CORPORATE

CORPORATE

PRESENTATION

PRESENTATION

OCTOBER 2007

OCTOBER 2007

CORPORATION

NASDAQ: REXX

Exhibit 99.1

2

Forward-Looking Statements

This

document

contains

forward-looking

statements.

All

statements

other

than

statements

of

historical

facts

included

in

this

document,

including

but

not

limited

to,

statements

regarding

our

future

financial

position,

business

strategy,

budgets,

projected

costs,

savings

and

plans

and

objectives

of

management

for

future

operations,

are

forward-looking

statements.

Forward-looking

statements

generally

can

be

identified

by

the

use

of

forward-looking

terminology

such

as

“may,”

“will,”

“expect,”

“intend,”

“estimate,”

“anticipate,”

“believe”

or

“continue”

or

the

negative

thereof

or

variations

thereon

or

similar

terminology.

These

forward-looking

statements

are

subject

to

numerous

assumptions,

risks

and

uncertainties.

Factors

which

may

cause

our

actual

results,

performance

or

achievements

to

be

materially

different

from

any

future

results,

performance

or

achievements

expressed

or

implied

by

us

in

those

statements

include,

among

others,

(i)

the

quality

of

our

properties

with

regard

to,

among

other

things,

the

existence

of

reserves

in

economic

quantities,

(ii)

uncertainties

about

the

estimates

of

reserves,

(iii)

our

ability

to

increase

our

production

and

oil

and

natural

gas

income

through

exploration

and

development,

(iv)

our

ability

to

successfully

apply

horizontal

drilling

techniques

and

tertiary

recovery

methods,

(v)

the

number

of

well

locations

to

be

drilled

and

the

time

frame

within

which

they

will

be

drilled,

(vi)

the

timing

and

extent

of

changes

in

commodity

prices

for

crude

oil

and

natural

gas,

(vii)

domestic

demand

for

oil

and

natural

gas,

(viii)

drilling

and

operating

risks,

(ix)

the

availability

of

equipment,

such

as

drilling

rigs

and

transportation

pipelines,

(x)

changes

in

our

drilling

plans

and

related

budgets,

and

(xi)

adequacy

of

our

capital

resources

and

liquidity

including,

but

not

limited

to,

access

to

additional

borrowing

capacity.

Because

such

statements

are

subject

to

risks

and

uncertainties,

actual

results

may

differ

materially

from

those

expressed

or

implied

by

the

forward-looking

statements.

You

are

cautioned

not

to

place

undue

reliance

on

such

statements,

which

speak

only

as

of

the

date

of

this

document.

Unless

otherwise

required

by

law,

we

undertake

no

obligation

to

publicly

update

or

revise

any

forward-looking statements, whether as a result of new information, future events or otherwise.

3

REX ENERGY CORPORATION KEY STATISTICS

REX ENERGY CORPORATION KEY STATISTICS

Listing

NASDAQ: REXX

Senior Debt

Approx. $18 million

Debt Available on Line of Credit

$57 million

Total Assets

Approx. $250 million

Shares Outstanding

30.8 million

Market Cap

1

Approx. $250 -

$300 million

Debt to Market Cap Ratio

Approx. 6%

Proved Reserves

2

14.5 MMBOE

% Oil

81%

% Proved Developed

77%

Current Net Daily Production

Approx. 2,800 BOEPD

Total Acreage

394,000 gross (170,000 net)

Total Potential Reserves

3

157 MMBOE

1.

Based on stock price range  of $8.00 -$10.00 and 30,794,702 shares outstanding.

2.

Prepared

by

Netherland,

Sewell

&

Associates,

Inc.

as

of

December

31,

2007.

3.

Includes 14.5 MMBOE of proven reserves as of December 31, 2007 and 143 MMBOE in non-proven reserves

4

Southwest Region

Southwest Region

•

Average Net Production

(1)

(BOE per day): 245

•

Total Proved Reserves

(2)

(MMBOE): 2.0

•

Pre-Tax PV-10

(2)

(in millions) $17.1

•

Several active drilling projects

Illinois Basin

Illinois Basin

•

Average Net Production

(1)

(BOE per day): 2,081

•

Total Proved Reserves

(2)

(MMBOE): 10.8

•

Pre-Tax PV-10

(2)

(in millions) $165.5

•

Long-life oil properties

•

New Albany Shale Drilling on over 270,000 gross

acres

•

Tertiary Recovery (ASP) Project with 84 MMBOE

in net potential reserves

Appalachian Basin

Appalachian Basin

•

Average Net Production

(1)

(MMcfd): 1.9

•

Total Proved Reserves

(2)

(Bcf): 10.2

•

Pre-Tax PV-10

(2)

(in millions) $17.7

•

50,000 gross acres (37,000 net)

•

150-200 Developmental Drilling Locations

•

Marcellus Shale Drilling Potential

1.

