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KWK : NYSE

KWK : NYSE. IPAA Conference April 20, 2004. The Company.  Focus on unconventional gas reserves (fractured shales, coal beds and tight sands)  Develop shallow l ow-cost and low-risk gas reserves (“Gas Farming”)

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KWK : NYSE

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  1. KWK : NYSE IPAA Conference April 20, 2004

  2. The Company Focus on unconventional gas reserves (fractured shales, coal beds and tight sands)  Develop shallow low-cost and low-risk gas reserves (“Gas Farming”) Primary focus areas are unconventional gas reservoirs in Michigan, Indiana, Texas and Canada. During the past five years earnings, cash flow and production have all increased substantially. In addition, reserves have grown by over 235% with the gas portion increasing by more than 420%.

  3. 1999-2003 Per Share Data Financial Metrics 2002 - 2003  Even though the average number of dilutive shares has grown by 12% over the past year, per share metrics for income and cash flow have increased. In addition, the balance sheet has continued to improve as evidenced by various leverage measures.

  4. 2003 Reserve Distribution 881 Bcfe Reserve Growth 881 801 Proved Producing 69% 669 641 Bcfe Proved Non-Producing 12% 289 Proved Undeveloped 19% Reserve Distribution and Growth

  5. Property Overview Canada Reserves: 147 Bcfe Production: 22 Mmcfe/d Acreage: 525,000 acres Michigan Reserves: 620 Bcfe Production: 85 Mmcfe/d Acreage: 261,000 acres Rockies Reserves: 64 Bcfe Production: 7 Mmcfe/d Acreage: 238,000 acres Indiana/Kentucky Reserves: 48 Bcfe Production: 7 Mmcfe/d Acreage: 195,000 acres Texas & Other Headquarters: Fort Worth, TX Reserves: 2 Bcfe Production: 1 Mmcfe/d Acreage: 145,000 acres

  6. Michigan - Antrim Shale Quicksilver Acreage MICHIGAN SUNBURY UPPER ANTRIM Quicksilver CO2 Plants LACHINE NORWOOD  Reserves: 536 Bcf - Production: 65 Mmcf/d  Land position ofalmost 200,000 acres  Greater than a17-year reserve life  Average well costs of about $175,000  Average reserves per well of 700 Mmcf  Peak production averages 175-200 Mcf/d  Production flat 1-2 years, 7%-10% decline  Average net revenue interest of 80%

  7. Corydon Project CLEGG CREEK NEW ALBANY INDIANA CAMP RUN MORGAN TRAIL MUSCATTAUCK KENTUCKY Indiana – New Albany Shale  Reserves 100% Gas 48 Bcfe  Production 7 Mmcf/d  Acreage Approximately 195,000 Net Acres Pipeline Infrastructure GTG and Cardinal Pipelines transport gas to both regional andinterstate markets

  8. BARNETT SHALE Viola ELLENBURGER Texas - Barnett Shale Largest gas field in Texas producing over 830 MMcf/d Huge Resource Target - 150 Bcf per section Company currently has about 110,000 net acres 2004 Objective – Prove shale potential on Quicksilver holdings.

  9. Barnett Shale Fairway Historical producing fairway expanding due to horizontal drilling and new fracture stimulation methods Initial 8 horizontal wells drilled outside of core area average between 300-800 Mcf/d The 5 most recent horizontal wells are producing between 1,500-3,500 Mcf/d

  10. ALBERTA ALBERTA Edmonton Calgary Shallow, lower rank coals (Ardley, Horseshoe Canyon and Belly River) Deep, higher rank coals (Mannville) Canada – Coal Bed Methane •  Quicksilver has CBM drilling rights on approximately 525,000 net acres (95% operated). •  200+ wells drilled on CBM projects to date – defining a large productive fairway Typical CBM wells will average 140 Mcf/d with negligible waterand 450 MMcf of reserves Proved CBM reserves at 12-31-03 of 132 Bcf.

  11. Edmonton ALBERTA S S E Edmonton S S C Calgary Conoco Phillips JV A A Enerplus JV A A Undisclosed JV NCE Petrofund JV Burlington JV Murphy JV Recent Acquisition Calgary Palliser Development Areas CBM Joint Ventures  Currently producing 22 MMcf/d with year-end target of greater than 35 MMcf/d  Plan to drill 285 net CBM wells in 2004 CBM reserves will more than double by year-end Current projects have 1-2 TCF of reserve potential. F F K C C C G G C C C F F C C G G A L G U F J A A G F G A F E G A G G U F A F G G F G F J F C C A C A G A F F A A F C A F A A F C A F C A F A F A A F C A C A C A F A F A A A C F C C A F C A F A C F A F A C A C A C A C C A F F C G C C A G C J F C C F C F F C F C C C C C A C C G C C C C C F C C L C C C A F A A F F A F A F C A A F C A C A C A C A A A A F C A C C C C A F C A F C F A F Map Software by IHS Energy

  12. Typical Horseshoe Canyon CBM Economics Internal Rate of Return Reserves Per Well Reserves Per Well

  13. 2004 Plan Highlights  Capital Budget: $160,000,000  Drill 400 net wells (285 in Canadian CBM)  Production and reserves to grow by the drill bit in excess of 15%

  14. Summary  Solid asset base of long lived natural gas reserves . Established business model built on exploitation of unconventional gas reservoirs.  Positioned for significant growth in multiple basins.

  15. This presentation contains forward looking statements that are based on assumptions and estimates that we believe to be reasonable. Any such statements are expressly qualified in their entirety by reference to risk factors discussed in the Company’s most recent SEC filing. The expectation that future drilling activity, pipeline and gathering construction, economic results, or capital expenditures will occur depends on future events that are inherently uncertain, including without limitation, commodity prices and demand for natural gas, results of exploration activities, production levels, cost and availability of capital, cost of operations, availability of equipment and personnel, and timing and outcome of projects results.

  16. Executive Offices: 777 West Rosedale Street - Suite 300 Fort Worth, Texas 76104 817.665.5000

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