“building value by adding value” ipaa oil & gas investment symposium april 19-21, 2004

“Building Value By Adding Value”

IPAA Oil & Gas Investment SymposiumApril 19-21, 2004

Except for historical information contained herein, statements in this presentation, including information regarding the business of the

Company, may be “forward looking statements” within the meaning of the federal securities laws. Forward looking statements involve known and unknown risks and uncertainties that may cause the Company’s actual results in future periods to differ materially from forecasted

results. Factors that can affect the Company’s ability to achieve forecasted results are described in the Company’s annual report on

Form 10-K and quarterly reports on Form 10-Q. Such factors include, among others, uncertainties inherent in cash flow and reserves, the

operating risks of oil and natural gas operations, the volatility of oil and natural gas prices, the need to replace reserves depleted by production,

competition and the potential impact of government regulations, litigation and environmental matters. These factors may result in

revisions of the Company’s operating plans as described herein and elsewhere. The Company has no obligation to update the information

contained in nor the statements made during this presentation.

Founded 1908 Exceptional long-term return to

shareholders 16% annual compounded return

Strong Balance Sheet 20% net debt to capital

Low / moderate risk core drilling Exposure to large potential ideas Solid Growth

St. Mary Land & Exploration Company

2003 2 Years 5 Years

Finding Cost $1.05 $ 1.09 $ 1.09

Replacement % 293% 298% 274%

Core Areas of Operations

26%

11%

48%

9%6%

Midcon ArkLaTex Rockies Permian G. Coast

Reserve Base- 1/2004

594 BCFE

52% Gas

89% Developed

Competitive Advantages

Proprietary ability to process / interpret 3D -

WillistonStimulation techniques

Quick, fast, disciplined

We don’t make big mistakes

-20%

-10%

0%

10%

20%

30%

40%

SM

Source: John S. Herold Financial & Operational Database & JSH Analysts

STOCK APPRECIATION – CAGR 6 YEARS1996-2002

0%

100%

200%

300%

400%

500%

600%

S&P NASDAQ PEERS ST. MARY

0%

100%

200%

300%

400%

500%

600%

S&P NASDAQ PEERS ST. MARY

STOCK PERFORMANCE FROM DECEMBER 1992THROUGH MARCH 8, 2003

0%

100%

200%

300%

400%

500%

600%

S&P NASDAQ PEERS ST. MARY

Buyback of Flying J Stock – 2003 WOW

Adj buyback12/31/2003 12/31/2002

WC+restricted cash 13,640 2,050 11,590 FJ Note Receivable - - Long-term debt (130,102) (113,601) (16,501) Other non-current (12,626) (5,727) (6,899)

(129,088) (117,278) (11,810) Unproved properties 61,323 47,984 13,339 Net Assets (Liabilities) (67,765) (69,294) 1,529 2%

Shares outstanding 28,242 27,973 269 1%

Change

Note: analysis excludes Asset Retirement Obligation and Def Taxes.

Buyback of Flying J Stock – 2003 WOW

Adj buyback12/31/2003 12/31/2002

WC+restricted cash 13,640 2,050 11,590 FJ Note Receivable - - Long-term debt (130,102) (113,601) (16,501) Other non-current (12,626) (5,727) (6,899)

(129,088) (117,278) (11,810) Unproved properties 61,323 47,984 13,339 Net Assets (Liabilities) (67,765) (69,294) 1,529 2%

Shares outstanding 28,242 27,973 269 1%

Reserves (MMCFE) 593,744 490,887 102,857 21%

Change

Buyback of Flying J Stock – 2003 WOW

Adj buyback12/31/2003 12/31/2002

WC+restricted cash 13,640 2,050 11,590 FJ Note Receivable - - Long-term debt (130,102) (113,601) (16,501) Other non-current (12,626) (5,727) (6,899)

(129,088) (117,278) (11,810) Unproved properties 61,323 47,984 13,339 Net Assets (Liabilities) (67,765) (69,294) 1,529 2%

