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, 1999
Commission File Number:
II-A: 0-16388 II-D: 0-16980 II-G: 0-17802
II-B: 0-16405 II-E: 0-17320 II-H: 0-18305
II-C: 0-16981 II-F: 0-17799
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-A
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
---------------------------------------------------------
(Exact name of Registrant as specified in its Articles)
II-A 73-1295505
II-B 73-1303341
II-C 73-1308986
II-D 73-1329761
II-E 73-1324751
II-F 73-1330632
II-G 73-1336572
Oklahoma II-H 73-1342476
- ---------------------------- -------------------------------
(State or other jurisdiction (I.R.S. Employer Identification
of incorporation or Number)
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 such filing
requirements for the past 90 days.
Yes X No
------ ------
-1-
<PAGE>
PART I. FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-A
GEODYNE PRODUCTION PARTNERSHIP II-A
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------- ------------
CURRENT ASSETS:
Cash and cash equivalents $ 395,954 $ 213,480
Accounts receivable:
Oil and gas sales 574,548 506,282
General Partner (Note 2) 202,500 -
---------- ----------
Total current assets $1,173,002 $ 719,762
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 3,813,495 4,109,296
DEFERRED CHARGE 701,486 701,486
---------- ----------
$5,687,983 $5,530,544
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 89,198 $ 171,762
Gas imbalance payable 125,904 125,904
---------- ----------
Total current liabilities $ 215,102 $ 297,666
ACCRUED LIABILITY $ 180,325 $ 180,325
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 402,502) ($ 417,336)
Limited Partners, issued and
outstanding, 484,283 units 5,695,058 5,469,889
---------- ----------
Total Partners' capital $5,292,556 $5,052,553
---------- ----------
$5,687,983 $5,530,544
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-2-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-A
GEODYNE PRODUCTION PARTNERSHIP II-A
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
REVENUES:
Oil and gas sales $ 834,862 $ 896,499
Interest income 2,621 10,141
Gain on sale of oil and
gas properties - 205,857
Insurance settlement 202,500 -
Contract settlement income - 1,710,190
---------- ----------
$1,039,983 $2,822,687
COSTS AND EXPENSES:
Lease operating $ 257,236 $ 284,930
Production tax 42,773 56,315
Depreciation, depletion, and
amortization of oil and gas
properties 143,393 162,901
General and administrative
(Note 2) 135,570 136,112
---------- ----------
$ 578,972 $ 640,258
---------- ----------
NET INCOME $ 461,011 $2,182,429
========== ==========
GENERAL PARTNER - NET INCOME $ 28,655 $ 115,130
========== ==========
LIMITED PARTNERS - NET INCOME $ 432,356 $2,067,299
========== ==========
NET INCOME per unit $ .90 $ 4.27
========== ==========
UNITS OUTSTANDING 484,283 484,283
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-3-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-A
GEODYNE PRODUCTION PARTNERSHIP II-A
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
----------- ----------
REVENUES:
Oil and gas sales $1,494,025 $1,932,820
Interest income 4,690 18,604
Gain on sale of oil and
gas properties - 652,721
Insurance settlement 202,500 -
Contract settlement income - 1,710,190
---------- ----------
$1,701,215 $4,314,335
COSTS AND EXPENSES:
Lease operating $ 558,156 $ 596,845
Production tax 73,013 115,073
Depreciation, depletion, and
amortization of oil and gas
properties 288,245 323,497
General and administrative
(Note 2) 307,628 305,348
---------- ----------
$1,227,042 $1,340,763
---------- ----------
NET INCOME $ 474,173 $2,973,572
========== ==========
GENERAL PARTNER - NET INCOME $ 35,004 $ 160,688
========== ==========
LIMITED PARTNERS - NET INCOME $ 439,169 $2,812,884
========== ==========
NET INCOME per unit $ .91 $ 5.81
========== ==========
UNITS OUTSTANDING 484,283 484,283
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-4-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-A
GEODYNE PRODUCTION PARTNERSHIP II-A
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $474,173 $2,973,572
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 288,245 323,497
Gain on sale of oil and gas
properties - ( 652,721)
(Increase) decrease in accounts
receivable - oil and gas sales ( 68,266) 261,428
Increase in accounts receivable -
General Partner ( 202,500) -
Increase in accounts receivable -
other - ( 1,689,215)
Decrease in accounts payable ( 82,564) ( 125,418)
-------- ----------
Net cash provided by operating
activities $409,088 $1,091,143
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 3,279) ($ 17,847)
Proceeds from sale of oil and
gas properties 10,835 737,605
-------- ----------
Net cash provided by investing
activities $ 7,556 $ 719,758
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($234,170) ($1,824,884)
-------- ----------
Net cash used by financing activities ($234,170) ($1,824,884)
-------- ----------
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS $182,474 ($ 13,983)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 213,480 830,584
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $395,954 $ 816,601
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-5-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE PRODUCTION PARTNERSHIP II-B
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 163,540 $ 107,021
Accounts receivable:
Oil and gas sales 403,368 328,334
---------- ----------
Total current assets $ 566,908 $ 435,355
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 2,365,010 2,569,828
DEFERRED CHARGE 179,833 179,833
---------- ----------
$3,111,751 $3,185,016
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 65,467 $ 77,383
Gas imbalance payable 19,790 19,790
---------- ----------
Total current liabilities $ 85,257 $ 97,173
ACCRUED LIABILITY $ 98,681 $ 98,681
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 317,935) ($ 320,234)
Limited Partners, issued and
outstanding, 361,719 units 3,245,748 3,309,396
---------- ----------
Total Partners' capital $2,927,813 $2,989,162
---------- ----------
$3,111,751 $3,185,016
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-6-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE PRODUCTION PARTNERSHIP II-B
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $569,351 $ 634,517
Interest income 1,215 4,099
Gain on sale of oil and
gas properties - 5,491
Contract settlement income - 2,793,295
-------- ----------
$570,566 $3,437,402
COSTS AND EXPENSES:
Lease operating $188,565 $ 168,679
Production tax 30,033 42,520
Depreciation, depletion, and
amortization of oil and gas
properties 86,656 97,349
General and administrative
(Note 2) 101,378 103,080
-------- ----------
$406,632 $ 411,628
-------- ----------
NET INCOME $163,934 $3,025,774
======== ==========
GENERAL PARTNER - NET INCOME $ 11,602 $ 154,978
======== ==========
LIMITED PARTNERS - NET INCOME $152,332 $2,870,796
======== ==========
NET INCOME per unit $ .42 $ 7.93
======== ==========
UNITS OUTSTANDING 361,719 361,719
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-7-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE PRODUCTION PARTNERSHIP II-B
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
----------- ----------
REVENUES:
Oil and gas sales $1,085,725 $1,429,973
Interest income 2,384 9,685
Gain on sale of oil and
gas properties - 63,175
Contract settlement income - 2,793,295
---------- ----------
$1,088,109 $4,296,128
COSTS AND EXPENSES:
Lease operating $ 427,933 $ 420,017
Production tax 64,089 85,832
Depreciation, depletion, and
amortization of oil and gas
properties 184,426 200,971
General and administrative
(Note 2) 228,914 229,906
---------- ----------
$ 905,362 $ 936,726
---------- ----------
NET INCOME $ 182,747 $3,359,402
========== ==========
GENERAL PARTNER - NET INCOME $ 16,395 $ 175,525
========== ==========
LIMITED PARTNERS - NET INCOME $ 166,352 $3,183,877
========== ==========
NET INCOME per unit $ .46 $ 8.80
========== ==========
UNITS OUTSTANDING 361,719 361,719
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-8-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE PRODUCTION PARTNERSHIP II-B
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $182,747 $3,359,402
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 184,426 200,971
Gain on sale of oil and gas
properties - ( 63,175)
(Increase) decrease in accounts
receivable - oil and gas sales ( 75,034) 143,289
Increase in accounts receivable -
other - ( 2,793,295)
Decrease in accounts payable ( 11,916) ( 64,574)
-------- ----------
Net cash provided by operating
activities $280,223 $ 782,618
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 159) ($ 40,233)
Proceeds from sale of oil and
gas properties 20,551 74,745
-------- ----------
Net cash provided by investing
activities $ 20,392 $ 34,512
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($244,096) ($1,117,981)
-------- ----------
Net cash used by financing activities ($244,096) ($1,117,981)
-------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 56,519 ($ 300,851)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 107,021 644,574
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $163,540 $ 343,723
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-9-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE PRODUCTION PARTNERSHIP II-C
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 118,170 $ 66,617
Accounts receivable:
Oil and gas sales 192,565 157,275
---------- ----------
Total current assets $ 310,735 $ 223,892
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 1,280,078 1,382,430
DEFERRED CHARGE 153,412 153,412
---------- ----------
$1,744,225 $1,759,734
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 28,660 $ 29,848
Gas imbalance payable 38,249 38,249
---------- ----------
Total current liabilities $ 66,909 $ 68,097
ACCRUED LIABILITY $ 59,308 $ 59,308
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 130,639) ($ 133,264)
Limited Partners, issued and
outstanding, 154,621 units 1,748,647 1,765,593
---------- ----------
Total Partners' capital $1,618,008 $1,632,329
---------- ----------
$1,744,225 $1,759,734
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-10-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE PRODUCTION PARTNERSHIP II-C
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ---------
REVENUES:
Oil and gas sales $283,362 $ 274,090
Interest income 981 3,773
Gain on sale of oil and
gas properties 47 5,331
Contract settlement income - 1,197,148
-------- ----------
$284,390 $1,480,342
COSTS AND EXPENSES:
Lease operating $ 74,782 $ 71,017
Production tax 18,736 19,503
Depreciation, depletion, and
amortization of oil and gas
properties 51,114 50,005
General and administrative
(Note 2) 44,044 44,521
-------- ----------
$188,676 $ 185,046
-------- ----------
NET INCOME $ 95,714 $1,295,296
======== ==========
GENERAL PARTNER - NET INCOME $ 14,073 $ 66,576
======== ==========
LIMITED PARTNERS - NET INCOME $ 81,641 $1,228,720
======== ==========
NET INCOME per unit $ .52 $ 7.95
======== ==========
UNITS OUTSTANDING 154,621 154,621
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-11-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE PRODUCTION PARTNERSHIP II-C
