CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands, unless otherwise specified	12 Months Ended
	Dec. 31, 2011	Dec. 31, 2010	Dec. 31, 2009
Cash flows from operating activities:
Net income (loss)	$ 174,148	$ 89,921	$ (1,025,451)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depletion, depreciation and amortization	858,377	470,172	396,644
Full cost ceiling impairment			1,838,444
Income tax provision (benefit)	96,690	66,686	(754,968)
Write down of midstream assets and loss on sale	3,950	70,195
Stock-based compensation	53,203	23,229	14,458
Net unrealized (gain) loss on derivative contracts	(90,127)	(58,075)	120,401
Loss on early extinguishment of debt		38,404
Other operating	53,781	45,381	24,230
Change in assets and liabilities:
Accounts receivable	(121,933)	(183,708)	48,089
Payable to KinderHawk Field Services LLC	(976)	976
Prepaid and other	25,643	(30,523)	7,629
Accounts payable and accrued liabilities	26,388	(41,424)	31,663
Other	(4,622)	14,393	(22,012)
Net cash provided by operating activities	1,074,522	505,627	679,127
Cash flows from investing activities:
Oil and natural gas capital expenditures	(2,950,164)	(2,424,292)	(1,718,741)
Proceeds received from sale of oil and natural gas properties	86,438	1,178,937	357,360
Proceeds received from sale of Fayetteville gas gathering systems	76,898
Acquisition of CEU Hawkville, LLC, net of cash acquired of $0	(92,974)
Marketable securities purchased	(896,006)	(1,122,016)	(1,457,608)
Marketable securities redeemed	896,006	1,122,016	1,580,617
Increase in restricted cash	(348,971)	(198,210)	(331,561)
Decrease in restricted cash	314,235	411,914	117,857
Other operating property and equipment capital expenditures	(346,712)	(282,352)	(309,454)
Other intangible assets acquired			(105,108)
Net cash used in investing activities	(3,261,250)	(1,314,003)	(1,866,638)
Cash flows from financing activities:
Proceeds from exercise of stock options and warrants	5,426	2,927	3,945
Contribution from parent	1,258,375
Restricted stock awards settled	(85,904)
Stock option awards and stock option appreciation rights settled	(224,216)
Proceeds from issuance of common stock			956,500
Offering costs			(30,748)
Proceeds from borrowings	4,413,500	3,362,000	1,448,674
Repayment of borrowings	(3,849,797)	(3,449,402)	(1,166,711)
Increase in payable on financing arrangements	886,119	917,437
Decrease in payable on financing arrangements	(13,532)
Debt issuance costs	(25,983)	(20,738)	(24,048)
Other	(4,415)	(3,768)	(5,473)
Net cash provided by financing activities	2,359,573	808,456	1,182,139
Net increase (decrease) in cash	172,845	80	(5,372)
Cash at beginning of period	1,591	1,511	6,883
Cash at end of period	$ 174,436	$ 1,591	$ 1,511

PETROHAWK ENERGY CORP 10-K