Arena Resources, Inc. Restates Financial Statements to Reflect Accounting
Change Associated with Employee Options
Tulsa, Oklahoma — February 16, 2006 — Arena Resources, Inc. (AMEX: ARD, ARD.WS) ("Arena") ("Company") announced today that it is restating its financial statements and amending its filings on Form 10-KSB for the years ended December 31, 2003 and 2004 and on Form 10-Q for the three quarters ended September 30, 2005, to reflect a change in how it accounts for non-cash compensation expenses associated with options granted to employees. The change essentially results in the Company recognizing compensation expense related to any discount of the exercise price of the option from the market price of the stock at the date of the grant, over the period in which the option vests. The discount on all options granted through December 31, 2004 has been 15%, and the vesting period has been five years.

The effect of this change is to reduce net income after taxes by $139,355 (from $809,498 to $670,143) for the year ended December 31, 2003, by $128,365 (from $2,580,017 to $2,451,652) for the year ended December 31, 2004 and by $59,635 (from $6,505,433 to $6,445,798) for the nine months ended September 30, 2005. The adjustment in diluted earnings per share is $0.02 for each of the years ended December 31, 2003 and 2004 and $0.01 for the nine months ended September 30, 2005.

  About Arena Resources, Inc.
Arena Resources, Inc. is an oil and gas exploration, development and production company with current operations in Texas, Oklahoma, Kansas and New Mexico. 		 

This release contains forward-looking statements within the meaning of the "safe-harbor" provisions of the Private Securities Litigation Reform Act of 1995 that involve a wide variety of risks and uncertainties, including, without limitations, statements with respect to the Company's strategy and prospects. Readers and investors are cautioned that the Company's actual results may differ materially from those described in the forward-looking statements due to a number of factors, including, but not limited to, the Company's ability to acquire productive oil and/or gas properties or to successfully drill and complete oil and/or gas wells on such properties, general economic conditions both domestically and abroad, and the conduct of business by the Company, and other factors that may be more fully described in additional documents set forth by the Company.
  For further information contact:
K M Financial, Inc.
Bill Parsons 480-947-1589
k-m-financial@msn.com 		 
 
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 Arena Resources, Inc. Adds
4.7 Million Barrels of Oil
Equivalent of Proved Reserves
in Permian Basin 		 
  ............................................
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Arena Resources, Inc.
Announces Record Production
for Third Quarter 2006
  
  ............................................
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Arena Resources, Inc. Announces Record Production for
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  ............................................
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Arena Resources Announces
Move to New York
Stock Exchange 		 
 

............................................
08.07.06
Arena Resources Announces
Record Second Quarter and
Six Month 2006 Financial
and Operating Results

  
  ............................................
07.25.06
Arena Resources Increases 2006 Capital Expenditure Budget
to $76.5 Million		  
  ............................................
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Arena Resources, Inc. Provides Second Quarter 2006
Operations Update		  
  ............................................
05.30.06
Arena Resources, Inc. Announces Issuance of 1.15 Million Shares in Private Placement		  
  ............................................
05.11.06
Arena Resources, Inc. Announces Record Revenues, Earnings, Cash Flow and Production for First
Quarter 2006		  
  ............................................
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Arena Resources, Inc. Provides
First Quarter 2006
Operations Update		  
  ............................................
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Arena Resources, Inc. Announces Increase and Extension
of Credit Facility 		 
 

............................................
03.17.06
Arena Resources Announces
Record Financial and Operational Results for Fourth Quarter and
Year End 2005

  
  ............................................
02.22.06
Arena Resources, Inc. Announces 2005 Year End Production
and Reserves		  
  ............................................
02.16.06
Arena Resources, Inc. Restates Financial Statements to Reflect Accounting Change Associated
with Employee Options		  
  ............................................
01.27.06
Arena Resources Provides Fourth Quarter 2005 Operations Update 		 
   
       
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