Forest Oil CorporationGranite Wash ConferenceOklahoma Geological SocietyMarch 6, 2008

2

Why the Granite Wash?

Simple, repeatable play Low risk Ability to build large drilling inventory Low F&D costs Ease of permiting, welcoming community for oil & gas Gas markets: quick hook-ups, full takes, low basis differential Successively deeper pays add to EURs at low incremental

capital costs

3

Forest Oil Corp - Texas Panhandle HistoryForest Oil Corp - Texas Panhandle History Forest acquires 33,000 gross

acres in March 2005. Acreage increased to 51,000

acres in 2007. Forest has drilled about 150

Granite Wash wells since April 2005.

Buffalo Wallow approved for and being drilled on 20 acre downspacing

Frye Ranch approved for 40 acre spacing.

BLK E

BLK E

AB&M, BLK 4

B&B, BLK 3

B&B, BLK 4 B&B, BLK 5

H&GNRR, BLK A2

H&GNRR, BLK A3

H&GNRR, BLK A4

G&MMB&A, BLK C

H&GNRR, BLK A5

H&GNRR, BLK M1

H&GNRR, BLK M1

BLK Z1

R&E, BLK RE

BLK C

BS&F

Wheeler

Mobeetie

4

Forest Oil Corp – Hemphill & Wheeler County ProductionForest Oil Corp – Hemphill & Wheeler County Production

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012

10

100

1,000

10,000

100,000

Time

Da

ily R

ate

Forest Oil Corp OperatedHemphill and Wheeler Co. TX

April 2006

5

Forest Oil Corp – Buffalo Wallow Field: Drill & Complete CostsForest Oil Corp – Buffalo Wallow Field: Drill & Complete Costs

Buffalo Wallow Drill & Complete Costs

0

500

1000

1500

2000

2500

3000

3500

4000

4500

1 11 21 31 41 51 61 71 81 91 101

Gro

ss M

$

2005 20072006

6

Forest Oil Corp – Buffalo Wallow Field: Days from Spud to SalesForest Oil Corp – Buffalo Wallow Field: Days from Spud to Sales

Buffalo Wallow Days from Spud to Sales

0

25

50

75

100

125

1 11 21 31 41 51 61 71 81 91 101

Day

s fr

om

sp

ud

to

sal

es

2005 2006 2007

Average 42 days

7

1110

011

20

011

30

011

40

011

50

011

60

011

70

011

80

011

90

01

20

00

12

10

01

22

00

12

30

01

24

00

12

50

01

26

00

12

70

01

28

00

12

90

01

30

00

13

10

01

32

00

HS= 1

PETRA 12/9/2004 1:50:53 PM

Caldwell

Britt

GW-A

GW-B

GW-C

GW-E

GW-F

Atoka

Initially operators in Buffalo Wallowcompleted the Caldwell, Britt andGW-A only

Operators then completed thru the GW-B and GW-C

Forest determined that additional economic net-pay exists in the GW-E, F & Atoka and it now selectively completes in those zones as well

11400

11500

11600

11700

HS=1

PETRA 12/7/2004 5:50:22 PM

12100

12200

HS=1

PETRA 12/7/2004 6:01:39 PM

11100

HS=1

PETRA 12/7/2004 6:04:55 PM

1110

011

20

011

30

011

40

011

50

011

60

011

70

011

80

011

90

01

20

00

12

10

01

22

00

12

30

01

24

00

12

50

01

26

00

12

70

01

28

00

12

90

01

30

00

13

10

01

32

00

HS= 1

PETRA 12/9/2004 1:50:53 PM

11,0

0011

,500

12,0

0012

,500

13,0

0013

,500

Forest Oil Corp – exploitation of deeper Granite Wash paysForest Oil Corp – exploitation of deeper Granite Wash pays

8

Forest Oil Corp – Buffalo Wallow CompletionForest Oil Corp – Buffalo Wallow Completion

9

Liquid LoadingLiquid Loading

Granite Wash ConferenceOklahoma Geological Society

March 6, 2008

10

Liquid Loading-Pumping Unit WellLiquid Loading-Pumping Unit Well1

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W A T E R - B B L /D AR e f= 1 0 /2 0 0 7

