EX-99.1 2 dex991.htm COMPANY PRESENTATION Company Presentation
www.gmxresources.com
www.gmxresources.com
The date of these presentation materials is March 20, 2006
GMXR
NASDAQ National Market System
Exhibit 99.1

GMXR
2
GMXR
Certain Reserve Information
Forward Looking Statements
This
presentation
includes
certain
statements
that
may
be
deemed
to
be
“forward-looking
statements”
within
the
meaning
of
Section
27A
of
the
Securities
Act
of
1933
and
Section
21E
of
the
Securities
Exchange
Act
of
1934,
as
amended.
All
statements,
other than statements of historical facts, included in this presentation that address activities, events or developments that the
company expects, believes or anticipates will or may occur in the future are forward-looking statements.  They include statements
regarding
the
company’s
financing
plans
and
objectives,
drilling
plans
and
objectives,
related
exploration
and
development
costs,
number and location of planned wells, reserve estimates and values, statements regarding the quality of the company’s properties
and potential reserve and production levels.  These statements are based on certain assumptions and analysis made by the company
in light of its experience and perception of historical trends, current conditions, expected future developments, and other factors it
believes appropriate in the circumstances, including the assumption that there will be no material change in the operating
environment
for
the
company’s
properties.
Such
statements
are
subject
to
a
number
of
risks,
including
but
not
limited
to
commodity price risks, drilling and production risks, risks relating to the company’s ability to obtain financing for its planned
activities, risks related to weather and unforeseen events, governmental regulatory risks and other risks, many of which are beyond
the
control
of
the
company.
Reference
is
made
to
the
company’s
reports
filed
with
the
Securities
and
Exchange
Commission
for
a
more detailed disclosure of the risks.  For all these reasons, actual results or developments may differ materially from those
projected in the forward-looking statements.
Drilling Schedule Statement
The drilling schedules in this presentation have been prepared based on our current understanding of PVOG’s current plans as well
as our own and is subject to change based on numerous factors, including changes in PVOG plans, drilling results, equipment
availability, weather conditions and other factors.  It also assumes that GMX has financial capacity in sufficient amounts to pay its
share of costs.  Accordingly, there is no assurance that the drilling schedule will occur as projected.  GMX does not plan to commit to
drilling of any well unless favorable conditions exist and it has the resources available for payment of costs.
The Securities and Exchange Commission has generally permitted oil and gas companies, in their filings with the SEC, to disclose
only proved reserves that a company has demonstrated by actual production or conclusive formation tests to be economically and legally
producible
under
existing
economic
and
operating
conditions.
We
use
the
terms
“probable”
and
“possible”
reserves,
reserve
“potential”
or
“upside”
or other descriptions of volumes of reserves potentially recoverable through additional drilling or recovery techniques that the
SEC’s guidelines may prohibit us from including in filings with the SEC.  These estimates are by their nature more speculative than
estimates of proved reserves and accordingly are subject to substantially greater risk of being actually realized by the company.
Information referenced from research reports has been prepared by independent third parties and not the Company.  By including
this information, the Company does not endorse or adopt the information and does not accept responsibility for its accuracy or
completeness.
Research Reports

GMXR
3
Expanding
Gas
Resource
Play
Cotton
Valley
Sands,
Travis
Peak
Sands
&
Pettit
Limes;
North
Carthage
Field,
East
Texas
Panola
&
Harrison
County;
“Tight
Gas
Sands”
Sabine
Uplift
GMX RESOURCES INC.
‘GMXR’
NASDAQ National Market System
Rapidly Growing Independent E&P Company
Only Core Area: 99% of NAV
93% Natural Gas
Stacked Multiple Reservoirs
619 gross / 374 net CVS Locations
(1)
(1
)
YE05
undrilled
locations
down
to
40
acre
density
(2)
Estimated
using
Company
owned
rigs
(3)
Company’s
actual
costs
–
see
definition
in
Glossary
of
Terms
67 CVS Wells –
10% Drilled!
7 Yrs of Development, 6 Rigs
All in F&D Costs $1.45
(2)
-
$1.61 / mcfe
(3)
CVS
Glen
Rose
Pettit
Travis
Peak
Map
by
Geomap
Company,
reprinted
with
permission

