Cabot Declares Dividend, Increases Buyback Authorization

Cabot Oil & Gas Corporation reported that its Board of Directors declared a regular dividend of four cents ($0.04) per share on the Company's common stock. The dividend will be paid November 27, 2006, to all shareholders of record as of the close of business November 13, 2006.

Cabot also announced that its Board of Directors added 2,000,000 shares to its buyback authorization, bringing the available authorization to 2,397,650. "Since early 2004 the Company has taken advantage of market weakness and repurchased 1,945,900 shares at an average price of $37.84," said Dan O. Dinges, Chairman, President and Chief Executive Officer. "There are times when these investments are very compelling when compared to our underlying valuation, and we wanted the flexibility to continue to pursue this avenue."

Cabot Oil & Gas Corporation, headquartered in Houston, Texas, is a leading independent natural gas producer with substantial interests onshore Gulf Coast; the West, with the Rocky Mountains and Mid-Continent; the East and in Canada.