Penn Virginia Corporation Announces Eagle Ford Expansion

Penn Virginia Corporation (NYSE: PVA) announced today that it has
completed an agreement with an undisclosed major oil and gas company to
jointly explore the Eagle Ford Shale in Lavaca County, Texas. The
agreement establishes an area of mutual interest (AMI) between PVA, as
operator, and the other company covering approximately 13,000 gross
acres near PVA′s existing acreage in southeastern Gonzales County.
Depending on the future participation of other companies, PVA′s minimum
working interest in this project will be approximately 50 percent.
Preliminarily, PVA estimates that a minimum of approximately
40 ?horizontal drilling locations may exist in the new AMI area, with the
potential for additional locations assuming future downspaced drilling.

Under the terms of the agreement, PVA will drill up to six wells by
September 1, 2012 to earn its interest through the base of the Eagle
Ford Shale in all of the 13,000 gross acres. PVA will carry the other
company on its working interests in the first three wells.

Management Comment

H. Baird Whitehead, President and Chief Executive Officer stated, 'We
are pleased to have entered into this agreement in Lavaca County and
believe the AMI acreage is highly prospective for the Eagle Ford Shale
as it is situated almost adjacent to our existing Eagle Ford position in
Gonzales County on which we have drilled some excellent wells. We now
have a very good opportunity to increase our prospective net acreage
position in the Eagle Ford to approximate our near-term goal of 25,000
net acres.?

Penn Virginia Corporation (NYSE: PVA) is an independent oil and gas
company engaged primarily in the development, exploration and production
of natural gas and oil in various domestic onshore regions including
Texas, Appalachia, the Mid-Continent and Mississippi.For more
information, please visit our website at www.pennvirginia.com.

Certain statements contained herein that are not descriptions of
historical facts are '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. Because such
statements include risks, uncertainties and contingencies, actual
results may differ materially from those expressed or implied by such
forward-looking statements. These risks, uncertainties and contingencies
include, but are not limited to, the following: the volatility of
commodity prices for natural gas, natural gas liquids and oil; our
ability to develop, explore for, acquire and replace oil and gas
reserves and sustain production; any impairments, write-downs or
write-offs of our reserves or assets; the projected demand for and
supply of natural gas, natural gas liquids and oil; reductions in the
borrowing base under our revolving credit facility; our ability to
contract for drilling rigs, supplies and services at reasonable costs;
our ability to obtain adequate pipeline transportation capacity for our
oil and gas production at reasonable costs and to sell the production
at, or at reasonable discounts to, market prices; the uncertainties
inherent in projecting future rates of production for our wells and the
extent to which actual production differs from estimated proved oil and
gas reserves; drilling and operating risks; our ability to compete
effectively against other independent and major oil and natural gas
companies; uncertainties related to expected benefits from acquisitions
of oil and natural gas properties; environmental liabilities that are
not covered by an effective indemnity or insurance; the timing of
receipt of necessary regulatory permits; the effect of commodity and
financial derivative arrangements; our ability to maintain adequate
financial liquidity and to access adequate levels of capital on
reasonable terms; the occurrence of unusual weather or operating
conditions, including force majeure events; our ability to retain or
attract senior management and key technical employees; counterparty risk
related to their ability to meet their future obligations; changes in
governmental regulations or enforcement practices, especially with
respect to environmental, health and safety matters; uncertainties
relating to general domestic and international economic and political
conditions; and other risks set forth in our filings with the Securities
and Exchange Commission (SEC).

Additional information concerning these and other factors can be found
in our press releases and public periodic filings with the SEC. Many of
the factors that will determine our future results are beyond the
ability of management to control or predict. Readers should not place
undue reliance on forward-looking statements, which reflect management′s
views only as of the date hereof. We undertake no obligation to revise
or update any forward-looking statements, or to make any other
forward-looking statements, whether as a result of new information,
future events or otherwise.

Penn Virginia Corporation

James W. Dean

Vice President,
Corporate Development

Ph: 610-687-7531

Fax: 610-687-3688

E-Mail:
invest@pennvirginia.com