Exhibit 99.1

Mission Resources to Evaluate Strategic Alternatives

    HOUSTON--(BUSINESS WIRE)--July 20, 2004--Mission Resources
Corporation (Nasdaq:MSSN) announced today that it has retained Petrie
Parkman & Co. to assist the Company in evaluating strategic
alternatives designed to enhance shareholder value. There can be no
assurance that any transaction will be entered into or completed as a
result of this process.
    "Our management team has been and remains focused on building
shareholder value by strengthening our balance sheet, high-grading our
asset base, developing a robust prospect inventory and implementing an
effective operations program," said Robert L. Cavnar, Mission's
chairman, president and chief executive officer. "We believe it is now
appropriate to consider additional options that could benefit our
shareholders."
    Mission Resources Corporation is a Houston-based independent
exploration and production company that drills for, acquires, develops
and produces natural gas and crude oil primarily in the Permian Basin
(in West Texas and Southeastern New Mexico), along the Texas and
Louisiana Gulf Coast and in both the state and federal waters of the
Gulf of Mexico.
    This press release contains "forward-looking statements" within
the meaning of Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended.
These forward-looking statements are subject to certain risks, trends
and uncertainties that could cause actual results to differ materially
from those projected. Among those risks, trends and uncertainties are
our estimate of the sufficiency of our existing capital sources, our
ability to raise additional capital to fund cash requirements for
future operations, the uncertainties involved in estimating quantities
of proved oil and natural gas reserves, in prospect development and
property acquisitions and in projecting future rates of production,
the timing of development expenditures and drilling of wells, and the
operating hazards attendant to the oil and gas business. In
particular, careful consideration should be given to cautionary
statements made in the various reports the Company has filed with the
Securities and Exchange Commission. Mission undertakes no duty to
update or revise these forward-looking statements.

    CONTACT: Mission Resources Corporation, Houston
             Ann Kaesermann, 713-495-3100
             investors@mrcorp.com