SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarter ended June 30, 1996
Commission File Number:
III-A: 0-18302 III-B: 0-18636 III-C: 0-18634
III-D: 0-18936 III-E: 0-19010 III-F: 0-19102
III-G: 0-19563
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-A
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-B
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-C
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-D
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-E
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-F
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-G
------------------------------------------------------
(Exact name of Registrant as specified in its Articles)
III-A 73-1352993
III-B 73-1358666
III-C 73-1356542
III-D 73-1357374
III-E 73-1367188
III-F 73-1377737
Oklahoma III-G 73-1377828
- ---------------------------- -----------------------------------
(State or other jurisdiction (I.R.S. Employer Identification No.)
of incorporation or
organization)
Two West Second Street, Tulsa, Oklahoma 74103
---------------------------------------------------
(Address of principal executive offices) (Zip Code)
Registrant's telephone number, including area code: (918) 583-1791
Indicate by check mark whether the Registrant (1) has filed all
reports required to be filed by Section 13 or 15(d) of the Securities
Exchange Act of 1934 during the preceding 12 months (or for such
shorter period that the Registrant was required to file such reports)
and (2) has been subject to the filing requirements for the past 90
days.
Yes X No
----- ----
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-A
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
---------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 598,356 $ 560,906
Accounts receivable:
Oil and gas sales, including
$349,181 due from related
parties in 1995 (Note 2) 632,000 639,787
---------- ----------
Total current assets $1,230,356 $1,200,693
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 6,169,229 6,874,396
DEFERRED CHARGE 278,829 278,829
---------- ----------
$7,678,414 $8,353,918
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 57,946 $ 90,496
Gas imbalance payable 43,854 43,854
---------- ----------
Total current liabilities $ 101,800 $ 134,350
ACCRUED LIABILITY $ 87,624 $ 87,624
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 175,069) ($ 143,923)
Limited Partners, issued and
outstanding, 263,976 units 7,664,059 8,275,867
---------- ----------
Total Partners' capital $7,488,990 $8,131,944
---------- ----------
$7,678,414 $8,353,918
========== ==========
The accompanying notes are an integral
part of these financial statements.
-2-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-A
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$436,080 of sales to related
parties in 1995 (Note 2) $ 996,946 $ 849,738
Interest and other income 5,088 6,102
Loss on sale of oil and gas
properties - ( 10,884)
---------- ----------
$1,002,034 $ 844,956
COSTS AND EXPENSES:
Lease operating $ 185,960 $ 189,354
Production tax 70,969 62,722
Depreciation, depletion, and
amortization of oil and gas
properties 357,281 617,915
Impairment provision - 170,000
General and administrative 78,431 85,382
---------- ----------
$ 692,641 $1,125,373
---------- ----------
NET INCOME (LOSS) $ 309,393 ($ 280,417)
========== ==========
GENERAL PARTNER - NET INCOME $ 29,507 $ 17,495
========== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $ 279,886 ($ 297,912)
========== ==========
NET INCOME (LOSS) per unit $ 1.06 ($ 1.13)
========== ==========
UNITS OUTSTANDING 263,976 263,976
========== ==========
The accompanying notes are an integral
part of these financial statements.
-3-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-A
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$831,170 of sales to related
parties in 1995 (Note 2) $1,906,916 $1,721,546
Interest and other income 9,820 12,004
Gain (loss) on sale of oil and
gas properties 150 ( 28,505)
---------- ----------
$1,916,886 $1,705,045
COSTS AND EXPENSES:
Lease operating $ 330,390 $ 406,424
Production tax 136,289 144,105
Depreciation, depletion, and
amortization of oil and gas
properties 706,487 1,275,977
Impairment provision - 170,000
General and administrative 164,814 163,875
---------- ----------
$1,337,980 $2,160,381
---------- ----------
NET INCOME (LOSS) $ 578,906 ($ 455,336)
========== ==========
GENERAL PARTNER - NET INCOME $ 56,714 $ 35,072
========== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $ 522,192 ($ 490,408)
========== ==========
NET INCOME (LOSS) per unit $ 1.98 ($ 1.86)
========== ==========
UNITS OUTSTANDING 263,976 263,976
========== ==========
The accompanying notes are an integral
part of these financial statements.
-4-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-A
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $ 578,906 ($ 455,336)
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 706,487 1,275,977
Impairment provision - 170,000
(Gain) loss on sale of oil and gas
properties ( 150) 28,505
Decrease in accounts receivable 7,787 54,557
Increase in deferred charge - ( 27,765)
Decrease in accounts payable ( 32,550) ( 15,074)
Increase in accrued liability - 7,460
---------- ----------
Net cash provided by operating
activities $1,260,480 $1,038,324
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 1,032) ($ 29,807)
Proceeds from sale of oil and
gas properties 150 20,478
---------- ----------
Net cash used by investing
activities ($ 1,170) ($ 9,329)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($1,221,860) ($1,270,000)
---------- ----------
Net cash used by financing
activities ($1,221,860) ($1,270,000)
---------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 37,450 ($ 241,005)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 560,906 715,050
---------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $ 598,356 $ 474,045
========== ==========
The accompanying notes are an integral
part of these financial statements.
-5-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-B
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
---------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 317,619 $ 311,585
Accounts receivable:
Oil and gas sales, including
$169,725 due from related
parties in 1995 (Note 2) 358,465 373,676
---------- ----------
Total current assets $ 676,084 $ 685,261
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 3,274,589 3,648,394
DEFERRED CHARGE 169,089 169,089
---------- ----------
$4,119,762 $4,502,744
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 30,383 $ 49,382
Gas imbalance payable 6,202 6,202
---------- ----------
Total current liabilities $ 36,585 $ 55,584
ACCRUED LIABILITY $ 47,360 $ 47,360
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 85,742) ($ 66,996)
Limited Partners, issued and
outstanding, 138,336 units 4,121,559 4,466,796
---------- ----------
Total Partners' capital $4,035,817 $4,399,800
---------- ----------
$4,119,762 $4,502,744
========== ==========
The accompanying notes are an integral
part of these financial statements.
-6-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-B
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
--------- ---------
REVENUES:
Oil and gas sales, including
$205,547 of sales to related
parties in 1995 (Note 2) $566,244 $491,669
Interest and other income 2,787 3,257
Loss on sale of oil and gas
properties - ( 4,535)
-------- --------
$569,031 $490,391
COSTS AND EXPENSES:
Lease operating $100,837 $ 99,439
Production tax 41,189 36,764
Depreciation, depletion, and
amortization of oil and gas
properties 198,928 261,331
General and administrative 41,226 44,679
-------- --------
$382,180 $442,213
-------- --------
NET INCOME $186,851 $ 48,178
======== ========
GENERAL PARTNER - NET INCOME $ 17,161 $ 12,862
======== ========
LIMITED PARTNERS - NET INCOME $169,690 $ 35,316
======== ========
NET INCOME per unit $ 1.23 $ .26
======== ========
UNITS OUTSTANDING 138,336 138,336
======== ========
The accompanying notes are an integral
part of these financial statements.
-7-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-B
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$388,076 of sales to related
parties in 1995 (Note 2) $1,086,126 $968,818
Interest and other income 5,394 6,499
Gain (loss) on sale of oil and
gas properties 63 ( 12,242)
---------- --------
$1,091,583 $963,075
COSTS AND EXPENSES:
Lease operating $ 172,694 $210,471
Production tax 79,698 80,528
Depreciation, depletion, and
amortization of oil and gas
properties 393,134 612,254
General and administrative 86,879 85,704
---------- --------
$ 732,405 $988,957
---------- --------
NET INCOME (LOSS) $ 359,178 ($ 25,882)
========== ========
GENERAL PARTNER - NET INCOME $ 33,415 $ 23,196
========== ========
LIMITED PARTNERS - NET INCOME (LOSS) $ 325,763 ($ 49,078)
========== ========
NET INCOME (LOSS) per unit $ 2.35 ($ .35)
========== ========
UNITS OUTSTANDING 138,336 138,336
========== ========
The accompanying notes are an integral
part of these financial statements.
-8-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-B
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $359,178 ($ 25,882)
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 393,134 612,254
(Gain) loss on sale of oil and gas
properties ( 63) 12,242
Decrease in accounts receivable 15,211 6,328
Increase in deferred charge - ( 16,060)
Decrease in accounts payable ( 18,999) ( 9,517)
Increase in accrued liability - 3,114
-------- --------
Net cash provided by operating
activities $748,461 $582,479
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 19,329) ($ 16,442)
Proceeds from sale of oil and
gas properties 63 8,602
-------- --------
Net cash used by investing
activities ($ 19,266) ($ 7,840)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($723,161) ($731,000)
-------- --------
Net cash used by financing
activities ($723,161) ($731,000)
-------- --------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 6,034 ($156,361)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 311,585 404,255
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $317,619 $247,894
======== ========
The accompanying notes are an integral
part of these financial statements.
-9-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-C
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
---------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 495,186 $ 319,730
Accounts receivable:
Oil and gas sales, including
$232,323 due from related
parties in 1995 (Note 2) 512,685 461,693
---------- ----------
Total current assets $1,007,871 $ 781,423
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 6,120,492 6,723,292
DEFERRED CHARGE 67,846 67,846
---------- ----------
$7,196,209 $7,572,561
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 47,375 $ 84,760
Gas imbalance payable 22,554 22,554
---------- ----------
Total current liabilities $ 69,929 $ 107,314
ACCRUED LIABILITY $ 139,809 $ 139,809
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 143,405) ($ 125,913)
Limited Partners, issued and
outstanding, 244,536 units 7,129,876 7,451,351
---------- ----------
Total Partners' capital $6,986,471 $7,325,438
---------- ----------
$7,196,209 $7,572,561
========== ==========
The accompanying notes are an integral
part of these financial statements.
