Evolution Petroleum (EPM) 10-Q 7 Feb 14 2014 Q2 Quarterly report Financial data

Document_and_Entity_Informatio

Document and Entity Information	6 Months Ended
	Dec. 31, 2013	Jan. 31, 2014
Document and Entity Information	'	'
Entity Registrant Name	'EVOLUTION PETROLEUM CORP	'
Entity Central Index Key	'0001006655	'
Document Type	'10-Q	'
Document Period End Date	31-Dec-13	'
Amendment Flag	'false	'
Current Fiscal Year End Date	'--06-30	'
Entity Current Reporting Status	'Yes	'
Entity Filer Category	'Accelerated Filer	'
Entity Common Stock, Shares Outstanding	'	32,394,999
Document Fiscal Year Focus	'2014	'
Document Fiscal Period Focus	'Q2	'

Consolidated_Condensed_Balance

Consolidated Condensed Balance Sheets (USD $)	Dec. 31, 2013	Jun. 30, 2013
Current assets	'	'
Cash and cash equivalents	$25,542,782	$24,928,585
Certificate of deposit	'	250,000
Receivables	'	'
Oil and natural gas sales	1,497,561	1,632,853
Income taxes	281,970	281,970
Joint interest partner	2,368	49,063
Other	12,088	918
Deferred tax asset	26,133	26,133
Prepaid expenses and other current assets	633,980	266,554
Total current assets	27,996,882	27,436,076
Property and equipment, net of depreciation, depletion, and amortization	'	'
Oil and natural gas properties - full-cost method of accounting, of which $4,258,459 and $4,112,704 at December 31, 2013 and June 30, 2013,respectively, were excluded from amortization	38,244,071	38,789,032
Other property and equipment	48,182	52,217
Total property and equipment	38,292,253	38,841,249
Advances to joint interest operating partner	43,646	26,059
Other assets	235,972	252,912
Total assets	66,568,753	66,556,296
Current liabilities	'	'
Accounts payable	325,294	642,018
Due to joint interest partner	86,289	127,081
Accrued compensation	743,804	1,385,494
Accrued restructuring charges	955,821	'
Royalties payable	139,553	91,427
Income taxes payable	'	233,548
Other current liabilities	537,114	153,182
Total current liabilities	2,787,875	2,632,750
Long term liabilities	'	'
Deferred income taxes	8,748,636	8,418,969
Asset retirement obligations	156,756	615,551
Deferred rent	44,293	52,865
Total liabilities	11,737,560	11,720,135
Commitments and contingencies (Note 11)	'	'
Stockholders' equity	'	'
Common stock; par value $0.001; 100,000,000 shares authorized: issued 32,062,186 shares at December 31, 2013, and 29,410,858 at June 30, 2013; outstanding 32,062,186 shares and 28,608,969 shares as of December 31, 2013 and June 30, 2013, respectively	32,062	29,410
Additional paid-in capital	33,264,497	31,813,239
Retained earnings	21,534,317	24,013,035
Stockholders equity before treasury stock	54,831,193	55,856,001
Treasury stock, at cost, no shares and 801,889 shares as of December 31, 2013 and June 30, 2013, respectively	'	-1,019,840
Total stockholders' equity	54,831,193	54,836,161
Total liabilities and stockholders' equity	66,568,753	66,556,296
Series A Cumulative Preferred Stock	'	'
Stockholders' equity	'	'
Preferred stock, par value $0.001; 5,000,000 shares authorized: 8.5% Series A Cumulative Preferred Stock, 1,000,000 shares authorized, 317,319 shares issued and outstanding at December 31, 2013, and June 30, 2013 with a liquidation preference of $7,932,975 ($25.00 per share)	$317	$317

Consolidated_Condensed_Balance1

Consolidated Condensed Balance Sheets (Parenthetical) (USD $)	6 Months Ended	12 Months Ended
	Dec. 31, 2013	Jun. 30, 2013
Oil and natural gas properties, excluded from amortization (in dollars)	$4,258,459	$4,112,704
Preferred stock, par value (in dollars per share)	$0.00	$0.00
Preferred stock, shares authorized	5,000,000	5,000,000
Common stock, par value (in dollars per share)	$0.00	$0.00
Common stock, shares authorized	100,000,000	100,000,000
Common stock, issued shares	32,062,186	29,410,858
Common stock, outstanding shares	32,062,186	28,608,969
Treasury stock, shares	0	801,889
Series A Cumulative Preferred Stock	'	'
Preferred stock, shares authorized	1,000,000	1,000,000
Cumulative Preferred Stock (as a percent)	8.50%	8.50%
Preferred stock, shares issued	317,319	317,319
Preferred stock, shares outstanding	317,319	317,319
Preferred stock, total liquidation preference (in dollars)	$7,932,975	$7,932,975
Preferred stock, liquidation preference (in dollars per share)	$25	$25

Consolidated_Condensed_Stateme

Consolidated Condensed Statements of Operations (USD $)	3 Months Ended				6 Months Ended
	Dec. 31, 2013		Dec. 31, 2012		Dec. 31, 2013		Dec. 31, 2012
Revenues	'		'		'		'
Crude oil	$4,344,765		$5,379,399		$8,936,142		$9,384,821
Natural gas liquids	25,956		86,556		50,102		206,167
Natural gas	21,568		182,103		39,744		348,616
Total revenues	4,392,289		5,648,058		9,025,988		9,939,604
Operating Costs	'		'		'		'
Lease operating expenses	223,498		419,328		633,345		735,497
Production taxes	13,032		20,863		21,435		42,236
Depreciation, depletion and amortization	327,168		350,119		636,841		647,036
Accretion of discount on asset retirement obligations	12,418		17,751		25,346		38,858
General and administrative expenses	2,642,082	[1]	1,815,276	[1]	4,571,033	[1]	3,520,700	[1]
Restructuring charges	1,332,186	[2]	'		1,332,186	[2]	'
Total operating costs	4,550,384		2,623,337		7,220,186		4,984,327
Income (loss) from operations	-158,095		3,024,721		1,805,802		4,955,277
Other	'		'		'		'
Interest income	7,701		5,614		15,404		11,230
Interest (expense)	-16,582		-16,564		-33,095		-32,992
Other income (expense)	-8,881		-10,950		-17,691		-21,762
Income (loss) before income taxes	-166,976		3,013,771		1,788,111		4,933,515
Income tax provision	241,907		1,054,499		724,543		1,814,717
Net Income (Loss)	-408,883		1,959,272		1,063,568		3,118,798
Dividends on Preferred Stock	168,576		168,576		337,151		337,151
Net income (loss) available to common shareholders	($577,459)		$1,790,696		$726,417		$2,781,647
Basic (in dollars per share)	($0.02)		$0.06		$0.03		$0.10
Diluted (in dollars per share)	($0.02)		$0.06		$0.02		$0.09
Weighted average number of common shares	'		'		'		'
Basic (in shares)	30,063,676		28,071,317		29,335,498		28,032,223
Diluted (in shares)	30,063,676		31,856,417		32,377,918		31,836,983
[1]	General and administrative expenses for the three months ended December 31, 2013 and 2012 included non-cash stock-based compensation expense of $316,422 and $393,579, respectively. For the corresponding six month period?s non-cash stock-based compensation expense was $689,860 and $747,369, respectively.
[2]	Restructuring charges for the three months ended December 31, 2013 included non-cash stock-based compensation expense of $376,365.