GMXR
4
Long Life, Low Risk, Low Decline for Decades
100% Development Success
67 GMXR
/ PVA wells
50 Year Lives
Reserve Increases –
Cost Decreases
1.245
BCFE
CVS
EUR
4
th
Consecutive
Year
Increase
CWC $1.5 –
$2.0 mm
Production Growth Potential
100%
Increase
1Q06
vs.
1Q05
(3)
150%
Production
Increase
YE06
vs.
YE05
(3)
Strong Reserve and NAV Growth Potential
162
BCFE
1P05
153%
Increase
(1)
704
BCFE
3P05
(2)
Total
Reserves
Resource Play Investment Characteristics
(1 )
Based on
Sproule reserves 12/31/05
(2)
Internal estimates, company estimates of undrilled locations & unproved reserves
(3)
Company Guidance

5
CVS Producers & Field Production
PVA / GMXR
PVA / GMXR
Gladewater /
Glenwood / White
Oak/ Willow
Springs
663 BCFE
Woodlawn
135 BCFE
Waskom
270 BCFE
Oak Hill
1,384 BCFE
Bethany / Elysian
403 BCFE
Carthage / Beckville /
Briggs
3,442 BCFE
Tatum / Blocker
310 BCFE
O
v
e
r
t
o
n
Permitted Wells or
2006 Wells
Texas Counties: Harrison, Panola, Gregg & Rusk
7660 CVS Wells
Prod Cum 6,090 BCFE as of Oct. 2005
GMXR
JV Acreage
GMXR
100% Acreage
CV Well  -
CV Depths
8,500’
–
12,000’
Production data from IHS Dwights.

GMXR
6
Cotton Valley Sands
(1)
Sproule & Associates
Shale/Carbonate/Sand Exc. Gas Shows
Testing / Investigating
Lower CV 10,200 –
11,200’
Three Main Sand Intervals
Main Field Pay –
Target
Taylor Sands 9700 –
10,000’
Four 50’+ Bar Sands 
Emerging Field Pay
Davis Sands  9100 –
9600’
Several
20’
–
40’
Sands
Emerging Field Pay
BCD Sands   8500 –
9000’
Higher
Rates,
less
H
2
0
&
Flatter
Declines
Main Field Pay
Stroud
Sands
8200
–
8400’
EUR
1.245
BCFE
per
well
(1)
YE05
-
Company
Expects
YE06
Increases

GMXR
7
Cotton Valley Sand Stats
(1)
Estimated using Company owned rigs
(2)
Company’s
actual
costs
–
see
definition in Glossary of  Terms
(3)
2002 –
2006 historical costs; costs could go up in 2006
Spud to TD
12 - 20 Days
Spud to Spud
20 - 25 Days
Spud to Sales
30 - 35 Days
All in F&D Costs
$1.45
(1)
- $1.61
(2)
Completed Well Cost
$1.5 mm - $2.0 mm
(3)
  2 completions, 1-2 Fracture Treatments, Commingled 
Fracture Stimulation                     
2 - 3 Stages                              
6,000-11,000 bw less gel; 250,000 - 450,000 # tempered 40/70 & 20/40 sand;       
55-70 bpm; lmtd entry perforation style
Economic Life
45 years
Basis Differential
$.50 @ $5 per mmbtu; $.65 @ $6 per mmbtu; $1.20 @ $10 mmbtu
MMBTU
1.098

GMXR
8
Continue Growing Proved Reserves
YE04            64 BCFE
(3)                      
21% Increase
YE05          162 BCFE
(3)
153% Increase
YE06          245-320 BCFE
(4)              
50% –
100% Increase
Building Shareholder Value
(1)
1Q06 are Company estimates.
(2)
Exit Rate
(3)
Sproule Associates, Inc. 12/31/04 & 12/31/05
122%-177% Increase
20-25 mmcfepd vs. YE05 9mmcfepd
YE06
(2)
100% Increase
9,000 mcfepd vs. 1Q05  4,500 mcfepd
1Q06
Drilling Growth:
Drilling Growth:
Accelerate
Accelerate
Increase
Increase
in
in
Natural
Natural
Gas
Gas
Production
Production
(1)
Production Growth + Reserve Growth = Shareholder Value Growth
(4)
Analyst’s
Proved
Reserve
Forecast
YE06
First Albany Capital 2/28/06
245 BCFE
Ferris,
Baker
Watts,
Inc.
2/27/06
320
BCFE

