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WESTERN GAS RESOURCES ANNOUNCES OPERATING RESULTS FOR FOURTH QUARTER AND YEAR END DEC. 31, 1991

 WESTERN GAS RESOURCES ANNOUNCES OPERATING RESULTS FOR
 FOURTH QUARTER AND YEAR END DEC. 31, 1991
 DENVER, Feb. 12 /PRNewswire/ -- Western Gas Resources, Inc. (NYSE: WGR) today announced to holders of its common stock that 1991 was a record year for the company, setting all-time highs for revenues, net income and cash flow from operations. Revenues increased 40 percent over 1990 to $358.2 million in 1991 and net income increased 19 percent in 1991 to $20.9 million, or $.94 per share. Additionally, cash flow from operations (working capital provided by operations) increased 34 percent over 1990 to $44.8 million in 1991. The increase in earnings per share is even more impressive given the 4.1 million share increase in number of common shares outstanding from the successful public offering in November 1991.
 For the quarter ended Dec. 31, 1991, revenues increased 50 percent over fourth quarter 1990 to $133.9 million. Net income and cash flow from operations remained relatively flat at $7.4 million, or $.30 per share, and $13.6 million, respectively. Although fourth quarter 1991 reflects the additional volumes from the Union Texas Petroleum (UTP) acquisition, net income was relatively flat due to: 1) the revaluation of Dec. 31, 1991, natural gas and liquids inventories to the current market (an effect of approximately $.05 per share) 2) the additional shares outstanding, and 3) the additional costs related to the transition of the UTP operations.
 The increase in results from operations in 1991 relates largely to increased volumes due to the Edgewood and Union Texas acquisitions. Additionally, results from the company's 1990 Parker Gas Companies' acquisition reflect the first full year of operations. Average gas sales increased 41 percent from 1990 to 309.6 MMcf/d in 1991 and average liquid sales increased 74 percent from 1990 to 1,096.6 MGal/d in 1991. Average gas prices decreased 11 percent to $1.59/Mcf and average liquids prices decreased 10 percent to $.36/gal. It is important to note that, although prices are down, in 1991, Western's average gas sales prices were approximately 15 percent higher than the average 1991 Onshore Louisiana Spot Gas price of $1.38 reported by Natural Gas Week. Every effort is being made to continue that trend.
 "1991 was an extremely active and prosperous year for Western Gas," according to Bill Sanderson, president and chief operating officer. "We completed the acquisition of the Edgewood plant and related production in East Texas from Amoco, acquired additional production behind the Edgewood plant from Conoco and added 12 facilities from Union Texas Petroleum. These acquisitions gave Western a presence in six additional basins or fields and strengthened our presence in the Permian Basin. Additionally, Western completed construction of its Reno Junction Isomerization unit in Wyoming which converts normal butane into iso-butane. We also completed a restructuring of Western's operations from a partnership to a corporation which generated administrative savings, allowed for a better understanding of operations by analysts and investors and gave Western better access to capital markets. These events are all reflected in the fact we increased our public float due to a successful offering of 4.1 million shares and still experienced one of the top oil and gas stock price performances of 1991."
 Western owns and operates natural gas gathering and processing facilities and markets and transports natural gas and natural gas liquids (NGLs). The company is actively pursuing new investment opportunities through both acquisitions and new construction to expand its area of operations and related markets towards its goal of increasing shareholder value.
 WESTERN GAS RESOURCES, INC.
 (000's except share and per share amounts)
 Periods Ended Quarter Pct. 12 Months Pct.
 Dec. 31 1991 1990 Change 1991 1990 Change
 Financial
 Statistics:
 Revenues $133,944 $89,015 50.47 $358,242 $255,652 40.13
 Net income 7,381 7,164 3.02 20,850 17,494 19.18
 Net inc. per com.
 share .30 .34 (11.76) .94 .83 13.25
 Cash flow from
 operations 13,613 13,792 (1.30) 44,830 33,378 34.31
 Weighted avg. shrs.
 outstanding 23,211,621 21,134,941 9.82 21,669,693 21,131,074 2.55
 Operating
 Statistics:
 Natural gas residue:
 Avg. gas sales
 (MMcf/D) 409.0 259.7 57.50 309.6 220.3 40.54
 Avg. gas sales
 prices ($/Mcf) 1.78 1.96 (9.18) 1.59 1.78 (10.67)
 Natural gas liquids:
 Avg. liquids sales
 (MGal/D) 1,624.7 688.6 135.92 1,096.6 630.2 74.02
 Avg. liquid sales
 prices ($/Gal) .38 .54 (29.63) .36 .40 (10.00)
 -0- 2/12/92
 /CONTACT: Ron Wirth of Western Gas Resources, 800-933-5603/
 (WGR) CO: Western Gas Resources, Inc. ST: Colorado IN: OIL SU: ERN


TS-PS -- NY008 -- 9048 02/12/92 07:31 EST
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