Consolidated_Condensed_Stateme1

Consolidated Condensed Statements of Operations (Parenthetical) (USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012
Stock-based compensation expense	'	'	$689,860	$747,369
General and administrative expenses	'	'	'	'
Stock-based compensation expense	316,422	393,579	689,860	747,369
Restructuring charges	'	'	'	'
Stock-based compensation expense	$376,365	'	$376,365	'

Consolidated_Condensed_Stateme2

Consolidated Condensed Statements of Cash Flows (USD $)	6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Cash flows from operating activities	'	'
Net Income	$1,063,568	$3,118,798
Adjustments to reconcile net income to net cash provided by operating activities:	'	'
Depreciation, depletion and amortization	657,265	667,461
Stock-based compensation	689,860	747,369
Stock-based compensation related to restructuring	376,365	'
Accretion of discount on asset retirement obligations	25,346	38,858
Settlements of asset retirement obligations	-57,247	-47,026
Deferred income taxes	329,667	1,498,760
Deferred rent	-8,574	-8,574
Changes in operating assets and liabilities:	'	'
Receivables from oil and natural gas sales	135,292	-797,933
Receivables from income taxes and other	-11,170	-116
Due to/from joint interest partner	4,687	40,050
Prepaid expenses and other current assets	-367,426	48,591
Accounts payable and accrued expenses	174,842	-390,979
Royalties payable	48,126	-74,876
Income taxes payable	-233,548	115,801
Net cash provided by operating activities	2,827,053	4,956,184
Cash flows from investing activities	'	'
Proceeds from asset sales	544,442	3,054,976
Capital expenditures for oil and natural gas properties	-856,943	-4,013,430
Capital expenditures for other property and equipment	-9,637	'
Other assets	-5,957	-26,110
Net cash used in investing activities	-328,095	-984,564
Cash flows from financing activities	'	'
Proceeds on exercise of incentive stock options	2,141,500	'
Cash dividends to preferred stockholders	-337,151	-337,151
Cash dividends to common stockholders	-3,205,135	'
Purchases of treasury stock	-1,127,801	-16,968
Windfall tax benefit	386,976	'
Maturity of certificate of deposit	250,000	'
Recovery of short swing profits	6,850	'
Deferred loan costs	'	-16,211
Net cash used in financing activities	-1,884,761	-370,330
Net increase in cash and cash equivalents	614,197	3,601,290
Cash and cash equivalents, beginning of period	24,928,585	14,428,548
Cash and cash equivalents, end of period	25,542,782	18,029,838
Our supplemental disclosures of cash flow information for the six months ended December 31, 2012 and 2011 are as follows:	'	'
Income taxes paid	755,564	200,156
Non-cash transactions:	'	'
Change in accounts payable used to acquire oil and natural gas leasehold interests and develop oil and natural gas properties	-225,062	31,885
Change in due to joint interest partner used to acquire oil and natural gas leasehold interests and develop oil and natural gas properties	1,216	-435,833
Oil and natural gas properties incurred through recognition of asset retirement obligations	48,988	8,558
Previously acquired Company shares swapped by holders to pay stock option exercise price	$618,606	'

Consolidated_Condensed_Stateme3

Consolidated Condensed Statement of Changes in Stockholders' Equity (USD $)		Total	Preferred	Common Stock	Additional Paid-in Capital	Retained Earnings	Treasury Stock
Balance at Jun. 30, 2013		$54,836,161	$317	$29,410	$31,813,239	$24,013,035	($1,019,840)
Balance (in shares) at Jun. 30, 2013		'	317,319	28,608,969	'	'	'
Increase (Decrease) in Stockholders' Equity		'	'	'	'	'	'
Stock-based compensation	[1]	1,066,225	'	'	1,066,225	'	'
Exercise of stock options		2,760,107	'	2,727	2,757,380	'	'
Exercise of stock options (in shares)		'	'	2,726,911	'	'	'
Exercise of stock warrants		'	'	905	-905	'	'
Exercise of stock warrants (in shares)		'	'	905,391	'	'	'
Issuance of restricted stock		'	'	16	-16	'	'
Issuance of restricted stock (in shares)		'	'	16,476	'	'	'
Forfeitures of restricted stock		'	'	-51	51	'	'
Forfeiture of restricted stock (in shares)		'	'	-51,099	'	'	'
Purchases of treasury stock		-1,746,407	'	'	'	'	-1,746,407
Purchases of treasury stock (in shares)		-144,462	'	-144,462	'	'	'
Retirements of treasury stock		'	'	-945	-2,765,302	'	2,766,247
Net income		1,063,568	'	'	'	1,063,568	'
Common Stock cash dividends		-3,205,135	'	'	'	-3,205,135	'
Preferred Stock cash dividends		-337,151	'	'	'	-337,151	'
Windfall tax benefit		386,975	'	'	386,975	'	'
Recovery of short swing profits		6,850	'	'	6,850	'	'
Balance at Dec. 31, 2013		$54,831,193	$317	$32,062	$33,264,497	$21,534,317	'
Balance (in shares) at Dec. 31, 2013		'	317,319	32,062,186	'	'	'
[1]	Includes $376,365 of stock compensation reflected in restructuring charges.

Consolidated_Condensed_Stateme4

Consolidated Condensed Statement of Changes in Stockholders' Equity (Parenthetical) (USD $)	6 Months Ended
	Dec. 31, 2013
Stock-based compensation expense	$1,066,225	[1]
Restructuring charges	'
Stock-based compensation expense	$376,365
[1]	Includes $376,365 of stock compensation reflected in restructuring charges.

Organization_and_Basis_of_Prep

Organization and Basis of Preparation	6 Months Ended
	Dec. 31, 2013
Organization and Basis of Preparation	'
Organization and Basis of Preparation	'
	Note 1—Organization and Basis of Preparation
	Nature of Operations.  Evolution Petroleum Corporation (“EPM”) and its subsidiaries (the “Company”, “we”, “our” or “us”), is an independent petroleum company headquartered in Houston, Texas and incorporated under the laws of the State of Nevada.  We are engaged primarily in the exploitation, development and re-development of known oil and gas resources for the production of crude oil and natural gas, utilizing conventional, specialized and proprietary technology to increase production, ultimate recoveries, or both.
	Interim Financial Statements.  The accompanying unaudited consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the appropriate rules and regulations of the Securities and Exchange Commission (“SEC”).  Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations.  All adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary for a fair presentation of the financial position and results of operations for the interim periods presented have been included.  The interim financial information and notes hereto should be read in conjunction with the Company’s 2013 Annual Report on Form 10-K for the fiscal year ended June 30, 2013, as filed with the SEC. The results of operations for interim periods are not necessarily indicative of results to be expected for a full fiscal year.
	Principles of Consolidation and Reporting.  Our consolidated financial statements include the accounts of EPM and its wholly-owned subsidiaries: NGS Sub Corp and its wholly owned subsidiary, Tertiaire Resources Company, Evolution Operating Co., Inc. Evolution Petroleum OK, Inc. and NGS Technologies, Inc. and its three wholly owned subsidiaries.  All significant intercompany transactions have been eliminated in consolidation. The consolidated financial statements for the previous period may include certain reclassifications that were made to conform to the current presentation.  Such reclassifications have no impact on previously reported loss or stockholders’ equity.
	Use of Estimates.  The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods.  Significant estimates include reserve quantities and estimated future cash flows associated with proved reserves, which significantly impact depletion expense and potential impairments of oil and natural gas properties, income taxes and the valuation of deferred tax assets, stock-based compensation and commitments and contingencies.  We analyze our estimates based on historical experience and various other assumptions that we believe to be reasonable. While we believe that our estimates and assumptions used in preparation of the consolidated financial statements are appropriate, actual results could differ from those estimates.

