Unit Corporation 40 years serving the energy industry

What is Unit? Contract driller and producer of domestic natural gas Founded in 1963; public in 1979 (NYSE: UNT) Average daily trading volume for 2003: 199,310 shares Added to the S&P SmallCap 600 Index in 2001 Headquartered in Tulsa, Oklahoma Current market cap of $1.25 billion (as of 3/31/04) 45,709,568 shares outstanding Business units: Unit Drilling Company – 88 drilling rigs Unit Petroleum Company – Bcfe proved reserves* Web address: *includes PetroCorp acquisition completed January 30, 2004

40 years serving the energy industry Unit’s History Two consistently growing successful segments # Rigs Bcfe

40 years serving the energy industry Unit’s Strengths Two consistent growing energy segments:Two consistent growing energy segments: Unit Drilling Company 300% increase in rig count since % increase in rig count since th largest U.S. deep onshore drilling contractor4 th largest U.S. deep onshore drilling contractor Unit Petroleum Company 208% average production replacement since % average production replacement since 1993 Average annual reserve growth of 12% since 1993Average annual reserve growth of 12% since 1993 Focused on natural gas, drilling and productionFocused on natural gas, drilling and production Strong balance sheet focusStrong balance sheet focus Respected and experienced workforce drives consistent resultsRespected and experienced workforce drives consistent results

40 years serving the energy industry U.S. Gas Production per Well & Total Gas Wells Source: EIA 21.9 Tcf Total Production 19 Tcf

40 years serving the energy industry Contract Drilling Strategy Unit’s premium service is achieved by supplying: Top quality equipment Experienced personnel Alertness to expansion opportunities

40 years serving the energy industry Unit Rig Fleet 4 th Largest Deep Drilling Contractor in United States Hickman acquisition 9 rigs Parker acquisition 13 rigs Cactus acquisition 20 rigs SerDrilCo acquisition 12 rigs

40 years serving the energy industry Service Drilling Company Acquisition Purchased 12 active rigs $35 million acquisition Expected to be immediately accretive All rigs located in Anadarko Basin within the Texas Panhandle Acquisition includes a 12-truck moving fleet Strategic fit: Significant drilling contractor in the Texas Panhandle Well established franchise developed over 50 years Expands a current market area to Unit

40 years serving the energy industry Unit Rig Fleet Depth Capacity Over 98% of wells drilled are natural gas wells Depth in Feet Service Drilling Company rigs 6 5 1

40 years serving the energy industry Significant Presence in Major Gas-Producing Regions Houston Office Tulsa Headquarters Oklahoma City Office Unit Rigs 89 th rig under construction Casper Office 12 Service Drilling rigs

40 years serving the energy industry High Utilization vs. Industry Unit 1 st Qtr. ‘04 Utilization Unit Current Utilization: 95%

40 years serving the energy industry Cash Flow per Operating Day Rig Utilization: 38% 44% 65% 80% 67% 62% 85% 90% 63% 83% 93%

40 years serving the energy industry $100 $9,000 $75 $8,500 Cash Flow Sensitivity – 88 rigs Annual Segment Cash Flow ($mm) Rig Rates Assumed Industry Rig Utilization $25 $7,500 $50 $8,000 $125 $10,000 80%85%90%95%100% Unit % 75% $150 $11,000

40 years serving the energy industry Unit Drilling Company Recap Medium and deep depth land drilling 4 th largest fleet in the United States (88 rigs) Rig fleet has tripled in size in the last 10 years Average utilization higher than industry

40 years serving the energy industry Unit Petroleum Company Strategy Unit provides consistent economic growth of its oil and natural gas reserves of at least 150% of each year’s production by: Generating most drilling prospects internally Staying alert for opportunistic acquisitions Maintaining strong cost controls

40 years serving the energy industry Annual Reserve Additions as a Percent of Production 143% Average Annual Reserve Replacement through drilling over last 20 years 224% Average Annual Reserve Replacement from all sources over last 20 years *Not Restated for Questa Activity

