CLAYTON WILLIAMS ENERGY, INC. ANNUAL REPORT 2004 layton Williams Energy, Inc. C(stock symbol CWEI) is an Company independent exploration and production company that develops Profile and produces oil and natural gas. Clayton W. Williams, who has over 40 years of experience in the energy industry, founded the Company. CWEI focuses and operates primarily in Areas of Texas, Louisiana, West Texas/ Operation New Mexico Mississippi and New • Permian Basin • Empire/Loco Hills
Mexico. The Company East Texas • Cotton Valley has extensive expertise • Austin Chalk Midland with the use of 3-D seismic. At December 31, 2004, Southern Louisiana the Company had total proved reserves of 299 billion cubic feet of