Mewbourne Energy Partners 09-a 10-Q 16 Aug 21 2021 Q2 Quarterly report Financial data

Cover

Cover	6 Months Ended
	Jun. 30, 2021
Cover [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Quarterly Report	true
Document Transition Report	false
Document Period End Date	Jun. 30, 2021
Document Fiscal Period Focus	Q2
Document Fiscal Year Focus	2021
Current Fiscal Year End Date	--12-31
Entity File Number	000-53959
Entity Registrant Name	MEWBOURNE ENERGY PARTNERS 09-A, L.P.
Entity Central Index Key	0001462103
Entity Tax Identification Number	26-4280211
Entity Incorporation, State or Country Code	DE
Entity Address, Address Line One	3901 South Broadway
Entity Address, City or Town	Tyler
Entity Address, State or Province	TX
Entity Address, Postal Zip Code	75701
City Area Code	(903)
Local Phone Number	561-2900
Entity Current Reporting Status	Yes
Entity Interactive Data Current	Yes
Entity Filer Category	Non-accelerated Filer
Entity Small Business	true
Entity Emerging Growth Company	false
Entity Shell Company	false
Entity Information, Former Legal or Registered Name	Not Applicable

CONDENSED BALANCE SHEETS (Unaud

CONDENSED BALANCE SHEETS (Unaudited) - USD ($)	Jun. 30, 2021	Dec. 31, 2020
ASSETS
Cash	$ 15,571	$ 2,706
Accounts receivable, affiliate	318,938	180,387
Prepaid state taxes	2,582	1,781
Total current assets	337,091	184,874
Oil and gas properties at cost, full-cost method	63,818,793	63,813,475
Less accumulated depreciation, depletion, amortization and cost ceiling write-downs	(61,875,959)	(61,815,832)
Oil and gas properties, net	1,942,834	1,997,643
Total assets	2,279,925	2,182,517
LIABILITIES AND PARTNERS’ CAPITAL
Accounts payable, affiliate	88,504	127,361
Total current liabilities	88,504	127,361
Asset retirement obligation	1,148,921	1,125,589
Total liabilities	1,237,425	1,252,950
Partners' capital	1,042,500	929,567
Total liabilities and partners’ capital	$ 2,279,925	$ 2,182,517

CONDENSED STATEMENTS OF OPERATI

CONDENSED STATEMENTS OF OPERATIONS (Unaudited) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Revenues:
Total revenues	$ 511,133	$ 105,006	$ 932,860	$ 374,973
Expenses:
Lease operating expense	157,858	147,216	318,845	311,195
Production taxes	34,062	6,127	61,955	24,099
Administrative and general expense	36,542	23,163	53,349	66,983
Depreciation, depletion, and amortization	32,331	57,790	60,127	113,809
Cost ceiling write-down		851,186		851,186
Asset retirement obligation accretion	11,666	11,191	23,332	22,382
Total expenses	272,459	1,096,673	517,608	1,389,654
Net income (loss)	238,674	(991,667)	415,252	(1,014,681)
Oil and Condensate [Member]
Revenues:
Revenue from Contract with Customer, Including Assessed Tax	272,385	46,393	499,352	233,662
Natural Gas, Production [Member]
Revenues:
Revenue from Contract with Customer, Including Assessed Tax	$ 238,748	$ 58,613	$ 433,508	$ 141,311

CONDENSED STATEMENT OF CHANGES

CONDENSED STATEMENT OF CHANGES IN PARTNERS' CAPITAL (Unaudited)	Partners [Member]USD ($)
Beginning balance at Dec. 31, 2019	$ 2,802,587
Investment Company, Financial Highlights [Line Items]
Cash distributions	(213,387)
Net income (loss)	(1,014,681)
Beginning balance at Jun. 30, 2020	1,574,519
Beginning balance at Mar. 31, 2020	2,591,186
Investment Company, Financial Highlights [Line Items]
Cash distributions	(25,000)
Net income (loss)	(991,667)
Beginning balance at Jun. 30, 2020	1,574,519
Beginning balance at Dec. 31, 2020	929,567
Investment Company, Financial Highlights [Line Items]
Cash distributions	(302,319)
Net income (loss)	415,252
Beginning balance at Jun. 30, 2021	1,042,500
Beginning balance at Mar. 31, 2021	1,043,826
Investment Company, Financial Highlights [Line Items]
Cash distributions	(240,000)
Net income (loss)	238,674
Beginning balance at Jun. 30, 2021	$ 1,042,500