Property_and_Equipment

Property and Equipment	6 Months Ended
	Dec. 31, 2013
Property and Equipment	'
Property and Equipment	'
	Note 2 —Property and Equipment
	As of December 31, 2013 and June 30, 2013 our oil and natural gas properties and other property and equipment consisted of the following:
		December 31,			June 30,
		2013			2013
	Oil and natural gas properties
	Property costs subject to amortization	$	42,746,486		$	42,772,184
	Less: Accumulated depreciation, depletion, and amortization	(8,760,874		)	(8,095,856		)
	Unproved properties not subject to amortization	4,258,459			4,112,704
	Oil and natural gas properties, net	$	38,244,071		$	38,789,032
	Other property and equipment
	Furniture, fixtures and office equipment, at cost	332,151			322,514
	Less: Accumulated depreciation	(283,969		)	(270,297		)
	Other property and equipment, net	$	48,182		$	52,217
	Unproved property not subject to amortization consists of unevaluated acreage of $4.2 million and $4.1 million as of December 31, 2013 and June 30, 2013, respectively, for our properties in the Mississippi Lime in Oklahoma.  Our evaluation of impairment of unproved properties occurs, at a minimum, on a quarterly basis.  During the six months ended December 31, 2013 and the corresponding 2012 period, no impairments have been recorded.

Joint_Interest_Agreement

Joint Interest Agreement	6 Months Ended
	Dec. 31, 2013
Joint Interest Agreement	'
Joint Interest Agreement	'
	Note 3—Joint Interest Agreement
	Effective April 17, 2012, a wholly owned subsidiary of the Company entered into definitive agreements with Orion Exploration Partners, LLC (“Orion”) to acquire and develop interests in oil and gas leases, associated surface rights and related assets located in the Mississippian Lime formation in Kay County in North Central Oklahoma. Our participation in this joint venture is reflected on our December 31, 2013 and June 30, 2013 balance sheets by the items below.
		December 31,		June 30,
		2013		2013
	Advances to joint interest operating partner	$	43,646	$	26,059
	Due to joint interest partner	86,289		127,081

Asset_Retirement_Obligations

Asset Retirement Obligations	6 Months Ended
	Dec. 31, 2013
Asset Retirement Obligations	'
Asset Retirement Obligations	'
	Note 4—Asset Retirement Obligations
	Our asset retirement obligations represent the estimated present value of the amount we will incur to plug, abandon and remediate our producing properties at the end of their productive lives in accordance with applicable laws. The following are reconciliations of the beginning and ending asset retirement obligation balances:
		December 31,			June 30,
		2013			2013
	Asset retirement obligations — beginning of period	$	615,551		$	968,677
	Liabilities sold	(48,273		)	(439,927		)
	Liabilities incurred	—			60,143
	Liabilities settled	(53,295		)	(51,086		)
	Accretion of discount	25,346			72,312
	Revision of previous estimates	48,988			5,432
	Asset retirement obligations due within one year included in “Other current liabilities”	(431,561		)	—
	Asset retirement obligations — end of period	$	156,756		$	615,551

Stockholders_Equity

Stockholders' Equity	6 Months Ended
	Dec. 31, 2013
Stockholders' Equity	'
Stockholders' Equity	'
	Note 5 — Stockholders’ Equity
	Common Stock
	During the six months ended December 31, 2013 we issued (i) 1,008,657 shares of our common stock upon the exercise of incentive stock options (ISOs), receiving cash proceeds totaling $2.1 million, and (ii) 2,622,723 of our common shares upon cashless exercises of nonqualified stock options (NQSOs) and incentive warrants, all being exercised on a net basis, except for 50,956 of previously acquired shares owned by option holders that were swapped in payment of the exercise price.  The weighted average cost of these swapped shares was $12.14.
	Additional paid-in capital increased $4.2 million, due to $1.1 million of stock compensation amortization ($0.4 million of which in the restructuring charge), $2.8 million from the exercise of stock options and warrants listed in (i) and (ii) above, and $0.4 million from tax benefits associated with stock compensation (i.e. windfall tax benefit).
	Additional paid-in capital decreased by $2.8 million, due to the retirement of 801,889 shares of treasury stock acquired in previous fiscal years at a cost of approximately $1 million, and our purchase of 144,462 shares of Treasury Stock from employees and directors at a cost of $12.09 per share or $1.7 million.  93,506 of such shares were in satisfaction of payroll tax liabilities from exercises and restricted stock vestings (requiring cash outlays by us) and 50,956 shares were received from option holders in “swap” cashless stock option exercises, using stock previously owned by the option holder.  These acquisitions reduced the number of our common shares outstanding by 946,351 shares.
	In December 2013 retained earnings were reduced by the $3.2 million of cash dividends we made to our common shareholders as the result of a common stock dividend policy approved by the Board of Directors in November 2013.  Since we expect the windfall tax benefit created by the recent exercise of warrants and NQSOs will drive our tax earnings and profits account into a deficit at June 30, 2014, all cash dividends on common shares paid in December 2013 will be treated for tax purposes as a return of capital and not as dividend income to the shareholder.
	Recovery of Stockholder Short Swing Profit
	In September 2013, an executive officer of the Company paid $6,850 to the Company, representing the disgorgement of short swing profits under Section 16(b) under the Exchange Act. The amount was recorded as additional paid-in capital.
	Series A Cumulative Perpetual Preferred Stock
	At December 31, 2013, there were 317,319 shares of the Company’s 8.5% Series A Cumulative (perpetual) Preferred Stock outstanding.  The Series A Cumulative Preferred Stock has a liquidation preference of $25.00 per share and cannot be converted into our common stock.  There are no sinking fund or redemption rights available to holders thereof.  Optional redemption can only be made by us on or after July 1, 2014 for the stated liquidation value of $25.00 per share plus accrued dividends, or earlier by an acquirer under a change of control at a redemption price of $25.25 per share.  With respect to dividend rights and rights upon our liquidation, winding-up or dissolution, the Series A Preferred Stock ranks senior to our common shareholders, but subordinate to any of our existing and future debt.  Dividends on the Series A Cumulative Preferred Stock accrue and accumulate at a fixed rate of 8.5% per annum on the $25.00 per share liquidation preference, payable monthly at $0.177083 per share, as, if and when declared by our Board of Directors.
	During the six months ended December 31, 2013  we paid $337,151 of cash dividends to holders of our Series A Preferred Stock.  Since we expect the windfall tax benefit created by the recent exercise of warrants and NQSOs will drive our tax earnings and profits account into a deficit at June 30, 2014, cash dividends for the six months ended December 31, 2013 will be treated for tax purposes as a return of capital and not as dividend income to the shareholder.

