Magnum Hunter Resources Announces Definitive Agreement to Acquire Assets of Appalachian Basin Focused Triad Energy &

HOUSTON, TX, Oct 29 (MARKET WIRE) --
Magnum Hunter Resources Corporation (NYSE Amex: MHR) (the "Company")
announced this morning it has entered into a definitive agreement with an
Appalachian Basin energy company, privately-held Triad Energy Corporation
and affiliates (collectively "Triad"), to purchase substantially all of
Triad's oil and gas exploration and production operating assets.
Additionally, as part of the transaction, 100% of Triad's ownership
interests in certain oilfield service related drilling, pipeline and salt
water disposal assets are being acquired. The acquisition of Triad by
Magnum Hunter will occur upon the effectiveness of Triad's reorganization
plan under Chapter 11 of the United States Bankruptcy Code. Under Triad's
proposed plan of reorganization, the assets of Triad along with certain
affiliates would be acquired by a wholly-owned subsidiary of Magnum
Hunter.

Magnum Hunter has agreed to pay cash, issue securities and assume or
refinance Triad's outstanding debt obligations in the aggregate of
approximately $81 million. The $81 million total purchase price is broken
out in components of (i) the assumption and refinancing of approximately
$58 million of senior debt owed to secured lenders, (ii) issuance to Triad
or its designees $15 million in Redeemable Convertible Preferred Stock
with a 2.75% fixed coupon payable quarterly and (iii) up to $8 million in
cash.

The closing of this transaction is subject to customary conditions, as
well as final approval of the Federal Bankruptcy Court. Magnum Hunter has
obtained an agreement with Triad and its principal secured and unsecured
creditors to fully support the proposed transaction. The closing of the
transaction is expected to occur in late 2009 or early 2010.

About Triad Energy and Affiliates

Triad Energy Corporation is a 23 year old Reno, Ohio headquartered oil and
natural gas exploration and production company focused exclusively in the
Appalachian Basin with operations in Ohio, West Virginia and Kentucky. As
of June 30, 2009, supported by a third party independent engineering
report prepared by an independent third party engineering firm, Triad had
total proved reserves of approximately 5.2 MMBoe (69% crude oil and 69%
classified as proved developed producing). The Company had a present value
on proved reserves discounted at 10% ($69.89 per Bbl and $3.835 per Mcf)
as of June 30, 2009 of $74.1 million. Daily production from over 2,000
wells is approximately 1,000 Boe. The third party engineering report does
not reflect any future potential that may exist from the drilling of
horizontal wells in the Marcellus Shale formation.

Triad presently controls approximately 88,417 net mineral acres located in
Ohio, West Virginia and Kentucky, with approximately 75% of this acreage
classified as held by production "HBP." Of this total acreage position,
approximately 47,000 net acres (53% of the total net acres) overlay the
Marcellus Shale play. Triad's lease acreage position is concentrated and
contiguous with existing Triad operations and production. Proved reserves
and upside production potential is reflected in Triad's mature oil fields
currently under primary and secondary development, conventional fields
with additional development and behind pipe potential and horizontal
drilling of Triad's Marcellus Shale acreage position.

Other assets owned by Triad include (i) oilfield service equipment (three
air drilling rigs, pole units, frac tanks, trailers, gang trucks, vacuum
trucks, etc.), (ii) salt water disposal facilities with a 1,000 Bpd
average disposal rate and (iii) the control of over 55 miles of existing
natural gas pipelines and pipeline right-of-ways ("Eureka Pipeline"). It
is anticipated that the midstream assets can be utilized to solve a
portion of the existing Appalachian Basin regional takeaway challenges
and allow Magnum Hunter to expand this natural gas transportation and
processing business to third parties.

