“Quicksilver delivered strong operating results, despite the challenging environment our industry is experiencing,” said Glenn Darden, Quicksilver Resources president and chief executive officer. “Our continued focus on cost control, coupled with our attractive hedge position, helped to mitigate the dramatic reduction in energy prices during the past year. Although we are significantly reducing capital expenditures for the remainder of the year to ensure we operate within our total cash inflows, we still anticipate being able to maintain production at the current levels.”

Financial Results

First-quarter 2009 adjusted net income, a non-GAAP measure, was $26.6 million ($.16 per diluted share) compared to adjusted net income of $41.6 million ($.25 per diluted share) in the 2008 period. Adjusted net income excludes the following items:

— A noncash impairment charge of $593.8 million in the 2009 quarter related to the company’s oil and gas properties

— Net income of $64.5 million in the 2009 quarter related to the unrealized mark-to-market gain on oil and gas derivative positions, a loss on interest rate swaps and a property impairment charge on oil and gas properties held by BreitBurn Energy Partners, all noncash items associated with the company’s ownership in BreitBurn Energy Partners

— A noncash impairment charge of $66.3 million in the 2009 quarter related to the company’s equity investment in BreitBurn Energy Partners and

— A noncash charge of $.5 million in the 2008 quarter related to the unrealized mark-to-market of derivative positions held by BreitBurn Energy Partners, associated with the company’s ownership in BreitBurn Energy Partners

Production

For the first quarter of 2009, average daily production was about 332 million cubic feet of natural gas equivalent (MMcfe) per day compared to about 211 MMcfe per day for the same period in 2008, an increase of about 57%. Total production for the first quarter of 2009 was about 29.8 billion cubic feet of natural gas equivalent (Bcfe) compared to about 19.2 Bcfe for the first quarter of 2008. The 2009 production volumes were comprised of about 73% natural gas, about 24% natural gas liquids (NGL) and about 3% crude oil and condensate. Increased activities at the company’s Lake Arlington and Alliance projects in the northern portion of its Fort Worth basin acreage resulted in increased production of dry gas.

Revenues and Costs

Sales of natural gas, NGLs and crude oil increased about 16% to $183.6 million in the first quarter of 2009 as compared to $158.4 million in the 2008 quarter. The increase reflects a 57% increase in equivalent daily production volumes, primarily due to increased production volumes from the Fort Worth basin in Texas that more than offset an approximate 25% decrease in the average realized price per Mcfe.

Total production expense of $32.7 million for the 2009 first quarter was essentially unchanged from the prior-year quarter, due to the company’s ongoing focus on cost control, despite a 57% increase in production. As a result, unit production expense, including production, gathering and processing and transportation expense, declined 35% to $1.10 per Mcfe during the first quarter of 2009 as compared to $1.69 per Mcfe in the prior-year period.

Income from Earnings of Unconsolidated Affiliate

Quicksilver Resources reported $102.1 million of pre-tax earnings attributable to the company’s approximate 41% interest in BreitBurn Energy Partners L.P.’s (BBEP) fourth-quarter 2008 results, including $140.5 million of derivative income, a $6.1 million loss on interest rate swaps and an impairment charge of $35 million on oil and gas properties. The reported earnings from BBEP were offset by an impairment charge of $102.1 million taken on Quicksilver Resources’ equity investment in BBEP. During the first quarter of 2009, Quicksilver Resources received about $11 million of cash distributions associated with the ownership of the BBEP units. On April 17, 2009, BBEP announced that it was suspending its distributions.

Operational Update

Quicksilver Resources continued to focus on the exploitation and development of the 175,000 net acres in its core fairway within the Barnett shale formation of the Fort Worth basin. During the first quarter of 2009, the company drilled 26 (23.5 net) wells and connected 22 (20.8 net) wells to sales. At March 31, 2009, the company had five rigs working in the basin, including four rigs dedicated to the Lake Arlington/Alliance area in Tarrant and Denton counties.

In Canada, the company participated in drilling 129 (32.2 net) wells in the Horseshoe Canyon area during the first quarter of 2009. Drilling, completion and pipeline operations are currently suspended for the seasonal break-up period in Canada. The company now anticipates participating in a total of 145 (42.2 net) wells in this area for the full year of 2009. In addition, Quicksilver Resources finished exploratory drilling activities on two horizontal wells as well as road and pipeline construction in the Horn River basin of northeast British Columbia. The company expects to conduct completion activities on these wells following the spring break-up period.

During the first quarter of 2009, the company incurred costs of about $190 million, including about $30 million at the Horn River project, of its total projected $500 million capital program for 2009.