | 65.0% |
|                                 |                                                                                                  |   |                                                                                                               |   |   |   |   |
| Average      Sales Price             | $              6.26             |   | $                 6.80        |   | $      (0.54) |   | (7.9)% |

----

Bcf

|                                                                                      |                |                         |      | Floors                                                                         |     | Ceilings            |   | Swaps      (Fixed Prices)                                                      |
|-------------------------------------------------------------------------------------------|---------------------|------------------------------|-----------|--------------------------------------------------------------------------------|----------|---------------------|--------|--------------------------------------------------------------------------------|
|                                                                                      |                |                         |      | Monthly                                                                        |     |                |   |                                                                           |   |   |   |   |   |   |
|                                                                                      |                |                         | Quantity  |                                                                           |     | Monthly             |   |                                                                           |   |  Monthly |   |   |
|                                                                                      |                |                         | Gas-MMbtu |                                                                           | Contract | Quantity            |   | Contract                                                                       |   |  Volume |   |   |
|                                                                                      |                |                         | Oil-Bbls  |                                                                           | Price    | MMbtu               |   | Price                                                                          |   |  MMbtu/Bbls |   | Price |
| Month      Set                                                                            | Months      Covered |                         |      |                                                                           |     |                |   |                                                                           |   |   |   |   |
| Colorado      Interstate Gas (CIG) Based Hedges (Grand Valley Field, Piceance      Basin) |                |                         |      |                                                                           |
| Dec-06                                                                                    |                | Jan      08 – Mar 08   |      |           247,700            |     | $5.25               |   |             -      |   |  $                      - |   |                            - |   |  $                   - |
| Jan-07                                                                                    |                | Jan      08 – Mar 08   |      |           247,700            |     | 5.25                |   |           247,700            |   |                 9.80 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | April      08 – Oct 08 |      |               -                        |     |  -             |   |               -                        |   |                       - |   |           488,900 |   |                 7.05 |
| Jan-08                                                                                    |                | April      08 – Oct 08 |      |              -                              |     |  -             |   |         -                              |   |                       - |   |           410,700 |   |                 6.54 |
| Jan-08                                                                                    |                | Jan      08 - Mar 09         |      |          371,600                  |     | 6.50                |   |           371,600            |   |               10.15 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | Jan      08 - Mar 09         |      |          221,650                  |     |  7.00          |   |           221,650            |   |                 9.70 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | Jan      08 - Mar 09         |      |              -                              |     |   -       |   |               -                        |   |                       - |   |           221,650 |   |                 8.18 |
| Jan-08                                                                                    |                | April      09 - Oct 09       |      |          371,600                  |     | 5.75                |   |           371,600            |   |                 8.75 |   |                       - |   |                       - |
| Mar-08                                                                                    |                | April      09 - Oct 09       |      |          365,050                  |     | 5.75                |   |           365,050            |   |                 9.05 |   |                       - |   |                       - |
| NYMEX      Based Hedges - (Appalachian and Michigan Basins)                               |                |                         |      |                                                                           |     |                |   |                                                                           |
| Dec-06                                                                                    |                | Jan      08 – Mar 08   |      |           123,100            |     | 7.00                |   |              -                              |   |                       - |   |                       - |   |                       - |
| Jan-07                                                                                    |                | Jan      08 – Mar 08   |      |           123,100            |     | 7.00                |   |           123,100            |   |               13.70 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | April      08 – Oct 08 |      |            -            |     |  -             |   |          -                        |   |                       - |   |           123,100 |   |                 8.33 |
| Feb-08                                                                                    |                | April      08 – Oct 08 |      |                -                  |     |  -             |   |              -                              |   |                       - |   |           123,100 |   |                 8.58 |
| Jan-08                                                                                    |                | Nov      08 - Mar 09         |      |           123,100            |     | 9.00                |   |           123,100            |   |               11.32 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | Nov      08 - Mar 09         |      |             72,400 |     | 8.40                |   |             72,400 |   |               13.05 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | Nov      08 - Mar 09         |      |               -                        |     |    - |   |              -                              |   |                     - |   |             72,400 |   |                 9.62 |
| Jan-08                                                                                    |                | April      09 - Oct 09       |      |           123,100            |     | 6.75                |   |           123,100            |   |               12.45 |   |                       - |   |                       - |
| Mar-08                                                                                    |                | April      09 - Oct 09       |      |           123,100            |     | 7.50                |   |           123,100            |   |               13.25 |   |                       - |   |                       - |
| Feb-08                                                                                    |                | Mar      08 - Feb 11         |      |           -                  |     |  -             |   |              -                              |   |                       - |   |             90,000 |   |                 8.62 |