C u m = 5 7 6 2 3

T b g P r e s sR e f= 1 0 /2 0 0 7

C u m = 1 8 5 9 2 4

C s g P r e s sR e f= 1 0 /2 0 0 7

C u m = 2 5 8 1 6 5

W G R B B L /M M CR e f= 1 0 /2 0 0 7

C u m = 0

11

Liquid Loading-Pumping Unit WellLiquid Loading-Pumping Unit Well1

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000

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S-M

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C X S _ G A S D A YC X S _ G A S D A Y

PEAK-BO URASSA # 3-7BU F FALO W ALLOWGR AN IT E W ASH U PRF OR EST OIL C OR POR ATIONF 6LER N R 9YPT X H EM PH ILL

G A S - M C F /d a yR e f= 1 0 /2 0 0 7

C u m = 1 1 4 5 9 7

O IL - B B L /D A YR e f= 1 0 /2 0 0 7

C u m = 1 1 2 0

W A T E R - B B L /D AR e f= 1 0 /2 0 0 7

C u m = 4 1 9 3 1

T b g P r e s sR e f= 1 0 /2 0 0 7

C u m = 1 6 4 8 3 5

C s g P r e s sR e f= 1 0 /2 0 0 7

C u m = 4 1 9 6 7 0

W G R B B L /M M CR e f= 1 0 /2 0 0 7

C u m = 0

12

Liquid Loading-Cap String WellLiquid Loading-Cap String Well1

1010

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000

GA

S-M

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110

100

1000

1000

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100

1000

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C X S _ G A S D A YC X S _ G A S D A Y

PEAK-W ALSER 29 #14BU F F ALO W ALLOWGR AN IT E W ASH U PRF OR EST OIL C OR POR AT IONF 8R L9JV57AT X H EM PH ILL

G A S - M C F /d a yR e f= 1 0 /2 0 0 7

C u m = 1 3 3 2 8 3

O IL - B B L /D A YR e f= 1 0 /2 0 0 7

C u m = 5 2 3

W A T E R - B B L /D AR e f= 1 0 /2 0 0 7

C u m = 8 3 4 2 1

T b g P r e s sR e f= 1 0 /2 0 0 7

C u m = 4 3 5 5 0

C s g P r e s sR e f= 1 0 /2 0 0 7

C u m = 1 1 4 3 7 5

W G R B B L /M M CR e f= 1 0 /2 0 0 7

C u m = 0

13

Liquid Loading-Cap String WellLiquid Loading-Cap String WellWESTERN BUSINESS UNIT

110

100

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A p r M a y J u n J u l A u g S e p O c t

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7-25-07

C X S _ G A S D A YC X S _ G A S D A Y

VISE # 5A-52BU F FALO W ALLOWGR AN IT E W ASH U PR /LW R /AT KF OR EST OIL C OR POR ATIONC A4L6O29G320T X H EM PH ILL

G A S - M C F /d a yR e f= 1 0 /2 0 0 7

C u m = 1 2 7 3 5 9

O IL - B B L /D A YR e f= 1 0 /2 0 0 7

C u m = 1 4 0 9

W A T E R - B B L /D AR e f= 1 0 /2 0 0 7

C u m = 6 1 0 0 3

T b g P r e s sR e f= 1 0 /2 0 0 7

C u m = 5 2 2 3 0

C s g P r e s sR e f= 1 0 /2 0 0 7

C u m = 1 6 6 1 4 0

W G R B B L /M M CR e f= 1 0 /2 0 0 7

C u m = 0

14

Liquid Loading-Cap String WellLiquid Loading-Cap String Well1

1010

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GA

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C X S _ G A S D A YC X S _ G A S D A Y

FRYE, HARRY T. #16-10F R YE R AN C HGR AN IT E W ASH U PR /LW RF OR EST OIL C OR POR ATIONF C B283G4D OT X W H EELER

G A S - M C F /d a yR e f= 1 0 /2 0 0 7

C u m = 1 7 3 3 5 2

O IL - B B L /D A YR e f= 1 0 /2 0 0 7

C u m = 1 8 1 7

W A T E R - B B L /D AR e f= 1 0 /2 0 0 7

C u m = 1 2 4 6 8 2

T b g P r e s sR e f= 1 0 /2 0 0 7

C u m = 8 9 4 7 0

C s g P r e s sR e f= 1 0 /2 0 0 7

C u m = 4 3 5 1 0 5

W G R B B L /M M CR e f= 1 0 /2 0 0 7

C u m = 0

15

Liquid Loading-Weatherford CVR SystemLiquid Loading-Weatherford CVR System

16