U.S. Securities and Exchange Commission
Washington, D.C. 20549
Form 10-QSB
(Mark One)
[ X ] QUARTERLY REPORT PURSUANT SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended June 30, 1998
[ ] TRANSITION REPORT PURSUANT SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from __________ to __________
Commission file number 333-31681
Atlas-Energy for the Nineties-Public #6 Ltd.
(Name of small business issuer in its charter)
Pennsylvania 23-2888337
(State or other jurisdiction of ( I.R.S. Employer identification No.)
incorporated or organization)
311 Rouser Road, Moon Township, Pennsylvania 15108
(Address of principal executive offices) (Zip Code)
Issuer's telephone (412) 262-2830
(Former name, former address and former fiscal year, if changed since last
report)
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
Transitional Small Business Disclosure Format (check one):
Yes X No
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PART I
Item 1. Financial Statements
The unaudited Financial Statements of Atlas-Energy for the Nineties-Public
#6 Ltd. (the "Partnership") for the period January 1, 1998 to June 30, 1998
Item 2. Description of Business
The Partnership has spudded approximately 44.45 net wells to
the Clinton/Medina formation in Mercer and Lawrence Counties, Pennsylvania.
As of June 30, 1998, all 44.45 net wells were in production. The first
quarterly distribution was on June 8, 1998 for natural gas production
during January, February and March, 1998.
Net Production revenue for the six months was $571,634 which includes
pumpers fees of $275.00 per month per well. Expenses for this period include
$75.00 per month per well for administrative costs.
For the next twelve months management believes that the Partnership has
adequate capital. No other wells will be drilled and, therefore, no
additional funds will be required.
Although management does not anticipate that the Partnership will have to
do so, any additional funds which may be required will be obtained from
production revenues from Partnership wells or from borrowings by the
Partnership from Atlas or its affiliates, although Atlas is not
contractually committed to make such a loan. No borrowings will be
obtained from third parties.
PART II
Item 1. Legal Proceeding
None
Item 2. Changes in Securities
None
Item 3. Defaults Upon Senior Securities
None
Item 4. Submission of Matters to a Vote of Securities Holders
None
Item 5. Other Matters
None
Item 6. Reports on Form 8-K
The registrant filed no reports on Form 8-K during the last
quarter of the period covered by this report.
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UNAUDITED FINANCIAL STATEMENTS
ATLAS-ENERGY FOR THE NINETIES--PUBLIC #6 LTD.
A PENNSYLVANIA LIMITED PARTNERSHIP
CONSOLIDATED BALANCE SHEET (UNAUDITED)
As of June 30, 1998 and December 31, 1997
BALANCE SHEET - (UNAUDITED)
ASSETS 6/30/98 12/31/97 Increase
(Decrease)
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Cash $ 511 $ 19,459 $ (18,948)
Accounts receivable 440,858 18,076 422,782
------- ------- ---------
TOTAL CURRENT ASSETS 441,369 37,535 403,834
Oil and gas wells and leases 9,862,192 10,384,508 (522,316)
Organizational and syndication costs 1,414,423 1,485,154 (70,731)
---------- ---------- ----------
TOTAL ASSETS $11,717,984 $11,907,197 $(189,213)
========== ========== ==========
LIABILITIES AND PARTNERS' CAPITAL
Accounts payable $ 8,807 15,000 (6,193)
Partners' capital 11,709,177 11,892,197 (183,020)
---------- ---------- ---------
TOTAL LIABILITIES AND PARTNERS CAPITAL $11,717,984 $11,907,197 $(189,213)
========== ========== =========
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ATLAS-ENERGY FOR THE NINETIES--PUBLIC #6 LTD.
A PENNSYLVANIA LIMITED PARTNERSHIP
STATEMENT OF INCOME
For the six months ended June 30, 1998 and 1997
Six Months Ended Second Quarter Ended
June 30, June 30,
1998 1997 1998 1997
------------------ -------------------
REVENUE
Natural gas sales $744,640 $ -0- $579,368 $ -0-
Less direct operating costs:
Royalty interest 93,136 -0- 72,427 -0-
Other 79,870 -0- 66,082 -0-
---------- -------- --------- --------
173,006 -0- 138,510 -0-
---------- -------- --------- --------
Net Production Revenues 571,634 -0- 440,858 -0-
Interest Income 437 -0- 358 -0-
---------- -------- --------- --------
Total Revenue 572,071 -0- 441,216 -0-
EXPENSES
Depletion and depreciation
of oil and gas wells and
leases 493,468 -0- 473,424 -0-
Amortization of organization
and syndication costs 70,731 -0- 56,729 -0-
General and administrat. fees 11,418 -0- 8,755 -0-
Professional fees 10,153 -0- -0- -0-
Other 611 -0- 82 -0-
---------- ------- ------- -------
Total Expenses 586,381 -0- 538,990 -0-
---------- ------- ------- -------
NET (LOSS) $(14,310) $ -0- $(97,774) $ -0-
========== ======== ========= ========
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ATLAS-ENERGY FOR THE NINETIES--PUBLIC #6 LTD.
