Arena Resources, Inc. Announces Record 2007 Fourth Quarter, Annual Production and Initial Capital Expenditure Budget for 2008.

Annual Production Increases 45% / 134 New Wells Drilled

$218 Million Initial 2008 CAPEX

TULSA, Okla. -- Arena Resources, Inc. (NYSE: ARD) ("Arena" or the "Company") today announced its operations update for the fourth quarter of 2007. During the fourth quarter, Arena drilled a total of 49 new wells; 48 wells on its Fuhrman-Mascho lease in Andrews County, Texas, and one well on its Y-6 lease in Fisher County, Texas. In addition, the Company re-stimulated three existing wells on its Fuhrman-Mascho lease. The results of this drilling activity are described on a property-by-property basis below.

Sales for the quarter ended December 31, 2007 were approximately 425,000 BOE (Barrel of Oil Equivalents), as compared to sales of 331,200 BOE for the same quarter in 2006, a 28% increase, and a 5% increase over the 402,982 BOE sold in the third quarter of 2007. Total production for the fourth quarter was approximately 435,000 BOE. Total sales production for 2007 was approximately 1,550,000 BOE, as compared to 1,065,613 BOE in 2006, a 45% increase. Average net daily sales increased to approximately 4,620 BOEPD in the fourth quarter 2007, as compared to 3,600 BOEPD in the fourth quarter of 2006, and 4,380 BOEPD in the third quarter of 2007.

In 2007, the Company announced property lease acquisitions of over 13,000 acres for approximately $55.5 million. All of the leases are located in West Texas and Southeast New Mexico and are near, or contiguous to, the Company's existing Permian Basin assets. The current net production to the Company from the leases is approximately 400 BOE per day. The Company's internal reserve estimates indicate the leases have approximately 13 million BOE of proved reserves net to Arena. This represents an estimated cost of $4.25 per BOE.

The Company also announced its initial capital expenditure budget ("CAPEX") of $218 million for 2008, an 88% increase over the estimated $116 million spent on the development of Company properties in 2007. The budget targets 275 new wells to be drilled, 222 of them on its Fuhrman-Mascho lease in Andrews County, Texas, approximately 65 re-entries of existing wells, installation of water supply lines and equipment, conversion of existing wells into water injectors, general infrastructure upgrades and re-completion of 90 existing well bores and installation of a gas gathering system for Yates gas production. The Company currently anticipates the 2008 CAPEX budget will be funded through cash flow from operations and the Company's $150 million credit facility. The Company continues to look for acquisition opportunities but has made no provision in its initial 2008 budget for any acquisitions.

The 2008 CAPEX budget is subject to change based on market conditions, commodity price changes, rig availability, drilling results, possible acquisition opportunities and general operational results.

The majority of the budget will be spent on the Company's Permian Basin properties with over 90% being allocated to the further development of those assets.

Mr. Tim Rochford, CEO, stated, "The fourth quarter of 2007 was one of the most significant in the history of Arena Resources. By adding a second company-owned drilling rig, we were able to drill a record number of wells on our Fuhrman-Mascho leases in the quarter and achieve another record in quarterly and annual production. We made $55 million of acquisitions during the quarter adding both acreage and proved reserves to our Permian Basin properties at an estimated cost of $4.25 per BOE. We were able to finalize our agreement to develop and sell Yates gas production. We moved into our company-owned headquarters building in Tulsa and greatly enhanced our in-house capabilities by adding several senior management executives. We have nearly doubled our CAPEX budget for 2008 and look forward to the coming year."

Fourth Quarter Operations Update

PERMIAN BASIN:

Fuhrman-Mascho, Andrews County, Texas - The Company drilled 48 new San Andres zone development wells in the fourth quarter of 2007. Thirty-four of the wells were completed and producing as of 12/31/07 while the remaining 14 were in various stages of completion. Additionally, six development wells which were drilled in the third quarter were successfully completed and placed in production. The Company drilled 133 new development wells in 2007 for a total of 256 new San Andres development wells on this lease since initiating its developmental drilling program in mid-April 2005. The Company maintained its 100% development drilling success rate in 2007. Six of the wells drilled in 2007 were ten acre development wells with the remainder being twenty acre development wells. The Company performed a re-frac on three wells during the fourth quarter. The Company re-fraced 37 wells in 2007 for a total of 104 re-fraced wells on this lease since initiating its re-frac program in 2005 and has scheduled 40 additional wells to be re-fraced in 2008. The Company has three drilling rigs operating full-time and has estimated it will drill 220 new 40, 20, and 10 acre spacing San Andres zone development wells in 2008, and will also drill two Clearfork zone development wells. A fourth drilling rig is currently drilling five wells on a contract basis at our recently acquired South Fuhrman-Mascho lease. The Company executed a definitive natural gas purchase contract covering the Yates gas formation in the Fuhrman-Mascho Field. Approximately 90 idle well bores are scheduled for re-completions to the Yates zone in 2008.