CONDE NSED STATEMENTS OF CASH F

CONDE NSED STATEMENTS OF CASH FLOWS (Unaudited) - USD ($)	6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020
Cash flows from operating activities:
Net income (loss)	$ 415,252	$ (1,014,681)
Adjustments to reconcile net income (loss) to net cash
Depreciation, depletion, and amortization	60,127	113,809
Cost ceiling write-down		851,186
Asset retirement obligation accretion	23,332	22,382
Changes in operating assets and liabilities:
Accounts receivable, affiliate	(138,551)	209,707
Prepaid state taxes	(801)	(887)
Accounts payable, affiliate	(39,458)	42,386
Net cash provided by operating activities	319,901	223,902
Cash flows from investing activities:
Operator credit received for oil and gas properties	79	2,467
Development of oil and gas properties	(4,796)	(11,651)
Net cash used in investing activities	(4,717)	(9,184)
Cash flows from financing activities:
Cash distributions to partners	(302,319)	(213,387)
Net cash used in financing activities	(302,319)	(213,387)
Net increase in cash	12,865	1,331
Cash, beginning of period	2,706	1,678
Cash, end of period	15,571	3,009
Changes to oil and gas properties included in accounts payable, affiliate	$ 601	$ 19,481

Description of Business

Description of Business	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
Description of Business	1. Description of Business Mewbourne Energy Partners 09-A, L.P., (the “Registrant” or the “Partnership”), a Delaware limited partnership engaged primarily in oil and natural gas development and production in Texas, Oklahoma, and New Mexico, was organized on February 26, 2009. During 2011, all general partner equity interests were converted to limited partner equity interests. In accordance with the laws of the State of Delaware, Mewbourne Development Corporation (“MD”), a Delaware Corporation, has been appointed as the Partnership’s managing general partner. MD has no significant equity interest in the Partnership.

Summary of Significant Accounti

Summary of Significant Accounting Policies	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
Summary of Significant Accounting Policies	2. Summary of Significant Accounting Policies Reference is hereby made to the financial statements within the Registrant’s Annual Report on Form 10-K for 2020, which contains a summary of significant accounting policies followed by the Partnership in the preparation of its financial statements. These policies are also followed in preparing these financial statements within the quarterly report included herein. In the opinion of management, the accompanying unaudited financial statements contain all adjustments of a normal recurring nature necessary to present fairly our financial position, results of operations, cash flows and partners’ capital for the periods presented. The results of operations for the interim periods are not necessarily indicative of the final results expected for the full year. In preparing these financial statements, the Partnership has evaluated subsequent events for potential recognition and disclosure through the date the financial statements were issued. Full Cost Accounting The Partnership follows the full-cost method of accounting for its oil and natural gas activities. Under the full-cost method, all productive and non-productive costs incurred in the acquisition, exploration and development of oil and natural gas properties are capitalized. Depreciation, depletion and amortization of oil and natural gas properties subject to amortization is computed on the units-of-production method based on the proved reserves underlying the oil and natural gas properties. At June 30, 2021 and 2020, all capitalized costs were subject to amortization. Proceeds from the sale or other disposition of properties are credited to the full cost pool. Gains and losses are not recognized unless such adjustments would significantly alter the relationship between capitalized costs and the proved oil and natural gas reserves. Capitalized costs are subject to a quarterly ceiling test that limits such costs to the aggregate of the present value of estimated future net cash flows of proved reserves, computed using the 12-month unweighted average of first-day-of the-month oil and natural gas prices, adjusted by a pricing differential associated with the particular property discounted at 10% 851,186