Shares outstanding 28,242 27,973 269 1%

SEC PV10 1,278,165 824,808 453,357 55%

Change

2004 Capital Program: $273 MM

$100

$59

$52

$10

$18

$22 $12

Acquisitions

MidContinent

Rockies

Permian

Gulf Coast

ArkLaTex

CBM

100% Well Unrisked Well

Cost Costs Potential

James Lime Horizontal 6,518$ $1MM 1.5 -2.3 BCFE

Other Dev Drlg 5,496 $.9 - $1.6MM 1.0 - 1.6 BCFE

(Beth Longst; Dykesville; Terryville)

Exploration 5,811 $.8 - $1.1MM .9 - 1.7 BCFE

LH, Seismic, Other 3,800

21,625$

ArkLaTex Region

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

James Lime Horizontal Trend

James Lime Horizontal Trend

WELL WI GAS (MCFED)

USA 2-H 80% 3,800

USA 3-H 80% 5,500

USA 4-H 80% 2,200

USA 5-H 80% 3,200

USA 6-H 80% 1,200

USA 7-H 80% 1,900

USA 8-H 80% 1,025

DeSoto Parish Sch. Bd. 100% 3,000

0

2000

4000

6000

8000

10000

12000

14000

16000

180000 5 10 15 20 25 30

Days since Spud

Cu

m M

easu

red

Dep

th

Original Plan

USA #2H

USA #3H

USA #4H

James Lime Horizontal Trend

Grew out of King Ranch acquisition

Focus on exploitation

$18.4 MM budget - 29% at Judge Digby

Gulf Coast / GOM

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

Gulf Coast / GOM

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

100% Well Unrisked WellCost Costs Potential

Judge Digby 4,307$ $22MM 20 BCFEHigh Island - Miami #3 1,725 $7.5MM 10 BCFELive Oak 1,328 $1.5MM 7.2 BCFEVerm 273 - offshore 1,186 $3.1MM 4.6 BCFEMermentau play 1,245 $3.2MM 8.6 BCFEOther 5,037 $1 - $3.5MM 1 - 9 BCFELH, Seismic, Other 3,600

18,427$

Judge Digby 10%-20% WI 2003

1 new well – 4 MMCFD 2001 and 2002 wells

Wurtele #3 – 55 MMCFD Majors #4 – 36 MMCFD J. Wurtele #1 – 66 MMCFD Parlange #12 – 67 MMCFD J. Wurtele #2 – 45 MMCFD

Parlange 11 - 92 MMCFD Largest initial rate in history of Louisiana

Gulf Coast / GOMArkLaTex

$22Rockies

$52Mid-Con

$59Acq.$100

G. Coast$18

CBM$12

Permian$10

Judge Digby Nearing end of new development wells Recompletions will dominate activity in future years

Gulf Coast / GOMArkLaTex

$22Rockies

$52Mid-Con

$59Acq.$100

G. Coast$18

CBM$12

Permian$10

Judge Digby

Fee Property Seismic

14,969 acres optioned

25% Royalty w/ 25% participation option

$ 898K option and permit payment in 1Q/2003

New Dataset over entire Fee property

Data coverage over previously un-shot areas

Processed data received 1Q/2004

Fee Property 3-D

Fee Property 3-D

Big Blue FaultKey upthrown positionBayou Sale Field Pays

Bayou Sale Fault

Deep Upthrown TargetsMA and Rob Chambersi Objectives

NorthSouth

Rockies Region

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

100% Well Unrisked WellCost Costs Potential

Williston - drilling 27,735$ Red River $1.6MM 2.5 BCFE Bakken dual lateral $2.4MM 1.8 - 3.0 BCFE Bakken single lateral $1.8MM 1.7 - 2.5 BCFE Bakken re-entry $1 MM 1.1 - 2.3 BCFEWyo - Greater Green River 6,057 $.9 - $1.2MM .7 - 1.1 BCFEWyo - Other 4,328 $.8 - $1.2MM 2.5 BCFERecompletion / facility 4,875 Seismic 4,706 LH, Other 4,000