-10-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-C
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- ----------
REVENUES:
Oil and gas sales, including
$324,201 of sales to related
parties in 1995 (Note 2) $799,897 $ 729,468
Interest and other income 3,792 4,896
Loss on sale of oil and gas
properties - ( 9,477)
-------- ----------
$803,689 $ 724,887
COSTS AND EXPENSES:
Lease operating $135,484 $ 171,522
Production tax 57,825 58,965
Depreciation, depletion, and
amortization of oil and gas
properties 297,995 714,759
Impairment provision - 304,000
General and administrative 72,688 80,878
-------- ----------
$563,972 $1,330,124
-------- ----------
NET INCOME (LOSS) $239,717 ($ 605,237)
======== ==========
GENERAL PARTNER - NET INCOME $ 23,716 $ 10,489
======== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $216,001 ($ 615,726)
======== ==========
NET INCOME (LOSS) per unit $ 0.88 ($ 2.52)
======== ==========
UNITS OUTSTANDING 244,536 244,536
======== ==========
The accompanying notes are an integral
part of these financial statements.
-11-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-C
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$737,514 of sales to related
parties in 1995 (Note 2) $1,615,671 $1,407,412
Interest and other income 6,501 7,987
Gain (loss) on sale of oil and
gas properties 26 ( 13,029)
---------- ----------
$1,622,198 $1,402,370
COSTS AND EXPENSES:
Lease operating $ 280,813 $ 314,712
Production tax 116,500 110,397
Depreciation, depletion, and
amortization of oil and gas
properties 617,898 1,399,726
Impairment provision - 304,000
General and administrative 152,339 154,259
---------- ----------
$1,167,550 $2,283,094
---------- ----------
NET INCOME (LOSS) $ 454,648 ($ 880,724)
========== ==========
GENERAL PARTNER - NET INCOME $ 47,123 $ 24,113
========== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $ 407,525 ($ 904,837)
========== ==========
NET INCOME (LOSS) per unit $ 1.67 ($ 3.70)
========== ==========
UNITS OUTSTANDING 244,536 244,536
========== ==========
The accompanying notes are an integral
part of these financial statements.
-12-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-C
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- -----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $454,648 ($ 880,724)
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 617,898 1,399,726
Impairment provision - 304,000
(Gain) loss on sale of oil and gas
properties ( 26) 13,029
(Increase) decrease in accounts
receivable ( 50,992) 181,242
Decrease in deferred charge - 6,893
Decrease in accounts payable ( 37,385) ( 14,763)
Decrease in gas imbalance payable - ( 7,360)
Decrease in accrued liability - ( 18,044)
-------- ----------
Net cash provided by operating
activities $984,143 $ 983,999
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 15,098) ($ 28,071)
Proceeds from sale of oil and
gas properties 26 5,201
-------- ----------
Net cash used by investing
activities ($ 15,072) ($ 22,870)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($793,615) ($ 767,000)
-------- ----------
Net cash used by financing
activities ($793,615) ($ 767,000)
-------- ----------
NET INCREASE IN CASH AND CASH
EQUIVALENTS $175,456 $ 194,129
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 319,730 216,565
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $495,186 $ 410,694
======== ==========
The accompanying notes are an integral
part of these financial statements.
-13-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-D
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
---------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 290,938 $ 169,395
Accounts receivable:
Oil and gas sales, including
$186,231 due from related
parties in 1995 (Note 2) 345,056 365,008
---------- ----------
Total current assets $ 635,994 $ 534,403
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 3,630,445 3,887,916
DEFERRED CHARGE 41,578 41,578
---------- ----------
$4,308,017 $4,463,897
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 56,048 $ 67,198
Gas imbalance payable 9,437 9,437
---------- ----------
Total current liabilities $ 65,485 $ 76,635
ACCRUED LIABILITY $ 174,533 $ 174,533
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 46,917) ($ 36,176)
Limited Partners, issued and
outstanding, 131,008 units 4,114,916 4,248,905
---------- ----------
Total Partners' capital $4,067,999 $4,212,729
---------- ----------
$4,308,017 $4,463,897
========== ==========
The accompanying notes are an integral
part of these financial statements.
-14-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-D
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- ---------
REVENUES:
Oil and gas sales, including
$193,507 of sales to related
parties in 1995 (Note 2) $562,880 $488,586
Interest and other income 2,189 2,474
-------- --------
$565,069 $491,060
COSTS AND EXPENSES:
Lease operating $152,858 $153,074
Production tax 39,541 36,713
Depreciation, depletion, and
amortization of oil and gas
properties 104,074 367,166
General and administrative 39,041 45,955
-------- --------
$335,514 $602,908
-------- --------
NET INCOME (LOSS) $229,555 ($111,848)
======== ========
GENERAL PARTNER - NET INCOME $ 15,531 $ 9,404
======== ========
LIMITED PARTNERS - NET INCOME (LOSS) $214,024 ($120,942)
======== ========
NET INCOME (LOSS) per unit $ 1.63 ($ .92)
======== ========
UNITS OUTSTANDING 131,008 131,008
======== ========
The accompanying notes are an integral
part of these financial statements.
-15-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-D
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$418,646 of sales to related
parties in 1995 (Note 2) $1,097,416 $1,025,264
Interest and other income 3,873 4,102
---------- ----------
$1,101,289 $1,029,366
COSTS AND EXPENSES:
Lease operating $ 313,658 $ 316,446
Production tax 76,681 75,880
Depreciation, depletion, and
amortization of oil and gas
properties 273,476 780,290
General and administrative 81,941 85,927
---------- ----------
$ 745,756 $1,258,543
---------- ----------
NET INCOME (LOSS) $ 355,533 ($ 229,177)
========== ==========
GENERAL PARTNER - NET INCOME $ 28,522 $ 19,753
========== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $ 327,011 ($ 248,930)
========== ==========
NET INCOME (LOSS) per unit $ 2.50 ($ 1.90)
========== ==========
UNITS OUTSTANDING 131,008 131,008
========== ==========
The accompanying notes are an integral
part of these financial statements.
-16-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-D
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- ---------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $355,533 ($229,177)
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 273,476 780,290
(Increase) decrease in accounts
receivable 19,952 ( 31,719)
Decrease in deferred charge - 959
Decrease in accounts payable ( 11,150) ( 23,703)
Decrease in accrued liability - ( 9,462)
-------- --------
Net cash provided by operating
activities $637,811 $487,188
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 16,005) ($ 5,655)
-------- --------
Net cash used by investing
activities ($ 16,005) ($ 5,655)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($500,263) ($379,000)
-------- --------
Net cash used by financing
activities ($500,263) ($379,000)
-------- --------
NET INCREASE IN CASH AND CASH
EQUIVALENTS $121,543 $102,533
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 169,395 215,899
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $290,938 $318,432
======== ========
The accompanying notes are an integral
part of these financial statements.
-17-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-E
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
----------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 960,058 $ 665,050
Accounts receivable:
Oil and gas sales, including
$574,916 due from related
parties in 1995 (Note 2) 1,259,473 1,574,465
----------- -----------
Total current assets $ 2,219,531 $ 2,239,515
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 13,581,678 14,521,982
DEFERRED CHARGE 351,769 351,769
----------- -----------
$16,152,978 $17,113,266
=========== ===========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 357,059 $ 388,772
Gas imbalance payable 120,272 120,272
----------- -----------
Total current liabilities $ 477,331 $ 509,044
ACCRUED LIABILITY $ 412,184 $ 412,184
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 179,427) ($ 127,750)
Limited Partners, issued and
outstanding, 418,266 units 15,442,890 16,319,788
----------- -----------
Total Partners' capital $15,263,463 $16,192,038
----------- -----------
$16,152,978 $17,113,266
=========== ===========
The accompanying notes are an integral
part of these financial statements.
-18-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-E
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$477,180 of sales to related
parties in 1995 (Note 2) $2,123,185 $2,032,397
Interest and other income 8,656 3,813
Loss on sale of oil and gas
properties - ( 14,383)
---------- ----------
$2,131,841 $2,021,827
COSTS AND EXPENSES:
Lease operating $ 924,800 $1,014,885
Production tax 146,665 161,383
Depreciation, depletion, and
amortization of oil and gas
properties 478,518 795,755
General and administrative 124,033 152,017
---------- ----------
$1,674,016 $2,124,040
---------- ----------
NET INCOME (LOSS) $ 457,825 ($ 102,213)
========== ==========
GENERAL PARTNER - NET INCOME $ 42,032 $ 26,719
========== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $ 415,793 ($ 128,932)
========== ==========
NET INCOME (LOSS) per unit $ 0.99 ($ 0.31)
========== ==========
UNITS OUTSTANDING 418,266 418,266
========== ==========
The accompanying notes are an integral
part of these financial statements.
