Double Eagle Acquires Final Christmas Meadows Leases

Double Eagle Petroleum, together with certain industry partners, acquired leasehold interests in the only remaining unleased tracts within the Table Top Unit on the Christmas Meadows prospect at the November 24, 2003 Bureau Of Land Management lease sale in Salt Lake City, Utah. Double Eagle and its partners purchased a total of 8,359 acres for an aggregate of $195,205. This included a 720-acre lease within the drilling block for the first test well in the Christmas Meadows prospect at a cost of $158,400, or $220 per acre. Double Eagle and its partners now hold interests in over 30,000 acres of leases and farm outs on this prospect. Double Eagle has an approximate 28.81% working interest in the Table Top Unit before payout, and an approximate 27.08% working interest after payout. Double Eagle Petroleum Co. is Operator of the Unit.

The Christmas Meadows prospect is a large anticlinal closure along the Uinta Mountain front. The anticline has been defined by seismic that has been shot from the 1970s until the most recent in 1990s. Reprocessing of the seismic this year has further defined the feature. The initial test well is expected to be drilled to the depth of approximately 15,000 feet to test the frontier and Dakota sandstones.