GMXR
9
2006 CVS
Drilling Plan  & Update
GMXR / PVA Joint Venture
*
CVS
wells
only.
Wells
<
8100’
omitted
JV 30% Area -
GMXR
30% WI
•
Drill 28 gross / 8.4 net
CVS Wells
•
9,970 gross /3,031 net GMXR
E. Acres
•
212 gross / 65 net YE06
•
Currently Drilling 42 & 43
GMXR
100% Area -
100% WI
•
Drill
30
CVS
Wells
•
•
8,831 gross / net GMXR
E. Acres
•
209 gross/ 209 net YE06
•
Currently Drilling 16 & 17
JV 50% Area –
GMXR
50% WI
•
•
Drill 17 gross / 8.5 net
Drill 17 gross / 8.5 net
CVS Wells
•
8,052 gross / 4,086 net GMXR
E. Acres
•
198 gross / 100 net YE06
•
6 Producers Drilled to Date
New Permits
or
2006 Well
CVS
Gas Well
GMXR
JV Acreage
GMXR
100% Acreage
*
Company internal estimates.   Schedule dependant upon
rig efficiency.  Number of wells in JV Areas are from
PVOG schedule 11/21/05.

GMXR
10
Capital Expenditures
(1)
(1)
2006 is Company estimate based on past rig performance, estimated prices and existing contracts.
(2)
CAPEX includes pipelines, compressors, rigs, acreage & completed well costs.
$72 -
$93 mm
126 gross/ 71 Net
62-75 gross/ 32-47 Net
2006
(1)
6 Rigs
$39 mm
51 gross/ 24.3 Net
28 gross/ 13.3 Net
2005
1-4 Rigs
GMXR
CAPEX
(2)
YE CVS Producers
CVS Drilling
New Mexico 2006   2-12 gross/ .3-11 Net;   4 Re-completions
YE06
E.
Remaining
Undrilled
CVS
40
Acre
Locations
544
+/-
gross
/
327
+/-
Net

GMXR
11
Rig Status
(1)
Diamond Blue Drilling Co. Wholly owned subsidiary of GMXR.
Rigs
Operator
Area
Contract Term
Status
1)
Unit #309
GMXR
& PVA
JV 50% /
GMXR
100%
Well by Well
Active
2)
H & P #156
PVA
JV 30% & JV 50%
2 yr 6/05 - 6/07
Active
3)
DBD #7
(1)
GMXR 
GMXR
100% Area
Own
Active
4)
D & D #11
PVA
JV 30% Area
Active
5)
DBD #11
(1)
GMXR
GMXR
100% Area
Own
2Q06
6)
Grey Wolf Flex
PVA
JV 50% Area
3 yr thru 09
4Q06

GMXR
12
Recent Developments and Plans
100% Area
Offsetting Underwood #1
Drilling to 11,500’
Underwood #2
DBD Rig #11 Nearly Ready
7 New Gas Units to be Drilled
JV 50% Area
Significant Gas Shows in other Zones
2
nd
Stage
Completions
Excellent
Results
Est. EUR 1.5 –
2 BCFE
Encouraging Gas Shows LCV
JV 30%
2
nd
&
3
rd
Completions
Very
Good
Results
Lower Cotton Valley testing Gas
7 New Gas Units to be Drilled
New Mexico Update
Gosden
#1 Offsets; Twitty
being Completed
Drilling Offset Huskey
Scheduling
14
San
Andres
Locations
5,500’
1H06
Map by Geomap
Company, reprinted with permission

GMXR
13
Resource Play Land Activity
20
acre
density,
600’
separations,
467’
from
lease
line
‘Beginning’
40
acre
density,
1,200’
separation,
467’
from
lease
line
‘Common’
Field Rules
75% -
83.3% NRI
Net Revenue
$250 -
$500 per acre
Brokerage
$150 -
$450 per acre
Bonus
Expansion of Play / Drilling Preparation / Operations
GMXR
and PVOG 77 contract laborers in field (37 increase over 2005)
17 New CVS Gas Units to be Formed in 2006
619 gross / 374 net 40 Acre Undrilled 1Q06 Locations
20
Acre
Development
in
Area
by
Devon
&
XTO

GMXR
14
Balance Sheet Summary
12%
2.9%
LTD to Equity
$32,407
$61,225
Shareholders Equity
$3,762
$1,756
Long-Term
Debt
*
$40,991
$81,103
Total Assets
$35,956
$58,927
Oil & Natural Gas Properties
$862
$2,392
Cash and Cash Equivalents
Dec. 31, 2004
Dec. 31, 2005
($ in thousands)
*
Including current portion.

