$$$News$$$ Double Eagle Reports Additional Zones at Madden
CASPER, Wyo., Oct. 24 /PRNewswire/ -- Double Eagle Petroleum Company (Nasdaq: DBLE
- news, DBLEW - news) announced today that it has opened two additional zones in the lower
Fort Union Formation in the Allen 1 Deep well. The two new zones were perforated and
fracture stimulated at 11,230-11,360 feet. Previously producing perforations are from
11,681-11,718 feet and were producing at a rate of approximately 800,000 cubic feet of gas per
day prior to the workover. With the additional zones, the well was placed back on line on
October 20, 2001 at a rate of 2,000,000 cubic feet per day. Ten additional zones at shallower
depths appear prospective for future recompletion attempts. Double Eagle has a 23.53%
working interest in this well.
The company also announced progress on the following projects:
Pinedale -- Mesa Unit: Questar Corp, (NYSE: STR - news), has completed and commenced
gas sales at the Mesa Unit 11-16, 3-16 and 7-16 wells on the Pinedale Anticline. Double Eagle
has 6.25% working interest in the shallow beds and 12.5% in the deep beds under these three
wells. The net gas allocated to Double Eagle's interest in these three wells for October is
958,000 cubic feet per day. This represents a 50% increase in Double Eagle's entire daily
production. Double Eagle now has production from six wells in this Mesa Participating Area
with an additional well, the 8-17, being completed and another well, the 9-17, drilling. Four
additional wells in which Double Eagle owns the same interest have been staked in this area
and drilling is expected to continue through the winter.
Pinedale -- Stewart Point: Questar Corp is completing the Stewart Point 7-20 well on lands in
which Double Eagle has a 10% carried working interest. Six zones have been perforated and
fracture stimulated. Five zones have flowed back at rates in excess of 3,000,000 cubic feet of
gas from each zone. Lanny Outlaw, the former CEO and President of Western Gas Resources,
commented in an October 5th press release, ``The Pinedale Anticline has the potential to be one
of the most prolific natural gas fields in the Rocky Mountain region.'' Double Eagle is extremely
pleased to be part of the development of this huge potential reserve.
Cow Creek -- Double Eagle successfully drilled and cased four wells at Cow Creek Field in
August 2001. Completion work will begin in October 2001. Excellent gas shows were
encountered while drilling and a core was taken. De-sorption numbers are currently being
collected from the coals and appear to be in excess of 200 standard cubic feet per ton of coal.
This compares favorably to values of 50 standard cubic feet per ton found in the successful
Powder River Basin coals. Eight additional drill sites are waiting on Bureau of Land
Management approval. Double Eagle has a permit to dispose of 4,300 barrels of water per day
into a stock pond and has drilled an aquifer recharge well to accommodate any additional produced water. Double Eagle has 100%
working interest in this project. In the entire play, the company has an interest in approximately 20,000 net acres covering over
40,000 gross acres.
This press release may contain projections and other forward-looking statements within the meaning of Section 21E of the
Securities Exchange Act of 1934, as amended. Any such projections or statements reflect the Company's current views with
respect to future events and financial performance. No assurances can be given, however, that these events will occur or that
such projections will be achieved and actual results could differ materially from those projected. A discussion of important factors
that could cause actual results to differ materially from those projected, such as decreases in oil and gas prices and/or unexpected
decreases in oil and gas production, is included in the Company's periodic reports filed with the Securities and Exchange
Commission.
Founded in 1972, Double Eagle Petroleum Co. explores for, develops, and sells crude oil and natural gas. The Company's current
areas of exploration and development include the Moxa Arch, Powder River Basin, Washakie Basin, and Wind River Basin in
Wyoming.
biz.yahoo.com
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adding at this level. looks to good to be true, new production, lower stock price. go figure. |
