For Immediate Release

DELTA PETROLEUM CORPORATION COMPLETES PURCHASE OF PROPERTIES FROM MANTI RESOURCES

COMPANY ALSO EXPANDS SENIOR DEBT FACILITY AND PROVIDES UPDATE ON HEDGING AND PRODUCTION ACTIVITIES

DENVER, Colorado (January 24, 2005) -- Delta Petroleum Corporation (NASDAQ: DPTR); (FRANKFURT STOCK EXCHANGE: DPE), an independent energy exploration and development company, today announced the closing of the Manti acquisition and an increase in its senior debt facility. The Company also provided an update on its hedging activities and commented further on the production guidance disclosed in a Form 8-K filing on January 21, 2005.

Property Acquisition:

On Friday, January 21, 2005, the Company closed on the previously disclosed acquisition of certain producing properties from Manti Resources, Inc., an unaffiliated privately held Texas Corporation and certain of its related entities (“the Manti Assets”). The initially disclosed purchase price of $62.8 million in cash was determined through arms-length negotiations and was reduced to a final amount of $60.4 million after downward adjustments related to net revenue. The purchase included proved reserves estimated by the Company at 32.5 BCFE (billion cubic feet equivalents), and the effective date of the purchase was December 1, 2004. Current daily production from the Manti Assets, net to Delta, approximates 12,000 MCFE (thousand cubic feet equivalents) per day. The assets include a 94% working interest and operations of the Caballos Creek Field in Atascosa County, Texas, and a 98% working interest and operations of the Opossum Hollow Field in McMullen County, Texas. Both fields produce from the Wilcox Formation. Delta also acquired an interest in the Baffin Bay Field in Kenedy County, Texas, where six wells are currently producing natural gas from the Lower Frio Anomolina member. Five of the Baffin Bay wells, in which Delta owns an average working interest of approximately 25%, are operated by Exxon/Mobil Corporation. One Baffin Bay well is operated by Delta, which has a working interest of 73% in the well.

Senior Debt Facility:

In conjunction with the acquisition of the Manti Assets, Delta requested redetermination of, and received approval for, a higher borrowing base under its existing credit facility. Effective January 21, 2005, the Company’s borrowing base was increased from $90 million to $160 million, of which $155 million is currently outstanding. Approximately $140 million of the debt represents conforming senior debt, while $20 million of the facility is considered non-conforming and carries incentives to have it become conforming by March 31, 2005. Delta’s senior debt facility is with a consortium of banks including JP Morgan Chase, U.S. Bank N.A., Bank of Oklahoma and Hibernia Bank. JP Morgan Chase is the agent for the bank group.

Hedging:

Consistent with Delta’s strategy to manage some of the commodity volatility risk when the Company completes significant acquisitions, along with ongoing commodity risks, the Company has recently put into place additional commodity hedges. All of the hedges represent “costless collars”. The table below summarizes the new commodity hedge positions:

Commodity Volume Floor/Ceiling Term

Crude Oil 6,000 Bbls/month $35.00 / $49.75 Apr 05 – Dec 05

Crude Oil 40,000 Bbls/month $40.00 / $50.34 Jul 05 – Jun 06

Natural Gas 3,000 MMBTU/day $ 5.00 / $ 7.85 Apr 05 - Oct 05

Natural Gas 10,000 MMBTU/day $ 5.00 / $ 9.60 Jul 05 - Jun 06

These hedges represent hydrocarbon volumes that approximate 40% of Delta’s current daily production.

Production Guidance:

In a Form 8-K filing on Friday, January 21, 2005, the Company announced changes in its production guidance for the fiscal year ending June 30, 2005. The production guidance included in Friday’s 8-K filing was originally intended to be included in this news release and a related 8-K filing on January 24, 2005. The 8-K filing on January 21, 2005 was expedited to insure that the Company remained in compliance with the requirements of Regulation FD and disclosed the following:

Delta Petroleum Corporation estimates that its production for the quarter ended December 31, 2004 will be approximately 3.3 BCFE, which is not significantly higher than the production that was achieved during the previous fiscal quarter. The primary reason that production did not increase more significantly during the quarter was that the timing of completion efforts in the field was not as predictable as originally anticipated, which caused the increases in production rates for the quarter to occur largely in the last half of December and just before the end of the quarter. This lack of predictability was partially the result of a need for additional Company personnel to coordinate completion efforts, but was also related to scheduling on a timely basis with independent service contractors.

Net daily production currently approximates 55 MMCFE (million cubic feet equivalents) per day and includes production increases from newly drilled wells and the Manti Resources acquisition. The Company is changing its production guidance for the 2005 fiscal year, which was originally estimated to be 19 to 21 BCFE for the year, and is now expected to approximate 17 to 18 BCFE for the year.

Delta Petroleum Corporation is an independent oil and gas exploration and development Company based in Denver, Colorado. The Company has producing properties in 15 states and interests in one producing federal unit and four undeveloped units located in federal waters offshore California near Santa Barbara. Its common stock is traded on The NASDAQ National Market under the symbol ``DPTR'' and on the Frankfurt Stock Exchange under the symbol ``DPE.''

Forward-looking statements in this announcement are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that all forward-looking statements involve risks and uncertainty, including without limitation, the costs of exploring and developing new oil and natural gas reserves, the price for which such reserves can be sold, environmental concerns effecting the drilling of oil and natural gas wells, as well as general market conditions, competition and pricing. Please refer to the Company’s Securities and Exchange Commission filings, including its Form 10-K for the year ended June 30, 2004, for additional information.

For further information contact Dave Donegan at the Company at (303) 293-9133 or via email at ddonegan@deltapetro.com

RJ Falkner & Company, Inc., Investor Relations Counsel at (800) 377-9893 or via email at info@rjfalkner.com

SOURCE: Delta Petroleum Corporation