Asset Retirement Obligations

Asset Retirement Obligations	6 Months Ended
	Jun. 30, 2021
Asset Retirement Obligation Disclosure [Abstract]
Asset Retirement Obligations	3. Asset Retirement Obligations The Partnership has recognized an estimated asset retirement obligation liability (“ARO”) for future plugging and abandonment costs. A liability for the estimated fair value of the future plugging and abandonment costs is recorded with a corresponding increase in the full cost pool at the time a new well is drilled. Depletion expense associated with estimated plugging and abandonment costs is recognized in accordance with the full cost methodology. The Partnership estimates a liability for plugging and abandonment costs based on historical experience and estimated well life. The liability is discounted using the credit-adjusted risk-free rate. Revisions to the liability could occur due to changes in well plugging and abandonment costs or well useful lives, or if federal or state regulators enact new well restoration requirements. The Partnership recognizes accretion expense in connection with the discounted liability over the remaining life of the well. A reconciliation of the Partnership’s liability for well plugging and abandonment costs for the six months ended June 30, 2021 and the year ended December 31, 2020 is as follows: 2021 2020 Balance, beginning of period $ 1,125,589 $ 1,080,825 Accretion expense 23,332 44,764 Balance, end of period $ 1,148,921 $ 1,125,589

Oil and Natural Gas Sales

Oil and Natural Gas Sales	6 Months Ended
	Jun. 30, 2021
Extractive Industries [Abstract]
Oil and Natural Gas Sales	4. Oil and Natural Gas Sales The Partnership’s oil and condensate production is sold and revenue recognized at or near the Partnership’s wells under short-term purchase contracts at prevailing prices in accordance with arrangements which are customary in the oil industry. Sales of natural gas applicable to the Partnership’s interest are recorded as revenue when the natural gas is metered and title transferred pursuant to the natural gas sales contracts covering the Partnership’s interest in natural gas reserves. Substantially all the Partnership’s accounts receivable result from oil and natural gas sales by Mewbourne Oil Company (MOC) to third parties in the oil and natural gas industry. This concentration of customers may impact the Partnership’s overall credit risk in that these entities may be similarly affected by changes in economic and other conditions. Historically, the Partnership has not experienced significant credit losses on such receivables. No bad debt expense was recorded for the six months ended June 30, 2021 or 2020. The Partnership cannot ensure that such losses will not occur in the future. The Partnership has only non-operated working interests in oil and natural gas wells and receives monthly net revenue checks from the operator of these oil and natural gas wells. Each unit of oil and natural gas is accounted for as a separate performance obligation. It recognizes revenue for oil and condensate when control transfers to the purchaser at a contractually specified delivery point at or near the wellhead at market prices in accordance with the contractual arrangement. Sales of natural gas applicable to the Partnership’s interest are recorded as revenue when the natural gas is metered and control is transferred pursuant to the natural gas sales contracts covering the Partnership’s interest in natural gas reserves. Disaggregation of Revenue The Partnership has identified two material revenue streams in its business: oil sales and natural gas sales. Revenue attributable to each of the Partnership’s identified revenue streams is disaggregated in the Statements of Operations. Principal versus agent In the case of the non-operating agreements, the operator is responsible for providing the goods due to its contractual obligations with the purchaser. Based on the joint operating and marketing agreement arrangements between the Partnership and operator, the Partnership does not take title to the product prior to the operator’s ultimate sale to a customer. The operator is responsible for fulfilling promises to provide specified goods and remitting proceeds back to the Partnership for the Partnership’s proportionate share of the total product sold. MOC, rather than the Partnership, is primarily responsible for fulfilling promises to provide specified goods. MOC, as the operator, enters the sales contract with the third-party customers and directs all activities from the wellhead to the delivery point that make the commodity available to the customer; there is no agreement between the Partnership and the customers. In the event a production delay occurs because of, for example, well-equipment failure, MOC is responsible for correcting the issues preventing fulfillment of its promises to deliver product to its customers. Accounts Receivable, affiliate Under the Partnership’s joint operating and marketing agreements, the Partnership is entitled to consideration as production occurs at the wellhead and the value of such consideration is an estimate. Final amounts are only determined upon sale by the operator to the ultimate third-party customer, and recorded in “Accounts receivable, affiliate” in its balance sheet.

