United States
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1997
OR
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from...............to...............
Commission file number 33-34348-05
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
(Exact name of small business issuer as specified in its charter)
New Jersey 76-0303885
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
Suite 200, Three Kingwood Place
Kingwood, Texas 77339
(Address of principal executive offices)
Issuer's telephone number (713) 358-8401
Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such
shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.
Yes x No
PART I. FINANCIAL INFORMATION
Item I. Financial Statements
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
BALANCE SHEET
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MARCH 31,
ASSETS 1997
---------------
(Unaudited)
CURRENT ASSETS:
Cash $ 34,910
Accounts receivable - oil sales 28,686
Other current assets 2,847
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Total current assets 66,443
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OIL & GAS PROPERTIES
(Successful efforts accounting method) - Proved
mineral interests and related equipment & facilities 1,295,540
Less accumulated depreciation and depletion 785,335
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Property, net 510,205
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ORGANIZATION COSTS
(Net of accumulated amortization of $48,448) 821
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TOTAL $ 577,469
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LIABILITIES AND PARTNERS' CAPITAL
CURRENT LIABILITIES:
Accounts payable $ 3,002
Payable to general partner 7,141
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Total current liabilities 10,143
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PARTNERS' CAPITAL:
Limited partners 548,047
General partner 19,279
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Total partners' capital 567,326
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TOTAL $ 577,469
=============
Number of $500 Limited Partner units outstanding 2,463
See accompanying notes to financial statements.
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ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
STATEMENT OF OPERATIONS
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(UNAUDITED) THREE MONTHS ENDED
------------------------------------------
MARCH 31, MARCH 31,
1997 1996
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REVENUES:
Oil sales $ 88,170 $ 107,620
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EXPENSES:
Depreciation, depletion and amortization 27,009 29,995
Lease operating expenses 29,923 47,018
Production taxes 4,067 4,983
General and administrative 12,474 15,010
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Total expenses 73,473 97,006
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INCOME FROM OPERATIONS 14,697 10,614
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OTHER INCOME:
Interest income - 1,850
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NET INCOME $ 14,697 $ 12,464
=================== ====================
See accompanying notes to financial statements.
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ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
STATEMENT OF CHANGES IN PARTNERS' CAPITAL
FOR THE YEAR ENDED DECEMBER 31, 1996 AND
FOR THE THREE MONTHS ENDED MARCH 31, 1997
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PER $500
LIMITED
PARTNER
GENERAL LIMITED UNIT OUT-
TOTAL PARTNER PARTNERS STANDING
------------------ ------------------ ----------------- -----------------
BALANCE, JANUARY 1, 1996 $ 634,284 $ 18,155 $ 616,129 $ 250
CASH DISTRIBUTIONS (146,079) (19,965) (126,114) (51)
NET INCOME 125,219 27,972 97,247 40
------------------ ------------------ ----------------- -----------------
BALANCE, DECEMBER 31, 1996 613,424 26,162 587,262 239
CASH DISTRIBUTIONS (60,795) (11,053) (49,742) (20)
NET INCOME 14,697 4,170 10,527 4
------------------ ------------------ ----------------- -----------------
BALANCE, MARCH 31, 1997 $ 567,326 $ 19,279 $ 548,047 (1) $ 223
================== ================== ================= =================
(1) Includes 131 units purchased by the general partner as a limited partner.
See accompanying notes to financial statements.
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ENEX OIL AND GAS INCOME PROGRAM V - SERIES 5, L.P.
STATEMENT OF CASH FLOWS
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(UNAUDITED)
THREE MONTHS ENDED
--------------------------
MARCH 31, MARCH 31,
1997 1996
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CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 14,697 $ 12,464
------------ ------------
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation, depletion and amortization 27,009 29,995
Decrease in:
Accounts receivable - oil sales 17,649 2,197
Other current assets 7,242 -
Increase (decrease) in:
Accounts payable (52,210) (20,946)
Payable to general partner 7,141 15,722
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Total adjustments 6,831 26,968
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Net cash provided by operating activities 21,528 39,432
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CASH FLOWS FROM INVESTING ACTIVITIES:
Property credits - development costs 14,680 9,595
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CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions (60,795) (45,071)
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NET INCREASE (DECREASE) IN CASH (24,587) 3,956
CASH AT BEGINNING OF YEAR 59,497 50,792
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CASH AT END OF PERIOD $ 34,910 $ 54,748
============ ============
See accompanying notes to financial statements.