As ofJune 30, 2007

2.

Prepared by Netherland Sewell & Associates as of December 31, 2007

COMPANY OVERVIEW

COMPANY OVERVIEW

5

BUILT IN FUTURE GROWTH WITH STABLE FOUNDATION

BUILT IN FUTURE GROWTH WITH STABLE FOUNDATION

158 Mmboe Net Un-risked Reserve Potential

158 Mmboe Net Un-risked Reserve Potential

84 Million BOE

84 Million BOE

1, 2

50 Million BOE

50 Million BOE

1, 2

9 Million BOE

9 Million BOE

1, 2

14.5 Million BOE

14.5 Million BOE

2,3

1.

Net Unrisked  Non-Proven Reserves

2.

Natural Gas converted to Barrels of Oil Equivalent using a 6:1 ratio

3.

Prepared by Netherland Sewell & Associates as of December 31, 2007

6

Revenue Growth

Production Growth

EBITDAX Growth

Proved Reserves Growth

1.

Revenue excluding unrealized gains or losses from hedges 

2.

Compound Annual Growth Rate

HISTORICAL HIGHLIGHTS

HISTORICAL HIGHLIGHTS

CAGR

2

= 69%

1

CAGR

2

= 80%

CAGR

2

= 43%

CAGR

2

= 88%

7

Significant Reserve Base with Stable Production

-

14.5 MMboe

of proved reserves, with “long-life”

production, in Illinois Basin, Appalachia and Southwestern region

-

Leading oil producer in Illinois Basin

(provides premium pricing, unique local knowledge, advantaged consolidator position)

Significant Production and Reserve Growth Opportunities from Broad Project Inventory

-

Lawrence Field ASP Flood Project in Illinois

-

New Albany Shale acreage position of over 270,000 gross acres in

southern Indiana

-

Natural gas drilling opportunities, including the Marcellus Shale, in the Appalachian Basin

-

Conventional

oil

drilling

opportunities

in

the

Illinois

Basin,

including

500

proven

undeveloped

and

proven

developed

non-producing locations in Illinois & Indiana

-

Nine active oil and gas exploration and development projects in the Permian Basin

Financial Flexibility to Support Growth

-

6% debt to market capitalization ratio with approximately $18 million in total debt

-

Cash flows able to fund significant portion of planned capital expenditures

-

$200 million credit facility with $75 million initial borrowing base

Experienced Management Team with Proven Track Record Creating Value for Investors

-

Management team has built high-quality asset base through acquisitions and development, creating significant value

for investors

-

Technical

team

of

geologists

and

engineers

average

over

20

years

of

experience

-

17 acquisitions completed to date by the management team at average cost of $6.99 per proved BOE

Management and Board Aligned with Stockholders

-

Directors, officers and their affiliates own over 50% of the shares outstanding

KEY VALUE DRIVERS

KEY VALUE DRIVERS

8

The largest oil producer in the Illinois Basin with gross

daily production of approximately 2,800 barrels per day

Wells produce 30 to 50 years

Drilling success rates of greater than 99% in shallow

zones

ASP Flood project in Lawrence Field

–

Total net potential reserves of 84 MMBOE

Over 270,000 gross acres (89,000 net) in southern

Indiana, being developed for the New Albany Shale

Several ongoing shallow oil developmental drilling

projects with over 500 PUD & PDNP locations with

multiple non-proved offset locations

Avg. Well Depth: 1,500 feet

Avg. Well Cost: $120,000

Avg. Net Reserves per Well: 12,000 Bbls

Avg. Finding & Development Costs: $10.00 per

Bbls

ILLINOIS BASIN OPERATIONS

ILLINOIS BASIN OPERATIONS

Proved Reserves

12/31/06 Proved

Reserves:

10.8 MMBbls

2

nd

Quarter 2007 Average

Daily Net Production:

2,081 Bbls

Reserve Life:

18 yrs.