Related Party Transactions

Related Party Transactions	6 Months Ended
	Jun. 30, 2021
Related Party Transactions [Abstract]
Related Party Transactions	5. Related Party Transactions In accordance with the laws of the State of Delaware, MD has been appointed as the Partnership’s managing general partner. MD has no significant equity interest in the Partnership. MOC is operator of oil and natural gas properties owned by the Partnership. Mewbourne Holdings, Inc. is the parent of both MD and MOC. Substantially all transactions are with MD and MOC. The Partnership participates in oil and natural gas activities through a Drilling Program Agreement (the “Program”). In the ordinary course of business, MOC will incur certain costs that will be passed on to owners of the well for which the costs were incurred. The Partnership will receive its portion of these costs based upon its ownership in each well incurring the costs. These costs are referred to as operator charges and are standard and customary in the oil and natural gas industry. Operator charges include recovery of natural gas marketing costs, fixed rate overhead, supervision, pumping, and equipment furnished by the operator, some of which will be included in the full cost pool pursuant to Rule 4-10(c)(2) of Regulation S-X. Services and operator charges are billed in accordance with the Program and Partnership agreements. In accordance with the Partnership agreement, during any calendar year the total amount of administrative expenses allocated to the Partnership by MOC shall not exceed the greater of (a) 3.5% 50,000 0.25% The Partnership participates in oil and natural gas activities through the Program. The Partnership and MD are the parties to the Program, and the costs and revenues are allocated between them as follows: Partnership MD (1) Revenues: Proceeds from disposition of depreciable and depletable properties 75 % 25 % All other revenues 75 % 25 % Costs and expenses: Organization and offering costs (1) 0 % 100 % Lease acquisition costs (1) 0 % 100 % Tangible and intangible drilling costs (1) 100 % 0 % Operating costs, reporting and legal expenses, general and administrative expenses and all other costs 75 % 25 % (1) As noted above, pursuant to the Program, MD must contribute 100% of organization and offering costs and lease acquisition costs which should approximate 15%

COVID-19

COVID-19	6 Months Ended
	Jun. 30, 2021
Unusual or Infrequent Items, or Both [Abstract]
COVID-19	6. COVID-19 In March 2020, COVID-19 was declared a global pandemic and, as a result, consumer demand of oil decreased due to governments putting in place new travel restrictions to try to curtail the spread of the coronavirus. Also, increases in oil production by Russia and OPEC, particularly Saudi Arabia, caused an increase in supply. These led to a substantial decrease in oil prices and an increasingly volatile market. However, during November and December of 2020 oil prices began to increase and continued to rise during the six months ended June 30, 2021. Declines in oil and natural gas prices affect the Partnership’s revenues and reduce the amount of oil and natural gas that the Partnership can produce economically. The Partnership has no planned drilling activity. If oil or natural gas prices decline, the Partnership may be required to record additional oil and natural gas property write-downs and there may be a material adverse effect on the Partnership’s results of future operations, financial position, liquidity, and partner distributions. Management is actively monitoring the global situation and the impact on the Partnership’s financial condition, liquidity, operations, industry, and workforce.

Summary of Significant Accoun_2

Summary of Significant Accounting Policies (Policies)	6 Months Ended
	Jun. 30, 2021
Accounting Policies [Abstract]
Full Cost Accounting	Full Cost Accounting The Partnership follows the full-cost method of accounting for its oil and natural gas activities. Under the full-cost method, all productive and non-productive costs incurred in the acquisition, exploration and development of oil and natural gas properties are capitalized. Depreciation, depletion and amortization of oil and natural gas properties subject to amortization is computed on the units-of-production method based on the proved reserves underlying the oil and natural gas properties. At June 30, 2021 and 2020, all capitalized costs were subject to amortization. Proceeds from the sale or other disposition of properties are credited to the full cost pool. Gains and losses are not recognized unless such adjustments would significantly alter the relationship between capitalized costs and the proved oil and natural gas reserves. Capitalized costs are subject to a quarterly ceiling test that limits such costs to the aggregate of the present value of estimated future net cash flows of proved reserves, computed using the 12-month unweighted average of first-day-of the-month oil and natural gas prices, adjusted by a pricing differential associated with the particular property discounted at 10% 851,186

Asset Retirement Obligations (T

Asset Retirement Obligations (Tables)	6 Months Ended
	Jun. 30, 2021
Asset Retirement Obligation Disclosure [Abstract]
A reconciliation of the Partnership’s liability for well plugging and abandonment costs for the six months ended June 30, 2021 and the year ended December 31, 2020 is as follows:	A reconciliation of the Partnership’s liability for well plugging and abandonment costs for the six months ended June 30, 2021 and the year ended December 31, 2020 is as follows: 2021 2020 Balance, beginning of period $ 1,125,589 $ 1,080,825 Accretion expense 23,332 44,764 Balance, end of period $ 1,148,921 $ 1,125,589

