DENVER, July 23 /PRNewswire-FirstCall/ -- Cimarex Energy Co. (NYSE: XEC) today announced that second-quarter 2008 oil and gas production volumes averaged 488.4 million cubic feet equivalent per day (MMcfe/d), up 10% from the second-quarter 2007 average of 442.6 MMcfe/d.

Second-quarter 2008 oil production grew 13% over last year's second-quarter to an average of 22,471 barrels per day. Gas production in the latest quarter averaged 353.5 million cubic feet per day (MMcf/d), an increase of 9% from the second-quarter 2007 average of 323.8 MMcf/d.

Second-quarter 2008 realized prices are expected to be in the range of $10.45 to $10.65 per thousand cubic feet of gas and $121 to $122 per barrel of oil.

Exploration and Development Activity

Cimarex drilled 252 gross (158 net) wells during the first six months of 2008, completing 94% as producers. Exploration and development (E&D) capital investment for the first-half of 2008 totaled approximately $667 million. Full-year 2008 E&D capital investment is projected to be approximately $1.3 -- $1.5 billion. Cimarex currently has 39 operated rigs running.

Mid-Continent

First-half 2008 drilling totaled 133 gross (73 net) wells, completing 98% as producers. Second-quarter 2008 Mid-Continent production averaged 219.2 MMcfe/d, an increase of 20% over second-quarter 2007.

Texas Panhandle Granite Wash drilling totaled 61 gross (45 net) wells with 100% completed as producers. Notable wells commencing production in the second quarter include Killbrew 218-4 (100% working interest) at 5.3 MMcfe/d, Earp 60 10H (100% working interest) at 4.6 MMcfe/d, Isaacs 1-7H (100% working interest) at 3.2 MMcfe/d and the Campbell 53-8H (100% working interest) at 3.1 MMcfe/d.

Anadarko Basin, Arkoma Basin and southern Oklahoma drilling totaled 72 gross (28 net) wells with 96% being completed as producers. In the Anadarko Basin, eleven horizontal wells have been drilled in the Woodford Shale. The wells drilled are in various stages of completion and evaluation.