-19-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-E
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$968,428 of sales to related
parties in 1995 (Note 2) $4,155,385 $4,575,163
Interest and other income 16,176 10,227
Loss on sale of oil and gas
properties - ( 13,418)
---------- ----------
$4,171,561 $4,571,972
COSTS AND EXPENSES:
Lease operating $1,771,522 $2,110,831
Production tax 282,409 351,501
Depreciation, depletion, and
amortization of oil and gas
properties 963,919 1,869,286
General and administrative 260,386 281,881
---------- ----------
$3,278,236 $4,613,499
---------- ----------
NET INCOME (LOSS) $ 893,325 ($ 41,527)
========== ==========
GENERAL PARTNER - NET INCOME $ 83,223 $ 72,695
========== ==========
LIMITED PARTNERS - NET INCOME (LOSS) $ 810,102 ($ 114,222)
========== ==========
NET INCOME (LOSS) per unit $ 1.94 ($ .27)
========== ==========
UNITS OUTSTANDING 418,266 418,266
========== ==========
The accompanying notes are an integral
part of these financial statements.
-20-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-E
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) $ 893,325 ($ 41,527)
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 963,919 1,869,286
Gain on sale of oil and gas
properties - 13,418
(Increase) decrease in accounts
receivable 314,992 ( 18,056)
Decrease in deferred charge - 46,761
Decrease in accounts payable ( 31,713) ( 386,300)
Decrease in accrued liability - ( 61,374)
---------- ----------
Net cash provided by operating
activities $2,140,523 $1,422,208
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 23,615) ($ 342,381)
Proceeds from sale of oil and
gas properties - 1,619
---------- ----------
Net cash used by investing
activities ($ 23,615) ($ 340,762)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($1,821,900) ($1,552,000)
---------- ----------
Net cash used by financing
activities ($1,821,900) ($1,552,000)
---------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 295,008 ($ 470,554)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 665,050 1,164,489
---------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $ 960,058 $ 693,935
========== ==========
The accompanying notes are an integral
part of these financial statements.
-21-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-F
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
---------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 338,167 $ 324,616
Accounts receivable:
Oil and gas sales, including
$131,943 due from related
parties in 1995 (Note 2) 451,507 413,249
---------- ----------
Total current assets $ 789,674 $ 737,865
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 7,812,447 8,463,035
DEFERRED CHARGE 237,269 237,269
---------- ----------
$8,839,390 $9,438,169
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 159,497 $ 163,289
Gas imbalance payable 97,233 97,233
---------- ----------
Total current liabilities $ 256,730 $ 260,522
ACCRUED LIABILITY $ 261,411 $ 261,411
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 102,297) ($ 70,576)
Limited Partners, issued and
outstanding, 221,484 units 8,423,546 8,986,812
---------- ----------
Total Partners' capital $8,321,249 $8,916,236
---------- ----------
$8,839,390 $9,438,169
========== ==========
The accompanying notes are an integral
part of these financial statements.
-22-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-F
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- ---------
REVENUES:
Oil and gas sales, including
$218,506 of sales to related
parties in 1995 (Note 2) $736,246 $ 772,454
Interest and other income 2,613 488
Gain on sale of oil and gas
properties - 9,225
-------- ----------
$738,859 $ 782,167
COSTS AND EXPENSES:
Lease operating $362,323 $ 400,786
Production tax 39,670 47,798
Depreciation, depletion, and
amortization of oil and gas
properties 340,183 522,059
Impairment provision - 219,000
General and administrative 65,817 75,287
-------- ----------
$807,993 $1,264,930
-------- ----------
NET LOSS ($ 69,134) ($ 482,763)
======== ==========
GENERAL PARTNER - NET INCOME $ 10,150 $ 5,504
======== ==========
LIMITED PARTNERS - NET LOSS ($ 79,284) ($ 488,267)
======== ==========
NET LOSS per unit ($ 0.36) ($ 2.20)
======== ==========
UNITS OUTSTANDING 221,484 221,484
======== ==========
The accompanying notes are an integral
part of these financial statements.
-23-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-F
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
---------- -----------
REVENUES:
Oil and gas sales, including
$481,047 of sales to related
parties in 1995 (Note 2) $1,456,314 $1,477,187
Interest and other income 5,104 2,314
Gain on sale of oil and gas
properties - 9,703
---------- ----------
$1,461,418 $1,489,204
COSTS AND EXPENSES:
Lease operating $ 632,668 $ 768,101
Production tax 78,525 89,183
Depreciation, depletion, and
amortization of oil and gas
properties 650,286 1,070,525
Impairment provision - 219,000
General and administrative 138,102 142,592
---------- ----------
$1,499,581 $2,289,401
---------- ----------
NET LOSS ($ 38,163) ($ 800,197)
========== ==========
GENERAL PARTNER - NET INCOME $ 24,103 $ 11,571
========== ==========
LIMITED PARTNERS - NET LOSS ($ 62,266) ($ 811,768)
========== ==========
NET LOSS per unit ($ 0.28) ($ 3.67)
========== ==========
UNITS OUTSTANDING 221,484 221,484
========== ==========
The accompanying notes are an integral
part of these financial statements.
-24-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-F
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
--------- -----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss ($ 38,163) ($ 800,197)
Adjustments to reconcile net loss to
net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 650,286 1,070,525
Impairment provision - 219,000
Gain on sale of oil and gas
properties - ( 9,703)
Increase in accounts receivable ( 38,258) ( 54,024)
Increase in deferred charge - ( 17,682)
Decrease in accounts payable ( 3,792) ( 115,029)
Increase in accrued liability - 23,655
-------- ----------
Net cash provided by operating
activities $570,073 $ 316,545
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 6,005) ($ 287,905)
Proceeds from sale of oil and
gas properties 6,307 25,154
-------- ----------
Net cash provided (used) by
investing activities $ 302 ($ 262,751)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($556,824) ($ 294,000)
-------- ----------
Net cash used by financing
activities ($556,824) ($ 294,000)
-------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 13,551 ($ 240,206)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 324,616 302,171
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $338,167 $ 61,965
======== ==========
The accompanying notes are an integral
part of these financial statements.
-25-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-G
BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1996 1995
---------- -----------
CURRENT ASSETS:
Cash and cash equivalents $ 191,694 $ 188,474
Accounts receivable:
Oil and gas sales, including
$69,792 due from related
parties in 1995 (Note 2) 286,129 258,324
---------- ----------
Total current assets $ 477,823 $ 446,798
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 4,420,964 4,820,243
DEFERRED CHARGE 148,234 148,234
---------- ----------
$5,047,021 $5,415,275
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 96,170 $ 99,578
Gas imbalance payable 48,600 48,600
---------- ----------
Total current liabilities $ 144,770 $ 148,178
ACCRUED LIABILITY $ 157,334 $ 157,334
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 61,441) ($ 26,964)
Limited Partners, issued and
outstanding, 121,925 units 4,806,358 5,136,727
---------- ----------
Total Partners' capital $4,744,917 $5,109,763
---------- ----------
$5,047,021 $5,415,275
========== ==========
The accompanying notes are an integral
part of these financial statements.
-26-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-G
STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- ---------
REVENUES:
Oil and gas sales, including
$114,794 of sales to related
parties in 1995 (Note 2) $476,200 $481,724
Interest and other income 1,359 406
Gain on sale of oil and gas
properties 4,260 7,396
-------- --------
$472,819 $489,526
COSTS AND EXPENSES:
Lease operating $236,277 $246,738
Production tax 24,777 28,763
Depreciation, depletion, and
amortization of oil and gas
properties 209,401 296,492
Impairment provision - 150,000
General and administrative 36,346 42,070
-------- --------
$506,801 $764,063
-------- --------
NET LOSS ($ 33,982) ($274,537)
======== ========
GENERAL PARTNER - NET INCOME $ 6,677 $ 4,133
======== ========
LIMITED PARTNERS - NET LOSS ($ 40,659) ($278,670)
======== ========
NET LOSS per unit ($ 0.33) ($ 2.29)
======== ========
UNITS OUTSTANDING 121,925 121,925
======== ========
The accompanying notes are an integral
part of these financial statements.
-27-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-G
STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
-------- ---------
REVENUES:
Oil and gas sales, including
$251,828 of sales to related
parties in 1995 (Note 2) $923,265 $ 922,809
Interest and other income 2,655 1,213
Gain on sale of oil and gas
properties 4,496 8,773
-------- ----------
$930,416 $ 932,795
COSTS AND EXPENSES:
Lease operating $415,417 $ 481,289
Production tax 49,106 52,699
Depreciation, depletion, and
amortization of oil and gas
properties 404,718 606,769
Impairment provision - 150,000
General and administrative 76,102 79,374
-------- ----------
$945,343 $1,370,131
-------- ----------
NET LOSS ($ 14,927) ($ 437,336)
======== ==========
GENERAL PARTNER - NET INCOME $ 15,442 $ 8,404
======== ==========
LIMITED PARTNERS - NET LOSS ($ 30,369) ($ 445,740)
======== ==========
NET LOSS per unit ($ 0.25) ($ 3.66)
======== ==========
UNITS OUTSTANDING 121,925 121,925
======== ==========
The accompanying notes are an integral
part of these financial statements.
