Property and Equipment

9 Months Ended

Sep. 30, 2011

Property and Equipment

Property and Equipment

Note 6 — Property and Equipment

Net property and equipment as of September 30, 2011 and December 31, 2010 consists of the following:

(in thousands)	September 30, 2011			December 31, 2010
Oil and gas properties
Proved oil and gas properties	$	85,711		$	43,535
Unproved properties not subject to depletion	2,208			2,164
Accumulated depreciation, depletion, amortization and impairment	(35,951		)	(22,121		)
Net oil and gas properties	51,968			23,578
Furniture and fixtures, computer hardware and software, and other equipment	609			488
Accumulated depreciation and amortization	(420		)	(407		)
Net other property and equipment	189			81
Total net property and equipment	$	52,157		$	23,659

As of September 30, 2011 and December 31, 2010, the Company had approximately $2.2 million of unproved oil and gas properties not subject to depletion.  The costs not subject to depletion relate to unproved properties that are excluded from amortized capital costs until it is determined whether or not proved reserves can be assigned to such properties.  The excluded properties are assessed for impairment at least annually.  Subject to industry conditions, evaluation of most of these properties and the inclusion of their costs in amortized capital costs is expected to be completed within five years.

The Company capitalized overhead applicable to acquisition, development and exploration activities of approximately $341,000 and $321,000 for the nine months ended September 30, 2011 and 2010, respectively.