Atlantic Rim
The Atlantic Rim encompasses over 270,000 acres in Carbon County, Wyoming, in an area that averages about 10 miles in width and runs nearly 40 miles from north to south from Rawlins, Wyoming, to just east of Baggs, Wyoming. Double Eagle has interests in 99,500 gross (46,700 net) acres in the Atlantic Rim. During 2011, total net natural gas sales from all of our producing properties in the Atlantic Rim was 6.8 Bcfe, representing 73% of our 2011 natural gas equivalent sales volume.
Catalina Unit
The Catalina Unit is the federal unit that Double Eagle operates and encompasses 21,725 acres. The Company currently has a 72.4% working interest in this unit. As of December 31, 2011, we operated 83 CBM wells in the Catalina Unit which averaged approximatley 13.4 MMcf/day net to our interest during 2011. Gas content of the coal is high, and permeability is excellent. We have the potential to drill and operate over 180 additional wells in the Unit, resulting in approximately 101 net wells to the Company. In 2011, we drilled and completed 13 new producing wells in the unit. Twelve of the 13 new wells are located in an exploratory area of the Catalina Unit (outside the existing PA) and we hold a 100% working interest in these wells. As of December 31, 2011, all 13 wells were on-line for production.
Doty Mountain Unit
Double Eagle has an 18.00% working interest in the Doty Mountain Unit, which produced a total of 761 MMcf of gas (net) to the Company in 2011. The operator of Doty Mountain, Anadarko Petroleum Corporation, operates 60 producing wells. In 2010, the operator added additional compressor capacity which led to a monthly production increase of approximately 65% as of December 31, 2010.
Sun Dog Unit
Double Eagle has a 21.53% interest in the Sun Dog Unit which produced approximately 1,152 MMcf of gas (net) to the Company in 2011. The Sun Dog Unit, also operated by Anadarko, currently has 114 producing wells. The operator added additional water injection capacity in the unit in early 2011, which has led to improved production volume from this field.