Fort Worth, TX-based XTO Energy Inc. announced that in order to provide stability in the future, it has hedged additional natural gas volumes. The company reported it has now locked in approximately 80% of its projected 2002 natural gas production at an average NYMEX price of $3.88/Mcf.

XTO said that this is in addition to its existing 2001 hedges that secure a NYMEX price of $4.22/Mcf on more than 90% of projected natural gas production during the last half of the year. XTO’s existing hedges broken out quarter by quarter include::

“This hedging program reiterates our conviction to grow gas production by 20% per year and reach our 3 Tcfe reserve goal by year-end 2002,” stated Bob R. Simpson, CEO of XTO Energy. “As commodity prices swing with volatility, we are taking pre-emptive action to build a stable financial foundation for the future. With these hedges and a virtually unequaled growth rate, we expect to realize $1 billion in cash flow during the 2001 and 2002 period. This phenomenal performance will allow us to continue building shareholder value through the drill bit, acquisitions and treasury stock purchases.”

XTO Energy is a natural gas producer engaged in the acquisition, exploitation and development of long-lived oil and gas properties. The company completed its initial public offering in May 1993. Its properties are concentrated in Texas, Oklahoma, Kansas, New Mexico, Arkansas, Wyoming, Alaska and Louisiana.

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