2008-09-23-2007-12-03-2007-12-20

Bought 50% WI each in W TX Permian Basin assets, gaining 6.6 MMBOE proved & production of 800 BOE/d.

Gulfport Energy Corp., Oklahoma City, (Nasdaq: GPOR) and Windsor Permian LLC, a subsidiary of Wexford Capital LLC, Greenwich, Conn., have closed their acquisition of 50% working interest each in the Permian Basin in West Texas from ExL Petroleum LP, Midland, Texas, for some $170 million. Gulfport and Windsor each paid approximately $85 million. The assets include 4,100 net acres each to Gulfport and Windsor in Upton and Midland counties with 32 gross wells predominately in the Wolfcamp formation. Production is 800 net barrels of oil equivalent per day to each company (64% oil, 23% gas liquids, 13% gas). Proved net reserves are 6.9 million barrels of oil equivalent each, 23% proved developed producing. Proved undeveloped reserves included in this estimate are from 92 gross well locations on 40-acre units. The proved reserves are in the Wolfcamp and Spraberry formations. ExL is operator. Gulfport estimates an additional resource potential of 4.9 million barrels of oil equivalent net of probable resources on 40-acre units. Gulfport and Windsor have identified 86 gross future development drilling locations. The effective date is Nov. 1. Gulfport funded part of its acquisition with an equity offering that raised $76 million. Gulfport plans to drill 45 gross wells in 2008. The wells are expected to be drilled to approximately 10,200 feet at an estimated average gross completed cost of $1.6 million each. The gross ultimate recovery, as estimated by Pinnacle Energy Services LLC, is expected to average 146,000 barrels of oil equivalent per well. Average net revenue interest is approximately 75%.