StockBased_Incentive_Plan

Stock-Based Incentive Plan	6 Months Ended
	Dec. 31, 2013
Stock-Based Incentive Plan	'
Stock-Based Incentive Plan	'
	Note 6—Stock-Based Incentive Plan
	We may grant option awards to purchase common stock (the “Stock Options”), restricted common stock awards (“Restricted Stock”), and unrestricted fully vested common stock, to employees, directors, and consultants of the Company and its subsidiaries under the Natural Gas Systems Inc. 2003 Stock Plan (the “2003 Stock Plan”) and the Evolution Petroleum Corporation Amended and Restated 2004 Stock Plan (the “2004 Stock Plan” or together, the “EPM Stock Plans”).  Option awards for the purchase of 600,000 shares of common stock were issued under the 2003 Stock Plan.  The 2004 Stock Plan authorized the issuance of 6,500,000 shares of common stock.  No further shares are available for grant under the 2003 Stock Plan and 784,438 shares remain available for grant under the 2004 Stock Plan as of December 31, 2013.
	We have also granted common stock warrants, as authorized by the Board of Directors, to employees in lieu of cash bonuses or as incentive awards to reward previous service or provide incentives to individuals to acquire a proprietary interest in our success and to remain in our service (the “Incentive Warrants”).  These Incentive Warrants have similar characteristics of the Stock Options.  A total of 1,037,500 Incentive Warrants have been issued, with Board of Directors approval, outside of the EPM Stock Plans.  We have not issued Incentive Warrants since the listing of our shares on the NYSE MKT (formerly, the American Stock Exchange) in July 2006.
	Stock Options and Incentive Warrants
	For the six months ended December 31, 2013 and 2012, stock-based compensation expense was $- and $26,274, respectively.  As of August 31, 2012 all compensation costs attributable to Stock Options and Incentive Warrants had been recognized.
	No Stock Options or Incentive Warrants have been granted since August 2008.
	The following summary presents information regarding outstanding Stock Options and Incentive Warrants as of December 31, 2013, and the changes during the fiscal year:
		Number of Stock		Weighted Average		Aggregate		Weighted
		Options		Exercise Price		Intrinsic Value		Average
		and Incentive				-1		Remaining
		Warrants						Contractual
								Term (in
								years)
	Stock Options and Incentive Warrants outstanding at July 1, 2013	4,822,820		$	1.99
	Exercised	(4,069,815	)	$	1.99
	Stock Options and Incentive Warrants outstanding at December 31, 2013	753,005		$	2.01	$	7,778,744	2
	Vested or expected to vest at December 31, 2013	753,005		$	2.01	$	7,778,744	2
	Exercisable at December 31, 2013	753,005		$	2.01	$	7,778,744	2
	(1) Based upon the difference between the market price of our common stock on the last trading date of the period ($12.34 as of December 31, 2013) and the Stock Option or Incentive Warrant exercise price of in-the-money Stock Options and Incentive Warrants.
	There were 4,069,815 Stock Options and Warrants exercised during the six months ended December 31, 2013 with an aggregate intrinsic value of $41,247,805.
	During the six months ended December 31, 2012 there were 18,922 Stock Options and Incentive Warrants that vested with a total grant date fair value of $46,359 and no unvested Stock Options and Incentive Warrants remained.
	Restricted Stock
	Stock-based compensation expense related to Restricted Stock grants for the three months ended December 31, 2013 and 2012 was $316,422 and $393,579, respectively.  For the six months ended December 31, 2013 and 2012, such compensation expense was $689,860 and $747,369, respectively.  See Note 12 — Restructuring, for stock compensation included in Restructuring Charge for the six months ended December 31, 2013.
	The following table sets forth the Restricted Stock transactions for the six months ended December 31, 2013:
		Number of		Weighted
		Restricted		Average
		Shares		Grant-Date
				Fair Value
	Unvested at July 1, 2013	386,599		$	6.65
	Granted	16,476		12.14
	Vested	(142,404	)	$	6.21
	Forfeited	(9,066	)	$	5.98
	Unvested at December 31, 2013	251,605		$	7.28
	At December 31, 2013, unrecognized stock compensation expense related to Restricted Stock grants totaled $1,359,862.  Such unrecognized expense will be recognized over a weighted average period of 1.8 years.

Fair_Value_Measurement

Fair Value Measurement	6 Months Ended
	Dec. 31, 2013
Fair Value Measurement	'
Fair Value Measurement	'
	Note 7—Fair Value Measurement
	Accounting guidelines for measuring fair value establish a three-level valuation hierarchy for disclosure of fair value measurements. The valuation hierarchy categorizes assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement.
	The three levels are defined as follows:
	Level 1 — Observable inputs such as quoted prices in active markets at the measurement date for identical, unrestricted assets or liabilities.
	Level 2 — Other inputs that are observable directly or indirectly such as quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability.
	Level 3 — Unobservable inputs for which there is little or no market data and which the Company makes its own assumptions about how market participants would price the assets and liabilities.
	Fair Value of Financial Instruments.  The Company’s other financial instruments consist of cash and cash equivalents, certificates of deposit, receivables and payables. The carrying amounts of cash and cash equivalents, receivables and payables approximate fair value due to the highly liquid or short-term nature of these instruments.
	Other Fair Value Measurements.  The initial measurement of asset retirement obligations at fair value is calculated using discounted future cash flows of internally estimated costs. Significant Level 3 inputs used in the calculation of asset retirement obligations include the costs of plugging and abandoning wells, surface restoration and reserve lives. Subsequent to initial recognition, revisions to estimated asset retirement obligations are made when changes occur for input values, which we review quarterly.

Income_Taxes

Income Taxes	6 Months Ended
	Dec. 31, 2013
Income Taxes	'
Income Taxes	'
	Note 8 —Income Taxes
	We file a consolidated federal income tax return in the United States and various combined and separate filings in several state and local jurisdictions.
	There were no FIN 48 unrecognized tax benefits nor any accrued interest or penalties associated with unrecognized tax benefits during the six months ended December 31, 2013.  We believe we have appropriate support for the income tax positions taken and to be taken on our tax returns and that the accruals for tax liabilities are adequate for all open years based on our assessment of many factors including past experience and interpretations of tax law applied to the facts of each matter. The Company’s federal and state income tax returns are open to audit under the statute of limitations for the years ending June 30, 2009 through June 30, 2012.
	Our effective tax rate for any period may differ from the statutory federal rate due to (i) our state income tax liability in Louisiana; (ii) stock-based compensation expense related to qualified incentive stock option awards (“ISO awards”), which creates a permanent tax difference for financial reporting, as these types of awards, if certain conditions are met, are not deductible for federal tax purposes; and (iii) statutory percentage depletion, which may create a permanent tax difference for financial reporting.
	Our estimated annual income tax rate used to determine income tax expense for the six months ended December 31, 2013 does not include the utilization of statutory depletion deductions in excess of basis carried over from previous years that had driven our book tax rate well below statutory rates during the three months ended September 30, 2013.  Instead our tax benefits were changed significantly during November and December 2013 when our employees, officers and directors exercised more than 4 million of 4.8 million stock options and incentive warrants, resulting in approximately $31.2 million of tax deductions (“Option Deductions”) available to us resulting in a tax impacted benefit of approximately $10.6 million assuming a 34% statutory rate.  On a financial reporting basis this is expected to result in a tax benefit associated with stock compensation (i.e. windfall tax benefit) to the extent of expected cash income taxes payable generated in fiscal year 2014.  The remainder of the Option Deductions result in an unbenefitted net operating loss associated with stock compensation to benefit future fiscal years.  To the extent the Option Deductions cause a net operating loss, no deferred tax asset is recorded under the rules of ASC 718.  The Option Deductions will be recorded as a reduction in current income taxes payable each year and an increase in equity to the extent cash taxes payable are reduced to zero.
	Because the Option Deductions are expected to reduce taxable income to zero for the year ended June 30, 2014, percentage depletion is no longer available for the current year, thus negating the beneficial rate reduction for the percentage depletion in excess of basis.  Percentage depletion that is no longer expected to be deductible in 2014, will be carried forward to future years.  The Option Deductions will only impact reported earnings by increasing the projected effective tax rate closer to the statutory rate in those years affected by the Option Deductions due to percentage depletion in excess of basis deduction being delayed and carried forward.  Our effective annual tax rate estimated as December 31, 2013 was impacted by this postponement of depletion in excess of basis.  Our estimated annual income tax rate used to determine income tax expense for the three months ended September 30, 2013 included the utilization of statutory depletion deductions carried over from previous years resulting in a higher than normal rate benefit from depletion in excess of basis which has been reversed in the current fiscal quarter.
	We recognized income tax expense of $724,543 and $1,814,717 for the six months ended December 31, 2013 and 2012, respectively, with corresponding effective rates of 41% and 37%.

