Harken Announces Financial Results for Quarter Ended March 31, 2003

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Harken Announces Financial Results for Quarter Ended March 31, 2003
    HOUSTON, May 15 /PRNewswire-FirstCall/ -- Harken Energy Corporation
(Amex: HEC) ("Harken") announced today its financial results for the quarter
ended March 31, 2003.

                                                Three Months Ended
                                                      March 31,
                                                 2002          2003
    Total Operating Revenues                 $5,426,000    $7,378,000
    Oil and Gas Operating Expenses            2,320,000     2,027,000
        Gross Profit                          3,106,000     5,351,000

    General and Administrative Expenses       2,409,000     2,476,000
    Depreciation and Amortization             3,266,000     2,040,000
    Interest Expense and Other, net             972,000     2,668,000
    Gain from Repurchase of European Notes          ---     4,531,000
    Income Tax Expense                           90,000       100,000
    Minority Interest in Subsidiary               9,000        31,000
    Net Income (Loss) before Cumulative
        Effect of Change in Accounting
         Principle                           (3,556,000)    2,661,000
    Net Income (Loss)                        (3,556,000)    1,848,000

    Basic Income (Loss) per Common Share         $(0.25)        $0.02
    Basic Weighted Average Shares
     Outstanding                             18,233,676    36,764,473


    Harken's net income of $1,848,000 for the three months ended
March 31, 2003 includes a gain of approximately $4.5 million from repurchases
of convertible notes during the quarter.  Because of higher product prices
compared to the prior year for both natural gas and crude oil, Harken
worldwide oil and gas revenues have increased 36% during the first quarter of
2003 compared to the prior year period, despite decreased production volumes
both domestically and in Colombia.
    Included in net income for the quarter ended March 31, 2003, was a charge
of $813,000 for the cumulative effect of the change in accounting principle in
accordance with the recently issued FASB Statement No, 143, "Accounting for
Asset Retirement Obligations."
    Interest expense and other increased for the quarter ended March 31, 2003
primarily due to three non-cash items.  First, approximately $740,000 of
issuance costs related to the Investor Term Loan were expensed.  Second,
approximately $356,000 associated with its natural gas collar contract
liability were expensed.  Finally, Harken expensed $488,000 on its investment
in shares of New Opportunities Investment Trust PLC.
    Based in Houston, Texas, Harken is an oil and gas exploration and
production company whose corporate strategy calls for concentrating its
resources on exploration, development and acquisition of domestic properties
in the Gulf Coast regions of Texas and Louisiana.
SOURCE Harken Energy Corporation
http://www.harkenenergy.com
CONTACT:
Investor Relations of Harken Energy
Corporation, +1-281-504-4000, or info@harkenenergy.com