Harken Announces Domestic Operations Update

Harken Energy Corporation announced updates regarding its newly added domestic oil and gas production and the status of its drilling activities in the Gulf Coast and Texas Panhandle areas.

The State Lease 14589 #3 well, which was drilled in Harken's Lake Raccourci Field in southern Louisiana, has been connected to the pipeline as scheduled and is now producing approximately 2.4 gross million cubic feet equivalent per day or 633 cubic feet equivalent per day net to Harken's interest. Including the two new producing zones of the Bol 3A formation, the State Lease 14589 #3 well now represents approximately 2.6 billion cubic feet equivalent of Harken's domestic proved reserves.

Harken also announced that it has begun completion operations on the State Lease 1480 #3 well, also in the Lake Raccourci field area, after the well successfully reached its target depth of 13,700 feet. Electric log results indicate the presence of two potentially productive zones and initial production testing is planned for the middle of October 2001. Harken holds approximately 44% working interest in this new well.

Elsewhere in southern Louisiana, Harken is proceeding to obtain environmental permits on two new prospect locations located in the Lapeyrouse Field in Terrebonne Parish. The drilling locations are near the Cenac #1 well, which was successfully completed earlier this year.

"We are very excited about the sustained production levels generated by Cenac #1 and the progress we are making toward completing the other new wells in our Gulf Coast prospect area," said Bruce N. Huff, Harken's President. "In addition, we are pleased to be able to potentially capitalize on the presence of additional gas zones discovered in our Texas Panhandle field by initiating inexpensive recompletions on many of our existing producing wells in that field. Early results from these initial recompletion procedures should be available within the next two months. The current daily production from our Texas Panhandle area is approximately 2.6 million cubic feet equivalent per day. The above developments, plus the sustained production levels from the recently drilled Cenac #1 well, will contribute to the continued profitability of Harken's domestic operations."