Net_Income_Per_Share

Net Income Per Share	6 Months Ended
	Dec. 31, 2013
Net Income Per Share	'
Net Income Per Share	'
	Note 9 —Net Income Per Share
	The following table sets forth the computation of basic and diluted income per share:
		Three Months Ended December 31,					Six Months Ended December 31,
		2013			2012		2013		2012
	Numerator
	Net income available to common shareholders	$	(577,459	)	$	1,790,696	$	726,417	$	2,781,647
	Denominator
	Weighted average number of common shares — Basic	30,063,676			28,071,317		29,335,498		28,032,223
	Effect of dilutive securities:
	Common stock warrants issued in connection with equity and financing transactions	—			839		—		845
	Stock Options and Incentive Warrants	—			3,784,261		3,042,420		3,803,915
	Total weighted average dilutive securities	—			3,785,100		3,042,420		3,804,760
	Weighted average number of common shares and dilutive potential common shares used in diluted EPS	30,063,676			31,856,417		32,377,918		31,836,983
	Net income per common share — Basic	$	(0.02	)	$	0.06	$	0.03	$	0.1
	Net income per common share — Diluted	$	(0.02	)	$	0.06	$	0.02	$	0.09
	Outstanding potentially dilutive securities as of December 31, 2013 were as follows:
	Outstanding Potential Dilutive Securities	Weighted			Outstanding at
		Average			December 31,
		Exercise Price			2013
	Common stock warrants issued in connection with equity and financing transactions	$	—		—
	Stock Options and Incentive Warrants	$	2.01		753,005
	Total	$	2.01		753,005
	Outstanding potentially dilutive securities as of December 31, 2012 were as follows:
	Outstanding Potential Dilutive Securities	Weighted			Outstanding at
		Average			December 31,
		Exercise Price			2012
	Common stock warrants issued in connection with equity and financing transactions	$	2.25		1,165
	Stock Options and Incentive Warrants	$	1.82		5,342,820
	Total	$	1.82		5,343,985

Unsecured_Revolving_Credit_Agr

Unsecured Revolving Credit Agreement	6 Months Ended
	Dec. 31, 2013
Unsecured Revolving Credit Agreement	'
Unsecured Revolving Credit Agreement	'
	Note 10 - Unsecured Revolving Credit Agreement
	On February 29, 2012, Evolution Petroleum Corporation entered into a Credit Agreement (the “Credit Agreement”) with Texas Capital Bank, N.A. (the “Lender”).  The Credit Agreement provides us with a revolving credit facility (the “facility”) in an amount up to $50,000,000 with availability governed by an Initial Borrowing Base of $5,000,000.  A portion of the facility not in excess of $1,000,000 is available for the issuance of letters of credit.
	The facility is unsecured and has a four year term.  Our subsidiaries guaranteed the Company’s obligations under the facility.  We may use the proceeds of any loans under the facility for the acquisition and development of Oil and Gas Properties (as defined in the facility), the issuance of letters of credit, and for working capital and general corporate purposes.
	Semi-annually, the Borrowing Base and a Monthly Reduction Amount are re-determined from reserve reports.  Requests by us to increase the $5,000,000 initial amount are subject to the Lender’s credit approval process, and are also limited to 25% of the value (as defined) of our Oil and Gas Properties.
	At our option, borrowings under the facility bear interest at a rate of either (i) an adjusted LIBOR rate (LIBOR rate divided by the remainder of 1 less the Lender’s Regulation D reserve requirement), or (ii) an adjusted Base Rate equal to the greater of the Lender’s prime rate or the sum of 0.50% and the Federal Funds Rate. A maximum of three LIBOR based loans can be outstanding at any time.  Allowed loan interest periods are one, two, three and six months.  LIBOR interest is payable at the end of the interest period except for six-month loans for which accrued interest is payable at three months and at end of term.  Base Rate interest is payable monthly.  Letters of credit bear fees reflecting 3.5% per annum rate applied to their principal amounts and are due when transacted.  Their maximum term is one year.
	A commitment fee of 0.50% per annum accrues on unutilized availability and is payable quarterly.  We are responsible for certain administrative expenses of the Lender over the life of the Credit Agreement as well as for compensating the Lender $50,000 for incurred loan costs upon closing.
	The Credit Agreement also contains financial covenants including a requirement that we maintain a current ratio of not less than 1.5 to 1; a ratio of total funded Indebtedness to EBITDA of not more than 2.5 to 1, and a ratio of EBITDA to interest expense of not less than 3 to 1.  The agreement specifies certain customary covenants, including restrictions on the Company and its subsidiaries from pledging their assets, incurring defined Indebtedness outside of the facility other that permitted indebtedness, and it restricts certain asset sales.  Payments of dividends for the Series A Preferred are only restricted by the EBITDA to interest coverage ratio, wherein Series A dividends are a 1X deduction from EBITDA (as opposed to a 3:1 requirement if dividends were treated as interest expense).  The Credit Agreement contains customary events of default. If an event of default occurs and is continuing, the Lender may declare all amounts outstanding under the Credit Agreement to be immediately due and payable.
	As of December 31, 2013, we had no borrowings and no outstanding letters of credit issued under the facility, resulting in an available borrowing base capacity of $5,000,000, and we were in compliance with all the covenants of the Credit Agreement.
	In connection with this agreement we incurred $179,468 of debt issuance costs, which have been capitalized in Other Assets and are being amortized on a straight-line basis over the term of the agreement.

Commitments_and_Contingencies

Commitments and Contingencies	6 Months Ended
	Dec. 31, 2013
Commitments and Contingencies	'
Commitments and Contingencies	'
	Note 11 — Commitments and Contingencies
	We are subject to various claims and contingencies in the normal course of business. In addition, from time to time, we receive communications from government or regulatory agencies concerning investigations or allegations of noncompliance with laws or regulations in jurisdiction in which we operate. At a minimum we disclose such matters if we believe it is reasonably possible that a future event or events will confirm a loss through impairment of an asset or the incurrence of a liability. We accrue a loss if we believe it is probable that a future event or events will confirm a loss and we can reasonably estimate such loss and we do not accrue future legal costs related to that loss. Furthermore, we will disclose any matter that is unasserted if we consider it probable that a claim will be asserted and there is a reasonable possibility that the outcome will be unfavorable. We expense legal defense costs as they are incurred.  For legal proceedings, see “Part II, Item 1. Legal Proceedings.”
	Lease Commitments.  We have a non-cancelable operating lease for office space that expires on August 1, 2016. Future minimum lease commitments as of December 31, 2013 under this operating lease are as follows:
	For the twelve months ended December 31,
	2014	$	159,011
	2015	159,011
	2016	92,756
	Total	$	410,778
	Rent expense for the three months ended December 31, 2013 and 2012 was $44,759 and $36,808, respectively.  For the corresponding six month periods of 2013 and 2012 rent expense was $86,667 and $73,617, respectively.
	Employment Contracts.  We have employment agreements with our three named executive officers.  The employment contracts provide for a severance package for termination by us for any reason other than cause or permanent disability, or in the event of a constructive termination, that includes payment of base pay and certain medical and disability benefits from six months to a year after termination.  The total contingent obligation under the employment contracts as of December 31, 2013 is approximately $692,000.
	In connection with Sterling McDonald’s retirement announced in January 2014, we expect to pay Mr. McDonald a severance of $478,000 representing his base salary and anticipated bonus under our Cash Incentive Plan and $70,000 in other benefits.  In addition, we will accelerate the vesting of Mr. McDonald’s previously unvested restricted stock awards which will result in $220,500 of stock compensation expense to us.
	Delhi Payout. We are presently in a dispute with the Delhi Field Operator concerning charges arising from the environmental event that began in June 2013.  We believe the Operator has indemnified us for such events, with the effect that payout should not be delayed.  To date, the Operator has not agreed to the application of the indemnity and their 2006 assumption of environmental liabilities.  Accordingly, we have filed a lawsuit against the Operator seeking declaration of the validity of the 2006 agreements, including the indemnity, and recovery of damages and attorney’s fees.