Management Comments

Mr. Gary C. Evans, Chairman of the Company, commented, "We are extremely
pleased to make this announcement today concerning Magnum Hunter's
agreement to acquire the assets of Triad Energy and its related entities.
This has been a long and difficult negotiation for our management team.
With 5.2 MMBoe of total proved reserves and 88,417 net acres within this
portfolio, the acquisition of these assets will provide Magnum Hunter a
unique opportunity to establish a very cost effective ownership position
in the Appalachian Basin. Specifically, the emerging Marcellus Shale play,
which is one of the most active and most economically attractive
hydrocarbon plays in the United States today, should provide our
shareholders significant future growth potential. This transaction offers
Magnum Hunter shareholders incremental and accretive upside from a variety
of perspectives and demonstrates the type of acquisition we discussed when
Ron Ormand and I first joined Magnum Hunter in late May. When you combine
Triad's low-decline rate and long-life producing assets (the
reserves-to-production ratio approximates 25 years) with its stable and
predictable production levels and cash flows, and the Company's upside
potential from behind-pipe reserves, numerous undrilled locations,
waterflood enhancement opportunities and, most exciting of all, Triad's
untapped Marcellus Shale horizontal development potential, this easily
becomes a Company changing event for Magnum Hunter."

"Additionally, we have identified a number of opportunities to reduce
operating expenses on the existing oil and gas properties, where
approximately 75% of the leases are 'held by production.' We believe
Triad's existing pipelines and right-of-ways in the Marcellus Shale will
allow for not only the efficient delivery the natural gas we produce or
own, but also new and untapped opportunities to transport and market third
party natural gas in the area. Triad comes with both the oilfield
equipment and the infrastructure to provide for a strategic area of core
operations for Magnum Hunter. Potential revenue enhancement projects have
already been identified by our management team and can be implemented upon
final closing."

About Magnum Hunter Resources Corporation

Magnum Hunter Resources Corporation and subsidiaries are a Houston, Texas
based independent exploration and production company engaged in the
acquisition of exploratory leases and producing properties, secondary
enhanced oil recovery projects, exploratory drilling, and production of
oil and natural gas in the United States.

For more information, please view our website at
www.magnumhunterresources.com

Forward-looking Statements

The statements contained in this press release that are not historical are
"forward-looking statements" within the meaning of Section 27A of the
Securities Act of 1933, as amended (the "Securities Act"), and Section 21E
of the Securities Exchange Act of 1934, as amended (the "Exchange Act"),
including statements, without limitation, regarding the Company's
expectations, beliefs, intentions or strategies regarding the future. Such
forward-looking statements may relate to, among other things: (1) the
Company's proposed exploration and drilling operations on its and Triad's
various properties, (2) the expected production and revenue from its and
Triad's various properties, (3) the Company's proposed redirection as an
operator of certain properties and (4) estimates regarding the reserve
potential of its and Triad's various properties. These statements are
qualified by important factors that could cause the Company's actual
results to differ materially from those reflected by the forward-looking
statements. Such factors include but are not limited to: (1) the
Company's ability to finance the continued exploration, drilling and
operation of its and Triad's various properties, (2) positive confirmation
of the reserves, production and operating expenses associated with its and
Triad's various properties; and (3) the general risks associated with oil
and gas exploration, development and operation, including those risks and
factors described from time to time in the Company's reports and
registration statements filed with the Securities and Exchange Commission,
including but not limited to the Company's Annual Report on Form 10-K,
Form 10-K/A and Form10-K/A for the year ended December 31, 2008 filed
with the Securities and Exchange Commission on March 31, 2009, April 29,
2009 and September 11, 2009, respectively, and the Company's Quarterly
Reports on Form 10-Q for the quarters ending March 31, 2009 and June 30,
2009, filed on May 11, 2009 and August 14, 2009, respectively. The
Company cautions readers not to place undue reliance on any
forward-looking statements. The Company does not undertake, and
specifically disclaims any obligation, to update or revise such
statements to reflect new circumstances or unanticipated events as they
occur.

Contact:
M. Bradley Davis
Senior Vice President of Capital Markets
bdavis@magnumhunterresources.com
(832) 203-4545

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