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ---------
REVENUES:
Oil and gas sales $524,665 $ 642,625
Interest income 1,860 7,110
Gain on sale of oil and
gas properties 47 198,858
Contract settlement income - 1,197,148
-------- ----------
$526,572 $2,045,741
COSTS AND EXPENSES:
Lease operating $162,432 $ 160,081
Production tax 42,250 42,741
Depreciation, depletion, and
amortization of oil and gas
properties 104,130 109,598
General and administrative
(Note 2) 98,605 98,730
-------- ----------
$407,417 $ 411,150
-------- ----------
NET INCOME $119,155 $1,634,591
======== ==========
GENERAL PARTNER - NET INCOME $ 21,101 $ 85,758
======== ==========
LIMITED PARTNERS - NET INCOME $ 98,054 $1,548,833
======== ==========
NET INCOME per unit $ .63 $ 10.02
======== ==========
UNITS OUTSTANDING 154,621 154,621
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-12-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE PRODUCTION PARTNERSHIP II-C
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $119,155 $1,634,591
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 104,130 109,598
Gain on sale of oil and gas
properties ( 47) ( 198,858)
(Increase) decrease in accounts
receivable - oil and gas sales ( 35,290) 83,482
Increase in accounts receivable -
other - ( 1,195,217)
Decrease in accounts payable ( 1,188) ( 5,986)
-------- ----------
Net cash provided by operating
activities $186,760 $ 427,610
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 10,032) ($ 14,789)
Proceeds from sale of oil and
gas properties 8,301 282,274
-------- ----------
Net cash provided (used) by
investing activities ($ 1,731) $ 267,485
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($133,476) ($ 874,991)
-------- ----------
Net cash used by financing activities ($133,476) ($ 874,991)
-------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 51,553 ($ 179,896)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 66,617 358,095
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $118,170 $ 178,199
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-13-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 347,660 $ 311,556
Accounts receivable:
Oil and gas sales 402,758 342,433
---------- ----------
Total current assets $ 750,418 $ 653,989
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 2,538,114 2,726,713
DEFERRED CHARGE 614,207 614,207
---------- ----------
$3,902,739 $3,994,909
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 71,653 $ 67,934
Gas imbalance payable 149,648 149,648
---------- ----------
Total current liabilities $ 221,301 $ 217,582
ACCRUED LIABILITY $ 206,215 $ 206,215
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 235,815) ($ 247,182)
Limited Partners, issued and
outstanding, 314,878 units 3,711,038 3,818,294
---------- ----------
Total Partners' capital $3,475,223 $3,571,112
---------- ----------
$3,902,739 $3,994,909
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-14-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $620,800 $ 633,539
Interest income 2,803 8,801
Gain on sale of oil and
gas properties 36,944 69,790
Contract settlement income - 3,033,283
-------- ----------
$660,547 $3,745,413
COSTS AND EXPENSES:
Lease operating $200,823 $ 228,329
Production tax 48,402 38,318
Depreciation, depletion, and
amortization of oil and gas
properties 107,473 114,382
General and administrative
(Note 2) 88,726 90,214
-------- ----------
$445,424 $ 471,243
-------- ----------
NET INCOME $215,123 $3,274,170
======== ==========
GENERAL PARTNER - NET INCOME $ 30,905 $ 167,843
======== ==========
LIMITED PARTNERS - NET INCOME $184,218 $3,106,327
======== ==========
NET INCOME per unit $ .59 $ 9.86
======== ==========
UNITS OUTSTANDING 314,878 314,878
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-15-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
REVENUES:
Oil and gas sales $1,126,215 $1,345,511
Interest income 5,887 19,370
Gain on sale of oil and
gas properties 36,944 508,895
Contract settlement income - 3,033,283
---------- ----------
$1,169,046 $4,907,059
COSTS AND EXPENSES:
Lease operating $ 446,075 $ 485,866
Production tax 88,699 102,417
Depreciation, depletion, and
amortization of oil and gas
properties 204,416 227,383
General and administrative
(Note 2) 199,734 200,303
---------- ----------
$ 938,924 $1,015,969
---------- ----------
NET INCOME $ 230,122 $3,891,090
========== ==========
GENERAL PARTNER - NET INCOME $ 35,378 $ 202,681
========== ==========
LIMITED PARTNERS - NET INCOME $ 194,744 $3,688,409
========== ==========
NET INCOME per unit $ .62 $ 11.71
========== ==========
UNITS OUTSTANDING 314,878 314,878
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-16-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $230,122 $3,891,090
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 204,416 227,383
Gain on sale of oil and gas
properties ( 36,944) ( 508,895)
(Increase) decrease in accounts
receivable - oil and gas sales ( 60,325) 237,693
Increase in accounts receivable -
other - ( 3,013,016)
Increase (decrease) in accounts
payable 3,719 ( 5,216)
-------- ----------
Net cash provided by operating
activities $340,988 $ 829,039
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 15,817) ($ 2,441)
Proceeds from sale of oil and
gas properties 36,944 685,185
-------- ----------
Net cash provided by investing
activities $ 21,127 $ 682,744
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($326,011) ($2,195,718)
-------- ----------
Net cash used by financing activities ($326,011) ($2,195,718)
-------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 36,104 ($ 683,935)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 311,556 1,151,142
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $347,660 $ 467,207
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-17-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 357,676 $ 376,779
Accounts receivable:
Oil and gas sales 292,069 220,028
---------- ----------
Total current assets $ 649,745 $ 596,807
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 2,161,807 2,388,613
DEFERRED CHARGE 275,532 275,532
---------- ----------
$3,087,084 $3,260,952
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 32,128 $ 38,881
Gas imbalance payable 148,458 148,458
---------- ----------
Total current liabilities $ 180,586 $ 187,339
ACCRUED LIABILITY $ 81,050 $ 81,050
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 171,633) ($ 173,306)
Limited Partners, issued and
outstanding, 228,821 units 2,997,081 3,165,869
---------- ----------
Total Partners' capital $2,825,448 $2,992,563
---------- ----------
$3,087,084 $3,260,952
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-18-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $475,193 $ 412,505
Interest income 2,708 4,235
Gain on sale of oil and
gas properties 23,039 257,260
Contract settlement income - 6,158,619
-------- ----------
$500,940 $6,832,619
COSTS AND EXPENSES:
Lease operating $ 81,499 $ 111,277
Production tax 31,974 30,246
Depreciation, depletion, and
amortization of oil and gas
properties 115,097 122,132
General and administrative
(Note 2) 64,844 68,824
-------- ----------
$293,414 $ 332,479
-------- ----------
NET INCOME $207,526 $6,500,140
======== ==========
GENERAL PARTNER - NET
INCOME $ 14,845 $ 329,680
======== ==========
LIMITED PARTNERS - NET
INCOME $192,681 $6,170,460
======== ==========
NET INCOME per unit $ .84 $ 26.97
======== ==========
UNITS OUTSTANDING 228,821 228,821
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-19-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $803,244 $ 890,830
Interest income 6,099 10,693
Gain on sale of oil and
gas properties 23,406 320,475
Contract settlement income - 6,158,619
-------- ----------
$832,749 $7,380,617
COSTS AND EXPENSES:
Lease operating $206,644 $ 243,303
Production tax 54,562 63,944
Depreciation, depletion, and
amortization of oil and gas
properties 226,035 258,703
General and administrative
(Note 2) 145,562 149,475
-------- ----------
$632,803 $ 715,425
-------- ----------
NET INCOME $199,946 $6,665,192
======== ==========
GENERAL PARTNER - NET
INCOME $ 18,734 $ 343,073
======== ==========
LIMITED PARTNERS - NET
INCOME $181,212 $6,322,119
======== ==========
NET INCOME per unit $ .79 $ 27.63
======== ==========
UNITS OUTSTANDING 228,821 228,821
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-20-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $199,946 $6,665,192
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 226,035 258,703
Gain on sale of oil and gas
properties ( 23,406) ( 320,475)
(Increase) decrease in accounts
receivable - oil and gas sales ( 72,041) 139,523
Increase in accounts receivable -
other - ( 6,158,509)
Decrease in accounts payable ( 6,753) ( 57,013)
-------- ----------
Net cash provided by operating
activities $323,781 $ 527,421
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 1,217) ($ 116,267)
Proceeds from sale of oil and
gas properties 25,394 348,945
-------- ----------
Net cash provided by investing
activities $ 24,177 $ 232,678
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($367,061) ($ 808,509)
-------- ----------
Net cash used by financing activities ($367,061) ($ 808,509)
-------- ----------
NET DECREASE IN CASH AND CASH
EQUIVALENTS ($ 19,103) ($ 48,410)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 376,779 670,777
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $357,676 $ 622,367
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-21-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 182,127 $ 153,240
Accounts receivable:
Oil and gas sales 243,521 187,525
---------- ----------
Total current assets $ 425,648 $ 340,765
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 1,898,300 2,086,592
DEFERRED CHARGE 46,373 46,373
---------- ----------
$2,370,321 $2,473,730
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 24,572 $ 24,007
Gas imbalance payable 4,233 4,233
---------- ----------
Total current liabilities $ 28,805 $ 28,240
ACCRUED LIABILITY $ 24,995 $ 24,995
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 132,184) ($ 144,763)
Limited Partners, issued and
outstanding, 171,400 units 2,448,705 2,565,258
---------- ----------
Total Partners' capital $2,316,521 $2,420,495
---------- ----------
$2,370,321 $2,473,730
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-22-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ---------
REVENUES:
Oil and gas sales $376,944 $388,884
Interest income 1,394 3,948
Gain on sale of oil and
gas properties 305 538,754
-------- --------
$378,643 $931,586
COSTS AND EXPENSES:
Lease operating $ 57,692 $ 62,517
Production tax 21,396 25,515
Depreciation, depletion, and
amortization of oil and gas
properties 82,687 83,517
General and administrative
(Note 2) 48,086 47,610
-------- --------
$209,861 $219,159
-------- --------
NET INCOME $168,782 $712,427
======== ========
GENERAL PARTNER - NET INCOME $ 24,181 $ 38,765
======== ========
LIMITED PARTNERS - NET INCOME $144,601 $673,662
======== ========
NET INCOME per unit $ .84 $ 3.93
======== ========
UNITS OUTSTANDING 171,400 171,400
======== ========
The accompanying condensed notes are an integral part of these
combined financial statements.