Restructuring

Restructuring	6 Months Ended
	Dec. 31, 2013
Restructuring	'
Restructuring	'
	Note 12 — Restructuring
	On November 1, 2013, we undertook an initiative refocusing our business on GARP® development that resulted in adjustment of our workforce towards less emphasis on engineering and greater emphasis on sales and marketing.  Accordingly, we accrued a restructuring charge in the second quarter ended December 31, 2013, based on agreements with terminated employees covering salary and benefit continuation and an acceleration of vesting of equity awards in exchange for non-compete clauses, incurring pre-tax cash and non-cash charges of approximately $1,332,000, of which $376,000 are non-cash charges related to accelerated stock compensation expenses. Our current estimates of accounting charges related to the initiative as of December 31, 2013 are as follows:
	Type of Cost	December 31,
		2013
	Salary Expense	$	616,000
	Cash Incentive Plan	186,000
	Stock Compensation Expense	376,000
	Other Benefits	154,000
	Total Restructuring Charges	$	1,332,000

Property_and_Equipment_Tables

Property and Equipment (Tables)	6 Months Ended
	Dec. 31, 2013
Property and Equipment	'
Schedule of oil and natural gas properties and other property and equipment	'
		December 31,			June 30,
		2013			2013
	Oil and natural gas properties
	Property costs subject to amortization	$	42,746,486		$	42,772,184
	Less: Accumulated depreciation, depletion, and amortization	(8,760,874		)	(8,095,856		)
	Unproved properties not subject to amortization	4,258,459			4,112,704
	Oil and natural gas properties, net	$	38,244,071		$	38,789,032
	Other property and equipment
	Furniture, fixtures and office equipment, at cost	332,151			322,514
	Less: Accumulated depreciation	(283,969		)	(270,297		)
	Other property and equipment, net	$	48,182		$	52,217

Joint_Interest_Agreement_Table

Joint Interest Agreement (Tables)	6 Months Ended
	Dec. 31, 2013
Joint Interest Agreement	'
Schedule of amounts pertaining to participation in joint venture	'
		December 31,		June 30,
		2013		2013
	Advances to joint interest operating partner	$	43,646	$	26,059
	Due to joint interest partner	86,289		127,081

Asset_Retirement_Obligations_T

Asset Retirement Obligations (Tables)	6 Months Ended
	Dec. 31, 2013
Asset Retirement Obligations	'
Schedule of reconciliations of the beginning and ending asset retirement obligation balances	'
		December 31,			June 30,
		2013			2013
	Asset retirement obligations — beginning of period	$	615,551		$	968,677
	Liabilities sold	(48,273		)	(439,927		)
	Liabilities incurred	—			60,143
	Liabilities settled	(53,295		)	(51,086		)
	Accretion of discount	25,346			72,312
	Revision of previous estimates	48,988			5,432
	Asset retirement obligations due within one year included in “Other current liabilities”	(431,561		)	—
	Asset retirement obligations — end of period	$	156,756		$	615,551

StockBased_Incentive_Plan_Tabl

Stock-Based Incentive Plan (Tables)	6 Months Ended
	Dec. 31, 2013
Stock-Based Incentive Plan	'
Summary of information regarding outstanding Stock Options and Incentive Warrants and the changes during the fiscal year	'
		Number of Stock		Weighted Average		Aggregate		Weighted
		Options		Exercise Price		Intrinsic Value		Average
		and Incentive				-1		Remaining
		Warrants						Contractual
								Term (in
								years)
	Stock Options and Incentive Warrants outstanding at July 1, 2013	4,822,820		$	1.99
	Exercised	(4,069,815	)	$	1.99
	Stock Options and Incentive Warrants outstanding at December 31, 2013	753,005		$	2.01	$	7,778,744	2
	Vested or expected to vest at December 31, 2013	753,005		$	2.01	$	7,778,744	2
	Exercisable at December 31, 2013	753,005		$	2.01	$	7,778,744	2
	(1) Based upon the difference between the market price of our common stock on the last trading date of the period ($12.34 as of December 31, 2013) and the Stock Option or Incentive Warrant exercise price of in-the-money Stock Options and Incentive Warrants.
Schedule of Restricted Stock transactions	'
		Number of		Weighted
		Restricted		Average
		Shares		Grant-Date
				Fair Value
	Unvested at July 1, 2013	386,599		$	6.65
	Granted	16,476		12.14
	Vested	(142,404	)	$	6.21
	Forfeited	(9,066	)	$	5.98
	Unvested at December 31, 2013	251,605		$	7.28

Net_Income_Per_Share_Tables

Net Income Per Share (Tables)	6 Months Ended
	Dec. 31, 2013
Net Income Per Share	'
Schedule of computation of basic and diluted income per share	'
		Three Months Ended December 31,					Six Months Ended December 31,
		2013			2012		2013		2012
	Numerator
	Net income available to common shareholders	$	(577,459	)	$	1,790,696	$	726,417	$	2,781,647
	Denominator
	Weighted average number of common shares — Basic	30,063,676			28,071,317		29,335,498		28,032,223
	Effect of dilutive securities:
	Common stock warrants issued in connection with equity and financing transactions	—			839		—		845
	Stock Options and Incentive Warrants	—			3,784,261		3,042,420		3,803,915
	Total weighted average dilutive securities	—			3,785,100		3,042,420		3,804,760
	Weighted average number of common shares and dilutive potential common shares used in diluted EPS	30,063,676			31,856,417		32,377,918		31,836,983
	Net income per common share — Basic	$	(0.02	)	$	0.06	$	0.03	$	0.1
	Net income per common share — Diluted	$	(0.02	)	$	0.06	$	0.02	$	0.09
Schedule of outstanding potentially dilutive securities	'
	Outstanding Potential Dilutive Securities	Weighted			Outstanding at
		Average			December 31,
		Exercise Price			2013
	Common stock warrants issued in connection with equity and financing transactions	$	—		—
	Stock Options and Incentive Warrants	$	2.01		753,005
	Total	$	2.01		753,005
	Outstanding Potential Dilutive Securities	Weighted			Outstanding at
		Average			December 31,
		Exercise Price			2012
	Common stock warrants issued in connection with equity and financing transactions	$	2.25		1,165
	Stock Options and Incentive Warrants	$	1.82		5,342,820
	Total	$	1.82		5,343,985

Commitments_and_Contingencies_

Commitments and Contingencies (Tables)	6 Months Ended
	Dec. 31, 2013
Commitments and Contingencies	'
Schedule of future minimum lease commitments under the operating lease	'
	For the twelve months ended December 31,
	2014	$	159,011
	2015	159,011
	2016	92,756
	Total	$	410,778

Restructuring_Tables

Restructuring (Tables)	6 Months Ended
	Dec. 31, 2013
Restructuring	'
Schedule of current estimates of accounting charges related to the restructuring initiative	'
	Type of Cost	December 31,
		2013
	Salary Expense	$	616,000
	Cash Incentive Plan	186,000
	Stock Compensation Expense	376,000
	Other Benefits	154,000
	Total Restructuring Charges	$	1,332,000

Organization_and_Basis_of_Prep1

Organization and Basis of Preparation (Details)	Dec. 31, 2013
	item
Organization and Basis of Preparation	'
Number of wholly owned subsidiaries	3

Property_and_Equipment_Details

Property and Equipment (Details) (USD $)	Dec. 31, 2013	Jun. 30, 2013	Dec. 31, 2012
Property and Equipment	'	'	'
Total property and equipment	$38,292,253	$38,841,249	'
Oil and natural gas properties	'	'	'
Property costs subject to amortization	42,746,486	42,772,184	'
Less: Accumulated depreciation, depletion, and amortization	-8,760,874	-8,095,856	'
Unproved properties not subject to amortization	4,258,459	4,112,704	'
Other property and equipment	'	'	'
Furniture, fixtures and office equipment, at cost	332,151	322,514	'
Less: Accumulated depreciation	-283,969	-270,297	'
Mississippi Lime - unevaluated acreage	'	'	'
Oil and natural gas properties	'	'	'
Unproved properties not subject to amortization	4,200,000	4,100,000	'
Oil and natural gas properties	'	'	'
Property and Equipment	'	'	'
Total property and equipment	38,244,071	38,789,032	'
Other property and equipment	'	'	'
Impaired unproved properties	0	'	0
Other Property and Equipment	'	'	'
Property and Equipment	'	'	'
Total property and equipment	$48,182	$52,217	'