GMXR
15
CAPEX Funding 2006
YE05
CF
$16.8MM
No
plans
for
selling
stock
for
funds
to
drill
in
2006.
$72 mm
$93 mm
Existing Credit Line
$24 mm
$24 mm
Feb. 2006 Warrants Exercised
$14 mm
$14 mm
Probable Increase in Credit Line
$8 mm
$16 mm
Funding Total from Above
$46 mm
$54 mm
Balance funded by CF &
additional debt, if necessary
$26 mm
$39 mm
$72 mm
$93 mm
CAPEX Cases:

GMXR
16
(1)
Sproule Associates, Inc.
(2)
03/15/06
Company
internal
projections.
EUR
for
80s
&
40s
are
the
same,
Company
expects
80s
to
increase
&
40s
to
be
less
than
80s.
‘GMXR’
NAV STRATEGY
Drill Undeveloped Reserves/Convert Probables to Proved
-
Growth
704 BCFE
-
Grow Inventory
Possible
(2)
108 BCFE
-
Convert to Proved
Probable
(2)
434 BCFE
-
Accelerate Drilling
Proved 2005
(1)
162 BCFE
Net
-
Better completion methods, second stage
completions, improved performance, field
expansion and deeper zone potential will all
contribute to growth in reserve expectations
for 2006 & 2007
1P
3P

GMXR
17
‘GMXR’
Internal Projected 3P Reserves
Proved
Probable
Possible
Potential
Reservoirs & Depth
BCFE
BCFE
BCFE
BCFE
Lignite (<1,000')
no est.
Glen Rose/Morringsport (4,000')
1
Rosessa (5,500')
23
Sligo Pettit (6,000')
35
Travis Peak (6,300' - 8,200')
89
34
Cotton Valley Sands (8,200' - 9,900')
310
50
       40 Acre Density, higher EUR
CVS 20 Acre Density
no est.
Lower Cotton Valley (9,900' - 11,500')
no est.
Smackover (>11,500')
no est.
12/31/05 YE SEC Reserves - Sproule
162
Total Projected Reserves
162
434
108
Total '3P' Reserves
704

GMXR
18
$0.00
$1.00
$2.00
$3.00
$4.00
$5.00
$6.00
SW Energy
Delta Petro
Expl. Co.
Carrizo (2)
Ultra
Goodrich (2)
Brigham
Comstock
Energy
KCS Energy
GMXR
Note: NASDAQ as of  March 14, 2006.  Growth E&P companies with similar  resource assets. (2) EV calculated on QE 9/30/05, all others based on YE 12/31/05
Average = $4.02
YE05 $2.24
GMXR
Valuation vs. Peer Growth Group
GMXR Has Room To Grow!
162 BCFE

19
GMXR’s
Neighbors
BP
Comstock
NEG
Samson
Samson
Samson
Samson
Winchester
Comstock
Peoples
EnCana
Hunt
Chevron
Anadarko
Anadarko
Anadarko
Anadarko
Anadarko
Devon
Devon
Devon
Devon
XTO
Goodrich
Dallas Prd
Dallas Prd
BP
Anadarko
Texas Counties: Harrison, Panola, Gregg & Rusk
7660 CVS Wells
Prod
Cum
6,090
BCFE
as
of
Oct.
2005
PVA /
PVA /
GMXR
GMXR
PVA / GMXR
PVA / GMXR
TXOK
XTO
Samson
Devon
Chevron
Chevron
Chevron
Chevron
CHK
GMXR
JV Acreage
GMXR
100% Acreage
CV Well  -
CV Depths
8,500’
–
12,000’
Production data from IHS Dwights.
Permitted Wells or
2006 Wells