-28-
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-G
STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1996 AND 1995
(Unaudited)
1996 1995
--------- ---------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss ($ 14,927) ($437,336)
Adjustments to reconcile net loss to
net cash provided by operating
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 404,718 606,769
Impairment provision - 150,000
Gain on sale of oil and gas
properties ( 4,496) ( 8,773)
Increase in accounts receivable ( 27,805) ( 29,030)
Increase in deferred charge - ( 13,859)
Decrease in accounts payable ( 3,408) ( 118,763)
Increase in accrued liability - 17,968
-------- --------
Net cash provided by operating
activities $354,082 $166,976
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 5,439) ($147,438)
Proceeds from sale of oil and
gas properties 4,496 17,757
-------- --------
Net cash used by investing
activities ($ 943) ($129,681)
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($349,919) ($168,000)
-------- --------
Net cash used by financing
activities ($349,919) ($168,000)
-------- --------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 3,220 ($130,705)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 188,474 157,841
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $191,694 $ 27,136
======== ========
The accompanying notes are an integral
part of these financial statements.
-29-
GEODYNE ENERGY INCOME PROGRAM III LIMITED PARTNERSHIPS
CONDENSED NOTES TO THE FINANCIAL STATEMENTS
JUNE 30, 1996
(Unaudited)
1. ACCOUNTING POLICIES
-------------------
The balance sheets as of June 30, 1996, statements of operations
for the three and six months ended June 30, 1996 and 1995 and
statements of cash flows for the six months ended June 30, 1996 and
1995 have been prepared by Geodyne Resources, Inc., the general
partner of the Partnerships (the "General Partner"). In the opinion
of management the financial statements referred to above include all
necessary adjustments, consisting of normal recurring adjustments, to
present fairly the financial position at June 30, 1996, the results of
operations for the three and six months ended June 30, 1996 and 1995
and the cash flows for the six months ended June 30, 1996 and 1995.
Information and footnote disclosures normally included in
financial statements prepared in accordance with generally accepted
accounting principles have been condensed or omitted. The
accompanying interim financial statements should be read in
conjunction with the Partnerships' Annual Report on Form 10-K filed
for the year ended December 31, 1995. The results of operations for
the period ended June 30, 1996 are not necessarily indicative of the
results to be expected for the full year.
The Limited Partners' net income or loss per unit is based upon
each $100 initial capital contribution.
OIL AND GAS PROPERTIES
----------------------
The Partnerships follow the successful efforts method of
accounting for their oil and gas properties. Under the successful
efforts method, the Partnerships capitalize all property acquisition
costs and development costs incurred in connection with the further
development of oil and gas reserves. Property acquisition costs
include costs incurred by the Partnerships or the General Partner to
acquire producing properties, including related title insurance or
examination costs, commissions, engineering, legal and accounting
fees, and similar costs directly related to the acquisitions. The
acquisition cost to the Partnerships of properties acquired by the
General Partner is adjusted to reflect the net cash results of
operations, including interest incurred to finance the acquisition,
for the period of time the properties are held by the General Partner.
Leasehold impairment is recognized based upon an individual property
assessment and exploratory experience. Upon discovery of commercial
reserves, leasehold costs are transferred to producing properties.
-30-
Depletion of the costs of producing oil and gas properties,
amortization of related intangible drilling and development costs, and
depreciation of tangible lease and well equipment are computed on the
unit-of-production method.
When complete units of depreciable property are retired or sold,
the asset cost and related accumulated depreciation are eliminated
with any gain or loss reflected in income. When less than complete
units of depreciable property are retired or sold, the difference
between asset cost and salvage value is charged or credited to
accumulated depreciation.
Effective October 1, 1995, the Partnerships adopted the
requirements of Statement of Financial Accounting Standards ("SFAS")
No. 121, "Accounting for the Impairment of Long Lived Assets and
Assets Held for Disposal". SFAS No. 121 provides that if the
unamortized costs of oil and gas properties for each field exceed the
expected undiscounted future cash flows from such properties, the cost
of the properties is written down to fair value, which is determined
by using the discounted future cash flows from the properties. Under
the Partnerships' prior impairment policy if the net oil and gas
properties as a whole exceeded the estimated undiscounted future net
revenues of the properties, a valuation allowance would be recorded
for the excess amount. The risk that the Partnerships will be
required to record such impairment provisions in the future increases
when oil and gas prices are depressed.
2. TRANSACTIONS WITH RELATED PARTIES
---------------------------------
The Partnership Agreements governing the Partnerships provide for
reimbursement to the General Partner for all direct general and
administrative expenses and for the general and administrative
overhead applicable to the Partnerships based on an allocation of
actual costs incurred by the General Partner. During the six months
ended June 30, 1996 the following payments were made to the General
Partner or its affiliates by the Partnerships:
Direct General Administrative
Partnership and Administrative Overhead
----------- ----------------- --------------
III-A $25,878 $138,936
III-B 14,069 72,810
III-C 23,633 128,706
III-D 12,989 68,952
III-E 40,246 220,140
III-F 21,535 116,568
III-G 11,932 64,170
-31-
An affiliated company is the operator of certain of the
Partnerships' properties and its policy is to bill the Partnerships
for all customary charges and cost reimbursements associated with
these activities, together with any compressor rentals, consulting, or
other services provided.
During 1995, the Partnerships sold gas at market prices to
Premier Gas Company ("Premier") and Premier then resold such gas to
third parties at market prices. Premier was an affiliate of the
Partnerships until December 6, 1995. The following is a summary of
these sales during the three and six months ended June 30, 1995 and
the amount of the Partnerships' accrued oil and gas sales due from
Premier at June 30, 1995 and December 31, 1995.
Accrued
Gas Sales Gas Sales Oil and Gas Sales
-------------- -------------- -----------------
3 Months Ended 6 Months Ended As of
June 30, 1995 June 30, 1995 December 31, 1995
-------------- -------------- -----------------
III-A $436,080 $831,170 $349,181
III-B 205,547 388,076 169,725
III-C 324,201 737,514 232,323
III-D 193,507 418,646 186,231
III-E 477,180 968,428 574,916
III-F 218,506 481,047 131,943
III-G 114,794 251,828 69,792
-32-
ITEM 2: MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL
CONDITION AND RESULTS OF OPERATIONS
GENERAL
-------
The Partnerships are engaged in the business of owning interests
in producing oil and gas properties located in the continental United
States. In general, a Partnership acquired producing properties and
has not engaged in development drilling or enhanced recovery projects,
except as an incidental part of the management of the producing
properties acquired. Therefore, the economic life of each Partnership
is limited to the period of time required to fully produce its
acquired oil and gas reserves. The net proceeds from the oil and gas
operations are distributed to the Limited Partners and the General
Partner in accordance with the terms of the Partnership Agreements
governing the Partnerships.
LIQUIDITY AND CAPITAL RESOURCES
-------------------------------
The Partnerships began operations and investors were assigned
their rights as Limited Partners, having made capital contributions in
the amounts and on the dates set forth below:
Limited
Date of Partner Capital
Partnership Activation Contributions
----------- ------------------ ---------------
III-A November 21, 1989 $26,397,600
III-B January 24, 1990 13,833,600
III-C February 27, 1990 24,453,600
III-D September 5, 1990 13,100,800
III-E December 26, 1990 41,826,600
III-F March 7, 1991 22,148,400
III-G September 20, 1991 12,192,500
In general, the amount of funds available for acquisition of
producing properties was equal to the capital contributions of the
Limited Partners, less 15% for sales commissions and organization and
management fees. All of the Partnerships have fully invested their
capital contributions.
Net proceeds from the Partnerships' operations less necessary
operating capital are distributed to the Partnerships' Limited
Partners on a quarterly basis. Revenues and net proceeds of a
Partnership are largely dependent upon the volumes of oil and gas sold
and the prices received for such oil and gas. Over the last several
years, the domestic energy industry and the Partnerships have
contended with volatile, but generally low, oil and gas prices. Over
the last few years, the oil and gas market appears to have moved from
-33-
periods of relative stability in supply and demand to excess supply or
weakened demand. These trends have led to the volatility in pricing
and demand noted over the past years. While the General Partner
cannot predict future pricing trends, it believes the working capital
available as of June 30, 1996 and the net revenue generated from
future operations will provide sufficient working capital to meet
current and future obligations of the Partnerships.
RESULTS OF OPERATIONS
---------------------
An analysis of the change in net oil and gas operations (oil and
gas sales, less lease operating expenses and production taxes), is
presented in the tables within "Results of Operations". Generally,
the Partnerships' operations during the six months ended June 30, 1996
reflected an increase in total oil and gas sales compared to the same
periods in 1995. Management believes this increase generally resulted
from an increase in oil and gas prices received by the Partnerships.
Refer to "Liquidity and Capital Resources" above for a discussion of
factors impacting prices and production volumes.
PARTNERSHIP III-A
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
-------- --------
Oil and gas sales $996,946 $849,738
Oil and gas production expenses $256,929 $252,076
Barrels produced 12,660 13,790
Mcf produced 373,479 422,102
Average price/Bbl $ 20.04 $ 17.69
Average price/Mcf $ 1.99 $ 1.44
Total oil and gas sales increased $147,208 (17.3%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this increase, $264,563 was related to the increase in
the average prices of oil and natural gas sold, partially offset by a
$119,405 decrease related to the decreases in the volumes of oil and
natural gas sold. Volumes of oil and natural gas sold decreased by
1,130 barrels and 48,623 Mcf, respectively, for the three months ended
June 30, 1996 as compared to the three months ended June 30, 1995.
