Company

We are a Fort Worth, Texas-based independent oil and gas company engaged in the development and production of natural gas, natural gas liquids (NGL’s) and crude oil, which we attain through a combination of development drilling, exploitation and property acquisitions.  Our efforts are principally focused on unconventional reservoirs found in fractured shales, coal seams and tight sands.  We have U.S. offices in Fort Worth, Texas; Cut Bank, Montana; and Glen Rose, Texas.  We also have a Canadian subsidiary, Quicksilver Resources Canada Inc., located in Calgary, Alberta.  Quicksilver Resources Inc. common shares are traded on the New York Stock Exchange under the ticker symbol “KWK.”

Facts

• NYSE: KWK – Public company since 1999 and its predecessor has operated as a private company since 1963.



• Our proved reserves at year-end 2007 were 1.55 trillion cubic feet equivalents (Tcfe) with 62% classified as proved developed. During the past four years, nearly 100% of our reserve growth has been through the drill bit. For the year 2007, our production replacement rate was 780%. This ratio is calculated by dividing proved reserve extensions, discoveries, revisions and purchases of approximately 608 billion cubic feet equivalents (Bcfe) by production for the 12-month period of approximately 78 Bcfe.



• As of year-end 2007, our reserve mix was 99% natural gas and natural gas liquids and 1% oil, with a reserve life index of approximately 20 years.



• Our average daily production for the year 2007 was 213.6 million cubic feet equivalents per day (MMcfe/d) compared to 167.8 MMcfe/d for 2006.



• On November 1, 2007 the company divested all of its assets and operations in Michigan, Indiana and Kentucky to BreitBurn Energy Partners L.P. (BBEP) in exchange for $750 million in cash and 21.348 million common units of BBEP



• As of November 2007, we had approximately 450 employees in North America.

We focus on development of unconventional gas reservoirs. Our primary growth area is the Barnett Shale formation in the Fort Worth Basin, located in north Texas. Proved reserves in this play have grown from 2 Bcfe at year-end 2003 to 1.2 Tcfe as of year-end 2007. We had approximately 250,000 net acres in this play as of the end of 2007, and reported average production of approximately 145 MMcfe/d during the first quarter of 2008. In the Fort Worth Basin we expect to have 12 to 14 rigs operational during 2008 and expect to drill more than 200 gross wells during the year.

The majority of our production from the Fort Worth Basin is gathered and processed by Quicksilver Gas Services LP (NYSE – Arca – KGS), a limited partnership in which we own approximately 73% of the partnership interests, including 100% of the general partner.

Another growth area is in Alberta, Canada where we have a land position of approximately 410,000 net acres. Reserves in Canada have grown from 17 Bcfe of proved reserves in 2001 to 328 Bcfe in 2007. Production from Horseshoe Canyon coals has grown from 8 MMcfe/d at year-end 2003 to approximately 62.5 MMcfe/d during the first quarter of 2008. We plan to perform additional development drilling in 2008 to test potential down-spacing of our Horseshoe Canyon development.

Our exploratory plays include in the Delaware Basin in west Texas and the Horn River Basin in British Columbia. In the Delaware Basin, we have leased approximately 375,000 net acres and have drilled five resource assessment wells on our acreage. We plan to drill additional resource assessment wells in 2007 targeting the Barnett Shale and Woodford Shale formations. In the Horn River Basin, we have acquired more than 127,000 net acres and expect to begin exploratory drilling operations during the 2008-2009 winter drilling season.