% Crude Oil:

100%

9

Implementing an ASP Flood project in the

Cypress and Bridgeport Sandstone

reservoirs of the Lawrence Field acreage

–

Own and operate 21.2 square miles

(approximately 13,500 net acres),

accounting for approximately 85% of the

current total gross production from this

field

–

Estimated original oil in place of 1 billion

barrels with approximately 400 million

barrels of oil produced to date

–

The Cypress (Mississippian) and the

Bridgeport (Pennsylvanian) sandstones

are the major producing horizons in the

field

–

Two successful surfactant-polymer pilot

tests in the field to date (one each in the

Cypress and Bridgeport Zones)

ASP Flood is an Enhanced Oil Recovery

(“EOR”) project

LAWRENCE FIELD ASP PROJECT

LAWRENCE FIELD ASP PROJECT

Typical Field Recovery, % of Original Oil in Place¹

1.

Typical primary and secondary recovery of OOIP from the Bridgeport and Cypress formations as estimated by the US DOE, with tertiary

recovery based on EOR project results in the Lawrence Field.

Remaining

Unrecoverable

Oil (with

current

technologies)

Primary

Recovery

10%-20%

Secondary

Recovery

20%-30%

EOR/Tertiary Recovery

15%-30%

10

ASP technology uses similar

mechanisms to mobilize bypassed

residual oil as previous surfactant

polymer floods conducted in the

1960s, 70s and 80s but at

significantly lower costs

The process has been applied in

numerous fields around the world

resulting in significant incremental

recoveries of oil  

Chemicals used in the ASP flood

are:

–

An alkali (NaOH or Na2CO3),

–

A surfactant, and

–

A polymer (Polyacrylamide)

THE ASP (ALKALI-SURFACTANT-POLYMER) PROCESS

THE ASP (ALKALI-SURFACTANT-POLYMER) PROCESS

11

ILLINOIS BASIN SURFACTANT POLYMER FLOODS

ILLINOIS BASIN SURFACTANT POLYMER FLOODS

During the 1960s through the 1980s Marathon, Texaco, Exxon and Shell developed a number of

surfactant-polymer

projects

in

the

Illinois

Basin;

Marathon,

using

their

patented

Maraflood©

process,

developed most of these projects

Most

of

the

projects

demonstrated

technical

success

by

producing

incremental

oil

of

15-25%

of

original

oil in place, however, the chemical cost per incremental barrel of oil ranged from $10-$25 due to the

high quantity of surfactant used at a time when oil prices were low 

In the 1980’s Marathon conducted a 25-acre, micellar

polymer project on our Robins lease within the

13,500 acres of the Lawrence Field we own 

Lawrence

Field

Robbins

Lease

Maraflood©

Surfactant

Polymer

Flood

Project

After many years of

waterflooding, production on

the lease had declined to 7

BOPD and with a 99%

watercut

During the six year period of

the surfactant polymer

injection, the production rose

to 370 BOPD and the oil cut

increased from 1% to 21%

The project produced an

estimated 459,000

incremental barrels from

25 acres within the

13,500 acres of the

Lawrence Field owned

by Rex Energy.

12

LAWRENCE FIELD ASP FLOOD PROJECTED PRODUCTION PLOT

LAWRENCE FIELD ASP FLOOD PROJECTED PRODUCTION PLOT

13

Over 270,000 gross (89,000 net) acres

Over 800 potential gross locations based on 320 acre

spacing

Natural fractures believed to provide effective reservoir

permeability

Gas stored as free gas in fractures and adsorbed gas on

kerogen and clay surfaces

Interest in the potential of the New Albany Shale has

increased recently with application of horizontal well

techniques

Participated in 12 wells to date

Gross well costs of approximately $800K

Targeting reserves of 1.1 Bcf per well

Continuing to refine drilling, stimulation & completion

techniques

Indiana

Ohio

Kentucky

New Albany Shale

NEW ALBANY SHALE PROJECT SUMMARY

NEW ALBANY SHALE PROJECT SUMMARY

14

1

2

3

4

5

6

7

Counties with Rex Energy New Albany Shale Acreage

9

3

NEW ALBANY SHALE ACREAGE & PROJECT AREAS

NEW ALBANY SHALE ACREAGE & PROJECT AREAS

1.

Rex/Aurora Pilot (Knox County)

2.

Rex/Aurora Pilot (Greene County)

3.

El Paso/Pogo Pilot (Davies & Martin Counties)

4.

Diversified Operating Pilot (Pike County)

5.