Average oil and natural gas prices increased to $20.04 per barrel and
$1.99 per Mcf, respectively, for the three months ended June 30, 1996
from $17.69 per barrel and $1.44 per Mcf, respectively, for the three
months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) remained relatively constant for the three months
ended June 30, 1996 as compared to the three months ended June 30,
-34-
1995. As a percentage of oil and gas sales, these expenses decreased
to 25.8% for the three months ended June 30, 1996 from 29.7% for the
three months ended June 30, 1995. This percentage decrease was
primarily due to the increases in the average prices of oil and
natural gas sold during the three months ended June 30, 1996 as
compared to the three months ended June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $260,634 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily due to (i) significant upward revisions in the estimates
of remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of oil and natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 35.8% for
the three months ended June 30, 1996 from 72.7% for the three months
ended June 30, 1995. This percentage decrease was primarily related
to the impairment provision and reserve revisions discussed above and
the increases in the average prices of oil and natural gas sold during
the three months ended June 30, 1996 as compared to the three months
ended June 30, 1995.
An impairment provision to reduce the carrying value of the III-A
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the three months ended June 30, 1996.
General and administrative expenses decreased by $6,951 for the
three months ended June 30, 1996 as compared to the three months
ended June 30, 1995. This decrease was primarily a result of
decreases in the III-A Partnership's professional fees and printing
and postage fees during the three months ended June 30, 1996 as
compared to the three months ended June 30, 1995. As a percentage of
oil and gas sales, these expenses decreased to 7.9% for the three
months ended June 30, 1996 from 10.0% for the three months ended June
30, 1995. This percentage decrease was primarily due to the increases
in the average prices oil and natural gas sold during the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995.
-35-
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
---------- ----------
Oil and gas sales $1,906,916 $1,721,546
Oil and gas production expenses $ 466,679 $ 550,529
Barrels produced 25,282 27,969
Mcf produced 740,714 823,880
Average price/Bbl $ 19.67 $ 17.62
Average price/Mcf $ 1.90 $ 1.49
Total oil and gas sales increased $185,370 (10.8%) for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. Of this increase, $395,127 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
$210,868 decrease related to the decreases in the volumes of oil and
natural gas sold. Volumes of oil and natural gas sold decreased by
2,687 barrels and 83,166 Mcf, respectively, for the six months ended
June 30, 1996 as compared to the six months ended June 30, 1995.
Average oil and natural gas prices increased to $19.67 per barrel and
$1.90 per Mcf, respectively, for the six months ended June 30, 1996
from $17.62 per barrel and $1.49 per Mcf, respectively, for the six
months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased by $83,850 for the six months ended June
30, 1996 as compared to the six months ended June 30, 1995. This
decrease was primarily due to (i) an ownership percentage adjustment
made by the operator on one property during the six months ended June
30, 1995, (ii) workover charges incurred on one well during the six
months ended June 30, 1995 in order to improve recovery of reserves,
and (iii) lower general repair and maintenance expenses incurred on
several wells during the six months ended June 30, 1996 as compared to
the six months ended June 30, 1995. As a percentage of oil and gas
sales, these expenses decreased to 24.5% for the six months ended June
30, 1996 from 32.0% for the six months ended June 30, 1995. This
percentage decrease was primarily due to the dollar decrease in direct
operating expenses mentioned above and the increases in the average
prices of oil and natural gas sold during the six months ended June
30, 1996 as compared to the six months ended June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $569,490 for the six months ended June 30, 1996
as compared to the six months ended June 30, 1995. This decrease was
primarily due to (i) significant upward revisions in the estimates of
remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of oil and natural gas sold during the six months
ended June 30, 1996 as compared to the six months ended June 30, 1995,
and (iii) a decrease in capitalized costs due to an impairment
provision recognized in the fourth quarter of 1995. As a percentage
-36-
of oil and gas sales, this expense decreased to 37.0% for the six
months ended June 30, 1996 from 74.1% for the six months ended June
30, 1995. This percentage decrease was primarily related to the
impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
An impairment provision to reduce the carrying value of the III-A
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the six months ended June 30, 1996.
General and administrative expenses remained relatively constant
for the six months ended June 30, 1996 as compared to the six months
ended June 30, 1995. As a percentage of oil and gas sales, these
expenses remained relatively constant at 8.6% for the six months ended
June 30, 1996 as compared to 9.5% for the six months ended June 30,
1995.
The Limited Partners have received cash distributions through
June 30, 1996 totaling $19,265,701 or 72.98% of Limited Partners'
capital contributions.
PARTNERSHIP III-B
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
-------- --------
Oil and gas sales $566,244 $491,669
Oil and gas production expenses $142,026 $136,203
Barrels produced 9,657 9,844
Mcf produced 191,237 222,285
Average price/Bbl $ 20.22 $ 17.95
Average price/Mcf $ 1.94 $ 1.42
Total oil and gas sales increased $74,575 (15.2%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this increase, $137,934 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
$60,233 decrease related to the decrease in the volumes of natural gas
sold. Volumes of oil and natural gas sold decreased by 187 barrels
and 31,048 Mcf, respectively, for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. Average oil and
natural gas prices increased to $20.22 per barrel and $1.94 per Mcf,
respectively, for the three months ended June 30, 1996 from $17.95
-37-
per barrel and $1.42 per Mcf, respectively, for the three months ended
June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) increased by $5,823 for the three months ended June
30, 1996 as compared to the three months ended June 30, 1995. This
increase was primarily due to an increase in production taxes as a
result of the increases in the average prices of oil and natural gas
sold during the three months ended June 30, 1996 as compared to the
three months ended June 30, 1995. As a percentage of oil and gas
sales, these expenses decreased to 25.1% for the three months ended
June 30, 1996 from 27.7% for the three months ended June 30, 1995.
This percentage decrease was primarily due to the increases in the
average prices of oil and natural gas sold during the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $62,403 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily due to (i) significant upward revisions in the estimates
of remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of oil and natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 35.1% for
the three months ended June 30, 1996 from 53.2% for the three months
ended June 30, 1995. This percentage decrease was primarily due to
the impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995.
General and administrative expenses decreased by $3,453 for the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995. This decrease resulted primarily from decreases in the
III-B Partnership's professional fees and printing and postage
expenses during the three months ended June 30, 1996 as compared to
the three months ended June 30, 1995. As a percentage of oil and gas
sales, these expenses decreased to 7.3% for the three months ended
June 30, 1996 from 9.1% for the three months ended June 30, 1995.
This percentage decrease was primarily due to the increases in the
average prices of oil and gas sold during the three months ended June
30, 1996 as compared to the three months ended June 30, 1995.
-38-
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
---------- --------
Oil and gas sales $1,086,126 $968,818
Oil and gas production expenses $ 252,392 $290,999
Barrels produced 19,408 20,276
Mcf produced 375,994 413,064
Average price/Bbl $ 19.75 $ 17.77
Average price/Mcf $ 1.87 $ 1.47
Total oil and gas sales increased $117,308 (12.1%) for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. Of this increase, $205,372 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
$86,464 decrease related to the decreases in the volumes of oil and
natural gas sold. Volumes of oil and natural gas sold decreased by
868 barrels and 37,070 Mcf, respectively, for the six months ended
June 30, 1996 as compared to the six months ended June 30, 1995.
Average oil and natural gas prices increased to $19.75 per barrel and
$1.87 per Mcf, respectively, for the six months ended June 30, 1996
from $17.77 per barrel and $1.47 per Mcf, respectively, for the six
months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased by $38,607 for the six months ended June
30, 1996 as compared to the six months ended June 30, 1995. This
decrease was primarily due to (i) an ownership percentage adjustment
made by the operator on one property during the six months ended June
30, 1995 and (ii) lower general repair and maintenance expenses
incurred on several wells during the six months ended June 30, 1996 as
compared to the six months ended June 30, 1995. As a percentage of
oil and gas sales, these expenses decreased to 23.2% for the six
months ended June 30, 1996 from 30.0% for the six months ended June
30, 1995. This percentage decrease was primarily due to the increases
in the average prices of oil and natural gas sold during the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $219,120 for the six months ended June 30, 1996
as compared to the six months ended June 30, 1995. This decrease was
primarily due to (i) significant upward revisions in the estimates of
remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of oil and natural gas sold during the six months
ended June 30, 1996 as compared to the six months ended June 30, 1995,
and (iii) a decrease in capitalized costs due to an impairment
provision recognized in the fourth quarter of 1995. As a percentage
of oil and gas sales, this expense decreased to 36.2% for the six
-39-
months ended June 30, 1996 from 63.2% for the six months ended June
30, 1995. This percentage decrease was primarily due to the
impairment provision and the reserve revisions discussed above and
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
General and administrative expenses remained relatively constant
for the six months ended June 30, 1996 as compared to the six months
ended June 30, 1995. As a percentage of oil and gas sales, these
expenses remained relatively constant at 8.0% for the six months ended
June 30, 1996 as compared to 8.8% for the six months ended June 30,
1995.
The Limited Partners have received cash distributions through
June 30, 1996 totaling $11,277,353 or 81.52% of Limited Partners'
capital contributions.
PARTNERSHIP III-C
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
-------- --------
Oil and gas sales $799,897 $729,468
Oil and gas production expenses $193,309 $230,487
Barrels produced 6,651 7,331
Mcf produced 355,664 441,139
Average price/Bbl $ 20.60 $ 18.32
Average price/Mcf $ 1.86 $ 1.35
Total oil and gas sales increased $70,429 (9.7%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this increase, $241,696 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
$172,992 decrease related to the decreases in the volumes of oil and
natural gas sold. Volumes of oil and natural gas sold decreased by
680 barrels and 85,475 Mcf, respectively, for the three months ended
June 30, 1996 as compared to the three months ended June 30, 1995.