-23-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $771,173 $ 820,953
Interest income 3,175 10,043
Gain on sale of oil and
gas properties 1,203 655,945
-------- ----------
$775,551 $1,486,941
COSTS AND EXPENSES:
Lease operating $190,462 $ 148,402
Production tax 46,627 54,461
Depreciation, depletion, and
amortization of oil and gas
properties 193,700 177,239
General and administrative
(Note 2) 108,581 106,786
-------- ----------
$539,370 $ 486,888
-------- ----------
NET INCOME $236,181 $1,000,053
======== ==========
GENERAL PARTNER - NET INCOME $ 40,734 $ 56,590
======== ==========
LIMITED PARTNERS - NET INCOME $195,447 $ 943,463
======== ==========
NET INCOME per unit $ 1.14 $ 5.50
======== ==========
UNITS OUTSTANDING 171,400 171,400
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-24-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $236,181 $1,000,053
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 193,700 177,239
Gain on sale of oil and gas
properties ( 1,203) ( 655,945)
(Increase) decrease in accounts
receivable - oil and gas sales ( 55,996) 110,254
Decrease in accounts receivable -
other - 43
Increase (decrease) in accounts
payable 565 ( 39,725)
-------- ----------
Net cash provided by operating
activities $373,247 $ 591,919
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 9,873) ($ 32,829)
Proceeds from sale of oil and
gas properties 5,668 720,750
-------- ----------
Net cash provided (used) by
investing activities ($ 4,205) $ 687,921
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($340,155) ($1,189,653)
-------- ----------
Net cash used by financing activities ($340,155) ($1,189,653)
-------- ----------
NET INCREASE IN CASH AND CASH
EQUIVALENTS $ 28,887 $ 90,187
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 153,240 741,852
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $182,127 $ 832,039
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-25-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 427,496 $ 333,168
Accounts receivable:
Oil and gas sales 558,635 398,538
---------- ----------
Total current assets $ 986,131 $ 731,706
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 4,086,371 4,492,141
DEFERRED CHARGE 101,955 101,955
---------- ----------
$5,174,457 $5,325,802
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 52,593 $ 51,385
Gas imbalance payable 9,029 9,029
---------- ----------
Total current liabilities $ 61,622 $ 60,414
ACCRUED LIABILITY $ 57,830 $ 57,830
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 300,999) ($ 304,885)
Limited Partners, issued and
outstanding, 372,189 units 5,356,004 5,512,443
---------- ----------
Total Partners' capital $5,055,005 $5,207,558
---------- ----------
$5,174,457 $5,325,802
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-26-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
REVENUES:
Oil and gas sales $852,551 $ 834,167
Interest income 3,116 8,518
Gain on sale of oil and
gas properties 815 1,126,657
-------- ----------
$856,482 $1,969,342
COSTS AND EXPENSES:
Lease operating $123,871 $ 134,397
Production tax 48,082 55,722
Depreciation, depletion, and
amortization of oil and gas
properties 175,972 180,454
General and administrative
(Note 2) 104,316 103,383
-------- ----------
$452,241 $ 473,956
-------- ----------
NET INCOME $404,241 $1,495,386
======== ==========
GENERAL PARTNER - NET INCOME $ 27,095 $ 81,562
======== ==========
LIMITED PARTNERS - NET INCOME $377,146 $1,413,824
======== ==========
NET INCOME per unit $ 1.02 $ 3.80
======== ==========
UNITS OUTSTANDING 372,189 372,189
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-27-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
REVENUES:
Oil and gas sales $1,704,587 $1,748,556
Interest income 7,001 21,487
Gain on sale of oil and
gas properties 2,693 1,372,284
---------- ----------
$1,714,281 $3,142,327
COSTS AND EXPENSES:
Lease operating $ 406,175 $ 316,829
Production tax 102,620 117,399
Depreciation, depletion, and
amortization of oil and gas
properties 417,483 380,514
General and administrative
(Note 2) 235,466 231,797
---------- ----------
$1,161,744 $1,046,539
---------- ----------
NET INCOME $ 552,537 $2,095,788
========== ==========
GENERAL PARTNER - NET INCOME $ 43,976 $ 118,936
========== ==========
LIMITED PARTNERS - NET INCOME $ 508,561 $1,976,852
========== ==========
NET INCOME per unit $ 1.37 $ 5.31
========== ==========
UNITS OUTSTANDING 372,189 372,189
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-28-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $552,537 $2,095,788
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 417,483 380,514
Gain on sale of oil and gas
properties ( 2,693) ( 1,372,284)
(Increase) decrease in accounts
receivable - oil and gas sales ( 160,097) 227,723
Increase (decrease) in accounts
payable 1,208 ( 83,014)
-------- ----------
Net cash provided by operating
activities $808,438 $1,248,727
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 21,202) ($ 63,181)
Proceeds from sale of oil and
gas properties 12,182 1,501,793
-------- ----------
Net cash provided (used) by
investing activities ($ 9,020) $1,438,612
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($705,090) ($2,505,819)
-------- ----------
Net cash used by financing activities ($705,090) ($2,505,819)
-------- ----------
NET INCREASE IN CASH AND CASH
EQUIVALENTS $ 94,328 $ 181,520
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 333,168 1,564,325
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $427,496 $1,745,845
======== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-29-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
June 30, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 95,694 $ 78,275
Accounts receivable:
Oil and gas sales 128,199 95,260
---------- ----------
Total current assets $ 223,893 $ 173,535
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 963,952 1,057,945
DEFERRED CHARGE 23,749 23,749
---------- ----------
$1,211,594 $1,255,229
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 12,701 $ 12,408
---------- ----------
Total current liabilities $ 12,701 $ 12,408
ACCRUED LIABILITY $ 12,063 $ 12,063
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 74,938) ($ 75,631)
Limited Partners, issued and
outstanding, 91,711 units 1,261,768 1,306,389
---------- ----------
Total Partners' capital $1,186,830 $1,230,758
---------- ----------
$1,211,594 $1,255,229
========== ==========
The accompanying condensed notes are an integral part of these
combined financial statements.
-30-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
REVENUES:
Oil and gas sales $198,563 $195,270
Interest income 637 1,887
Gain on sale of oil and
gas properties 266 257,705
-------- --------
$199,466 $454,862
COSTS AND EXPENSES:
Lease operating $ 30,059 $ 32,716
Production tax 11,485 13,457
Depreciation, depletion, and
amortization of oil and gas
properties 41,852 41,604
General and administrative
(Note 2) 25,692 25,478
-------- --------
$109,088 $113,255
-------- --------
NET INCOME $ 90,378 $341,607
======== ========
GENERAL PARTNER - NET INCOME $ 6,161 $ 18,651
======== ========
LIMITED PARTNERS - NET INCOME $ 84,217 $322,956
======== ========
NET INCOME per unit $ .92 $ 3.52
======== ========
UNITS OUTSTANDING 91,711 91,711
======== ========
The accompanying condensed notes are an integral part of these
combined financial statements.
-31-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED STATEMENTS OF OPERATIONS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
-------- ---------
REVENUES:
Oil and gas sales $396,755 $412,973
Interest income 1,450 4,822
Gain on sale of oil and
gas properties 700 315,023
-------- --------
$398,905 $732,818
COSTS AND EXPENSES:
Lease operating $ 97,459 $ 76,189
Production tax 24,126 28,324
Depreciation, depletion, and
amortization of oil and gas
properties 96,941 88,085
General and administrative
(Note 2) 58,080 57,114
-------- --------
$276,606 $249,712
-------- --------
NET INCOME $122,299 $483,106
======== ========
GENERAL PARTNER - NET INCOME $ 9,920 $ 27,438
======== ========
LIMITED PARTNERS - NET INCOME $112,379 $455,668
======== ========
NET INCOME per unit $ 1.23 $ 4.97
======== ========
UNITS OUTSTANDING 91,711 91,711
======== ========
The accompanying condensed notes are an integral part of these
combined financial statements.
-32-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED JUNE 30, 1999 AND 1998
(Unaudited)
1999 1998
--------- ---------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $122,299 $483,106
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 96,941 88,085
Gain on sale of oil and gas
properties ( 700) ( 315,023)
(Increase) decrease in accounts
receivable - oil and gas sales ( 32,939) 56,188
Increase (decrease) in accounts
payable 293 ( 19,162)
-------- --------
Net cash provided by operating
activities $185,894 $293,194
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 5,148) ($ 15,635)
Proceeds from sale of oil and
gas properties 2,900 345,091
-------- --------
Net cash provided (used) by
investing activities ($ 2,248) $329,456
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($166,227) ($585,516)
-------- --------
Net cash used by financing activities ($166,227) ($585,516)
-------- --------
NET INCREASE IN CASH AND CASH
EQUIVALENTS $ 17,419 $ 37,134
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 78,275 364,502
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $ 95,694 $401,636
======== ========
The accompanying condensed notes are an integral part of these
combined financial statements.