Joint_Interest_Agreement_Detai

Joint Interest Agreement (Details) (USD $)	Dec. 31, 2013	Jun. 30, 2013
Participation in joint venture	'	'
Advances to joint interest operating partner	$43,646	$26,059
Due to joint interest partner	86,289	127,081
Joint interest arrangement | Orion Exploration Partners, LLC | Kay County in North Central Oklahoma	'	'
Participation in joint venture	'	'
Advances to joint interest operating partner	43,646	26,059
Due to joint interest partner	$86,289	$127,081

Asset_Retirement_Obligations_D

Asset Retirement Obligations (Details) (USD $)	3 Months Ended		6 Months Ended		12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Jun. 30, 2013
Reconciliation of the beginning and ending asset retirement obligation	'	'	'	'	'
Asset retirement obligations - beginning of period	'	'	$615,551	$968,677	$968,677
Liabilities sold	'	'	-48,273	'	-439,927
Liabilities incurred	'	'	'	'	60,143
Liabilities settled	'	'	-53,295	'	-51,086
Accretion of discount	12,418	17,751	25,346	38,858	72,312
Revisions to previous estimates	'	'	48,988	'	5,432
Asset retirement obligations due within one year included in "Other current liabilities"	-431,561	'	-431,561	'	'
Asset retirement obligations - end of period	$156,756	'	$156,756	'	$615,551

Stockholders_Equity_Details

Stockholders' Equity (Details) (USD $)	1 Months Ended	6 Months Ended
	Sep. 30, 2013	Dec. 31, 2013
Stockholders' Equity	'	'
Common stock issued upon exercise of incentive stock options (IPO) (in shares)	'	1,008,657
Cash proceeds on exercise of incentive stock options	'	$2,141,500
Common stock issued upon cashless exercises of nonqualified stock options (NQSOs) and incentive warrants (in shares)	'	2,622,723
Number of shares owned by option holders that were swapped	'	50,956
Weighted average cost of swapped shares (in dollars per share)	'	$12.14
Increase of additional paid-in capital	'	4,200,000
Increase of additional paid-in capital due to stock compensation amortization	'	1,066,225	[1]
Increase of additional paid-in capital due to exercise of stock options and warrants	'	2,800,000
Windfall tax benefit	'	386,975
Decrease of additional paid-in capital	'	2,800,000
Retirement of treasury stock (in shares)	'	801,889
Cost of treasury stock retired	'	1,000,000
Purchase of treasury stock (in shares)	'	144,462
Purchase cost of treasury stock (in dollars per share)	'	$12.09
Purchase cost of treasury stock	'	1,746,407
Number of shares retired in satisfaction of payroll tax liabilities from exercises and restricted stock vestings	'	93,506
Number of shares received from option holders in swap through cashless stock option exercises	'	50,956
Number of common shares outstanding reduced	'	946,351
Cash dividends to common stockholders	'	3,205,135
Recovery of Stockholder Short Swing Profit	'	'
Recovery of short swing profits	$6,850	'
[1]	Includes $376,365 of stock compensation reflected in restructuring charges.

Stockholders_Equity_Details_2

Stockholders' Equity (Details 2) (USD $)	6 Months Ended			12 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Jun. 30, 2013
			Series A cumulative perpetual preferred stock	Series A cumulative perpetual preferred stock
Series A Cumulative Perpetual Preferred Stock	'	'	'	'
Number of shares sold of series A cumulative perpetual preferred stock	'	'	317,319	'
Preferred stock dividend rate (as a percent)	'	'	8.50%	8.50%
Preferred stock, liquidation preference (in dollars per share)	'	'	$25	$25
Amount of sinking fund available to stockholders	'	'	$0	'
Redemption price per share (in dollars per share)	'	'	$25.25	'
Dividend payable monthly on preferred stock (in dollars per share)	'	'	$0.18	'
Cash Dividends to Preferred Stockholders	$337,151	$337,151	$337,151	'

StockBased_Incentive_Plan_Deta

Stock-Based Incentive Plan (Details) (USD $)	6 Months Ended		65 Months Ended	124 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2013	Dec. 31, 2013	Dec. 31, 2013
	Stock Options and Incentive Warrants	Stock Options and Incentive Warrants	Stock Options and Incentive Warrants	2003 Stock Plan	2004 Stock Plan	Board of Directors Authorized, Outside of EMP Stock Plans
						Incentive Warrants
Stock-Based Incentive Plan	'	'	'	'	'	'
Number of shares granted under the Plan	'	'	'	600,000	'	'
Number of shares of common stock authorized for issuance under plan	'	'	'	'	6,500,000	'
Number of shares remaining available for grant under plan	'	'	'	0	784,438	'
Number of Incentive Warrants issued (in shares)	'	'	'	'	'	1,037,500
Stock-based compensation expense	$0	$26,274	'	'	'	'
Granted (in shares)	'	'	0	'	'	'

StockBased_Incentive_Plan_Deta1

Stock-Based Incentive Plan (Details 2) (USD $)	6 Months Ended
	Dec. 31, 2013
Number of Stock Options and Incentive Warrants	'
Stock Options and Incentive Warrants outstanding at the end of the period (in shares)	4,800,000
Common stock	'
Additional disclosures of Stock Options and Incentive Warrants	'
Market price of common stock on the last trading date of the period (in dollars per share)	$12.34
Stock Options and Incentive Warrants	'
Number of Stock Options and Incentive Warrants	'
Stock Options and Incentive Warrants outstanding at the beginning of the period (in shares)	4,822,820
Exercised (in shares)	-4,069,815
Stock Options and Incentive Warrants outstanding at the end of the period (in shares)	753,005
Vested or expected to vest at the end of the period (in shares)	753,005
Exercisable at the end of the period (in shares)	753,005
Weighted Average Exercise Price	'
Stock Options and Incentive Warrants outstanding at the beginning of the period (in dollars per share)	$1.99
Exercised (in dollars per share)	$1.99
Stock Options and Incentive Warrants outstanding at the end of the period (in dollars per share)	$2.01
Exercisable at the end of the period (in dollars per share)	$2.01
Vested or expected to vest at the end of the period (in dollars per share)	$2.01
Aggregate Intrinsic Value	'
Stock Options and Incentive Warrants outstanding at the end of the period	$7,778,744
Vested or expected to vest at the end of the period	7,778,744
Exercisable at the end of the period (in dollars)	7,778,744
Weighted Average Remaining Contractual Term (in years)	'
Stock Options and Incentive Warrants outstanding at the end of the period	'2 years
Vested or expected to vest at the end of the period	'2 years
Exercisable at the end of the period	'2 years
Additional disclosures of Stock Options and Incentive Warrants	'
Aggregate intrinsic value of Stock Options and warrants exercised	$41,247,805

StockBased_Incentive_Plan_Deta2

Stock-Based Incentive Plan (Details 3) (Stock Options and Incentive Warrants, USD $)	6 Months Ended
	Dec. 31, 2012
Stock Options and Incentive Warrants	'
Additional disclosures of Stock Options and Incentive Warrants	'
Vested (in shares)	18,922
Total fair value of awards vested	$46,359
Unvested at the end of the period (in shares)	0