This decrease in the volumes of oil and gas sold resulted primarily
from (i) positive prior period volume adjustments made by the
purchaser on one well during the three months ended June 30, 1995 and
(ii) the normal decline in production on another well during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Average oil and natural gas prices increased to $20.60 per
barrel and $1.86 per Mcf, respectively, for the three months ended
June 30, 1996 from $18.32 per barrel and $1.35 per Mcf, respectively,
for the three months ended June 30, 1995.
-40-
Direct operating expenses (including lease operating expenses and
production taxes) decreased $37,178 for the three months ended June
30, 1996 as compared to the three months ended June 30, 1995. This
decrease primarily resulted from positive prior period adjustments for
compression expenses made by the operator of several wells during the
three months ended June 30, 1995. As a percentage of oil and gas
sales, these expenses decreased to 24.2% for the three months ended
June 30, 1996 from 31.6% for the three months ended June 30, 1995.
This percentage decrease resulted primarily from the increases in the
average prices of oil and natural gas sold during the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $416,764 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily due to (i) significant upward revisions in the estimates
of remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of oil and natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 37.2% for
the three months ended June 30, 1996 from 98.0% for the three months
ended June 30, 1995. This percentage decrease was primarily due to
the impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995.
An impairment provision to reduce the carrying value of the III-C
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the three months ended June 30, 1996.
General and administrative expenses decreased $8,210 for the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
decreased to 9.1% for the three months ended June 30, 1996 from 11.1%
for the three months ended June 30, 1995 primarily due to the
increases in the average prices of oil and natural gas sold during the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995.
-41-
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
---------- ----------
Oil and gas sales $1,615,671 $1,407,412
Oil and gas production expenses $ 397,313 $ 425,109
Barrels produced 14,680 13,986
Mcf produced 732,140 866,121
Average price/Bbl $ 19.36 $ 17.81
Average price/Mcf $ 1.82 $ 1.34
Total oil and gas sales increased $208,259 (14.8%) for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. Of this the increase, $437,416 was related to the increases
in the average prices of oil sold and natural gas sold, partially
offset by a $243,845 decrease related to the decrease in the volumes
of natural gas sold. Volumes of oil sold increased by 694 barrels for
the six months ended June 30, 1996 as compared to the six months ended
June 30, 1995, while volumes of natural gas sold decreased 133,981 Mcf
for the six months ended June 30, 1996 as compared to the six months
ended June 30, 1995. The decrease in the volumes of natural gas sold
resulted primarily from (i) positive prior period volume adjustments
made by the purchaser on one well during the six months ended June 30,
1995 and (ii) the normal decline in production on another well during
the six months ended June 30, 1995 as compared to the six months ended
June 30, 1996. Average oil and natural gas prices increased to $19.36
per barrel and $1.82 per Mcf, respectively, for the six months ended
June 30, 1996 from $17.81 per barrel and $1.34 per Mcf, respectively,
for the six months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $27,796 for the six months ended June 30,
1996 as compared to the six months ended June 30, 1995. This decrease
resulted primarily from (i) a decrease in equipment rental charges on
one well during the six months ended June 30, 1996 as compared to the
six months ended June 30, 1995 and (ii) positive prior period
adjustments for compression expenses made by the operator of several
wells during the six months ended June 30, 1995. As a percentage of
oil and gas sales, these expenses decreased to 24.6% for the six
months ended June 30, 1996 as compared to 30.2% for the six months
ended June 30, 1995. This percentage decrease resulted primarily from
the increases in the average prices of oil and natural gas sold during
the six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $781,828 for the six months ended June 30, 1996
as compared to the six months ended June 30, 1995. This decrease was
primarily due to (i) significant upward revisions in the estimates of
remaining oil and natural gas reserves at December 31, 1995, (ii)
-42-
decreases in volumes of natural gas sold during the six months ended
June 30, 1996 as compared to the six months ended June 30, 1995, and
(iii) a decrease in capitalized costs due to an impairment provision
recognized in the fourth quarter of 1995. As a percentage of oil and
gas sales, this expense decreased to 38.2% for the six months ended
June 30, 1996 from 99.5% for the six months ended June 30, 1995. This
percentage decrease was primarily due to the impairment provision and
reserve revisions discussed above and increases in the average prices
of oil and natural gas sold during the six months ended June 30, 1996
as compared to the six months ended June 30, 1995.
An impairment provision to reduce the carrying value of the III-C
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the six months ended June 30, 1996.
General and administrative expenses remained relatively constant
for the six months ended June 30, 1996 as compared to the six months
ended June 30, 1995. As a percentage of oil and gas sales, these
expenses remained relatively constant at 9.4% for the six months ended
June 30, 1996 as compared to 11.0% for the six months ended June 30,
1995.
The Limited Partners have received cash distributions through
June 30, 1996 totaling $11,882,795 or 48.59% of Limited Partners'
capital contributions.
PARTNERSHIP III-D
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
-------- --------
Oil and gas sales $562,880 $488,586
Oil and gas production expenses $192,399 $189,787
Barrels produced 11,200 11,113
Mcf produced 175,787 224,722
Average price/Bbl $ 19.68 $ 17.36
Average price/Mcf $ 1.95 $ 1.32
Total oil and gas sales increased $74,294 (15.2%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this increase, $167,357 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
decrease of $95,423 related to the decrease in the volumes of natural
gas sold. Volumes of oil sold increased by 87 barrels for the three
months ended June 30, 1996 as compared to the three months ended June
-43-
30, 1995, while volumes of natural gas sold decreased by 48,935 Mcf
for the three months ended June 30, 1996 as compared to the three
months ended June 30, 1995. The decrease in the volumes of natural
gas old resulted primarily from positive prior period volume
adjustments made by the purchasers on several wells during the three
months ended June 30, 1995. Average oil and natural gas prices
increased to $19.68 per barrel and $1.95 per Mcf, respectively, for
the three months ended June 30, 1996 from $17.36 per barrel and $1.32
per Mcf, respectively, for the three months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) remained relatively constant for the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995. As a percentage of oil and gas sales, these expenses decreased
to 34.2% for the three months ended June 30, 1996 from 38.8% for the
three months ended June 30, 1995. This percentage decrease resulted
primarily from the increases in the average prices of oil and natural
gas sold during the three months ended June 30, 1996 as compared to
the three months ended June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $263,092 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily due to (i) significant upward revisions in the estimates
of remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of natural gas sold during the three months ended
June 30, 1996 as compared to the three months ended June 30, 1995, and
(iii) a decrease in capitalized costs due to an impairment provision
recognized in the fourth quarter of 1995. As a percentage of oil and
gas sales, this expense decreased to 18.5% for the three months ended
June 30, 1996 as compared to 75.1% for the three months ended June 30,
1995. This percentage decrease was primarily due to the impairment
provision and reserve revisions discussed above and the increases in
the average prices of oil and natural gas sold during the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995.
General and administrative expenses decreased by $6,914 for the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
decreased to 6.9% for the three months ended June 30, 1996 from 9.4%
for the three months ended June 30, 1995. This percentage decrease
resulted primarily from the increases in the average prices of oil and
natural gas sold during the three months ended June 30, 1996 as
compared to the three months ended June 30, 1995.
-44-
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
---------- ----------
Oil and gas sales $1,097,416 $1,025,264
Oil and gas production expenses $ 390,339 $ 392,326
Barrels produced 22,078 21,842
Mcf produced 378,701 488,226
Average price/Bbl $ 18.90 $ 16.97
Average price/Mcf $ 1.80 $ 1.34
Total oil and gas sales increased $72,152 (7.0%) for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. Of this increase, $266,739 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
decrease of $197,145 related to the decrease in the volumes of natural
gas sold. Volumes of oil sold increased by 236 barrels for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995, while volumes of natural gas sold decreased by 109,525 Mcf
for the six months ended June 30, 1996 as compared to the six months
ended June 30, 1995. The decrease in the volumes of natural gas sold
resulted primarily from positive prior period volume adjustments made
by the purchasers on several wells during the six months ended June
30, 1995. Average oil and natural gas prices increased to $18.90 per
barrel and $1.80 per Mcf, respectively, for the six months ended June
30, 1996 from $16.97 per barrel and $1.34 per Mcf, respectively, for
the six months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) remained relatively constant for the six months
ended June 30, 1996 as compared to the six months ended June 30, 1995.
As a percentage of oil and gas sales, these expenses decreased to
35.6% for the six months ended June 30, 1996 from 38.3% for the six
months ended June 30, 1995. This percentage decrease resulted
primarily from the increases in the average prices of oil and natural
gas sold during the six months ended June 30, 1996 as compared to the
six months ended June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $506,814 during the six months ended June 30,
1996 as compared to the six months ended June 30, 1995. This decrease
was primarily due to (i) significant upward revisions in the estimates
of remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in the volumes of natural gas sold during the six months
ended June 30, 1996 as compared to the six months ended June 30, 1995,
and (iii) a decrease in capitalized costs due to an impairment
provision recognized in the fourth quarter of 1995. As a percentage
of oil and gas sales, this expense decreased to 24.9% for the six
months ended June 30, 1996 as compared to 76.1% for the six months
ended June 30, 1995. This percentage decrease was primarily due to
-45-
the impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
General and administrative expenses decreased by $3,986 for the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995. This decrease resulted primarily from the decrease in
printing and postage expenses during the six months ended June 30,
1996 as compared to the six months ended June 30, 1995. As a
percentage of oil and gas sales, these expenses remained relatively
constant at 7.5% for the six months ended June 30, 1996 as compared to
8.4% for the six months ended June 30, 1995.