Related Party Transactions (Tab

Related Party Transactions (Tables)	6 Months Ended
	Jun. 30, 2021
Related Party Transactions [Abstract]
The Partnership participates in oil and natural gas activities through the Program. The Partnership and MD are the parties to the Program, and the costs and revenues are allocated between them as follows:	The Partnership participates in oil and natural gas activities through the Program. The Partnership and MD are the parties to the Program, and the costs and revenues are allocated between them as follows: Partnership MD (1) Revenues: Proceeds from disposition of depreciable and depletable properties 75 % 25 % All other revenues 75 % 25 % Costs and expenses: Organization and offering costs (1) 0 % 100 % Lease acquisition costs (1) 0 % 100 % Tangible and intangible drilling costs (1) 100 % 0 % Operating costs, reporting and legal expenses, general and administrative expenses and all other costs 75 % 25 %

Summary of Significant Accoun_3

Summary of Significant Accounting Policies (Details Narrative) - USD ($)	3 Months Ended		6 Months Ended
	Jun. 30, 2021	Jun. 30, 2020	Jun. 30, 2021	Jun. 30, 2020
Accounting Policies [Abstract]
Discount rate of future cash flows			10.00%
Cost ceiling write-downs		$ 851,186		$ 851,186

A reconciliation of the Partner

A reconciliation of the Partnership’s liability for well plugging and abandonment costs for the six months ended June 30, 2021 and the year ended December 31, 2020 is as follows: (Details) - USD ($)	6 Months Ended	12 Months Ended
	Jun. 30, 2021	Dec. 31, 2020
Asset Retirement Obligation Disclosure [Abstract]
Balance, beginning of period	$ 1,125,589	$ 1,080,825
Accretion expense	23,332	44,764
Balance, end of period	$ 1,148,921	$ 1,125,589

The Partnership participates in

The Partnership participates in oil and natural gas activities through the Program. The Partnership and MD are the parties to the Program, and the costs and revenues are allocated between them as follows: (Details)	6 Months Ended
	Jun. 30, 2021
Revenues [Abstract]
Proceeds from disposition of depreciable and depletable properties	75.00%
All other revenues	75.00%
Costs and expenses:
Organization and offering costs	0.00%	[1]
Lease acquisition costs	0.00%	[1]
Tangible and intangible drilling costs	100.00%	[1]
Operating costs, reporting and legal expenses, general and administrative expenses and all other costs	75.00%
Affiliated Entity [Member]
Revenues [Abstract]
Proceeds from disposition of depreciable and depletable properties	25.00%	[1]
All other revenues	25.00%	[1]
Costs and expenses:
Organization and offering costs	100.00%	[1]
Lease acquisition costs	100.00%	[1]
Tangible and intangible drilling costs	0.00%	[1]
Operating costs, reporting and legal expenses, general and administrative expenses and all other costs	25.00%	[1]
[1]	As noted above, pursuant to the Program, MD must contribute 100% of organization and offering costs and lease acquisition costs which should approximate 15%

Related Party Transactions (Det

Related Party Transactions (Details Narrative)	6 Months Ended
	Jun. 30, 2021shares
Related Party Transaction [Line Items]
Nature of Common Ownership or Management Control Relationships	In accordance with the laws of the State of Delaware, MD has been appointed as the Partnership’s managing general partner. MD has no significant equity interest in the Partnership. MOC is operator of oil and natural gas properties owned by the Partnership. Mewbourne Holdings, Inc. is the parent of both MD and MOC. Substantially all transactions are with MD and MOC.
Related Party Transaction, Description of Transaction	In accordance with the Partnership agreement, during any calendar year the total amount of administrative expenses allocated to the Partnership by MOC shall not exceed the greater of (a) 3.5% of the Partnership’s gross revenue from the sale of oil and natural gas production during each year (calculated without any deduction for operating costs or other costs and expenses) or (b) the sum of $50,000 plus 0.25% of the capital contributions of limited and general partners.
Percentage of Partnership's gross revenue from sale of oil and gas	3.50%
Amount of administrative fees allocated	50,000
Percentage of capital contributions of limited and general partners	0.25%
Affiliated Entity [Member]
Related Party Transaction [Line Items]
Total capital costs, (percent)	15.00%