Pioneer Natural Resources Reports Year-End 2012 Proved Reserves and Finding Costs

Pioneer Natural Resources Company (NYSE:PXD) ('Pioneer? or 'the
Company?) today announced that the Company added proved reserves
totaling 161 million barrels oil equivalent (MMBOE) during 2012 from
discoveries, extensions, improved recovery and technical revisions of
previous reserve estimates. These drillbit proved reserve additions
equate to replacing 264% of Pioneer′s full-year 2012 production of 61
MMBOE (includes proved reserves used for field fuel of 3 MMBOE and
production of 1 MMBOE from South Africa prior to its sale). The drillbit
finding and development (F&D) cost related to proved reserve additions
was $17.72 per barrel oil equivalent (BOE).

The NYMEX prices used for 2012 proved reserves reporting purposes were
$94.84 per barrel for oil and $2.76 per million British thermal units
(MMBtu) for gas. The oil price for 2012 was slightly below the oil price
used to calculate proved reserves for 2011 ($96.13 per barrel), while
the gas price for 2012 was significantly lower than the gas price used
to calculate proved reserves for 2011 ($4.12 per MMBtu). The significant
decline in gas prices resulted in moving proved undeveloped (PUD) gas
reserves to probable reserves in the Raton field in southeastern
Colorado, the Edwards Trend in South Texas and the Barnett Shale play in
North Texas. As a result, the Company recognized negative price
revisions of 82 MMBOE during 2012.

The Company′s successful horizontal Wolfcamp Shale drilling results in
2012 has led the Company to shift more of its future drilling activity
in the Spraberry field from vertical drilling to horizontal drilling. As
a result, Pioneer no longer expects to drill a significant number of its
previously recorded vertical PUD locations within the next five years.
Consequently, in compliance with Securities and Exchange Commission
guidelines, 80 MMBOE of PUD reserves associated with vertical drilling
locations in the Spraberry field have been moved to probable reserves.
This reduction in proved reserves is reflected in technical revisions.
Based on the horizontal drilling conducted by Pioneer to date in the
Spraberry field, sufficient production data is not yet available to
support the entire replacement of the vertical PUD reserves that were
removed in 2012 with horizontal PUD reserve additions. Reserve additions
during 2012 include 37 MMBOE of proved reserves added as a result of
horizontal Wolfcamp Shale drilling in the Spraberry field. The Company
expects to gain additional production data during 2013 from its
expanding horizontal drilling program which is expected to support the
addition of incremental horizontal proved developed (PD) and PUD
reserves during 2013 and beyond.

Scott D. Sheffield, Chairman and CEO, stated, 'In 2012, we again
delivered drillbit reserve replacement well in excess of production and
achieved our targeted drillbit F&D cost of $14 to $18 per BOE for the
year, despite deferring the drilling of a substantial number of vertical
Spraberry locations beyond five years. This strong performance is due to
the continued successful execution of our drilling programs in the
Spraberry field, the horizontal Wolfcamp Shale, the Eagle Ford Shale,
the Barnett Shale Combo and Alaska.?

As mentioned above, technical revisions of previous reserve estimates
for 2012 included the movement of 80 MMBOE of vertical PUD reserves to
the probable category. This negative impact was partially offset by
performance improvements totaling 53 MMBOE across Pioneer′s asset
portfolio, resulting in net negative technical revisions of 27 MMBOE for
the year. Technical revisions are included in the calculation of the
drillbit F&D cost.

Pioneer′s proved reserve additions from the drillbit and acquisitions
totaled 170 MMBOE for 2012. After taking into account the Company′s
production for 2012 of 61 MMBOE, negative pricing revisions of 82 MMBOE
and proved reserves of 4 MMBOE that were removed due to the divestitures
of South Africa and certain Barnett Shale properties during 2012, proved
oil and gas reserves totaled 1,086 MMBOE as of year-end 2012. Including
negative pricing revisions, the Company replaced 144% of production at
an all-in F&D cost of $34.46 per BOE.

As of December 31, 2012, all of Pioneer′s proved reserves are in the
United States and 58% are classified as PD. Approximately 45% of the
Company′s proved reserves are oil, 21% are NGLs and 34% are gas.
Pioneer′s proved reserves are long-lived with a total
reserves-to-production ratio of 18 years and a PD reserves-to-production
ratio of 10 years.

The table below shows Pioneer′s year-end 2012 proved reserves by asset
in MMBOE:

Total costs incurred during 2012 were $3.0 billion, which included
exploration and development spending, acquisitions, asset retirement
obligations, capitalized interest and geological and geophysical G&A. Of
this amount, $2.8 billion was attributable to development and
exploration activities.

The commodity prices used for 2012 resulted in a pre-tax present value
of future net cash flows discounted at 10% (PV-10) of $8.3 billion for
Pioneer′s proved reserves.