-33-
<PAGE>
GEODYNE ENERGY INCOME PROGRAM II LIMITED PARTNERSHIPS
CONDENSED NOTES TO THE COMBINED FINANCIAL STATEMENTS
JUNE 30, 1999
(Unaudited)
1. ACCOUNTING POLICIES
-------------------
The combined balance sheets as of June 30, 1999, combined statements of
operations for the three and six months ended June 30, 1999 and 1998, and
combined statements of cash flows for the six months ended June 30, 1999
and 1998 have been prepared by Geodyne Resources, Inc., the General
Partner of the limited partnerships, without audit. Each limited
partnership is a general partner in the related Geodyne Production
Partnership in which Geodyne Resources, Inc. serves as the managing
partner. Unless the context indicates otherwise, all references to a
"Partnership" or the "Partnerships" are references to the limited
partnership and its related production partnership, collectively, and all
references to the "General Partner" are references to the general partner
of the limited partnerships and the managing partner of the production
partnerships, collectively. In the opinion of management the financial
statements referred to above include all necessary adjustments, consisting
of normal recurring adjustments, to present fairly the combined financial
position at June 30, 1999, the combined results of operations for the
three and six months ended June 30, 1999 and 1998, and the combined cash
flows for the six months ended June 30, 1999 and 1998.
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, 1998. The
results of operations for the period ended June 30, 1999 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.
-34-
<PAGE>
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, plus an allocated portion, of the General Partner's
property screening costs. 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 prior to their transfer to the Partnerships. 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.
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. The Partnerships' depletion, depreciation, and amortization
includes estimated dismantlement and abandonment costs, net of estimated
salvage value.
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 proceeds are credited to oil and gas
properties.
-35-
<PAGE>
2. TRANSACTIONS WITH RELATED PARTIES
---------------------------------
The Partnerships' Partnership Agreements 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. During the three months
ended June 30, 1999 the following payments were made to the General
Partner or its affiliates by the Partnerships:
Direct General Administrative
Partnership and Administrative Overhead
----------- ------------------- ---------------
II-A $ 8,127 $127,443
II-B 6,188 95,190
II-C 3,355 40,689
II-D 5,863 82,863
II-E 4,628 60,216
II-F 2,981 45,105
II-G 6,372 97,944
II-H 1,557 24,135
During the six months ended June 30, 1999 the following payments were made
to the General Partner or its affiliates by the Partnerships:
Direct General Administrative
Partnership and Administrative Overhead
----------- ------------------- ---------------
II-A $52,742 $254,886
II-B 38,534 190,380
II-C 17,227 81,378
II-D 34,008 165,726
II-E 25,130 120,432
II-F 18,371 90,210
II-G 39,578 195,888
II-H 9,810 48,270
Affiliates of the Partnerships operate certain of the Partnerships'
properties and their policy is to bill the Partnerships for all customary
charges and cost reimbursements associated with their activities.
The accounts receivable - General Partner at June 30, 1999 for the II-A
Partnership represents proceeds from an insurance settlement discussed
below in Liquidity and Capital Resources. Such receivable was subsequently
collected and will be included in the II-A Partnership's August 1999 cash
distribution.
-36-
<PAGE>
ITEM 2. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS
USE OF FORWARD-LOOKING STATEMENTS AND ESTIMATES
- -----------------------------------------------
This Quarterly Report contains certain forward-looking statements. The
words "anticipate", "believe", "expect", "plan", "intend", "estimate",
"project", "could", "may" and similar expressions are intended to identify
forward-looking statements. Such statements reflect management's current
views with respect to future events and financial performance. This
Quarterly Report also includes certain information, which is, or is based
upon, estimates and assumptions. Such estimates and assumptions are
management's efforts to accurately reflect the condition and operation of
the Partnerships.
Use of forward-looking statements and estimates and assumptions involve
risks and uncertainties which include, but are not limited to, the
volatility of oil and gas prices, the uncertainty of reserve information,
the operating risk associated with oil and gas properties (including the
risk of personal injury, death, property damage, damage to the well or
producing reservoir, environmental contamination, and other operating
risks), the prospect of changing tax and regulatory laws, the availability
and capacity of processing and transportation facilities, the general
economic climate, the supply and price of foreign imports of oil and gas,
the level of consumer product demand, and the price and availability of
alternative fuels. Should one or more of these risks or uncertainties
occur or should estimates or underlying assumptions prove incorrect,
actual conditions or results may vary materially and adversely from those
stated, anticipated, believed, estimated, and otherwise indicated.
GENERAL
- -------
The Partnerships are engaged in the business of acquiring and operating
producing oil and gas properties located in the continental United States.
In general, a Partnership acquired producing properties and did not engage
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, and its related
Production 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 Partnerships' partnership
agreements.
-37-
<PAGE>
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
----------- ------------------ ---------------
II-A July 22, 1987 $48,428,300
II-B October 14, 1987 36,171,900
II-C January 14, 1988 15,462,100
II-D May 10, 1988 31,487,800
II-E September 27, 1988 22,882,100
II-F January 5, 1989 17,140,000
II-G April 10, 1989 37,218,900
II-H May 17, 1989 9,171,100
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 operations less necessary operating capital are
distributed to the 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. While the
General Partner cannot predict future pricing trends, it believes the
working capital available as of June 30, 1999 and the net revenue
generated from future operations will provide sufficient working capital
to meet current and future obligations.
In August 1999, the II-A Partnership received insurance settlement
proceeds in the amount of $202,500 for the costs incurred to drill the
State Lease 8191 No. 4 well in St. Bernard Parish, Louisiana for the
purpose of relieving pressure in another well which suffered a blowout
during a workover attempt. This new well was completed as a producing gas
well in 1998. The insurance proceeds amount will be included in the
Partnership's August 1999 cash distribution.
-38-
<PAGE>
The II-D and II-E Partnerships' Statements of Cash Flows for the six
months ended June 30, 1999 include proceeds from the sale of oil and gas
properties during the six months ended June 30, 1999. The proceeds
received by the II-E Partnership during the first quarter were included in
the II-E Partnership's cash distribution paid during May 1999. The
proceeds received during the second quarter by the II-D and II-E
Partnerships will be included in the Partnerships' cash distributions to
be paid in August 1999.
RESULTS OF OPERATIONS
- ---------------------
GENERAL DISCUSSION
The following general discussion should be read in conjunction with the
analysis of results of operations provided below. The most important
variable affecting the Partnerships' revenues is the prices received for
the sale of oil and gas. Due to the volatility of oil and gas prices,
forecasting future prices is subject to great uncertainty and inaccuracy.
Substantially all of the Partnerships' gas reserves are being sold on the
"spot market". Prices on the spot market are subject to wide seasonal and
regional pricing fluctuations due to the highly competitive nature of the
spot market. Such spot market sales are generally short-term in nature and
are dependent upon the obtaining of transportation services provided by
pipelines. In addition, crude oil prices were recently at or near their
lowest level in the past decade due primarily to the global surplus of
crude oil. However, as of the date of this Quarterly Report oil prices
have rebounded primarily due to a decrease in the global oil surplus as a
result of production curtailments by several major oil producing nations.
Management is unable to predict whether future oil and gas prices will (i)
stabilize, (ii) increase, or (iii) decrease.
-39-
<PAGE>
II-A PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $834,862 $896,499
Oil and gas production expenses $300,009 $341,245
Barrels produced 20,351 24,402
Mcf produced 274,373 306,092
Average price/Bbl $ 14.17 $ 11.73
Average price/Mcf $ 1.99 $ 1.99
As shown in the table above, total oil and gas sales decreased $61,637
(6.9%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this decrease, approximately $47,000 and
$63,000, respectively, were related to decreases in volumes of oil and gas
sold, which decreases were partially offset by an increase of
approximately $49,000 related to an increase in the average price of oil
sold. Volumes of oil and gas sold decreased 4,051 barrels and 31,719 Mcf,
respectively, for the three months ended June 30, 1999 as compared to the
three months ended June 30, 1998. The decrease in volumes of oil sold was
primarily due to (i) positive prior period volume adjustments made by the
purchaser on two significant wells during the three months ended June 30,
1998 and (ii) normal declines in production. The decrease in volumes of
gas sold was primarily due to normal declines in production. Average oil
prices increased to $14.17 per barrel for the three months ended June
30,1999 from $11.73 per barrel for the three months ended June 30, 1998.
Average gas prices remained constant at $1.99 for the three months ended
June 30, 1999 and for the three months ended June 30, 1998.
The II-A Partnership sold certain oil and gas properties during the three
months ended June 30, 1998 and recognized a $205,857 gain on such sales.
No such gains were recognized on sales of oil and gas properties during
the three months ended June 30, 1999.
As discussed in Liquidity and Capital Resources above, the II-A
Partnership recognized an insurance settlement in the amount of $202,500
during the three months ended June 30, 1999. No similar settlements
occurred during the three months ended June 30, 1998.
-40-
<PAGE>
The II-A Partnership recognized a gas contract settlement in the amount of
$1,710,190 during the three months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the three months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $41,236 (12.1%) for the three months ended
June 30, 1999 as compared to the three months ended June 30, 1998. This
decrease was primarily due to (i) a decrease in lease operating expenses
associated with the decreases in volumes of oil and gas sold and (ii) a
decrease in production taxes associated with production tax credits
received from the operator on several wells during the three months ended
June 30, 1999. As a percentage of oil and gas sales, these expenses
decreased to 35.9% for the three months ended June 30, 1999 from 38.1% for
the three months ended June 30, 1998. This percentage decrease was
primarily due to the increase in the average price of oil sold.