Rex/El Paso/Aurora Bogard

Well (Greene County)

6.

Quicksilver NAS Field Area (Harrison County)

7.

Noble Energy Pilots (Sullivan County)

8.

Pioneer Oil Company (Owen County)

Acreage Summary

Project Map

Project Name

Counties

Average

Working

Interest

Gross

Acres

Operator

Eastern Knox

Knox

40.0%

18,000

Rex Energy

Western Knox

Knox

26.8%

40,800

Rex Energy

Wabash

Greene,

Sullivan, Clay

& Owen

29.1%

113,265

Aurora Oil & Gas

(Rex Energy

managing drilling

operations)

Lawrence

Washington,

Lawrence,

Jackson &

Orange

29.8%

70,000

Aurora Oil & Gas

(Rex Energy

managing drilling

operations)

Bogard

Greene

10.1%

8,735

El Paso

Exploration &

Production Co.

Other Areas

Held by Rex

Production

Posey,

Gibson, &

Gallatin (IL)

65.7%

20,700

Rex Energy

Total

271,500

15

APPALACHIAN OPERATIONS

APPALACHIAN OPERATIONS

544 gross producing natural gas wells with

net average daily production of

approximately 1.9 MMcf

Wells produce 30 to 50 years

Drilling success rates of greater than 98%

in shallow zones

Premium pricing of $0.10-$0.65 per MMbtu

Low costs of operation

The Basin remains largely unexplored for

reserves below 6,000 feet; Shallow wells

(3,000-5,000 feet deep) typically drilled on

40 acre spacing

Marcellus Shale potential on over 50,000

gross acres

Two active developmental drilling projects

with 150-250 drilling locations as of 2

nd

quarter 2007

Gross Well Costs Approx: $220K

Gross Well Reserves: 130-200 MMcf

Westmoreland Field

•

100% WI in 73 producing wells

and infrastructure

•

125-150 additional locations

targeting Upper Devonian

Sands on 2,100 undeveloped

acres

•

100% success rate on 30 wells

drilled since 2004

Fayette Field

•

16% avg. WI in 122 producing wells

•

JV with Range Resources

•

30-100 drilling locations on 12,900

(3,000 net) undeveloped acres

•

Target –

Berea, Fifth, Warren and

Speechley

Bradford Sands

•

96% success rate on 24 wells drilled

in 2006

Proved Reserves

12/31/06 Proved Reserves:

10.2 Bcf

2nd Quarter 2007 Average Daily

Production:

1.9 MMcf

Reserve Life:

25 yrs.

% Natural Gas:

100%

16

We currently own 53,000 gross (37,000 net) acres in

Western Pennsylvania where active exploration for the

Devonian (Marcellus) Shale is ongoing

The Marcellus Shale is a black, organic rich shale

formation located at depths between 7,000 and 8,500

feet and ranges in thickness from 100 to 150 feet

Range Resources Corporation (NYSE: RRC) and Atlas

Energy Resources, LLC (NYSE: ATN) have

announced successful tests 

87% of acreage held by production with infrastructure

in place allowing us to observe others success &

drilling process refinement before exploring 

Currently leasing additional acreage

Targeting Vertical Wells:

Gross Well Costs: $800-$900K

Gross

Well

Reserves:

0.6

–

1

Bcf

Well Spacing : 40-160 acre

MARCELLUS SHALE PROJECT SUMMARY

MARCELLUS SHALE PROJECT SUMMARY

Estimated Marcellus Shale Main Fairway

17

118 gross producing wells in Texas

and New Mexico

Numerous opportunities in each

field due to large number of

productive formations in this prolific

basin

Net production of approximately 1.5

MMcfe

per day of natural gas

equivalent

Five producing field acquisitions in

the last 24 months

Seven active developmental,

exploratory drilling and

redevelopment projects with 3

MMBOE Net Unrisked

Reserve

Potential .

SOUTHWEST REGION OPERATIONS

SOUTHWEST REGION OPERATIONS

Bison Project

Pecan Station Project

East Carlsbad Field

Azalea Field

N. Crows Nest Project

Preist-Beavers Project

Allison Field

New Batson Field

Dare I Cook & Hope Fields

Proved Reserves

12/31/06 Proved Reserves:

11.7 Bcfe

2

nd

Quarter 2007 Average Daily

Production:

1.5 MMcf

Reserve Life:

21 yrs.