StockBased_Incentive_Plan_Deta3

Stock-Based Incentive Plan (Details 4) (Restricted Stock, USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012
Restricted Stock	'	'	'	'
Stock-Based Incentive Plan	'	'	'	'
Stock-based compensation expense	$316,422	$393,579	$689,860	$747,369
Number of Restricted Shares	'	'	'	'
Unvested at the beginning of the period (in shares)	'	'	386,599	'
Granted (in shares)	'	'	16,476	'
Vested (in shares)	'	'	-142,404	'
Forfeited (in shares)	'	'	-9,066	'
Unvested at the end of the period (in shares)	251,605	'	251,605	'
Weighted Average Grant-Date Fair Value	'	'	'	'
Unvested at the beginning of the period (in dollars per share)	'	'	$6.65	'
Granted (in dollars per share)	'	'	$12.14	'
Vested (in dollars per share)	'	'	$6.21	'
Forfeited (in dollars per share)	'	'	$5.98	'
Unvested at the end of the period (in dollars per share)	$7.28	'	$7.28	'
Additional disclosures of restricted stock	'	'	'	'
Unrecognized stock compensation expense related to Restricted Stock grants	$1,359,862	'	$1,359,862	'
Weighted average remaining service period over which unrecognized compensation cost is expected to be recognized	'	'	'1 year 9 months 18 days	'

Income_Taxes_Details

Income Taxes (Details) (USD $)	3 Months Ended		6 Months Ended		12 Months Ended	6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Jun. 30, 2014	Dec. 31, 2013
					Expected	Minimum
Income Taxes	'	'	'	'	'	'
Unrecognized tax benefits	$0	'	$0	'	'	'
Income taxes	'	'	'	'	'	'
Number of stock options and incentive warrants exercised by employees, officers and directors (in shares)	'	'	'	'	'	4,000,000
Number of stock options and incentive warrants (in shares)	4,800,000	'	4,800,000	'	'	'
Option Deductions	'	'	31,200,000	'	'	'
Tax benefit resulting from Option Deductions	'	'	10,600,000	'	'	'
Statutory rate (as a percent)	'	'	34.00%	'	'	'
Taxable income after adjustment of Option Deductions	'	'	'	'	0	'
Cash taxes payable as a result of option deduction	'	'	0	'	'	'
Income tax expense	$241,907	$1,054,499	$724,543	$1,814,717	'	'
Income tax expense, effective rates (as a percent)	'	'	41.00%	37.00%	'	'

Net_Income_Per_Share_Details

Net Income Per Share (Details) (USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012
Numerator	'	'	'	'
Net income available to common shareholders	($577,459)	$1,790,696	$726,417	$2,781,647
Denominator	'	'	'	'
Weighted average number of common shares - Basic	30,063,676	28,071,317	29,335,498	28,032,223
Effect of dilutive securities:	'	'	'	'
Common stock warrants issued in connection with equity and financing transactions (in shares)	'	839	'	845
Stock Options and Incentive Warrants (in shares)	'	3,784,261	3,042,420	3,803,915
Total weighted average dilutive securities (in shares)	'	3,785,100	3,042,420	3,804,760
Weighted average number of common shares and dilutive potential common shares used in diluted EPS	30,063,676	31,856,417	32,377,918	31,836,983
Net income per common share - Basic (in dollars per share)	($0.02)	$0.06	$0.03	$0.10
Net income per common share - Diluted (in dollars per share)	($0.02)	$0.06	$0.02	$0.09

Net_Income_Per_Share_Details_2

Net Income Per Share (Details 2) (USD $)	6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012
Outstanding Potential Dilutive Securities	'	'
Weighted Average Exercise Price (in dollars per share)	$2.01	$1.82
Balance at the end of the period (in shares)	753,005	5,343,985
Common stock warrants issued in connection with equity and financing transactions	'	'
Outstanding Potential Dilutive Securities	'	'
Weighted Average Exercise Price (in dollars per share)	'	$2.25
Balance at the end of the period (in shares)	'	1,165
Stock Options and Incentive Warrants	'	'
Outstanding Potential Dilutive Securities	'	'
Weighted Average Exercise Price (in dollars per share)	$2.01	$1.82
Balance at the end of the period (in shares)	753,005	5,342,820

Unsecured_Revolving_Credit_Agr1

Unsecured Revolving Credit Agreement (Details) (USD $)	1 Months Ended	6 Months Ended
	Feb. 29, 2012	Dec. 31, 2013
Revolving credit facility	'	'
Unsecured Revolving Credit Agreement	'	'
Maximum amount available under revolving credit facility	$50,000,000	'
Initial borrowing base	5,000,000	5,000,000
Term of revolving credit facility	'	'4 years
Value of oil and gas properties subject (as a percent)	'	25.00%
Margin added to variable interest rate basis (as a percent)	'	0.50%
Outstanding borrowings	'	0
Loan costs to be compensated to lender over the life of the Credit Agreement	50,000	'
Debt issuance costs	179,468	'
Revolving credit facility | Maximum	'	'
Unsecured Revolving Credit Agreement	'	'
Current ratio	'	1.5
Total funded indebtedness to EBITDA ratio	'	2.5
EBITDA to interest expense ratio	'	3
Revolving credit facility | LIBOR	'	'
Unsecured Revolving Credit Agreement	'	'
Variable interest rate basis	'	'Adjusted LIBOR
Amount to be reduced by Lender's Regulation D reserve requirement	'	1
Interest period one	'	'1 month
Interest period two	'	'2 months
Interest period three	'	'3 months
Interest period four	'	'6 months
Term for payment of interest	'	'3 months
Revolving credit facility | LIBOR | Maximum	'	'
Unsecured Revolving Credit Agreement	'	'
Number of loans that can be outstanding at any time	'	3
Revolving credit facility | Prime rate	'	'
Unsecured Revolving Credit Agreement	'	'
Variable interest rate basis	'	'Lender's prime rate
Revolving credit facility | Federal funds rate	'	'
Unsecured Revolving Credit Agreement	'	'
Variable interest rate basis	'	'Federal Fund Rate
Commitment fee accruing on unutilized availability (as a percent)	'	0.50%
Letter of credit	'	'
Unsecured Revolving Credit Agreement	'	'
Maximum amount available under revolving credit facility	1,000,000	'
Letter of credit fees rate applied to principal amounts (as a percent)	'	3.50%
Outstanding borrowings	'	$0
Letter of credit | Maximum	'	'
Unsecured Revolving Credit Agreement	'	'
Term of revolving credit facility	'	'1 year

Commitments_and_Contingencies_1

Commitments and Contingencies (Details) (USD $)	3 Months Ended		6 Months Ended		1 Months Ended	6 Months Ended
	Dec. 31, 2013	Dec. 31, 2012	Dec. 31, 2013	Dec. 31, 2012	Jan. 31, 2014	Dec. 31, 2013	Dec. 31, 2013	Dec. 31, 2013
					Sterling McDonald	Employment Contracts	Employment Contracts	Employment Contracts
					Subsequent event	item	Low end of the range	High end of the range
					Expected
Commitments and Contingencies	'	'	'	'	'	'	'	'
Number of senior executives in employment agreements	'	'	'	'	'	3	'	'
Period of benefits to employees after termination	'	'	'	'	'	'	'6 months	'1 year
Total contingent obligation	'	'	'	'	'	$692,000	'	'
Cash Incentive Plan	'	'	186,000	'	478,000	'	'	'
Other Benefits	'	'	154,000	'	70,000	'	'	'
Stock Compensation Expense	'	'	376,365	'	220,500	'	'	'
Lease Commitments	'	'	'	'	'	'	'	'
2014	159,011	'	159,011	'	'	'	'	'
2015	159,011	'	159,011	'	'	'	'	'
2016	92,756	'	92,756	'	'	'	'	'
Total	410,778	'	410,778	'	'	'	'	'
Rent expense	$44,759	$36,808	$86,667	$73,617	'	'	'	'

Restructuring_Details

Restructuring (Details) (USD $)	3 Months Ended		6 Months Ended
	Dec. 31, 2013		Dec. 31, 2013
Type of Cost	'		'
Salary Expense	'		$616,000
Cash Incentive Plan	'		186,000
Stock Compensation Expense	'		376,365
Other Benefits	'		154,000
Total Restructuring Charges	$1,332,186	[1]	$1,332,186	[1]
[1]	Restructuring charges for the three months ended December 31, 2013 included non-cash stock-based compensation expense of $376,365.