Haynesville Shale Leasing and Operational Update

Petrohawk currently owns or has commitments to acquire over 300,000 net acres in what the Company believes are highly prospective areas of the Haynesville Shale and Bossier Shale plays in Northwest Louisiana and East Texas. Approximately 50% of the 300,000 net acre position is committed to the Company for longer than a three year lease term, extending the overall timeframe for development of this substantial acreage position. Including acreage held by production, Petrohawk's cost in the play currently averages approximately $5,000 per acre.

Petrohawk's first well in the Haynesville Shale, the Elm Grove Plantation (EGP) #63 (100% working interest), located in Section 9 / Township 16 North / Range 11 West, Bossier Parish, Louisiana, had an initial production rate of 16.8 Mmcfe/d and has averaged 13.7 Mmcfe/d over the first 30 full days of production with an average flowing casing pressure of approximately 5,100 pounds per square inch, primarily on a 20/64" choke. A recent analysis of multiple core samples from this well by an independent laboratory confirmed rock properties consistent with the productive qualities of the well. More significantly, the analysis indicated a measured gas in place volume for the well of approximately 1.255 million cubic feet per acre foot, which, if the data is uniform across the section, could equate to an estimated 170 Bcf of gas in place within the section where the well was drilled.

Petrohawk's second well in the Haynesville Shale, the Hutchinson 9-5 (91% working interest), is located in Section 9 / Township 15 North / Range 12 West, Caddo Parish, Louisiana. The well was completed on July 29 and tested at a rate of 16.7 Mmcfe/d on a 22/64" choke with 7,325 pounds per square inch of flowing casing pressure. Pilot hole data revealed approximately 151 feet of net Haynesville Shale at a true vertical depth of 11,222 feet. The well was completed with a nine stage fracture stimulation, including approximately 2.5 million pounds of sand.

The Hunt Plywood 36-11 (100% working interest), located in Section 36 / Township 15 North / Range 13 West, DeSoto Parish, Louisiana, is currently drilling in the lateral portion of the well. Petrohawk expects to reach total depth in mid-August and estimates completing the well in early September. Data from the pilot hole analysis indicated approximately 160 feet of net Haynesville Shale at a true vertical depth of 11,476 feet.

Petrohawk's first non-operated Haynesville Shale well, the Whitaker 23 #1 (17% working interest), is located in Section 23 / Township 15 North / Range 13 West, DeSoto Parish, Louisiana. The well is currently undergoing completion operations. Data from the pilot hole analysis indicated approximately 158 feet of net Haynesvile Shale at a true vertical depth of 11,147 feet.

To facilitate transportation of expected production from North Louisiana to premium markets, Petrohawk is in the process of negotiating a series of strategic marketing arrangements. Additionally, the Company plans to construct multiple standalone gathering systems to cover anticipated operated production not already serviced by current capacity. Approximately $30 million is budgeted in 2008 for new gathering facilities, which are currently under construction.

"Petrohawk's Haynesville Shale investment has created over a decade of drilling opportunities for our company in this awesome natural gas play," said Floyd C. Wilson, Chairman, President and Chief Executive Officer. "Since our first quarter conference call, we have doubled our position in the Haynesville Shale. Our leasing and acquisition efforts are disciplined and strategic as we continue to add acreage in the heart of the play. Our proven ability to optimize costs and provide attractive price realizations are unique advantages we will use to capitalize on this play and grow our company. In fact, our operating costs on a per unit basis actually continue to drop, while many of our competitors have reported cost increases."

"As we stand at mid-year, Petrohawk is reaping the benefit of its initial investment in the Fayetteville Shale and other core properties, and we have embarked on a new, exciting phase of growth. We estimate that proved reserves grew organically by approximately 25% at mid-year, and that figure does not yet take into account any contribution from the Haynesville Shale. For production, we expect our 2008 exit rate will be 50% higher than our 2007 exit rate, and project 2008 average annual production will have grown more than 25% year over year pro forma for acquisitions and divestitures. As our Haynesville program accelerates throughout 2009, we expect to set even more aggressive goals for the Company. Production in 2009 is expected to average 30-40% higher than 2008. During this period of accelerated growth, the Company will continue to value risk management through a low cost structure and hedging, and maintain a capital structure sufficient to realize the value of our significant resource potential."

Haynesville Shale Development Plans and Capital Allocation

Petrohawk is currently running three horizontal rigs in the Haynesville shale and plans to bring three additional rigs to the area by September 2008. By the end of 2008, the Company plans to operate a total of ten rigs, increasing to twenty rigs during 2009 and in subsequent years. These rigs are identified and committed to this program. The Company's development plans take into account the number of wells needed to protect Petrohawk's acreage investment within appropriate timeframes.

The Company expects to drill approximately 29 horizontal wells in the Haynesville Shale during 2008, with the majority of anticipated production contributing to 2009 production estimates. Petrohawk expects that drill-to- connection times in 2008 will average 75 days. After 2008, the Company anticipates that average drill-to-connection time will be reduced to approximately 60 days.

In 2009, Petrohawk plans to drill approximately 140 operated Haynesville Shale wells. Additionally, the Company anticipates a significant non-operated component to its Haynesville development program.