% Natural Gas:

58%

18

CURRENT SOUTHWEST REGION UPSIDE PROJECTS

CURRENT SOUTHWEST REGION UPSIDE PROJECTS

New Batson Field

•

29 well workover project

•

Testing radial jet horizontal drilling

•

Miocene and Frio drilling potential

•

230 MBOE Net Unrisked Reserve

Potential

Dare I Cook & Hope

Fields

•

Waterflood

redevelopment project

•

Hope Sand Drilling

Potential

•

1 MMBOE Net Unrisked

Drilling Potential

Pecan Station Project

•

Strawn drilling project

•

292 MBOE Net

Unrisked Reserve

Potential

East Carlsbad Field

•

Several workover opportunities

•

Cisco/Wolfcamp Increased

density drilling

•

541 MBOE Net Unriisked Reserve

Potential

Allison Field

•

Fussleman recompletion

opportunity

•

Leonard & Connell Drilling

Opportunities

•

220 MBOE Net Unrisked

Reserve Potential

Azalea Field

•

Waterflood Installation Project

•

Downspacing

•

586 MBOE Net Unrisked

Reserve Potential

Preist-Beavers Project

•

Queen Sand drilling prohect

•

10 well  potential well locations

•

502 MBOE Net Unrisked  Reserve

Potential

19

BUILT-IN FUTURE GROWTH

BUILT-IN FUTURE GROWTH

Project

Net Acreage

Net Un-Risked

Reserve

(1)

Potential

Activity

Lawrence Field ASP

Project

13,500 acres

84 MMBOE

Pilot wells drilled; injection to

begin Dec-07 or Jan-08

New Albany Shale

89,000 acres

240 Bcf

(40 MMBOE)

12 Wells drilled; Currently testing

stimulation  techniques;

Marcellus (Devonian)

Shale

39,000 acres

60 Bcf

(10 MMBOE)

Leasing;  Plan to test in Q4 2007

or  Q1 2008

Appalachian Basin

Shallow Conventional

Drilling

34,000 acres

17 Bcf

(3 MMBOE)

30-35 wells planned for 2007; 13

drilled through June 2007.

Permian Basin Projects

8,600 acres

15 Bcfe

(3 MMBOE)

30-35 wells planned to be drilled

or recompleted in 2007; eight

completed through June 2007

Illinois Shallow Oil

Drilling

30,000 acres

3 MMBOE

51 wells planned to be drilled or

recompleted in 2007; 10

completed through June 2007

Total

214,100 acres

143 MMBOE

1.

Net Un-Risked Reserve Potential does not represent proven reserves

20

EXPECTED 2007 CAPITAL EXPENDITURES

EXPECTED 2007 CAPITAL EXPENDITURES

$40 -

45 million capital budget

$16 million incurred through June 2007

1

1.

Represents acquisitions & leasing year to date. We do not attempt to budget for future acquisitions.

21

Significant Reserve Base with Stable Production

-

14.5 MMboe

of proved reserves, with “long-life”

production, in Illinois Basin, Appalachia and Southwestern region

-

Leading oil producer in Illinois Basin

(provides premium pricing, unique local knowledge, advantaged consolidator position)

Significant Production and Reserve Growth Opportunities from Broad Project Inventory

-

Lawrence Field ASP Flood Project in Illinois

-

New Albany Shale acreage position of over 270,000 gross acres in

southern Indiana

-

Natural gas drilling opportunities, including the Marcellus Shale, in the Appalachian Basin

-

Conventional

oil

drilling

opportunities

in

the

Illinois

Basin,

including

500

proven

undeveloped

and

proven

developed

non-producing locations in Illinois & Indiana

-

Nine active oil and gas exploration and development projects in the Permian Basin

Financial Flexibility to Support Growth

-

6% debt to market capitalization ratio with approximately $18 million in total debt

-

Cash flows able to fund significant portion of planned capital expenditures

-

$200 million credit facility with $75 million initial borrowing base

Experienced Management Team with Proven Track Record Creating Value for Investors

-

Management team has built high-quality asset base through acquisitions and development, creating significant value

for investors

-

Technical team of geologists and engineers average over 20 years

of experience

-

17 acquisitions completed to date by the management team at average cost of $6.99 per proved BOE

Management and Board Aligned with Stockholders

-

Directors, officers and their affiliates own over 50% of the shares outstanding

KEY VALUE DRIVERS

KEY VALUE DRIVERS

CORPORATION

NASDAQ: REXX

www.REXENERGY.com