PrimeEnergy Corporation announced today the following unaudited results for the quarters ended March 31, 2007 and 2006:

2007  2006 
Revenues $ 28,738,000  $ 22,752,000 
Net Income $ 3,234,000  $ 3,978,000 
Basic Earnings per Common Share $ 1.01  $ 1.20 
Diluted Earnings per Common Share $ 0.82  $ 0.98 
Shares Used In Calculation Of:
Basic EPS 3,210,526  3,309,091 
Diluted EPS 3,963,430  4,062,551 

Total assets at March 31, 2007 were $303,053,000 compared to $291,592,000 at December 31, 2006.

Revenues and net income during the three month period ended March 31, 2007, as compared to the same periods in 2006 reflect the increased oil and gas sales, presented below, offset by exploration costs and depreciation and depletion of oil and gas properties.

Three Months Ended March 31
 
2007  2006  Increase/(Decrease)
 
Barrels of Oil Produced 91,000  84,000  7,000 
MCF of Gas Produced 1,845,000  1,341,000  504,000 
 
Average Price $ 56.64  $ 59.36  $ (2.72)
Average Price $ 8.22  $ 7.81  $ 0.41 
 
Oil Revenue $ 5,154,000  $ 4,986,000  $ 168,000 
Gas Revenue $ 15,175,000  $ 10,473,000  $ 4,702,000 

PrimeEnergy is an independent oil and gas company actively engaged in acquiring, developing and producing oil and gas, and providing oilfield services, primarily in Texas, Oklahoma, the Gulf of Mexico, West Virginia, New Mexico, Colorado and Louisiana.

The Company's common stock is traded on the Nasdaq Stock Market under the symbol PNRG.

This Report contains forward-looking statements that are based on management's current expectations, estimates and projections. Words such as "expects," "anticipates," "intends," "plans," "believes", "projects" and "estimates," and variations of such words and similar expressions are intended to identify such forward-looking statements. These statements constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933, and are subject to the safe harbors created thereby. These statements are not guarantees of future performance and involve risks and uncertainties and are based on a number of assumptions that could ultimately prove inaccurate and, therefore, there can be no assurance that they will prove to be accurate. Actual results and outcomes may vary materially from what is expressed or forecast in such statements due to various risks and uncertainties. These risks and uncertainties include, among other things, the possibility of drilling cost overruns and technical difficulties, volatility of oil and gas prices, competition, risks inherent in the Company's oil and gas operations, the inexact nature of interpretation of seismic and other geological and geophysical data, imprecision of reserve estimates, and the Company's ability to replace and expand oil and gas reserves. Accordingly, stockholders and potential investors are cautioned that certain events or circumstances could cause actual results to differ materially from those projected.