PROMISSORY REVOLVING
NOTE
Denver, Colorado February 26,
2009
FOR VALUE RECEIVED, the undersigned,
Double Eagle Petroleum Co., a Maryland corporation (“
Borrower ”), hereby promises to pay to the order of
Bank AMERICAN NATIONAL BANK , (“ Lender
”), the principal sum equal to its Revolving Commitment as
set forth in the Credit Agreement (as hereinafter defined), or, if
greater or less, the aggregate unpaid principal amount of the
Revolving Loans made by Lender to Borrower pursuant to the terms of
the Credit Agreement (as hereinafter defined), together with
interest on the unpaid principal balance thereof as set forth in
the Credit Agreement, both principal and interest payable as herein
provided in lawful money of the United States of America at the
offices of Administrative Agent under the Credit Agreement, 1675
Broadway, Suite 1650, Denver, Colorado 80202 or at such other
place within Denver County, Colorado, as from time to time may be
designated by the holder of this Note.
This Note (a) is issued and
delivered under that certain Credit Agreement of even date herewith
among Borrower, Bank of Oklahoma, N.A., as Administrative Agent,
and the lenders (including Lender) referred to therein (as from
time to time supplemented, amended or restated, the “
Credit Agreement ”), and is a “Revolving
Note” as defined therein, (b) is subject to the terms
and provisions of the Credit Agreement, which contains provisions
for payments and prepayments hereunder and acceleration of the
maturity hereof upon the happening of certain stated events, and
(c) is secured by and entitled to the benefits of certain
Security Documents (as identified and defined in the Credit
Agreement). Payments on this Note shall be made and applied as
provided in the Credit Agreement. Reference is hereby made to the
Credit Agreement for a description of certain rights, limitations
of rights, obligations and duties of the parties hereto and for the
meanings assigned to terms used and not defined herein and to the
Security Documents for a description of the nature and extent of
the security thereby provided and the rights of the parties
thereto.
The principal amount of this Note,
together with all interest accrued hereon, shall be due and payable
in full on the Revolving Loan Maturity Date.
Notwithstanding the foregoing
paragraph and all other provisions of this Note, in no event shall
the interest payable hereon, whether before or after maturity,
exceed the maximum interest which, under applicable Law, may be
contracted for, charged, or received on this Note, and this Note is
expressly made subject to the provisions of the Credit Agreement
which more fully set out the limitations on how interest accrues
hereon.
If this Note is placed in the hands
of an attorney for collection after default, or if all or any part
of the indebtedness represented hereby is proved, established or
collected in any court or in any bankruptcy, receivership, debtor
relief, probate or other court proceedings, Borrower and all
endorsers, sureties and guarantors of this Note jointly and
severally agree to pay reasonable attorneys’ fees and
collection costs to the holder hereof in addition to the principal
and interest payable hereunder.
Borrower and all endorsers, sureties
and guarantors of this Note hereby severally waive demand,
presentment, notice of demand and of dishonor and nonpayment of
this Note, protest, n