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ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
1. The financial information included herein is unaudited; however, such
information reflects all adjustments (consisting solely of normal
recurring adjustments) which are, in the opinion of management,
necessary for a fair presentation of results for the interim period.
2. A cash distribution was made to the limited partners of the Company in
the amount of $49,742 representing net revenues from the temporary
investment of proceeds from subscriptions by the Company. This
distribution was made on January 31, 1997.
3. On April 7, 1997, the Company's General Partner mailed proxy material
to the limited partners with respect to a proposed consolidation of
the Company with 33 other managed limited partnerships. The terms and
conditions of the proposed consolidation are set forth in such proxy
material.
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Item 2. Management's Discussion and Analysis or Plan of Operation.
First Quarter of 1997 Compared to First Quarter 1996
Oil sales decreased from $107,620 in the first quarter of 1996 to $88,170 in the
first quarter of 1997. This represents a decrease of $19,450 or 18%. A 21%
decrease in oil production reduced sales by $22,099. This decrease was partially
offset by a 3% increase in average oil prices. The decrease in production
primarily resulted from natural production declines. The increase in average oil
prices corresponds with higher prices in the overall market.
Lease operating expenses decreased from $47,018 in the first quarter of 1996 to
$29,923 in the first quarter of 1997. This decrease of $17,095 or 36% was
primarily a result of the changes in production, noted above
Depreciation and depletion expense decreased from $27,532 in the first quarter
of 1996 to $24,545 in the first quarter of 1997. This represents a decrease of
$2,987 or 11%. The changes in production, noted above, reduced depreciation and
depletion expense by $5,654. This decrease was partially offset by a 12%
increase in the depletion rate. The increase in the depletion rate was primarily
the result of relatively higher production from properties with a higher
depletion rate partially offset by an upward revision of the oil reserves
December 1996.
General and administrative expenses decreased from $15,010 in the first quarter
of 1996 to $12,474 in the first quarter of 1997. This decrease of $2,536 (17%)
was primarily a result of less staff time being required to manage the Company's
operations in 1997.
CAPITAL RESOURCES AND LIQUIDITY
The Company's cash flow from operations is a direct result of the amount of net
proceeds realized from the sale of oil and gas production. Accordingly, the
changes in cash flow from 1995 to 1996 are primarily due to the changes in oil
and gas sales described above. It is the general partner's intention to
distribute substantially all of the Company's available cash flow to the
Company's partners. The Company's "available cash flow" is essentially equal to
the net amount of cash provided by operating, financing and investing
activities.
The Company will continue to recover its reserves and distribute to the limited
partners the net proceeds realized from the sale of oil and gas production.
Distribution amounts are subject to change if net revenues are greater or less
than expected. Nonetheless, the general partner believes the Company will
continue to have sufficient cash flow to fund operations and to maintain a
regular pattern of distributions.
On April 7, 1997, the Company's General Partner mailed proxy material to the
limited partners with respect to a proposed consolidation of the Company with 33
other managed limited partnerships. The terms and conditions of the proposed
consolidation are set forth in such proxy material.
As of March 31, 1997, the Company had no material commitments for capital
expenditures. The Company does not intend to engage in any significant
developmental drilling activity.
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PART II. OTHER INFORMATION
Item 1. Legal proceedings.
None
Item 2. Changes in Securities.
None
Item 3. Defaults upon Senior Securities.
Not Applicable
Item 4. Submission of Matters to a Vote of Security Holders.
Not Applicable
Item 5. Other Information.
Not Applicable
Item 6. Exhibits and Reports on Form 8-K.
(a) There are no exhibits to this report.
(b) The Company filed no reports on Form 8-K during the
quarter ended March 31, 1997.
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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 hereunto duly authorized.
ENEX OIL & GAS INCOME
PROGRAM V - SERIES 5, L.P.
(Registrant)
By:ENEX RESOURCES CORPORATION
--------------------------
General Partner
By: /s/ R. E. Densford
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R. E. Densford
Vice President, Secretary
Treasurer and Chief Financial
Officer
May 11, 1997 By: /s/ James A. Klein
-------------------
James A. Klein
Controller and Chief
Accounting Officer