51,701$

Hottest play in Williston at present time

Drilling horizontally in silty dolomite under Bakken Shale

BAKKEN Gets A New Life

Rockies Region – Bakken Play

Permian Region

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

100% Well Unrisked WellCost Costs Potential

Parkway waterflood - 6 infill 1,283$ $3.9MM 10 BCFEShugart waterflood-4 inj 1,310 $1.8MM 2 BCFEE. Vincent - 4 Canyon wells 1,080 $2.4MM 3.6 BCFEKelly Snyder - 3 Canyon wells 810 $1.8MM 2.6 BCFESamboca - 2 wells contingent 975 Other 3,671 LH, Seismic, OH 925

10,054$

Permian Region

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

The Parkway Delaware Unit has seen tremendous

waterflood response.

SMLE W. I. = 32.4%

The East Shugart Delaware Unit is anticipated to perform

very similar to Parkway.

SMLE W. I. = 72.7%

Permian Region

Permian RegionEAST SHUGART WELLS #6, #7, #10 & #11UPDATED THROUGH JANUARY 31, 2004

1

10

100

1000

Dec

-85

Jun-

86

Dec

-86

Jun-

87

Dec

-87

Jun-

88

Dec

-88

Jun-

89

Dec

-89

Jun-

90

Dec

-90

Jun-

91

Dec

-91

Jun-

92

Dec

-92

Jun-

93

Dec

-93

Jun-

94

Dec

-94

Jun-

95

Dec

-95

Jun-

96

Dec

-96

Jun-

97

Dec

-97

Jun-

98

Dec

-98

Jun-

99

Dec

-99

Jun-

00

Dec

-00

Jun-

01

Dec

-01

Jun-

02

Dec

-02

Jun-

03

Dec

-03

Jun-

04

Dec

-04

Bar

rels

Oil

per

Day

100

1000

10000

100000

BW

IPD

, G

OR

(S

CF

/ST

B)

BOPD

GOR

BWIPD

47 wells (31 operated) 5-7 operated drilling rigs

Mid-Continent Region

100% Well Unrisked WellCost Cost Reserves

NE Mayfield 28,532$ $3.7-$7.1MM 3 - 6 BCFEAtoka 11,156 $2.5MM 2 BCFEGranite Wash 4,809 $1.3-$1.4MM 1.0 - 1.6 BCFEOsborne, R Fork, Cherokee 2,424 $.85 - $1.8MM 1.0 - 1.6 BCFEArkoma 4,516 $.7 - $1.7MM .8 - 1.5 BCFESeismic, LH, Other 8,000

59,437$

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

NE Mayfield

Working Interest Location GAS (MCFED)

John Patrick 1-27 55% 27-11N-26W 5,700

Edwards 1-22 47% 22-11N-25W 2,300

Brothers 2-20 34% 20-11N-25W 11,800

Edgar 1 11% 25-11N-26W 5,600

Heinsohn 4-36 31% 36-11N-26W 12,500

Bess 1-26 58% 26-11N-26W 14,300

Molly "C" # 1 45% 35-11N-26W 4,200

Kathy # 1 10% 08-10N-25W 6,300

Dean 1-19 53% 19-11N-25W 20,000

John B 1-30 24% 30-11N-25W 9,000

Dykes 1-17 19% 17-11N-25W 20,600

Tipton 6-29 APO 04-11N-25W 1,600

Daniel 1-30 15% 30-11N-25W 1,500

Neil1-28 10% 28-11N-25W 4,200

Mary Lou 1-18 16% 18-11N-25W 1,400

Brothers 3-20 17% 20-11N-25W 1,600

2003 Completed Wells

NE Mayfield

Working Interest Location Status (MCFED)

