Third Quarter 2005 Update

Highlights_____Q3 2005______% Diff____Q2 2005
Production_____141,000 BOE___+32% ____106,294
Revenue_______$7.75 million___+68%____$4.6 million
Realized price__$55 (Per BOE)___+29% ___$43.50

This is a HOME RUN in every sense of the term. Arena Resources outperformed my projections in all of the above areas.

Production, Revenue, Realized Price, you name it...they topped. Keep in mind that these are only the approximate results of Q3. When ARD reports they will FURTHER suprise to the upside.

I think the sell off today was simply traders selling the news. However, one must understand that while it may be possible to buy the rumor and sell the news and make a profit...those same traders will have to buy back in at a HIGHER price as this stock will not stay down long. These shares are poised to RALLY and GRAVITATE towards the $36 price target set by Hibernia and the $30 price Target set by Howell.

These shares are SERIOUSLY UNDERVALUED given the SUPERIOR PERFORMANCE & SUPERB EXECUTION of the company operations.

I can not overstate how much these operating results please me!!!

ARD shares are poised to go MUCH HIGHER as Q4 will present further evidence of the TREMENDOUS potential offered to ARD shareholders.