PetroQuest Energy Updates First Quarter Production Guidance And Updates Operating Activities

LAFAYETTE, La., April 26 /PRNewswire-FirstCall/ -- PetroQuest Energy, Inc. (NYSE: PQ) announced today that it is updating its first quarter 2010 production guidance to approximately 86 Mmcfe per day from its previously issued guidance of 83 - 88 Mmcfe per day. The revised guidance represents an approximate 5% increase from the Company's production rate during the fourth quarter of 2009.  

Operations Update

The Company has reached total depth on three horizontal Woodford wells utilizing the same pad.  The Company expects to commence completion activities on the first of the three wells, a 6,562 foot lateral, in approximately one week, with first production expected in approximately two weeks. Production from the second and third wells, 5,256 foot and 5,391 foot laterals, respectively, is expected to commence in approximately four weeks. In addition, the Company has reached total depth on another horizontal Woodford well, a 4,305 foot lateral. The Company's working interest in these four wells range between 47% and 85%.

Since reinitiating its Woodford drilling program in late 2009, the Company has drilled six gross operated wells. The average cost per lateral foot for the drilling phase for these six wells is down approximately 61% as compared to the average drilling cost per lateral foot for the 20 gross wells drilled during 2008.  In addition, the Company's daily net production from its Oklahoma assets has increased approximately 17% since the restart of its development program in the fourth quarter of 2009.  The Company expects the next series of well completions to continue the trend of growing production in the Woodford Shale, and expects additional completions throughout the year.  Additionally, since the beginning of 2010, the Company has acquired approximately 2,600 net acres in the Woodford Shale.  The Company continues to evaluate acreage acquisitions in and around its core position.

During the first quarter, the Company finished recompletion operations at its Ship Shoal 225 field.  The well is currently flowing at approximately 1,000 bbls of oil per day and 900 mcf of gas per day.  The Company has an approximate 23% net revenue interest in the well.