Houston Exploration Announces Expiration of Tender Offer

The Houston Exploration Co. late Tuesday said that it will accept for payment all 7% Senior Subordinated Notes due 2013 (the "Notes") validly tendered prior to 5 p.m. Eastern time on June 5, 2007 (the "Expiration Time"), pursuant to its previously announced cash tender offer and consent solicitation for the Notes (the "Offer"), which commenced on May 2, 2007.

Notes in an aggregate principal amount of $169,178,000, representing approximately 97% of the $175,000,000 principal amount outstanding, were tendered. Houston Exploration previously accepted all consents delivered prior to 5:00 p.m. Eastern time on May 21, 2007 (the "Consent Expiration"). The aggregate consideration payable by Houston Exploration for Notes that will be accepted for payment pursuant to the Offer is $176,884,998, which includes payment of the consent fee for all Notes tendered prior to the Consent Expiration, as well as $5,592,273 in accrued interest. Payments to holders will be made on June 6, 2007.

Houston Exploration has executed a supplemental indenture (the "Supplemental Indenture") to the indenture governing the Notes to, among other things, eliminate substantially all of the restrictive covenants and to modify certain of the events of default and other provisions in the indenture. The Supplemental Indenture will become operative on June 6, 2007, pursuant to the terms and conditions of Houston Exploration's Offer to Purchase and Consent Solicitation Statement dated May 2, 2007 (the "Offer to Purchase"). Any Notes not tendered and purchased pursuant to the Offer will remain outstanding, and the holders thereof will be subject to the terms of the Supplemental Indenture even though they did not consent to the amendments.

J.P. Morgan Securities Inc. acted as the dealer manager and solicitation agent, and Georgeson Inc. was the information agent for the Offer. Questions regarding the Offer should be directed to J.P. Morgan Securities Inc. at (212) 270-3994 (collect), attention: Laura Yachimski.

The Houston Exploration Co. is an independent natural gas and crude oil producer engaged in the development, exploitation, exploration and acquisition of natural gas and crude oil properties. The company's operations are focused in South Texas, the Arkoma Basin, East Texas, and the Rocky Mountains.