Quicksilver Resources Inc. reported net income for the fourth quarter of 2005 of $34.7 million on revenues of $102.9 million, or $0.43 per diluted share. The company's comparative fourth quarter of 2004 net income was $9.9 million on revenues of $52.4 million, or $0.13 per diluted share after adjusting for the three-for-two stock split effected in the form of a stock dividend in June 2005.

Net income for the full year 2005 was $87.4 million on revenues of $310.4 million, or $1.08 per diluted share. This compares to full year 2004 net income of $31.3 million on revenue of $179.7 million, or $0.41 per diluted share. For the full year 2005, net cash from operating activities, as presented in the attached Condensed Consolidated Statements of Cash Flows, was $161.1 million compared to $84.8 million for same period in 2004.

Production

For the fourth quarter of 2005, average daily production was 150 million cubic feet equivalent per day (MMcfe/d) versus 127 MMcfe/d for the same period in 2004, an increase of 18 percent. Total production for the fourth quarter of 2005 was 13.8 billion cubic feet equivalent (Bcfe) as compared to 11.7 Bcfe for the fourth quarter of 2004.

Natural gas production for the fourth quarter of 2005 was 12.5 billion cubic feet (Bcf), or an average of 136 million cubic feet per day (MMcf/d), versus production of 10.7 Bcf, or an average of 117 MMcf/d, for the same period in 2004. The price realized for the company's natural gas production in the fourth quarter of 2005 averaged $7.19 per thousand cubic feet (Mcf), compared to the $4.24 per Mcf realized in the same period of 2004. Natural gas, including natural gas liquids (NGL), comprised 94 percent of the company's total production in the fourth quarter of 2005.

Crude oil production for the fourth quarter of 2005 was 144,000 barrels, or 1,561 barrels per day, as compared to 130,000 barrels of production in the fourth quarter of 2004. Crude prices realized for the fourth quarter of 2005 averaged $53.36 per barrel compared to $38.75 per barrel for the prior year fourth quarter.

Natural gas liquids production for the fourth quarter of 2005 was 82,000 barrels compared to 32,000 barrels in the fourth quarter of 2004. The price realized for natural gas liquids averaged $47.12 per barrel in the fourth quarter of 2005, compared to the average of $37.21 per barrel realized in the fourth quarter of 2004.

Full year 2005 average daily production for the year was 141 MMcfe/d and total production was 51.4 Bcfe compared to 2004 average daily production of 121 MMcfe/d and 2004 total production of 44.3 Bcfe. Natural gas production totaled 46.8 Bcf for 2005 at an average price per Mcf of $5.76 as compared to 39.4 Bcf during 2004 at $3.83 per Mcf. Crude production for 2005 was 553,000 barrels at an average price per barrel of $50.50 versus 689,000 barrels at $33.07 per barrel in 2004. The company produced 223,000 barrels of natural gas liquids at an average price of $39.08 per barrel in 2005 as compared to 129,000 barrels in 2004 at an average of $28.52 per barrel.

Total capital costs incurred for the year 2005 were $361 million and consolidated exploration and production expenditures totaled $280 million. Quicksilver Resources had an overall finding and development cost of $1.24 per Mcfe in 2005.