Depreciation, depletion, and amortization of oil and gas properties
decreased $19,508 (12.0%) for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. This decrease was
primarily due to the decreases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense decreased to 17.2% for the
three months ended June 30, 1999 from 18.2% for the three months ended
June 30, 1998.
General and administrative expenses remained relatively constant for the
three months ended June 30, 1999 as compared to the three months ended
June 30, 1998. As a percentage of oil and gas sales, these expenses
increased to 16.2% for the three months ended June 30, 1999 from 15.2% for
the three months ended June 30, 1998.
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30,
1998.
Six Months Ended June 30,
-------------------------
1999 1998
---------- ----------
Oil and gas sales $1,494,025 $1,932,820
Oil and gas production expenses $ 631,169 $ 711,918
Barrels produced 43,675 46,448
Mcf produced 534,942 619,915
Average price/Bbl $ 12.32 $ 13.69
Average price/Mcf $ 1.79 $ 2.09
-41-
<PAGE>
As shown in the table above, total oil and gas sales decreased $438,795
(22.7%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $38,000 and
$178,000, respectively, were related to decreases in volumes of oil and
gas sold and approximately $60,000 and $163,000, respectively, were
related to decreases in the average prices of oil and gas sold. Volumes of
oil and gas sold decreased 2,773 barrels and 84,973 Mcf, respectively, for
the six months ended June 30, 1999 as compared to the six months ended
June 30, 1998. The decrease in volumes of gas sold was primarily due to
(i) the sale of several wells during 1998 and (ii) normal declines in
production. Average oil and gas prices decreased to $12.32 per barrel and
$1.79 per Mcf, respectively, for the six months ended June 30, 1999 from
$13.69 per barrel and $2.09 per Mcf, respectively, for the six months
ended June 30, 1998.
The II-A Partnership sold certain oil and gas properties during the six
months ended June 30, 1998 and recognized a $652,721 gain on such sales.
No such gains were recognized during the six months ended June 30, 1999.
As discussed in Liquidity and Capital Resources above, the II-A
Partnership recognized an insurance settlement in the amount of $202,500
during the six months ended June 30, 1999. No similar settlements occurred
during the six months ended June 30, 1998.
The II-A Partnership recognized a gas contract settlement in the amount of
$1,710,190 during the six months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the six months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $80,749 (11.3%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This decrease
was primarily due to (i) a decrease in production taxes associated with
the decrease in oil and gas sales, (ii) a decrease in production taxes
associated with production tax credits received from the operator on
several wells during the six months ended June 30, 1999, and (iii) a
decrease in lease operating expenses associated with the decreases in
volumes of oil and gas sold. These decreases were partially offset by
workover expenses incurred on two significant wells during the six months
ended June 30, 1999 in order to improve the recovery of reserves. As a
percentage of oil and gas sales, these expenses increased to 42.2% for the
six months ended June 30, 1999 from 36.8% for the six months ended June
30, 1998. This percentage increase was primarily due to the decreases in
the average prices of oil and gas sold.
-42-
<PAGE>
Depreciation, depletion, and amortization of oil and gas properties
decreased $35,252 (10.9%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. This decrease was
primarily due to the decreases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 19.3% for the
six months ended June 30, 1999 from 16.7% for the six months ended June
30, 1998. This percentage increase was primarily due to the decreases in
the average prices of oil and gas sold.
General and administrative expenses remained relatively constant for the
six months ended June 30, 1999 as compared to the six months ended June
30, 1998. As a percentage of oil and gas sales, these expenses increased
to 20.6% for the six months ended June 30, 1999 from 15.8% for the six
months ended June 30, 1998. This percentage increase was primarily due to
the decrease in oil and gas sales.
The Limited Partners have received cash distributions through June 30,
1999 totaling $46,949,357 or 96.95% of the Limited Partners' capital
contributions. II-B PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $569,351 $634,517
Oil and gas production expenses $218,598 $211,199
Barrels produced 13,121 12,845
Mcf produced 196,375 235,275
Average price/Bbl $ 14.48 $ 13.75
Average price/Mcf $ 1.93 $ 1.95
As shown in the table above, total oil and gas sales decreased $65,166
(10.3%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this decrease, approximately $76,000 was
related to a decrease in volumes of gas sold. This decrease was partially
offset by an increase of approximately $10,000 related to an increase in
the average price of oil sold. Volumes of oil sold increased 276 barrels,
while volumes of gas sold decreased 38,900 Mcf for the three months ended
June 30, 1999 as compared to the three months ended June 30, 1998. The
decrease in volumes of gas sold was primarily due to (i) normal declines
in production and (ii) the shutting-in of one significant well to perform
a workover during the three months ended June 30, 1999. Average oil prices
increased to $14.48 per barrel for the three months ended
-43-
<PAGE>
June 30, 1999 from $13.75 per barrel for the three months ended June
30,1998. Average gas prices decreased to $1.93 per Mcf for the three
months ended June 30, 1999 from $1.95 per Mcf for the three months ended
June30, 1998.
The II-B Partnership recognized a gas contract settlement in the amount of
$2,793,295 during the three months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the three months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $7,399 (3.5%) for the three months ended June
30, 1999 as compared to the three months ended June 30, 1998. This
increase was primarily due to workover expenses incurred on two
significant wells during the three months ended June 30, 1999 in order to
improve the recovery of reserves. This increase was partially offset by a
decrease in production taxes associated with the decrease in oil and gas
sales and a decrease in lease operating expenses associated with the
decrease in volumes of gas sold. As a percentage of oil and gas sales,
these expenses increased to 38.4% for the three months ended June 30, 1999
from 33.3% for the three months ended June 30, 1998. This percentage
increase was primarily due to the 1999 workover expenses.
Depreciation, depletion, and amortization of oil and gas properties
decreased $10,693 (11.0%) for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. This decrease was
primarily due to the decrease in volumes of gas sold. As a percentage of
oil and gas sales, this expense remained relatively constant at 15.2% for
the three months ended June 30, 1999 and 15.3% for the three months ended
June 30, 1998.
General and administrative expenses decreased $1,702 (1.7%) for the three
months ended June 30, 1999 as compared to the three months ended June 30,
1998. As a percentage of oil and gas sales, these expenses increased to
17.8% for the three months ended June 30, 1999 from 16.2% for the three
months ended June 30, 1998. This percentage increase was primarily due to
the decrease in oil and gas sales.
-44-
<PAGE>
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30,
1998.
Six Months Ended June 30,
-------------------------
1999 1998
---------- ----------
Oil and gas sales $1,085,725 $1,429,973
Oil and gas production expenses $ 492,022 $ 505,849
Barrels produced 28,053 28,756
Mcf produced 417,162 472,287
Average price/Bbl $ 12.50 $ 15.06
Average price/Mcf $ 1.76 $ 2.11
As shown in the table above, total oil and gas sales decreased $344,248
(24.1%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $11,000 and
$116,000, respectively, were related to decreases in volumes of oil and
gas sold and approximately $72,000 and $145,000, respectively, were
related to decreases in the average prices of oil and gas sold. Volumes of
oil and gas sold decreased 703 barrels and 55,125 Mcf, respectively, for
the six months ended June 30, 1999 as compared to the six months ended
June 30, 1998. The decrease in volumes of gas sold was primarily due to
(i) normal declines in production and (ii) the sale of several wells
during 1998. Average oil and gas prices decreased to $12.50 per barrel and
$1.76 per Mcf, respectively, for the six months ended June 30, 1999 from
$15.06 per barrel and $2.11 per Mcf, respectively, for the six months
ended June 30, 1998.
The II-B Partnership recognized a gas contract settlement in the amount of
$2,793,295 during the six months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the six months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $13,827 (2.7%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This decrease
was primarily due to (i) a decrease in production taxes associated with
the decrease in oil and gas sales and (ii) a decrease in lease operating
expenses associated with the decrease in volumes of oil and gas sold. This
decrease was partially offset by workover expenses incurred on two
significant wells during the six months ended June 30, 1999 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses increased to 45.3% for the six months ended June 30, 1999
from 35.4% for the six months ended June 30, 1998. This percentage
increase was primarily due to the
-45-
<PAGE>
decreases in the average prices of oil and gas sold and the 1999
workover expenses.
Depreciation, depletion, and amortization of oil and gas properties
decreased $16,545 (8.2%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. As a percentage of oil and
gas sales, this expense increased to 17.0% for the six months ended June
30, 1999 from 14.1% for the six months ended June 30, 1998. This
percentage increase was primarily due to the decreases in the average
prices of oil and gas sold.
General and administrative expenses remained relatively constant for the
six months ended June 30, 1999 as compared to the six months ended June
30, 1998. As a percentage of oil and gas sales, these expenses increased
to 21.1% for the six months ended June 30, 1999 from 16.1% for the six
months ended June 30, 1998. This percentage increase was primarily due to
the decrease in oil and gas sales.
The Limited Partners have received cash distributions through June 30,
1999 totaling $34,362,916 or 95.00% of the Limited Partners' capital
contributions.
II-C PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $283,362 $274,090
Oil and gas production expenses $ 93,518 $ 90,520
Barrels produced 4,090 3,845
Mcf produced 114,864 117,133
Average price/Bbl $ 16.10 $ 14.59
Average price/Mcf $ 1.89 $ 1.86
As shown in the table above, total oil and gas sales increased $9,272
(3.4%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this increase, approximately $3,000 was
related to an increase in volumes of oil sold and approximately $6,000 and
$4,000, respectively, were related to increases in the average prices of
oil and gas sold. These increases were significantly offset by a decrease
of approximately $4,000 related to a decrease in volumes of gas sold.