University Consolidated 9 Unit, Andrews County, Texas - The Company acquired this lease effective December 1, 2007 and began operating the lease on that date. The lease is under study to formulate the development drilling program. The lease is approximately 20 miles east of the Company's Fuhrman-Mascho lease.

Y6, Fisher County, Texas - The Company drilled one development well in the fourth quarter of 2007 which will be completed in 2008. In 2008, the Company has budgeted to drill three development wells, convert three existing wells to water injectors, recondition and stimulate four existing wells, and upgrade injection and lease facilities.

East Hobbs Unit, Lea County, New Mexico - The Company made infrastructure improvements to the gas sales facilities on this lease in the fourth quarter of 2007. The gas system improvements have been completed and will result in reducing operating pressures and improving production. In 2008, the Company plans to drill six development wells and convert five wells to water injection.

Seven Rivers Queen, Lea County, New Mexico - The Company completed lease infrastructure improvements in the fourth quarter of 2007. In 2008 the Company plans to drill six development wells, re-frac ten wells, and make additional infrastructure improvements.

Humphrey Queen Unit, Langlie Mattix Queen Unit, S. Leonard Queen Unit; Lea County, New Mexico - The Company acquired these leases effective December 1, 2007. The leases are near the Seven Rivers Queen Unit. The Company has preliminary plans to drill as many as 15 development wells on the leases in 2008. The Company also plans to recondition and stimulate 15 wells and make necessary infrastructure improvements.

North Benson Queen, Eddy County, New Mexico - In 2007 the Company reconditioned and reactivated 12 water injection wells and completed infrastructure improvements including water supply, water injection, and tank battery facilities. In 2008 the Company has scheduled the drilling of 12 development wells. In addition, 15 wells will be re-fraced and improvements will be made to the lease infrastructure in 2008.

Calmon, McClay Federal, Federal E, Red Lake Unit, Welch; Eddy County, New Mexico - The Company acquired these leases, which are near the North Benson Queen Unit, effective October 1, 2007 and began operating the leases on that date. In 2007, the Company made infrastructure improvements and returned idle well bores to production. The leases are under study to formulate the development drilling programs.

KANSAS:

Auntie Em, Gray County, Kansas - Development drilling was not performed in 2007 due to gas sales curtailment. The Company will not schedule 2008 development drilling until the curtailment issue is resolved.

Syracuse Prospect, Hamilton County, Kansas - A deep test well drilled in 2006 was re-entered in the fourth quarter of 2007 by Unit Petroleum ("Unit"), joint venture partner and operator on the Syracuse Prospect. The well was tested in multiple intervals and all zones tested were found to be non-commercial. The Unit and Company joint venture currently has no drilling activity scheduled for 2008.

OKLAHOMA:

Ona Morrow, Texas County, Oklahoma - The Company made lease infrastructure improvements to the injection water supply system in the fourth quarter of 2007. There were no wells drilled in the quarter. In 2007, the Company completed operations on two wells drilled in 2006 and placed those wells on production. The Company plans to drill three development wells in 2008 and finish construction of the injection water supply system and related facilities.

Midwell, Cimarron County, Oklahoma - The Company made lease infrastructure improvements to the injection water supply system in the fourth quarter of 2007. In 2007, the Company completed operations on two wells drilled in 2006 and placed those wells on production. In 2008, the Company plans to drill two additional development wells, convert eight existing wells to water injectors and complete the injection water supply system and general infrastructure upgrades.

Hanes, Cimarron County, Oklahoma - The Company made lease infrastructure improvements to the injection water supply system in the fourth quarter of 2007. In 2007, the Company completed operations on one well that was drilled in 2006, and constructed an injection water supply line and facilities. Water injection has been increased as a result of the 2007 work. In 2008, the Company plans to drill one additional development well, convert one existing well to a water injector, and upgrade infrastructure.

Eva South, Texas County, Oklahoma - The Company completed lease infrastructure improvements involving the electrical system and injection system in the fourth quarter of 2007. No development wells were drilled in 2007. In 2008, the Company plans to drill two additional development wells, convert one existing well to a water injector and upgrade infrastructure.

About Arena Resources, Inc.

Arena Resources, Inc. is an oil and gas exploration, development and production company with current operations in Texas, Oklahoma, Kansas and New Mexico.

This release contains forward-looking statements within the meaning of the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995 that involve a wide variety of risks and uncertainties, including, without limitations, statements with respect to the Company's strategy and prospects. Readers and investors are cautioned that the Company's actual results may differ materially from those described in the forward-looking statements due to a number of factors, including, but not limited to, the Company's ability to acquire productive oil and/or gas properties or to successfully drill and complete oil and/or gas wells on such properties, general economic conditions both domestically and abroad, and the conduct of business by the Company, and other factors that may be more fully described in additional documents set forth by the Company.

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