Double Eagle Petroleum Company (DBLE, Financial) filed Annual Report for the period ended 2010-12-31.
Double Eagle Petroleum Company has a market cap of $120.8 million; its shares were traded at around $10.84 with a P/E ratio of 12.9 and P/S ratio of 2.7.
During 2010, we invested $21.5 million in capital expenditures related to the development of our existing properties, as compared to $21.1 million in 2009. The focus of the capital expenditures was primarily on non-operated drilling on the Pinedale Anticline, where we have historically had a high rate of return, and on our acquisition of additional working interests in the Atlantic Rim at a total cost of $8.4 million. See Other Significant Developments since December 31, 2009 on page 15 for additional information related to this purchase. We also used a portion of our 2010 capital budget on well enhancement projects within the Catalina Unit and at the non-operated Sun Dog and Doty Mountain units. Finally, we allocated a portion of our capital expenditure to acquiring acreage with mineral rights in the Niobrara formation in anticipation of beginning an exploration project in 2011.
We continually assess projects that are currently in progress and those proposed for future development to determine the best use for our available capital. This assessment includes analyzing the risk and estimated rate of return for each proposed project, including our non-operated assets (primarily the Pinedale Anticline and the Doty Mountain and Sun Dog Units in the Atlantic Rim). Our estimated capital budget for 2011 is approximately $20 to $30 million, primarily for our development and exploration programs in the Atlantic Rim and Pinedale Anticline. We intend to recommence development drilling in the Atlantic Rim in the second half of 2011, with up to 20 coal bed methane (CBM) production wells within the Catalina Unit. We also plan to participate in any drilling by the operator within the Sun Dog and Doty Mountain Units and approximately 12 to 16 new wells at the Mesa Units. We also have allocated capital in our 2011 capital budget for one or more exploratory wells into the Niobrara formation in the Atlantic Rim.
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Double Eagle Petroleum Company has a market cap of $120.8 million; its shares were traded at around $10.84 with a P/E ratio of 12.9 and P/S ratio of 2.7.
Highlight of Business Operations:
The proved oil and gas reserves at December 31, 2010 had a PV-10 value of approximately $143.7 million, an increase of 58% from 2009 primarily due to improved pricing. The average price used in calculating the December 31, 2010 reserves increased by $0.91, or 30%, to $3.95 per MMBtu from the December 31, 2009 price of $3.04 MMBtu. We also experienced an increase due to extensions and discoveries and our purchase of additional Atlantic Rim working interest, as noted above. (See the reconciliation of the PV-10 non-GAAP financial measure to the standardized measure under Reserves on page 9). Of these proved reserves, 65% were proved developed and 98% were natural gas.During 2010, we invested $21.5 million in capital expenditures related to the development of our existing properties, as compared to $21.1 million in 2009. The focus of the capital expenditures was primarily on non-operated drilling on the Pinedale Anticline, where we have historically had a high rate of return, and on our acquisition of additional working interests in the Atlantic Rim at a total cost of $8.4 million. See Other Significant Developments since December 31, 2009 on page 15 for additional information related to this purchase. We also used a portion of our 2010 capital budget on well enhancement projects within the Catalina Unit and at the non-operated Sun Dog and Doty Mountain units. Finally, we allocated a portion of our capital expenditure to acquiring acreage with mineral rights in the Niobrara formation in anticipation of beginning an exploration project in 2011.
We continually assess projects that are currently in progress and those proposed for future development to determine the best use for our available capital. This assessment includes analyzing the risk and estimated rate of return for each proposed project, including our non-operated assets (primarily the Pinedale Anticline and the Doty Mountain and Sun Dog Units in the Atlantic Rim). Our estimated capital budget for 2011 is approximately $20 to $30 million, primarily for our development and exploration programs in the Atlantic Rim and Pinedale Anticline. We intend to recommence development drilling in the Atlantic Rim in the second half of 2011, with up to 20 coal bed methane (CBM) production wells within the Catalina Unit. We also plan to participate in any drilling by the operator within the Sun Dog and Doty Mountain Units and approximately 12 to 16 new wells at the Mesa Units. We also have allocated capital in our 2011 capital budget for one or more exploratory wells into the Niobrara formation in the Atlantic Rim.
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