Volumes of oil sold increased 245 barrels, while volumes of gas sold
decreased 2,269 Mcf for the three months ended June 30, 1999 as compared
to the three months ended June 30, 1998. Average oil and gas prices
increased to $16.10 per barrel and $1.89 per Mcf, respectively, for the
three months ended
-46-
<PAGE>
June 30, 1999 from $14.59 per barrel and $1.86 per Mcf, respectively, for
the three months ended June 30, 1998.
The II-C Partnership recognized a gas contract settlement in the amount of
$1,197,148 during the three months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the three months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $2,998 (3.3%) for the three months ended June
30, 1999 as compared to the three months ended June 30, 1998. As a
percentage of oil and gas sales, these expenses remained constant at 33.0%
for the three months ended June 30, 1999 and for the three months ended
June 30, 1998.
Depreciation, depletion, and amortization of oil and gas properties
increased $1,109 (2.2%) for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. As a percentage of oil
and gas sales, this expense remained relatively constant at 18.0% for the
three months ended June 30, 1999 and 18.2% for the three months ended June
30, 1998.
General and administrative expenses decreased $477 (1.1%) for the three
months ended June 30, 1999 as compared to the three months ended June 30,
1998. As a percentage of oil and gas sales, these expenses decreased to
15.5% for the three months ended June 30, 1999 from 16.2% for the three
months ended June 30, 1998.
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30,
1998.
Six Months Ended June 30,
-------------------------
1999 1998
-------- --------
Oil and gas sales $524,665 $642,625
Oil and gas production expenses $204,682 $202,822
Barrels produced 8,791 8,849
Mcf produced 231,248 254,188
Average price/Bbl $ 13.27 $ 14.87
Average price/Mcf $ 1.76 $ 2.01
As shown in the table above, total oil and gas sales decreased $117,960
(18.4%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this decrease, approximately $46,000 was
related to a decrease in volumes of gas sold and approximately $14,000 and
$57,000, respectively, were related to decreases in the average prices of
oil and gas sold. Volumes of oil
-47-
<PAGE>
and gas sold decreased 58 barrels and 22,940 Mcf, respectively, for the
six months ended June 30, 1999 as compared to the six months ended June
30, 1998. Average oil and gas prices decreased to $13.27 per barrel and
$1.76 per Mcf, respectively, for the six months ended June 30, 1999 from
$14.87 per barrel and $2.01 per Mcf, respectively, for the six months
ended June 30, 1998.
The II-C Partnership recognized a gas contract settlement in the amount of
$1,197,148 during the six months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the six months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) remained relatively constant for the six months ended
June 30, 1999 as compared to the six months ended June 30, 1998. An
increase primarily due to (i) workover expenses incurred on one
significant well during the six months ended June 30, 1999 in order to
improve the recovery of reserves and (ii) positive prior period production
tax adjustments made by the purchaser on two significant wells during the
six months ended June 30, 1999, was substantially offset by decreases in
(i) lease operating expenses associated with the decreases in volumes of
oil and gas sold and (ii) production taxes associated with the decrease in
oil and gas sales. As a percentage of oil and gas sales, these expenses
increased to 39.0% for the six months ended June 30, 1999 from 31.6% for
the six months ended June 30, 1998. This percentage increase was primarily
due to (i) the decreases in the average prices of oil and gas sold, (ii)
the 1999 workover expenses and (iii) the 1999 production tax adjustments.
Depreciation, depletion, and amortization of oil and gas properties
decreased $5,468 (5.0%) for the six months ended June 30, 1999 as compared
to the six months ended June 30, 1998. This decrease was primarily due to
the decreases in volumes of oil and gas sold. As a percentage of oil and
gas sales, this expense increased to 19.8% for the six months ended June
30, 1999 from 17.1% for the six months ended June 30, 1998. This
percentage increase was primarily due to the decreases in the average
prices of oil and gas sold.
General and administrative expenses remained relatively constant for the
six months ended June 30, 1999 as compared to the six months ended June
30, 1998. As a percentage of oil and gas sales, these expenses increased
to 18.8% for the six months ended June 30, 1999 from 15.4% for the six
months ended June 30, 1998. This percentage increase was primarily due to
the decrease in oil and gas sales.
-48-
<PAGE>
The Limited Partners have received cash distributions through June 30,
1999 totaling $15,616,686 or 101.0% of the Limited Partners' capital
contributions.
II-D PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $620,800 $633,539
Oil and gas production expenses $249,225 $266,647
Barrels produced 9,309 8,665
Mcf produced 254,162 281,157
Average price/Bbl $ 14.46 $ 11.49
Average price/Mcf $ 1.91 $ 1.90
As shown in the table above, total oil and gas sales decreased $12,739
(2.0%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this decrease, approximately $51,000 was
related to a decrease in volumes of gas sold. This decrease was
significantly offset by increases of approximately $28,000 and $3,000,
respectively, related to increases in the average prices of oil and gas
sold and approximately $7,000 related to an increase in volumes of oil
sold. Volumes of oil sold increased 644 barrels, while volumes of gas sold
decreased 26,995 Mcf for the three months ended June 30, 1999 as compared
to the three months ended June 30, 1998. Average oil and gas prices
increased to $14.46 per barrel and $1.91 per Mcf, respectively, for the
three months ended June 30, 1999 from $11.49 per barrel and $1.90 per Mcf,
respectively, for the three months ended June 30, 1998.
The II-D Partnership recognized a gas contract settlement in the amount of
$3,033,283 during the three months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the three months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $17,422 (6.5%) for the three months ended June
30, 1999 as compared to the three months ended June 30, 1998. This
decrease was primarily due to workover expenses incurred on two
significant wells during the three months ended June 30, 1998 in order to
improve the recovery of reserves. This decrease was partially offset by an
increase in production taxes due to positive prior period production tax
adjustments made by the purchaser on three significant wells
-49-
<PAGE>
during the three months ended June 30, 1999. As a percentage of oil and
gas sales, these expenses decreased to 40.1% for the three months ended
June 30, 1999 from 42.1% for the three months ended June 30, 1998.
Depreciation, depletion, and amortization of oil and gas properties
decreased $6,909 (6.0%) for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. As a percentage of oil
and gas sales, this expense decreased to 17.3% for the three months ended
June 30, 1999 from 18.1% for the three months ended June 30, 1998.
General and administrative expenses decreased 1,488 (1.6%) for the three
months ended June 30, 1999 as compared to the three months ended June 30,
1998. As a percentage of oil and gas sales, these expenses remained
relatively constant at 14.3% for the three months ended June 30, 1999 and
14.2% for the three months ended June 30, 1998.
The II-D Partnership achieved payout during the three months ended June
30, 1999. After payout, operations and revenues for the II-D Partnership
have been and will be allocated using after payout percentages. After
payout percentages allocate operating income and expenses 10% to the
General Partner and 90% to the Limited Partners. Before payout, operating
income and expenses were allocated 5% to the General Partner and 95% to
the Limited Partners. See the Partnerships' Annual report on Form 10-K for
the year ended December 31, 1998 for a further discussion of pre and post
payout allocations of income and expense.
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30,
1998.
Six Months Ended June 30,
-------------------------
1999 1998
---------- ----------
Oil and gas sales $1,126,215 $1,345,511
Oil and gas production expenses $ 534,774 $ 588,283
Barrels produced 18,613 20,494
Mcf produced 477,982 539,314
Average price/Bbl $ 12.33 $ 13.57
Average price/Mcf $ 1.88 $ 1.98
As shown in the table above, total oil and gas sales decreased $219,296
(16.3%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $26,000 and
$121,000, respectively, were related to decreases in volumes of oil and
gas sold and approximately $23,000 and $49,000, respectively, were related
to decreases in the average prices of oil and gas sold. Volumes of oil and
gas sold decreased 1,881
-50-
<PAGE>
barrels and 61,332 Mcf, respectively, for the six months ended June 30,
1999 as compared to the six months ended June 30, 1998. The decrease in
volumes of gas sold was primarily due to (i) the sale of several wells
during 1998 and (ii) normal declines in production. Average oil and gas
prices decreased to $12.33 per barrel and $1.88 per Mcf, respectively, for
the six months ended June 30, 1999 from $13.57 per barrel and $1.98 per
Mcf, respectively, for the six months ended June 30, 1998.
The II-D Partnership sold certain oil and gas properties during the six
months ended June 30, 1999 and recognized a $36,944 gain on such sales.
Sales of oil and gas properties during the six months ended June 30, 1998
resulted in the II-D Partnership recognizing similar gains of $508,895.
The II-D Partnership recognized a gas contract settlement in the amount of
$3,033,283 during the six months ended June 30,1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the six months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $53,509 (9.1%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This decrease
was primarily due to (i) a decrease in lease operating expenses associated
with the decreases in volumes of oil and gas sold and (ii) a decrease in
production taxes associated with the decrease in oil and gas sales. These
decreases were partially offset by workover expenses incurred on one
significant well during the six months ended June 30, 1999 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses increased to 47.5% for the six months ended June 30, 1999
from 43.7% for the six months ended June 30, 1998. This percentage
increase was primarily due to the decreases in the average prices of oil
and gas sold.
Depreciation, depletion, and amortization of oil and gas properties
decreased $22,967 (10.1%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. This decrease was
primarily due to the decreases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 18.2% for the
six months ended June 30, 1999 from 16.9% for the six months ended June
30, 1998. This percentage increase was primarily due to the decreases in
the average prices of oil and gas sold.
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<PAGE>
General and administrative expenses remained relatively constant for the
six months ended June 30, 1999 as compared to the six months ended June
30, 1998. As a percentage of oil and gas sales, these expenses increased
to 17.7% for the six months ended June 30, 1999 from 14.9% for the six
months ended June 30, 1998. This percentage increase was primarily due to
the decrease in oil and gas sales.