Betty 1-19 55% 19-11N-25W Completing

Cynthia 3-21 30% 21-11N-25W 2,300

McEntire 1-27 53% 27-11N-26W Completing

Robert 5-36 31% 36-11N-26W 3,100

Keathley 1-8 10% 08-10N-25W Completing

Sites 1-8 39% 08-11N-25W Completing

Haag # 1-2 44% 02-10N-26W Drilling

Tipton 1-17 19% 17-11N-25W Completing

Brothers 4-20 17% 20-11N-25W Drilling

Robertson 1-6 89% 06-10N-25W Completing

Juanita 1-30 42% 30-11N-26W Drilling

Carolyn 1-23 14% 23-11N-26W Completing

Theresa 1-35 46% 35-11N-26W Drilling

Louella 1-33 31% 33-11N-26W Drilling

Coffey 1-16 21% 16-11N-25W Drilling

Dobson Ranch 1-31 28% 31-11N-26W Drilling

Atchley 1-34 38% 34-11N-26W Drilling

2004 Well Status

NE MayfieldNE MAYFIELD

NET PRODUCTION

0

5

10

15

20

25

30

1997 1999 2001 2003 2005 2007

MM

CF

ED

Net Production

NE Mayfield

NE Mayfield

NE Mayfield

NE Mayfield

NE Mayfield

NE Mayfield

NE Mayfield

NE Mayfield

NE Mayfield

139,000 net acres Pilot projects conducted since 2001

Evaluation limited to Wyoming acres

Coal Seams Evaluated Anderson, Canyon, Brewster-

Arnold, Nance, Roberts 2004

Begin development of 65,000 Wyoming acres

Estimate 147 BCF of Probable Reserves from targeted coals

Anticipate drilling ~100 wells Infrastructure

Other - Hanging Woman Basin

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

Other - Hanging Woman Basin

Other - Hanging Woman Basin

HWB 160 ac Locations by Coal Seam

021

144

363

290

41 55

0 0 0

147

57

307

249

98

10 0

402

152

246

0

50

100

150

200

250

300

350

400

450

Montana Wyoming

2582 wells gross

Assumptions

>10’ thick

>200’ depth

>2 miles from outcrop

Economic Model

100% Well Reserves / Well Coal Seam Cost (000’s) (160 acre spacing)Anderson $ 70 - 90 60 - 185 mmcf

Canyon $ 75 - 90 105 - 160 mmcf Brewster-Arnold $ 85 - 110 155 - 285 mmcf

Nance $ 110 - 120 165 - 375 mmcfRoberts $ 155 - 170 445 - 480 mmcf

Other - Hanging Woman Basin

ArkLaTex$22

Rockies$52

Mid-Con$59

Acq.$100

G. Coast$18

CBM$12

Permian$10

Production - Daily (MCFE)

0

50,000

100,000

150,000

200,000

250,000

MC

FE

Per

Day

1993

1994

1995

1996

1997

1998

1999

2000

2001

2002

2003

2004

Actual OK Sale S. Horseshoe Plan

2003 Results

Recurring Operations 2003 2002Revenues 365,114$ 185,670$ LOE + Tax (88,509) (50,839) G&A (25,179) (14,299)

251,426$ 120,532$ Net Income 95,575$ 27,560$

Production (MMCFE) 76,909 55,055

Per MCFERevenues 4.75$ 3.37$ LOE + Tax (1.15)$ (0.92)$ G&A (0.33)$ (0.26)$

3.27$ 2.19$

32% Q4 Production Growth

0

5,000

10,000

15,000

20,000

Q4-2002 Q4-2003

MM

CF

Base NE Mayfield Burlington Flying J

Financial Forecast

2004Production (BCFE) 78 - 82

Per MCFELOE + Tax $1.15 - $1.25G&A $.32 - $.37DD&A $1.10 - $1.20

Track Record 16% Compounded Return

Strong Balance Sheet Opportunistic Consistent and efficient

Strong Technical Expertise Combined with Creativity and Financial Discipline

Large inventory of prospects

Why Consider St. Mary?

www.stmaryland.com