Netherland, Sewell & Associates, Inc. and Ryder Scott Company, L.P.,
independent reserve engineering firms, audited the proved reserves of
significant fields. These audits covered properties representing 95% of
Pioneer′s total proved reserves at year-end 2012.

Year-end proved reserves, costs incurred and a reconciliation of PV-10
to Standardized Measure are detailed in the attached supplemental
schedules.

Further information regarding 2012 reserves and finding costs will be
discussed during Pioneer′s quarterly conference call scheduled for
Thursday, February 14, 2013 at 9:00 a.m. Central Time, when Pioneer will
also discuss its fourth quarter and full year 2012 financial and
operating results and 2013 Capital Budget with an accompanying
presentation. Instructions for listening to the call and viewing the
presentation are shown below.

Internet: 'Investors,? then 'Earnings & Webcasts,? to listen to the discussion,
view the presentation and see other related material.

Telephone: Dial (877) 718-5108, confirmation code: 7431932 five minutes
before the call. View the presentation via Pioneer′s internet address
above.

A replay of the webcast will be archived on Pioneer′s website. A
telephone replay will be available through March 11, 2013 by dialing
(888) 203-1112, confirmation code: 7431932.

Pioneer is a large independent oil and gas exploration and production
company, headquartered in Dallas, Texas, with operations in the United
States. For more information, visit Pioneer′s website at

Except for historical information contained herein, the statements,
charts and graphs in this news release are forward-looking statements
that are made pursuant to the Safe Harbor Provisions of the Private
Securities Litigation Reform Act of 1995. Forward-looking statements and
the business prospects of Pioneer are subject to a number of risks and
uncertainties that may cause Pioneer's actual results in future periods
to differ materially from the forward-looking statements. These risks
and uncertainties include, among other things, volatility of commodity
prices, product supply and demand, competition, the ability to obtain
environmental and other permits and the timing thereof, other government
regulation or action, the ability to obtain approvals from third parties
and negotiate agreements with third parties on mutually acceptable
terms, the receipt of approvals required to consummate the Company′s
Southern Wolfcamp joint interest transaction, litigation, the costs and
results of drilling and operations, availability of equipment, services,
resources and personnel required to complete the Company's operating
activities, access to and availability of transportation, processing and
refining facilities, Pioneer's ability to replace reserves, implement
its business plans or complete its development activities as scheduled,
access to and cost of capital, the financial strength of counterparties
to Pioneer's credit facility and derivative contracts and the purchasers
of Pioneer's oil, NGL and gas production, uncertainties about estimates
of reserves and resource potential and the ability to add proved
reserves in the future, the assumptions underlying production forecasts,
quality of technical data, environmental and weather risks, including
the possible impacts of climate change, the risks associated with the
ownership and operation of an industrial sand mining business and acts
of war or terrorism. These and other risks are described in Pioneer's
10-K and 10-Q Reports and other filings with the Securities and Exchange
Commission. In addition, Pioneer may be subject to currently unforeseen
risks that may have a materially adverse impact on it. Pioneer
undertakes no duty to publicly update these statements except as
required by law.

An audit of proved reserves follows the general principles set forth
in the standards pertaining to the estimating and auditing of oil and
gas reserve information promulgated by the Society of Petroleum
Engineers ('SPE'). A reserve audit as defined by the SPE is not the same
as a financial audit. Please see the Company's Annual Report on Form
10-K for a general description of the concepts included in the SPE's
definition of a reserve audit.

'Finding and development cost per BOE,' or 'all-in F&D cost per BOE,?
means total costs incurred divided by the summation of annual proved
reserves, on a BOE basis, attributable to revisions of previous
estimates, purchases of minerals-in-place, discoveries and extensions
and improved recovery. Consistent with industry practice, future capital
costs to develop proved undeveloped reserves are not included in costs
incurred.

'Drillbit finding and development cost per BOE,' or 'drillbit F&D
cost per BOE,? means the summation of exploration and development costs
incurred divided by the summation of annual proved reserves, on a BOE
basis, attributable to technical revisions of previous estimates,
discoveries and extensions and improved recovery. Consistent with
industry practice, future capital costs to develop proved undeveloped
reserves are not included in costs incurred.

'Reserve replacement? is the summation of annual proved reserves, on
a BOE basis, attributable to revisions of previous estimates, purchases
of minerals-in-place, discoveries and extensions and improved recovery
divided by annual production of oil, NGLs and gas, on a BOE basis.

'Drillbit reserve replacement? is the summation of annual proved
reserves, on a BOE basis, attributable to technical revisions of
previous estimates, discoveries and extensions and improved recovery
divided by annual production of oil, NGLs and gas, on a BOE basis.