The II-D Partnership achieved payout during the six months ended June 30,
1999. After payout, operations and revenues for the II-D Partnership have
been and will be allocated using after payout percentages. After payout
percentages allocate operating income and expenses 10% to the General
Partner and 90% to the Limited Partners. Before payout, operating income
and expenses were allocated 5% to the General Partner and 95% to the
Limited Partners. See the Partnerships' Annual report on Form 10-K for the
year ended December 31, 1998 for a further discussion of pre and post
payout allocations of income and expense.
The Limited Partners have received cash distributions through June 30,
1999 totaling $31,587,903 or 100.32% of Limited Partners' capital
contributions.
II-E PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $475,193 $412,505
Oil and gas production expenses $113,473 $141,523
Barrels produced 8,412 10,322
Mcf produced 164,664 142,193
Average price/Bbl $ 15.82 $ 14.02
Average price/Mcf $ 2.08 $ 1.88
As shown in the table above, total oil and gas sales increased $62,688
(15.2%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this increase, approximately $15,000 and
$32,000, respectively, were related to increases in the average prices of
oil and gas sold and approximately $42,000 was related to an increase in
the volumes of gas sold. These increases were partially offset by a
decrease of approximately $27,000 related to a decrease in volumes of oil
sold. Volumes of oil sold decreased 1,910 barrels, while volumes of gas
sold increased 22,471 Mcf for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. The decrease in volumes
of oil sold was primarily due to positive prior period volume
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<PAGE>
adjustments made by the purchasers on three wells during the three months
ended June 30, 1998. The increase in volumes of gas sold was primarily due
to (i) receipt of a decreased percentage of sales on one significant well
during the three months ended June 30, 1998 and (ii) the successful
completion of another significant well in late 1998 in which the II-E
Partnership owns an overriding royalty interest. Average oil and gas
prices increased to $15.82 per barrel and $2.08 per Mcf, respectively, for
the three months ended June 30, 1999 from $14.02 per barrel and $1.88 per
Mcf, respectively, for the three months ended June 30, 1998.
The II-E Partnership recognized a gas contract settlement in the amount of
$6,158,619 during the three months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the three months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $28,050 (19.8%) for the three months ended
June 30, 1999 as compared to the three months ended June 30, 1998. This
decrease was primarily due to workover expenses incurred on one
significant well during the three months ended June 30, 1998 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses decreased to 23.9% for the three months ended June 30, 1999
from 34.3% for the three months ended June 30, 1998. This percentage
decrease was primarily due to the dollar decrease in oil and gas
production expenses and the increases in the average prices of oil and gas
sold.
Depreciation, depletion, and amortization of oil and gas properties
decreased $7,035 (5.8%) for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. This decrease was
primarily due to an upward revision in the estimate of remaining gas
reserves at December 31, 1998, which decrease was partially offset by the
increase in volumes of gas sold. As a percentage of oil and gas sales,
this expense decreased to 24.2% for the three months ended June 30, 1999
from 29.6% for the three months ended June 30, 1998. This percentage
decrease was primarily due to the dollar decrease in depreciation,
depletion, and amortization and the increases in the average prices of oil
and gas sold.
General and administrative expenses decreased $3,980 (5.8%) for the three
months ended June 30, 1999 as compared to the three months ended June 30,
1998. As a percentage of oil and gas sales, these expenses decreased to
13.6% for the three months ended June 30, 1999 from 16.7% for the three
months ended June 30, 1998. This percentage decrease was primarily due to
the increase in oil and gas sales.
-53-
<PAGE>
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30, 1998.
Six Months Ended June 30,
-------------------------
1999 1998
-------- --------
Oil and gas sales $803,244 $890,830
Oil and gas production expenses $261,206 $307,247
Barrels produced 17,272 18,722
Mcf produced 318,863 320,042
Average price/Bbl $ 13.43 $ 14.21
Average price/Mcf $ 1.79 $ 1.95
As shown in the table above, total oil and gas sales decreased $87,586
(9.8%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $13,000 and
$51,000, respectively, were related to decreases in the average prices of
oil and gas sold and approximately $21,000 was related to a decrease in
volumes of oil sold. Volumes of oil and gas sold decreased 1,450 barrels
and 1,179 Mcf, respectively, for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. Average oil and gas prices
decreased to $13.43 per barrel and $1.79 per Mcf, respectively, for the
six months ended June 30, 1999 from $14.21 per barrel and $1.95 per Mcf,
respectively, for the six months ended June 30, 1998.
The II-E Partnership recognized a gas contract settlement in the amount of
$6,158,619 during the six months ended June 30, 1998. This settlement
involved claims made for take or pay deficiencies and gas pricing issues
arising out of a gas purchase contract. No similar settlements occurred
during the six months ended June 30, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $46,041 (15.0%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This decrease
was primarily due to (i) workover expenses incurred on two significant
wells during the six months ended June 30, 1998 in order to improve the
recovery of reserves and (ii) a decrease in production taxes associated
with the decrease in oil and gas sales. As a percentage of oil and gas
sales, these expenses decreased to 32.5% for the six months ended June 30,
1999 from 34.5% for the six months ended June 30, 1998.
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<PAGE>
Depreciation, depletion, and amortization of oil and gas properties
decreased $32,668 (12.6%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. This decrease was
primarily due to an upward revision in the estimate of remaining gas
reserves at December 31, 1998 and the decreases in volumes of oil and gas
sold. As a percentage of oil and gas sales, this expense decreased to
28.1% for the six months ended June 30, 1999 from 29.0% for the six months
ended June 30, 1998.
General and administrative expenses decreased $3,913 (2.6%) for the six
months ended June 30, 1999 as compared to the six months ended June 30,
1998. As a percentage of oil and gas sales, these expenses increased to
18.1% for the six months ended June 30, 1999 from 16.8% for the six months
ended June 30, 1998.
The II-E Partnership should achieve payout during the three months ended
September 30, 1999. After payout, operations and revenues for the II-E
Partnership will be allocated using after payout percentages. After payout
percentages allocate operating income and expenses 10% to the General
Partner and 90% to the Limited Partners. Before payout, operating income
and expenses are allocated 5% to the General Partner and 95% to the
Limited Partners. See the Partnerships' Annual report on Form 10-K for the
year ended December 31, 1998 for a further discussion of pre and post
payout allocations of income and expense.
The Limited Partners have received cash distributions through June 30,
1999 totaling $22,821,574 or 99.74% of Limited Partners' capital
contributions.
II-F PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $376,944 $388,884
Oil and gas production expenses $ 79,088 $ 88,032
Barrels produced 9,100 10,980
Mcf produced 131,212 114,372
Average price/Bbl $ 14.94 $ 15.81
Average price/Mcf $ 1.84 $ 1.88
As shown in the table above, total oil and gas sales decreased $11,940
(3.1%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this decrease, approximately $8,000 and
$6,000, respectively, were related to decreases in the average
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<PAGE>
prices of oil and gas sold and approximately $30,000 was related to a
decrease in volumes of oil sold. These decreases were significantly offset
by an increase of approximately $32,000 related to an increase in volumes
of gas sold. Volumes of oil sold decreased 1,880 barrels, while volumes of
gas sold increased 16,840 Mcf for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. The decrease in volumes
of oil sold was primarily due to positive prior period volume adjustments
made by the purchaser on two significant wells during the three months
ended June 30, 1998. The increase in volumes of gas sold was primarily due
to increased production due to (i) the successful recompletion of one
significant well in late 1998 and (ii) repairs on another significant well
in 1998. Average oil and gas prices decreased to $14.94 per barrel and
$1.84 per Mcf, respectively, for the three months ended June 30, 1999 from
$15.81 per barrel and $1.88 per Mcf, respectively, for the three months
ended June 30, 1998.
The II-F Partnership sold certain oil and gas properties during the three
months ended June 30, 1999 and recognized a $305 gain on such sales. Sales
of oil and gas properties during the three months ended June 30, 1998
resulted in the II-F Partnership recognizing similar gains totaling
$538,754.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $8,944 (10.2%) for the three months ended June
30, 1999 as compared to the three months ended June 30, 1998. This
decrease was primarily due to (i) a decrease in production taxes primarily
due to relief measures enacted by several states due to low oil prices in
recent months and (ii) workover expenses incurred on one significant well
during the three months ended June 30, 1998 in order to improve the
recovery of reserves. As a percentage of oil and gas sales, these expenses
decreased to 21.0% for the three months ended June 30, 1999 from 22.6% for
the three months ended June 30, 1998.
Depreciation, depletion, and amortization of oil and gas properties
decreased $830 (1.0%) for the three months ended June 30, 1999 as compared
to the three months ended June 30, 1998. As a percentage of oil and gas
sales, this expense remained relatively constant at 21.9% for the three
months ended June 30, 1999 and 21.5% for the three months ended June 30,
1998.
General and administrative expenses increased $476 (1.0%) for the three
months ended June 30, 1999 as compared to the three months ended June 30,
1998. As a percentage of oil and gas sales, these expenses increased to
12.8% for the three months ended June 30, 1999 from 12.2% for the three
months ended June 30, 1998.
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<PAGE>
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30, 1998.
Six Months Ended June 30,
-------------------------
1999 1998
-------- --------
Oil and gas sales $771,173 $820,953
Oil and gas production expenses $237,089 $202,863
Barrels produced 19,581 20,785
Mcf produced 317,796 257,819
Average price/Bbl $ 12.48 $ 14.99
Average price/Mcf $ 1.66 $ 1.98
As shown in the table above, total oil and gas sales decreased $49,780
(6.1%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $49,000 and
$101,000, respectively, were related to decreases in the average prices of
oil and gas sold and approximately $18,000 was related to a decrease in
volumes of oil sold. These decreases were partially offset by an increase
of approximately $119,000 related to an increase in volumes of gas sold.