The Limited Partners have received cash distributions through
June 30, 1996 totaling $5,513,669 or 42.09% of Limited Partners'
capital contributions.
PARTNERSHIP III-E
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
---------- ----------
Oil and gas sales $2,123,185 $2,032,397
Oil and gas production expenses $1,071,465 $1,176,268
Barrels produced 62,938 69,363
Mcf produced 487,162 597,521
Average price/Bbl $ 19.38 $ 17.22
Average price/Mcf $ 1.85 $ 1.40
Total oil and gas sales increased $90,788 (4.5%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this increase, $418,708 was related to the increases in
the average prices of oil and natural gas sold, partially offset by a
decrease of $328,681 related to the decreases in the volumes of oil
and natural gas sold. Volumes of oil and natural gas sold decreased
by 6,425 barrels and 110,359 Mcf, respectively, for the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995. The decrease in volumes of natural gas sold resulted primarily
from (i) significant prior period volume adjustments made by the
purchaser on two wells during the three months ended June 30, 1995 and
(ii) normal declines in production on several wells due to diminished
natural gas reserves. Average oil and natural gas prices increased to
$19.38 per barrel and $1.85 per Mcf, respectively, for the three
months ended June 30, 1996 from $17.22 per barrel and $1.40 per Mcf,
respectively, for the three months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $104,803 for the three months ended June
-46-
30, 1996 as compared to the three months ended June 30, 1995. This
decrease followed the decreases in the volumes of oil and natural gas
sold during the three months ended June 30, 1996 as compared to the
three months ended June 30, 1995. As a percentage of oil and gas
sales, these expenses decreased to 50.5% for the three months ended
June 30, 1996 as compared to 57.9% for the three months ended June 30,
1995. This percentage decrease resulted primarily from the increases
in the average prices of oil and natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $317,237 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily due to (i) significant upward revisions in the estimates
of remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in the volumes of oil and natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 22.5% for
the three months ended June 30, 1996 from 39.2% for the three months
ended June 30, 1995. This percentage decrease was primarily due to
the impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995.
General and administrative expenses decreased $27,984 for the
three months ended June 30, 1996 as compared to the three months
ended June 30, 1995. This decrease resulted primarily from decreases
in professional fees and printing and postage expenses during the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995. As a percentage of oil and gas sales, these expenses
remained relatively constant at 5.8% for the three months ended June
30, 1996 as compared to 7.5% for the three months ended June 30, 1995.
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
---------- ----------
Oil and gas sales $4,155,385 $4,575,163
Oil and gas production expenses $2,053,931 $2,462,332
Barrels produced 121,001 135,398
Mcf produced 1,061,015 1,568,866
Average price/Bbl $ 18.77 $ 16.81
Average price/Mcf $ 1.85 $ 1.47
Total oil and gas sales decreased $419,778 (9.2%) for the six
months ended June 30, 1996 as compared to the six months ended June
-47-
30, 1995. Of this decrease, $1,209,756 was related to the decrease in
the volumes of oil and natural gas sold, partially offset by an
increase of $861,549 related to the increases in the average prices of
oil and natural gas sold. Volumes of oil and natural gas sold
decreased by 14,397 barrels and 507,851 Mcf, respectively, for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. The decrease in the volumes of natural gas sold resulted
primarily from (i) significant prior period volume adjustments made by
the purchaser on two wells during the six months ended June 30, 1995
and (ii) normal declines in production on several wells due to
diminished natural gas reserves. Average oil and natural gas prices
increased to $18.77 per barrel and $1.85 per Mcf, respectively, for
the six months ended June 30, 1996 from $16.81 per barrel and $1.47
per Mcf, respectively, for the six months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $408,401 for the six months ended June 30,
1996 as compared to the six months ended June 30, 1995. This decrease
resulted primarily from (i) the decreases in the volumes of oil and
natural gas sold during the six months ended June 30, 1996 as compared
to the six months ended June 30, 1995, (ii) workover expenses incurred
on one well during the six months ended June 30, 1995 in order to
improve the recovery of reserves, and (iii) the sale of one well
during 1995. As a percentage of oil and gas sales, these expenses
decreased to 49.4% for the six months ended June 30, 1996 as compared
to 53.8% for the six months ended June 30, 1995. This percentage
decrease resulted primarily from the increases in the average prices
of oil and natural gas sold during the six months ended June 30, 1996
as compared to the six months ended June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $905,367 for the six months ended June 30, 1996
as compared to the six months ended June 30, 1995. This decrease was
primarily due to (i) significant upward revisions in the estimates of
remaining oil and natural gas reserves at December 31, 1995, (ii)
decreases in volumes of oil and natural gas sold during the six months
ended June 30, 1996 as compared to the six months ended June 30, 1995,
and (iii) a decrease in capitalized costs due to an impairment
provision recognized in the fourth quarter of 1995. As a percentage
of oil and gas sales, this expense decreased to 23.2% for the six
months ended June 30, 1996 from 40.9% for the six months ended June
30, 1995. This percentage decrease was primarily due to the
impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
General and administrative expenses decreased $21,495 for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the six
months ended June 30, 1996 as compared to the six months ended June
-48-
30, 1995. As a percentage of oil and gas sales, these expenses
remained relatively constant at 6.3% for the six months ended June 30,
1996 compared to 6.2% for the six months ended June 30, 1995.
The Limited Partners have received cash distributions through
June 30, 1996 totalling $20,910,016 or 49.99% of Limited Partners'
capital contributions.
PARTNERSHIP III-F
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
-------- --------
Oil and gas sales $736,245 $772,454
Oil and gas production expenses $401,993 $448,584
Barrels produced 18,820 18,919
Mcf produced 266,461 294,872
Average price/Bbl $ 19.16 $ 19.43
Average price/Mcf $ 1.41 $ 1.37
Total oil and gas sales decreased $36,209 (4.7%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this decrease, $40,060 was related to the decrease in
the volumes of natural gas sold and $5,108 was related to the decrease
in the price of oil sold, partially offset by an increase of $11,795
related to the increase in the average price of natural gas sold.
Volumes of oil and natural gas sold decreased by 99 barrels and 28,411
Mcf, respectively, for the three months ended June 30, 1996 as
compared to the three months ended June 30, 1995. The decrease in
volumes of natural gas sold was primarily due to a normal decline in
production due to diminished natural gas reserves on several existing
properties and from positive prior period adjustments made by the
purchaser on several wells during the three months ended June 30,
1995. Average oil prices decreased to $19.16 per barrel for the three
months ended June 30, 1996 from $19.43 per barrel for the three months
ended June 30, 1995. Average natural gas prices increased to $1.41
per Mcf for the three months ended June 30, 1996 from $1.37 per Mcf
for the three months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $46,591 for the three months ended June
30, 1996 as compared to the three months ended June 30, 1995. This
decrease resulted primarily from (i) workover expenses incurred on
three wells during the three months ended June 30, 1995 in order to
improve the recovery of reserves and (ii) an adjustment on one well
for prior period ad valorem taxes during the three months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
decreased to 54.6% for the three months ended June 30, 1996 from
58.1% for the three months ended June 30, 1995. This percentage
-49-
decrease was primarily due to the increase in the average price of
natural gas sold during the three months ended June 30, 1996 as
compared to the three months ended June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $181,876 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily a result of (i) significant upward revisions in the
estimates of remaining oil and natural gas reserves at December 31,
1995, (ii) decreases in volumes of oil and natural gas sold during the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 46.2% for
the three months ended June 30, 1996 from 67.6% for the three months
ended June 30, 1995. This percentage decrease was primarily due to
the impairment provision and reserve revisions discussed above and the
increase in the average price of natural gas sold, partially offset by
the decrease in the average price of oil sold during the six months
ended June 30, 1996 as compared to the six months ended June 30, 1995.
An impairment provision to reduce the carrying value of the III-F
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the three months ended June 30, 1996.
General and administrative expenses decreased $9,469 for the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
remained relatively constant at 8.9% for the three months ended June
30, 1996 as compared to 9.7% for the three months ended June 30, 1995.
