Ultra Petroleum to Begin Pilot Program at Pinedale

Ultra Petroleum says the Wyoming Oil and Gas Conservation Commission approved Ultra's proposed 20 acre pilot program. The pilot program contemplates drilling 32 wells on 20 acre spacing in four areas of the Pinedale Anticline to gather the data necessary to determine if 20 acre spacing is appropriate for the Pinedale Anticline. Ultra anticipates that these wells will be drilled over the next twelve months.

Additionally, Ultra's board approved increasing the 2003 capital budget $20 million to $130 million.

"This 20 acre pilot program is the next step in confirming the ultimate potential of the Pinedale Anticline. That the commission agreed with our supporting data gives us additional confidence in the incremental recoveries we ultimately expect from Pinedale on 20 acre spacing. If the results are similar to what has been seen at Jonah, expect a significant increase in Ultra's resource base over the next several years," stated Michael D. Watford, Chairman, President and Chief Executive Officer. "With the $20 million increase in the 2003 capital budget we can continue our drive to create shareholder value by accelerating the pace of drilling at Pinedale and by kicking off this pilot program. We expect that the results over the next twelve months will continue to support our unparalleled growth and inventory of opportunities at Pinedale."