Penn Virginia Corporation provided updates of its oil and gas operations and full-year 2008 guidance.

Operational results for PVA’s oil and gas segment during the first quarter of 2008 included the following:

• Oil and gas production of 10.5 billion cubic feet of natural gas equivalent (Bcfe), or 115.6 million cubic feet of natural gas equivalent (MMcfe) per day; • Year-over-year production growth of 21 percent over the 8.7 Bcfe, or 97.0 MMcfe per day, in the first quarter of 2007; • Oil and gas capital expenditures of approximately $94 million, including $5 million for leasehold acquisition; and • 52 (38.4 net) wells drilled, all of which were successful.

Full-year 2008 guidance update:

• Re-affirmed full-year 2008 production guidance, with estimated full-year production of between 49.2 and 51.7 Bcfe, or between 134.4 and 141.3 MMcfe per day; • Re-affirmed full-year cash operating expense guidance of between $2.10 and $2.30 per thousand cubic feet of natural gas equivalent (Mcfe); and • Increased 2008 oil and gas capital expenditures guidance from $475 million to range between $490 and $510 million.

First Quarter 2008 Operational Results

Production in the first quarter of 2008 was 10.5 Bcfe, or 115.6 MMcfe per day, an increase of 21 percent over the 8.7 Bcfe, or 97.0 MMcfe per day, in the first quarter of 2007. Daily production in the first quarter of 2008 was essentially flat compared to 116.1 MMcfe per day in the fourth quarter of 2007.

East Texas daily production averaged 30.3 MMcfe per day in the first quarter of 2008, a four percent increase over the fourth quarter of 2007 and a 72 percent increase over the first quarter of 2007. However, first quarter production in East Texas was less than anticipated by approximately 1.1 Bcfe, or 12.4 MMcfe per day, as the result of: (i) the timing of completions of wells drilled on 20-acre spacing basis from common surface locations, which reduced first quarter production by approximately 0.2 Bcfe; (ii) the delay in the startup of the gas processing plant installed by Penn Virginia Resource Partners, L.P. (NYSE:PVR) due to weather, equipment and third-party pipeline delays, which reduced first quarter natural gas liquids (NGL) production and the associated volumetric upgrade by approximately 0.5 Bcfe; and (iii) third-party downstream gathering pipeline restrictions associated with the delayed timing of the plant startup, which reduced first quarter production by approximately 0.4 Bcfe.

In April 2008, PVA began to receive the NGL revenue upgrade from the third party transporter of production volumes that ultimately will be processed by the PVR plant. Plant operations are now expected to commence late in the second quarter, at which time the downstream gathering pipeline restrictions are also expected to be eliminated.

Daily production in the Mid-Continent region averaged 16.1 MMcfe per day in the first quarter of 2008, a 23 percent increase over the fourth quarter of 2007 and a 78 percent increase over the first quarter of 2007, primarily due to the strong results of the horizontal Granite Wash drilling program in Washita County, Oklahoma.

PVA re-affirmed its full-year 2008 production guidance in a range of between 49.2 and 51.7 Bcfe, or between 134.4 and 141.3 MMcfe per day, which would represent an increase of 21 to 27 percent over 2007 levels.

During the first quarter of 2008, unit cash operating expenses were $2.38 per Mcfe, or flat compared to the fourth quarter of 2007, and are expected to decline during 2008 to an average within the guidance range of $2.10 to $2.30 per Mcfe, which remains unchanged. PVA plans to release full financial results and additional 2008 guidance details in a separate first quarter 2008 financial results press release on May 7, 2008.

Capital Expenditures

During the first quarter of 2008, oil and gas capital expenditures were approximately $94 million, consisting of:

• $85 million to drill 52 (38.4 net) wells, all of which were successful; • $3 million for the expansion of gathering systems and other production facilities; and • $6 million for leasehold acquisition, seismic data and other expenditures.

PVA’s previously-announced 2008 oil and gas capital expenditures budget was $475 million, excluding proved reserve acquisitions. Due to an anticipated increase in leasehold acquisitions, an increase in facility expenditures and the potential for increased drilling activity in a number of plays, PVA now expects full-year 2008 oil and gas capital expenditures will range between $490 and $510 million prior to any reserve acquisitions which may occur.

Management Comment A. James Dearlove, President and Chief Executive Officer of PVA, said, “We are pleased to report 21 percent production growth in the first quarter of 2008 relative to the prior year quarter, although daily production was flat from the fourth quarter of 2007. The transition in East Texas to 20-acre spaced development and the delayed startup of the PVR processing plant impacted first quarter production volumes. These effects are expected to be short-term in nature and, given the expected higher levels of drilling activity during the remaining quarters of 2008, we remain positive about our expected 2008 production growth of 21 to 27 percent over 2007 levels.

“We have also re-affirmed full-year cash operating expense guidance and increased full-year capital expenditures guidance by $15 to $35 million as a result of expected increased leasehold acquisitions and facility expenditures, as well as the likelihood that we will have higher drilling activity during the latter portion of the year due primarily to success in horizontal development plays, such as the Granite Wash, the Selma Chalk and the Lower Huron Shale. In addition, success in any of the various of exploratory shale plays in which we are currently drilling, such as the Lower Bossier / Haynesville Shale, the Bakken Shale and the Woodford Shale, could result in further increases in 2008 production, drilling activity and capital expenditures.”

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