A PENNSYLVANIA LIMITED PARTNERSHIP
STATEMENT OF CASH FLOWS (UNAUDITED)
For the six months ended June 30, 1998 and 1997
Six Months Ended
June 30,
1998 1997
--------------------
Increase (Decrease) in Cash
Cash flows from operating activities
Net (Loss) $(14,310) $ -0-
Adjustments to reconcile net income to net cash
provided by operating activities:
Depletion and depreciation 493,468 -0-
Amortization 70,731 -0-
(Increase) accounts receivable (422,782) -0-
(Decrease) in accounts payable (6,193) -0-
----------- ----------
Net cash provided by operating activities 120,914 -0-
Cash flows used in financing activities:
Distributions to Partners (139,862) -0-
---------- ---------
Net (Decrease) in Cash (18,948) -0-
Cash at beginning of period 19,459 -0-
---------- ---------
Cash at end of period $ 511 $ -0-
========== =========
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ATLAS-ENERGY FOR THE NINETIES--PUBLIC #6 LTD.
A PENNSYLVANIA LIMITED PARTNERSHIP
STATEMENT OF CHANGES IN PARTNERS' CAPITAL ACCOUNTS
For the six months ended June 30, 1998
MANAGING
GENERAL OTHER
PARTNER PARTNERS TOTAL
BALANCE AT JANUARY 1, 1998 $1,968,637 $9,923,560 $11,892,197
Partners' capital contributions:
Intangible drilling costs 0 (10,555) (10,555)
Tangible costs (18,292) 0 (18,292)
Participation in revenue and expenses:
Natural gas sales 142,909 428,725 571,634
Interest 109 328 437
Depletion and depreciation ( 22,281) ( 471,187) (493,468)
Amortization ( 70,731) 0 (70,731)
Other costs ( 5,546) ( 16,637) (22,183)
----------- ---------- --------
Net income (loss) 44,460 ( 58,771) (14,310)
Distributions -0- ( 122,264) (139,862)
----------- ----------- ----------
BALANCE AT JUNE 30, 1998 $1,977,207 $9,731,970 $11,709,177
=========== ========== ===========
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NOTES TO FINANCIAL STATEMENTS (UNAUDITED)
ATLAS-ENERGY FOR THE NINETIES--PUBLIC #6 LTD.
A PENNSYLVANIA LIMITED PARTNERSHIP
June 30, 1998
1. INTERIM FINANCIAL STATEMENTS
The financial statements as of June 30, 1998 and for the six months then
ended have been prepared by the management of the Partnership without
audit, pursuant to the rules and regulations of the Securities and Exchange
Commission. Certain information and footnote disclosures normally included
in financial statements prepared in accordance with generally accepted
accounting principles have been omitted pursuant to such rules and
regulations, although the Partnership believes that the disclosures are
adequate to make the information presented not misleading. These financial
statements should be read in conjunction with the audited December 31, 1997
financial statements. In the opinion of management, all adjustments
(consisting of only normal recurring accruals) considered necessary for
presentation have been included.
2. SIGNIFICANT ACCOUNTING POLICIES
The Partnership uses the successful efforts method of accounting for oil
and gas activities. Costs to acquire mineral interests in oil and gas
properties, drill and equip wells and organizational and syndication costs
are capitalized. Oil and gas properties are periodically assessed and when
unamortized costs exceed expected future net cash flows, a loss is
recognized by a charge to income.
Capitalized costs of oil and gas wells, leases and organization and
syndication costs are depreciated, depleted and amortized by the unit of
production method.
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MANAGEMENT'S DISCUSSION AND ANALYSIS
Management's discussion and analysis should be read in conjunction with the
financial statements and notes thereto.
Results of Operations
- ---------------------
Six Months Ended June 30, 1998
- -------------------------------------------
The Partnership commenced production in January, 1998. Net production
revenue for the six months ended June 30, 1998 amounted to
$571,634. The Partnership's net production revenue of $571,634 resulted
from the production of 339,368 Mcf's at an average rate of $2.19/Mcf, net
of operating costs.
Financial Position
- ------------------
Liquidity
- ---------
The partnership's working capital increased 1819.5% from $22,535 at
December 31, 1997 to $432,562 at June 30, 1998. The increase is
attributable to the commencement of natural gas production for new
wells turned on-line during the quarter, which resulted
in higher receivables for gas produced but not yet sold at the end of the
reporting period.
Capital Resources
- -----------------
There were no new material commitments for capital expenditures during the
period and the Partnership does not expect any in the foreseeable future.
SIGNATURES
In accordance with Section 13 or 15(d) of the Exchange Act, the registrant
caused this report to be signed on its behalf by the undersigned, thereunto
duly authorized.
Atlas-Energy for the Nineties--Public #6 Ltd.
By (Signature and Title): Atlas Resources, Inc.,
Managing General Partner
By (Signature and Title): /s/ James R. O'Mara
James R. O'Mara
President, Chief Executive Officer and a Director
Date: June 30, 1998
In Accordance with the Exchange Act, this report has been signed by the
following persons on behalf of the registrant and in the capacities and on
the dates indicated.
By (Signature and Title): /s/ James R. O'Mara
James R. O'Mara
President, Chief Executive Officer and a Director
Date: June 30, 1998
By (Signature and Title): /S/ Tony C. Banks
Tony C. Banks
Vice President and Chief Financial Officer
Date: June 30, 1998
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