The wells brought online in the first quarter had an average effective lateral length of 6,716 feet and were completed with an average of 23 frac stages.

As previously disclosed, a combination of gas flaring, the implementation of full scale pad drilling and underperforming wells drilled to define the edge of the Halliday Field in Leon County negatively impacted production by approximately 1,333 Boe/d in the first quarter of 2013. Based on extensive technical work and recent well data, Halcón expects Woodbine results to improve and plans to focus on drilling in the core of the Halliday Field.

The Company has determined that the preferred initial method of artificial lift is jet lift, with the long term solution being rod pump. Halcón is currently reviewing options to move immediately to rod pump.

On the drilling side, the Company significantly reduced spud to target depth times by an average of 27% during the first quarter of 2013. In addition, footage drilled per day increased by approximately 23% for wells spud from January 2013 to March 2013.

There are currently 30 horizontal Woodbine wells producing, 11 wells being completed or waiting on completion and 3 wells being drilled.

Portfolio Management

Halcón has executed a definitive agreement to sell its Eagle Ford assets in Fayette and Gonzales Counties, Texas. The Company anticipates closing on the sale of these assets in the third quarter of 2013. In addition, subject to market conditions, Halcón intends to divest approximately 4,500 Boe/d of production from conventional assets in 2013.

Outlook

The following production and cost guidance for the second quarter of 2013 reflects the divestment of 500 Boe/d of production from certain properties in South Louisiana in the fourth quarter of 2012, which along with the aforementioned impacts to production amounts to a total of approximately 3,333 Boe/d.
  Q2 '13E
Production (Boe/d)  
Low 27,000
High 29,000
% Oil 83%
% NGLs 5%
% Gas 12%
   
Operating Costs and Expenses ($/Boe)  
Lease Operating  
Low $9.00
High $11.00
Production Taxes  
Low $7.00
High $8.00
Cash G&A  
Low $9.00
High $10.00

Note: Guidance is forward-looking information that is subject to a number of risks and uncertainties, many of which are beyond the Company's control.

Conference Call and Webcast Information

Halcón Resources Corporation (NYSE:HK) has scheduled a conference call for Thursday, May 2, 2013, at 10:00 a.m. EDT (9:00 a.m. CDT). To participate in the conference call, dial (877) 810-3368 for domestic callers, and (914) 495-8561 for international callers a few minutes before the call begins and reference Halcón Resources conference ID 48708540. The conference call will also be webcast live over the Internet on Halcón Resources' website at http://www.halconresources.com in the Investor Relations section under Events & Presentations. A telephonic replay of the call will be available approximately two hours after the live broadcast ends and will be accessible until May 7, 2013. To access the replay, dial (855) 859-2056 for domestic callers or (404) 537-3406 for international callers, in both cases referencing conference ID 48708540.

About Halcón Resources

Halcón Resources Corporation is an independent energy company engaged in the acquisition, production, exploration and development of onshore oil and natural gas properties in the United States.

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