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
---------- ----------
Oil and gas sales $1,456,313 $1,477,187
Oil and gas production expenses $ 711,193 $ 857,284
Barrels produced 37,959 39,282
Mcf produced 497,469 601,743
Average price/Bbl $ 18.56 $ 17.72
Average price/Mcf $ 1.51 $ 1.30
-50-
Total oil and gas sales decreased by $20,874 (1.4%) for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. Of this decrease, $182,009 was related to the decreases in
the volumes of oil and natural gas sold, partially offset by an
increase of $159,363 related to the increases of the average prices of
oil and natural gas sold. Volumes of oil and natural gas sold
decreased by 1,323 barrels and 104,274 Mcf, respectively, for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. The decrease in the volumes of natural gas sold resulted
primarily from the normal decline in production due to diminished
natural gas reserves on several existing properties, as well as
positive prior period volume adjustments made by the purchasers on
several wells during the six months ended June 30, 1995. Average oil
and natural gas prices increased to $18.56 per barrel and $1.51 per
Mcf, respectively, for the six months ended June 30, 1996 from $17.72
per barrel and $1.30 per Mcf, respectively, for the six months ended
June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $146,091 for the six months ended June 30,
1996 as compared to the six months ended June 30, 1995. This decrease
resulted primarily from (i) workover expenses incurred on three wells
during the six months ended June 30, 1995 in order to improve the
recovery of reserves and (ii) an adjustment on one well for prior
period ad valorem taxes in the six months ended June 30, 1995. As a
percentage of oil and gas sales, these expenses decreased to 48.8% for
the six months ended June 30, 1996 from 58.0% for the six months ended
June 30, 1995. This percentage decrease was primarily due to the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $420,239 for the six months ended June 30, 1996
as compared to the six months ended June 30, 1995. This decrease was
primarily a result of (i) significant upward revisions in the
estimates of remaining oil and natural gas reserves at December 31,
1995, (ii) decreases in volumes of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 44.7% for
the six months ended June 30, 1996 from 72.5% for the six months ended
June 30, 1995. This percentage decrease was primarily due to the
impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
An impairment provision to reduce the carrying value of the III-F
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
-51-
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the six months ended June 30, 1996.
General and administrative expenses decreased $4,489 for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
remained relatively constant at 9.5% for the six months ended June 30,
1996 as compared to 9.7% for the six months ended June 30, 1995.
The Limited Partners have received cash distributions through
June 30, 1996 totalling $7,707,904 or 34.80% of Limited Partners'
capital contributions.
PARTNERSHIP III-G
THREE MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE THREE MONTHS
ENDED JUNE 30, 1995.
Three months ended June 30,
---------------------------
1996 1995
-------- --------
Oil and gas sales $467,201 $481,724
Oil and gas production expenses $261,054 $275,501
Barrels produced 13,704 13,541
Mcf produced 142,136 159,802
Average price/Bbl $ 19.21 $ 19.31
Average price/Mcf $ 1.44 $ 1.38
Total oil and gas sales decreased $14,523 (3.0%) for the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. Of this decrease, $25,439 was related to the decrease in
the volumes of natural gas sold and $1,354 was related to the decrease
in the average price of oil sold, partially offset by an increase of
$9,588 related to the increase in the average price of natural gas
sold and $3,131 related to the increase in the volumes of oil sold.
Volumes of oil sold increased by 163 barrels for the three months
ended June 30, 1996 as compared to the three months ended June 30,
1995, while volumes of natural gas sold decreased by 17,666 Mcf for
the three months ended June 30, 1996 as compared to the three months
ended June 30, 1995. Average oil prices decreased to $19.21 per
barrel for the three months ended June 30, 1996 from $19.31 per barrel
for the three months ended June 30, 1995. Average natural gas prices
increased to $1.44 per Mcf for the three months ended June 30, 1996
from $1.38 per Mcf for the three months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $14,447 for the three months ended June
-52-
30, 1996 as compared to the three months ended June 30, 1995. This
decrease resulted from (i) workover expenses incurred on three wells
during the three months ended June 30, 1995 in order to improve the
recovery of reserves and (ii) an adjustment on one well for prior
period ad valorem taxes in the three months ended June 30, 1995. As a
percentage of oil and gas sales, these expenses decreased to 55.9% for
the three months ended June 30, 1996 from 57.2% for the three months
ended June 30, 1995. This percentage decrease was primarily due to
the increase in the average price of natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $87,091 for the three months ended June 30, 1996
as compared to the three months ended June 30, 1995. This decrease
was primarily a result of (i) significant upward revisions in the
estimates of remaining oil and natural gas reserves at December 31,
1995, (ii) a decrease in volumes of natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 44.8% for
the three months ended June 30, 1996 from 61.5% for the three months
ended June 30, 1995. This percentage decrease was due primarily to
the impairment provision and reserve revisions discussed above and the
increase in the average price of natural gas sold during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995.
An impairment provision to reduce the carrying value of the III-G
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the three months ended June 30, 1996.
General and administrative expenses decreased $5,724 for the
three months ended June 30, 1996 as compared to the three months ended
June 30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the three
months ended June 30, 1996 as compared to the three months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
remained constant at 7.8% for the three months ended June 30, 1996 and
1995.
-53-
SIX MONTHS ENDED JUNE 30, 1996 AS COMPARED TO THE SIX MONTHS
ENDED JUNE 30, 1995.
Six months ended June 30,
---------------------------
1996 1995
-------- ------
Oil and gas sales $923,266 $922,809
Oil and gas production expenses $464,523 $533,988
Barrels produced 27,780 28,383
Mcf produced 266,946 323,010
Average price/Bbl $ 18.60 $ 17.66
Average price/Mcf $ 1.52 $ 1.31
Total oil and gas sales remained relatively constant for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. Volumes of oil and natural gas sold decreased by 603
barrels and 56,064 Mcf, respectively, for the six months ended June
30, 1996 as compared to the six months ended June 30, 1995. The
decrease in the volumes of natural gas sold resulted primarily from
the normal decline in production due to diminished natural gas
reserves on several existing properties, as well as positive prior
period volume adjustments made by the purchasers on several wells
during the six months ended June 30, 1996 as compared to the six
months ended June 30, 1995. Average oil and natural gas prices
increased to $18.60 per barrel and $1.52 per Mcf, respectively, for
the six months ended June 30, 1996 from $17.66 per barrel and $1.31
per Mcf, respectively, for the six months ended June 30, 1995.
Direct operating expenses (including lease operating expenses and
production taxes) decreased $69,465 for the six months ended June 30,
1996 as compared to the six months ended June 30, 1995. This decrease
resulted primarily from (i) workover expenses incurred on three wells
during the six months ended June 30, 1995 in order to improve the
recovery of reserves and (ii) an adjustment on one well for prior
period ad valorem taxes in the six months ended June 30, 1995. As a
percentage of oil and gas sales, these expenses decreased to 50.3% for
the six months ended June 30, 1996 from 57.9% for the six months ended
June 30, 1995. This percentage decrease was primarily due to the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
Depreciation, depletion, and amortization of oil and gas
properties decreased $202,051 for the six months ended June 30, 1996
as compared to the six months ended June 30, 1995. This decrease was
primarily a result of (i) significant upward revisions in the
estimates of remaining oil and natural gas reserves at December 31,
1995, (ii) decreases in volumes of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995, and (iii) a decrease in capitalized costs due to an
impairment provision recognized in the fourth quarter of 1995. As a
percentage of oil and gas sales, this expense decreased to 43.8% for
-54-
the six months ended June 30, 1996 from 65.8% for the six months ended
June 30, 1995. This percentage decrease was due primarily to the
impairment provision and reserve revisions discussed above and the
increases in the average prices of oil and natural gas sold during the
six months ended June 30, 1996 as compared to the six months ended
June 30, 1995.
An impairment provision to reduce the carrying value of the III-G
Partnership's oil and gas properties at June 30, 1995 was necessary
due to the unamortized costs of oil and gas properties exceeding the
undiscounted value of future net revenues from the oil and gas
properties. This provision was due to the declining gas prices used
in projecting future net revenues. No similar provision was necessary
for the six months ended June 30, 1996.
General and administrative expenses decreased $3,272 for the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. This decrease resulted primarily from decreases in
professional fees and printing and postage expenses during the six
months ended June 30, 1996 as compared to the six months ended June
30, 1995. As a percentage of oil and gas sales, these expenses
remained relatively constant at 8.2% for the six months ended June 30,
1996 as compared to 8.6% for the six months ended June 30, 1995.
The Limited Partners have received cash distributions through
June 30, 1996 totalling $3,748,287 or 30.74% of Limited Partners'
capital contributions.
-55-
PART II: OTHER INFORMATION
ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K
(a) Exhibits:
27.1 Financial Data Schedule containing summary financial
information extracted from the III-A Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
27.2 Financial Data Schedule containing summary financial
information extracted from the III-B Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
27.3 Financial Data Schedule containing summary financial
information extracted from the III-C Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
27.4 Financial Data Schedule containing summary financial
information extracted from the III-D Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
27.5 Financial Data Schedule containing summary financial
information extracted from the III-E Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
27.6 Financial Data Schedule containing summary financial
information extracted from the III-F Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
27.7 Financial Data Schedule containing summary financial
information extracted from the III-G Partnership's
financial statements as of June 30, 1996 and for the
six months ended June 30, 1996, filed herewith.
All other Exhibits are omitted as inapplicable.
(b) Reports on Form 8-K:
None
-56-
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf
by the undersigned, thereunto duly authorized.
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-A
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-B
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-C
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-D
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-E
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-F
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP III-G
(Registrant)
By: GEODYNE RESOURCES, INC.
General Partner
Date: August 12, 1996 By: /s/Dennis R. Neill
-----------------------------------
(Signature)
Dennis R. Neill
President
Date: August 12, 1996 By: /s/Drew S. Phillips
-----------------------------------
(Signature)
Drew S. Phillips
Principal Accounting Officer
-57-
INDEX TO EXHIBITS
-----------------
NUMBER DESCRIPTION
- ------ -----------
27.1 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-A's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
27.2 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-B's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
27.3 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-C's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
27.4 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-D's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
27.5 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-E's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
27.6 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-F's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
27.7 Financial Data Schedule containing summary financial
information extracted from the Geodyne Energy Income Limited
Partnership III-G's financial statements as of June 30, 1996
and for the six months ended June 30, 1996, filed herewith.
All other Exhibits are omitted as inapplicable.