EXCO Resources

Capex

Production

Oil and natural gas production was 121 Bcfe for 2007 and 35 Bcfe for the fourth quarter - both record levels. The average daily production for the fourth quarter was 377 Mmcfe per day.

EXCO's production for 2006 was 44.1 Bcf of natural gas and 916 Mbbls of oil for total equivalent production of 49.6 Bcfe, a 111% increase over combined 2005. Average natural gas and oil prices for 2006, excluding the effects of derivative financial instruments, were $6.77 per Mcf and $62.27 per barrel compared with combined 2005 prices of $8.58 per Mcf and $53.35 per barrel. Average daily production increased throughout the year due to acquisitions and development drilling.

December 2006 daily production was 200.0 Mmcfe/day compared to December 2005 daily production of 65.9 Mmcfe/day, an increase of 203%.

EXCO replaced 1,575% of production during 2006, including 187% through drilling. The PV-10, a non-GAAP measure, of the company's future cash flows at December 31, 2006 was $1.6 billion, based on year end spot prices. For comparative purposes, the company's PV-10 using spot prices of $8.00 per Mcf and $60.00 per barrel would have been $2.7 billion. The company's average reserve life is 16.8 years and they have 5,100 identified drilling locations.

Production for the year ended December 31, 2005, was approximately 491 Mbbls of oil and 20.5 Bcf of natural gas as compared to production for the year ended 2004 of approximately 638 Mbbls of oil and 18.9 Bcf of natural gas.

Reserves

Full year 2007 all-in reserve replacement relative to production was 781%, while drill bit reserve replacement was 159%. Exco's all-in reserve replacement cost was $2.96 per Mcfe, while their drill bit finding and development cost was $2.31 per Mcfe. Over 2005, 2006 and 2007, our drill bit finding and development costs have averaged $2.18 per Mcfe.

Year-end 2007 SEC Proved Reserves: 1,865
Price Revisions to $8 gas and $60 oil: 37
Year-end 2007 Proved Reserves: 1,902
Year-end reserves were 93% natural gas and 71% proved developed

EXCO's proved reserves at December 31, 2006, calculated using a year-end spot price for natural gas of $5.64 per Mcf and an oil price of $60.82 per barrel, were 1,224 Bcfe (92% natural gas) compared to 442 Bcfe (91% natural gas) at year-end 2005 (when the spot price was $10.08 per Mcf and $61.03 per barrel). The proved developed component of year-end 2006 reserves was 60% of the total. The increase in reserves resulted from the company's acquisition program and successful drilling results.

EXCO's total proved reserves from continuing operations grew 10% to 444.6 Bcfe at year-end 2005 from 405.8 Bcfe at year-end 2004.

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