----

|                                                         |                |                         |      | Floors                                                                                                                                |     | Ceilings                                                                                                                              |   | Swaps      (Fixed Prices)                                                                                                             |
|--------------------------------------------------------------|---------------------|------------------------------|-----------|---------------------------------------------------------------------------------------------------------------------------------------|----------|---------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------------------------------------------------------------------------------------------------------|
|                                                         |                |                         |      | Monthly                                                                                                                               |     |                                                                                                                                  |   |                                                                                                                                  |   |   |   |   |   |   |
|                                                         |                |                         | Quantity  |                                                                                                                                  |     | Monthly                                                                                                                               |   |                                                                                                                                  |   |  Monthly |   |   |
|                                                         |                |                         | Gas-MMbtu |                                                                                                                                  | Contract | Quantity                                                                                                                              |   | Contract                                                                                                                              |   |  Volume |   |   |
|                                                         |                |                         | Oil-Bbls  |                                                                                                                                  | Price    | MMbtu                                                                                                                                 |   | Price                                                                                                                                 |   |  MMbtu/Bbls |   | Price |
| Month      Set                                               | Months      Covered |                         |      |                                                                                                                                  |     |                                                                                                                                  |   |                                                                                                                                  |   |   |   |   |
| Panhandle      Based Hedges (NECO)                           |                |                         |      |                                                                                                                                  |     |                                                                                                                                  |   |                                                                                                                                  |   |   |
| Dec-06                                                       |                | Jan      08 – Mar 08   |      |             70,000                                                        |     |                 5.75                                  |   |                       - |   |                       - |   |                       - |   |                       - |
| Jan-07                                                       |                | Jan      08 – Mar 08   |      |             90,000                                                        |     |                 6.00                                  |   |             90,000                                                        |   |               11.25 |   |                       - |   |                       - |
| Feb-08                                                       |                | April      08 – Oct 08 |      |                       - |     |                       - |   |                       - |   |                       - |   |           180,000 |   |                 7.45 |
| Jan-08                                                       |                | April      08 – Oct 08 |      |                       - |     |                       - |   |                       - |   |                       - |   |           120,000 |   |                 6.80 |
| Jan-08                                                       |                | Nov      08 - Mar 09         |      |           110,000                                                                   |     |                 6.75                                  |   |           110,000                                                                   |   |               10.05 |   |                       - |   |                       - |
| Feb-08                                                       |                | Nov      08 - Mar 09         |      |             80,000                                                        |     |                 7.25                                  |   |             80,000                                                        |   |               10.05 |   |                       - |   |                       - |
| Feb-08                                                       |                | Nov      08 - Mar 09         |      |                       - |     |                       - |   |                       - |   |                       - |   |             80,000 |   |                 8.44 |
| Jan-08                                                       |                | April      09 - Oct 09       |      |           110,000                                                                   |     |                 6.00                                  |   |           110,000                                                                   |   |                 9.70 |   |                       - |   |                       - |
| Mar-08                                                       |                | April      09 - Oct 09       |      |           130,000                                                                   |     |                 6.25                                  |   |           130,000                                                                   |   |               11.75 |   |                       - |   |                       - |
| Colorado      Interstate Gas (CIG) Based Hedges (Wattenberg) |                |                         |      |                                                                                                                                  |
| Jan-07                                                       |                | Jan      08 – Mar 08   |      |           123,650                                                                   |     |                 5.25                                  |   |           123,650                                                                   |   |                 9.80 |   |                       - |   |                       - |
| Feb-08                                                       |                | April      08 - Oct 08       |      |                       - |     |                       - |   |                       - |   |                       - |   |           314,750 |   |                 7.05 |
| Jan-08                                                       |                | April      08 - Oct 08       |      |                       - |     |                       - |   |                       - |   |                       - |   |           207,350 |   |                 6.54 |
| Jan-08                                                       |                | Nov      08 - Mar 09         |      |           237,350                                                                   |     |                 6.50                                  |   |           237,350                                                                   |   |               10.15 |   |                       - |   |                       - |
| Feb-08                                                       |                | Nov      08 - Mar 09         |      |           131,150                                                                   |     |                 7.00                                  |   |           131,150                                                                   |   |                 9.70 |   |                       - |   |                       - |
| Feb-08                                                       |                | Nov      08 - Mar 09         |      |                       - |     |                       - |   |                       - |   |                       - |   |           131,150 |   |                 8.18 |
| Jan-08                                                       |                | April      09 - Oct 09       |      |           237,350                                                                   |     |                 5.75                                  |   |           237,350                                                                   |   |                 8.75 |   |                       - |   |                       - |
| Mar-08                                                       |                | April      09 - Oct 09       |      |           214,850                                                                   |     |                 5.75                                  |   |           214,850                                                                   |   |                 9.05 |   |                       - |   |                       - |
| Oil      – NYMEX Based (Wattenberg/North Dakota)       |                |                         |      |                                                                                                                                  |     |                                                                                                                                  |   |                                                                                                                                  |   |   |
| Oct-07                                                       |                | Jan      08 – Dec 08   |      |                       - |     |                       - |   |                       - |   |                       - |   |             25,900 |   |               84.20 |
| Jan-08                                                       |                | Jan      09 - Dec 09         |      |                       - |     |                       - |   |                       - |   |                       - |   |             16,150 |   |               84.90 |
| Jan-08                                                       |                | Jan      09 - Dec 09         |      |                       - |     |                       - |   |                       - |   |                       - |   |             16,150 |   |               85.40 |
| Jan-08                                                       |                | Jan      10 - Dec 10         |      |             16,150                                                        |     |               70.00                                             |   |             16,150                                                        |   |             102.25 |   |                       - |   |                       - |
| Jan-08                                                       |                | Jan      10 - Dec 10         |      |             16,150                                                        |     |               70.00                                             |   |             16,150                                                        |   |             103.00 |   |                       - |   |                       - |

----

----