GMXR
20
LOE
&
Tax/mcfe
(3)
($0.93
LOE
+
$0.56
Taxes)
$1.49
3%
L-T Debt / Total Capitalization:
e
2006
CAPEX:
$72
-
$93
Million
$28 Million
Working
Capital
plus
unused
credit
line:
(5)
2005
CAPEX:
$39
Million
60%
Institutional
Ownership:
(1)
$9
Million
2004
CAPEX:
22%
Management
Ownership:
(4)
93%
Natural
Gas
Reserves:
542,745
30
Day
Average
Daily
Volume
(1)
Proved
Undeveloped:
115.9
BCFE
11,193,217
Shares Outstanding:
Proved
Developed
Non-Producing:
18.7
BCFE
$381,000,000
Market
Value:
(1)
Proved
Developed
Producing:
27.4
BCFE
$28.65 -
$50.50
YTD Price Range:
Proved
Reserves
12/31/05:
(2)
162
BCFE
$34.05
Recent Price:
GMX Mar. 2003, 27 yrs drilling, completion & production
options
49
Richard Hart, Jr.
Operations Mgr. P.E
Consulting Reservoir Engineer.   31 years
options
49
Timothy
Benton
Reservoir
P.E.
32 years Gas Marketing
options
56
Keith Leffel
VP Endeavor Pipeline
options
8.7%
8.8%
‘GMXR’
Land Management.  E & P 26 years
55
Gary Jackson
VP
Land
CFO, EVP, Director, Co-Founder, NYSE.
25 years E & P
70
Ken Kenworthy, Sr.
CFO, EVP, Dir.
President,
CEO,
Chairman,
Co-Founder,
Geoscientist.
31
years
E
&
P
49
Ken Kenworthy, Jr.
Pres., CEO, Chair
Background
Age
Name / Position
(1)
Nasdaq
as
of
March
15,
2006.
Average
Daily
Volume
is
Last
30
Trading
Days.
(2)
Proved
Reserves
Sproule
&
Assoc.
(3)
1YE05.
(4)
Ken
Kenworthy,
Jr.
and
wife
own
16.2%
of
common
stock
when
combined.
(5)
Estimated
2/28/06,
using
credit
facility.
GMX RESOURCES INC.  ‘GMXR’

GMXR
21
Glossary of Terms
Travis Peak/Pettit
TP/P
To begin drilling operations on a well.
Spud
Penn Virginia Oil and Gas
PVOG
Penn Virginia Corporation
PVA
Proved Undeveloped Wells
PUD
Probable Undeveloped Wells
Prob
When used with respect to oil and gas reserves,
present value means the Estimated Future Net
Revenues discounted using an annual discount rate
of 10%.
Present Value
Possible Undeveloped Wells
Poss
Private Investment Public Equity
PIPE
Petroleum Engineer
PE
Million cubic feet gas per day
mmcfgpd
Million cubic feet gas
mmcfg
One million cubic feet of gas equivalent
MMCFe
One million cubic feet of gas
MMCF
One thousand cubic feet of gas equivalent per day
mcfepd
One thousand cubic feet of gas equivalent
MCFe
One thousand cubic feet of gas
MCF
One thousand barrels of oil
MBbls
Lower Morrow Sand
LMS
Joint Venture
JV
Finding and Development Costs.  Total acreage and completed
well costs are divided by estimated EUR per well. Our measure
of F & D costs may not be comparable to other companies.  At
this time, internal estimates were also used for rate using
Company owned rig.
F & D
Estimated Ultimate Recovery. 
EUR
Estimated future gross revenue to be generated from the production of
proved reserves, net of estimated production, future development
costs,
and future abandonment costs, using prices and costs in effect as of the
date of the report or estimate, without giving effect to non-property
related expenses such as general and administrative expenses, debt
service and future income tax expense or to deprecation, depletion and
amortization.
Estimated Future
Net Revenues
Exploration and Production
E & P
Carried Working Interest
CWI
Completed Well Cost
CWC
Cotton Valley Sand Well
CVS
Carthage Joint Venture
CJV
Completed Cotton Valley
CCV
Capital Expenditures
CAPEX
Billion Cubic Feet Gas Equivalent  (oil & gas combined 6:1
basis to gas equivalent)
BCFE
barrel of oil
bbl
Possible Reserves
3P
Probable Reserves
2P
Proved Reserves
1P