40 years serving the energy industry PetroCorp Inc. Acquisition Closed – January 30, 2004 Expected to be immediately accretive Purchase price - $182,000,000 paid in cash Preliminary allocation of purchase price: $94,000,000 to working capital $78,000,000 to proved reserves $10,000,000 to undeveloped leasehold & partnership interest PetroCorp operating data: 12/31/ ReservesProduction Oil (MBbls) 2, Natural Gas (MMcf) 40,260 4,200

40 years serving the energy industry Reserve Growth *Not Restated for Questa Activity Bcfe Average annual reserve growth since 1993 of 12%

40 years serving the energy industry Production Growth Mcfe *Not Restated for Questa Activity

40 years serving the energy industry Core Producing Areas Proved Reserves At 12/31/03: Bcfe (includes PetroCorp acquisition) Houston Office Tulsa Headquarters Gulf Coast Basin Arkoma Basin Anadarko Basin Permian Basin 12% 46% 23% 17%

40 years serving the energy industry Wells Drilled *Not Restated for Questa Activity

40 years serving the energy industry Acreage Inventory Growth *Not Restated for Questa Activity

40 years serving the energy industry Prospect Inventory Drives Reserve Growth Number of Prospects Over 90% of our drillsites are internally generated. 127 are identified as PUD’s and reflected in our reserve base. 288 (40% WI) have unrisked probable net reserves of 210 Bcfge.

40 years serving the energy industry Unit’s Return History Finding Cost/ Years Mcfe Rev/McfeROR Years Mcfe Rev/McfeROR 15$0.94$ % 10$1.03$ % 5$1.20$ % 3$1.65$ %

40 years serving the energy industry Gas Price Sensitivities Gas Price per Mcfg 2003 Actual Segment Cash Flow

40 years serving the energy industry Recap Consistent Reserve Growth 2003 – 166% Production Replacement 20 th consecutive year of replacing more than 150% of production with new reserves Successful Drilling Program 20% rate of return for last 15 years Drilling program underway Expect to drill 165 to 175 wells in 2004, up 11% to 17% over 2003

40 years serving the energy industry Revenues (in millions)

40 years serving the energy industry Earnings per Share

40 years serving the energy industry Balance Sheet Summary Working Capital$20.9$25.7 Total Assets Long-Term Debt Shareholder’s Equity Credit Line Undrawn Long-Term Debt to Total Capitalization:0%12% 12/31/03 3/31/04 3/31/04 (In Thousands)

40 years serving the energy industry Cash Flow Before Changes in Working Capital (in millions)

40 years serving the energy industry Capital Expenditures Cactus rig acquisition: 7.22 million shares & $4.5 million cash (In Thousands)

40 years serving the energy industry 2004 Capital Program $95 million budgeted for Unit Petroleum$95 million budgeted for Unit Petroleum – wells –$83 million drilling, $9 million acreage & seismic, $3 million acquisitions –Focus areas are Anadarko & Arkoma Basins; Texas Gulf Coast $30 million budgeted for Unit Drilling$30 million budgeted for Unit Drilling –$8 million for drill pipe –$22 million for rig maintenance & additions

40 years serving the energy industry Why Unit? Two consistent growing energy segments:Two consistent growing energy segments: Unit Drilling Company 300% increase in rig count since % increase in rig count since th largest U.S. deep onshore drilling contractor4 th largest U.S. deep onshore drilling contractor Unit Petroleum Company 208% average production replacement since % average production replacement since 1993 Average annual reserve growth of 12% since 1993Average annual reserve growth of 12% since 1993 Focused on natural gas, drilling and productionFocused on natural gas, drilling and production Strong balance sheet focusStrong balance sheet focus Respected and experienced workforce drives consistent resultsRespected and experienced workforce drives consistent results

40 years serving the energy industry Forward-Looking Statement This presentation contains forward-looking statements within the meaning of the Securities Litigation Reform Act that involve risks and uncertainties, including the closing of pending acquisitions, productive capabilities of the wells, future demand for oil and natural gas, future rig utilization and dayrates, oil and natural gas reserve information, anticipated production rates from company wells, the prospective capabilities of offset acreage, anticipated oil and natural gas prices, development, operational, implementation and opportunity risks, and other factors described from time to time in the company’s publicly available SEC reports, which could cause actual results to differ materially from those expected.

Unit Corporation 40 years serving the energy industry