Volumes of oil sold decreased 1,204 barrels, while volumes of gas sold
increased 59,977 Mcf for the six months ended June 30, 1999 as compared to
the six months ended June 30, 1998. The increase in volumes of gas sold
was primarily due to (i) a positive prior period volume adjustment made by
the operator on one significant well during the six months ended June 30,
1999 and (ii) an increase in production due to the successful recompletion
of another significant well in late 1998. Average oil and gas prices
decreased to $12.48 per barrel and $1.66 per Mcf, respectively, for the
six months ended June 30, 1999 from $14.99 per barrel and $1.98 per Mcf,
respectively, for the six months ended June 30, 1998.
The II-F Partnership sold certain oil and gas properties during the six
months ended June 30, 1999 and recognized a $1,203 gain on such sales.
Sales of oil and gas properties during the six months ended June 30, 1998
resulted in the II-F Partnership recognizing similar gains totaling
$655,945.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $34,226 (16.9%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This increase
was primarily due to (i) ad valorem taxes paid during the six months ended
June 30, 1999, (ii) positive prior period lease operating expense
adjustments made by the operator on several wells during the six months
ended June 30, 1999, and (iii) workover expenses incurred on one
significant well during the six months ended June 30, 1999 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses increased to 30.7% for the six months ended June 30, 1999
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<PAGE>
from 24.7% for the six months ended June 30, 1998. This percentage
increase was primarily due to the decreases in the average prices of oil
and gas sold and the dollar increase in oil and gas production expenses.
Depreciation, depletion, and amortization of oil and gas properties
increased $16,461 (9.3%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. As a percentage of oil and
gas sales, this expense increased to 25.1% for the six months ended June
30, 1999 from 21.6% for the six months ended June 30, 1998. This
percentage increase was primarily due to the decreases in the average
prices of oil and gas sold.
General and administrative expenses increased $1,795 (1.7%) for the six
months ended June 30, 1999 as compared to the six months ended June 30,
1998. As a percentage of oil and gas sales, these expenses increased to
14.1% for the six months ended June 30, 1999 from 13.0% for the six months
ended June 30, 1998.
The II-F Partnership achieved payout during the six months ended June 30,
1999. After payout, operations and revenues for the II-F Partnership have
been and will be allocated using after payout percentages. After payout
percentages allocate operating income and expenses 10% to the General
Partner and 90% to the Limited Partners. Before payout, operating income
and expenses were allocated 5% to the General Partner, and 95% to the
Limited Partners. See the Partnerships' Annual Report on Form 10-K for the
year ended December 31, 1998 for a further discussion of pre and post
payout allocations of income and expense.
The Limited Partners have received cash distributions through June 30,
1999 totaling $17,340,051 or 101.17% of Limited Partners' capital
contributions.
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<PAGE>
II-G PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- ---------
Oil and gas sales $852,551 $834,167
Oil and gas production expenses $171,953 $190,119
Barrels produced 19,192 23,057
Mcf produced 277,354 248,346
Average price/Bbl $ 15.25 $ 15.80
Average price/Mcf $ 2.02 $ 1.89
As shown in the table above, total oil and gas sales increased $18,384
(2.2%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this increase, approximately $55,000 was
related to an increase in volumes of gas sold and approximately $35,000
was related to an increase in the average price of gas sold. These
increases were partially offset by a decrease of approximately $61,000
related to a decrease in volumes of oil sold and approximately $11,000
related to a decrease in the average price of oil sold. Volumes of oil
sold decreased 3,865 barrels, while volumes of gas sold increased 29,008
Mcf for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. The decrease in volumes of oil sold was
primarily due to positive prior period volume adjustments made by the
purchaser on two significant wells during the three months ended June 30,
1998. The increase in volumes of gas sold was primarily due to increased
production due to (i) the successful recompletion of one significant well
in late 1998 and (ii) repairs on another significant well in 1998. Average
oil prices decreased to $15.25 per barrel for the three months ended June
30, 1999 from $15.80 per barrel for the three months ended June 30, 1998.
Average gas prices increased to $2.02 per Mcf for the three months ended
June 30, 1999 from $1.89 per Mcf for the three months ended June 30, 1998.
The II-G Partnership sold certain oil and gas properties during the three
months ended June 30, 1999 and recognized a $815 gain on such sales. Sales
of oil and gas properties during the three months ended June 30, 1998
resulted in the II-G Partnership recognizing similar gains totaling
$1,126,657.
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<PAGE>
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $18,166 (9.6%) for the three months ended June
30, 1999 as compared to the three months ended June 30, 1998. This
decrease was primarily due to (i) a decrease in production taxes primarily
due to relief measures enacted by several states due to low oil prices in
recent months and (ii) workover expenses incurred on one significant well
during the three months ended June 30, 1998 in order to improve the
recovery of reserves. As a percentage of oil and gas sales, these expenses
decreased to 20.2% for the three months ended June 30, 1999 from 22.8% for
the three months ended June 30, 1998. This percentage decrease was
primarily due to the dollar decrease in oil and gas production expenses
and the increase in the average price of gas sold.
Depreciation, depletion, and amortization of oil and gas properties
decreased $4,482 (2.5%) for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. As a percentage of oil
and gas sales, this expense decreased to 20.6% for the three months ended
June 30, 1999 from 21.6% for the three months ended June 30, 1998.
General and administrative expenses remained relatively constant for the
three months ended June 30, 1999 as compared to the three months ended
June 30, 1998. As a percentage of oil and gas sales, these expenses
remained relatively constant at 12.2% for the three months ended June 30,
1999 and 12.4% for the three months ended June 30, 1998.
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30,
1998.
Six Months Ended June 30,
-------------------------
1999 1998
---------- ----------
Oil and gas sales $1,704,587 $1,748,556
Oil and gas production expenses $ 508,795 $ 434,228
Barrels produced 41,270 43,650
Mcf produced 683,569 553,490
Average price/Bbl $ 12.62 $ 14.98
Average price/Mcf $ 1.73 $ 1.98
As shown in the table above, total oil and gas sales decreased $43,969
(2.5%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $97,000 and
$168,000, respectively, were related to decreases in the average prices of
oil and gas sold and approximately $36,000 was related to a decrease in
volumes of oil sold. These decreases were partially offset by an increase
of approximately $257,000 related to an increase in volumes of gas sold.
Volumes of oil sold decreased 2,380 barrels, while volumes of gas sold
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<PAGE>
increased 130,079 Mcf for the six months ended June 30, 1999 as compared
to the six months ended June 30, 1998. The increase in volumes of gas sold
was primarily due to (i) a positive prior period volume adjustment made by
the operator on one significant well during the six months ended June 30,
1999 and (ii) an increase in production due to the successful recompletion
of another significant well in late 1998. Average oil and gas prices
decreased to $12.62 per barrel and $1.73 per Mcf, respectively, for the
six months ended June 30, 1999 from $14.98 per barrel and $1.98 per Mcf,
respectively, for the six months ended June 30, 1998.
The II-G Partnership sold certain oil and gas properties during the six
months ended June 30, 1999 and recognized a $2,693 gain on such sales.
Sales of oil and gas properties during the six months ended June 30, 1998
resulted in the II-G Partnership recognizing similar gains totaling
$1,372,284.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $74,567 (17.2%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This increase
was primarily due to (i) ad valorem taxes paid during the six months ended
June 30, 1999, (ii) positive prior period lease operating expense
adjustments made by the operator on several wells during the six months
ended June 30, 1999, and (iii) workover expenses incurred on one
significant well during the six months ended June 30, 1999 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses increased to 29.8% for the six months ended June 30, 1999
from 24.8% for the six months ended June 30, 1998. This percentage
increase was primarily due to the decreases in the average prices of oil
and gas sold and the dollar increase in oil and gas production expenses.
Depreciation, depletion, and amortization of oil and gas properties
increased $36,969 (9.7%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. As a percentage of oil and
gas sales, this expense increased to 24.5% for the six months ended June
30, 1999 from 21.8% for the six months ended June 30, 1998. This
percentage increase was primarily due to the decreases in the average
prices of oil and gas sold.
General and administrative expenses increased $3,669 (1.6%) for the six
months ended June 30, 1999 as compared to the six months ended June 30,
1998. As a percentage of oil and gas sales, these expenses increased to
13.8% for the six months ended June 30, 1999 from 13.3% for the six months
ended June 30, 1998.
The Limited Partners have received cash distributions through June 30,
1999 totaling $35,770,371 or 96.11% of Limited Partners' capital
contributions.
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<PAGE>
II-H PARTNERSHIP
THREE MONTHS ENDED JUNE 30, 1999 COMPARED TO THE THREE MONTHS ENDED JUNE
30, 1998.
Three Months Ended June 30,
---------------------------
1999 1998
-------- --------
Oil and gas sales $198,563 $195,270
Oil and gas production expenses $ 41,544 $ 46,173
Barrels produced 4,482 5,362
Mcf produced 68,224 58,604
Average price/Bbl $ 14.91 $ 15.82
Average price/Mcf $ 1.93 $ 1.88
As shown in the table above, total oil and gas sales increased $3,293
(1.7%) for the three months ended June 30, 1999 as compared to the three
months ended June 30, 1998. Of this increase, approximately $18,000 was
related to an increase in volumes of gas sold and approximately $3,000 was
related to an increase in the average price of gas sold. These increases
were substantially offset by decreases of approximately $14,000 related to
a decrease in volumes of oil sold and approximately $4,000 related to a
decrease in the average price of oil sold. Volumes of oil sold decreased
880 barrels, while volumes of gas sold increased 9,620 Mcf for the three
months ended June 30, 1999 as compared to the three months ended June 30,
1998. The decrease in volumes of oil sold was primarily due to positive
prior period volume adjustments made by the purchaser on two significant
wells during the three months ended June 30, 1998. The increase in volumes
of gas sold was primarily due to increased production due to (i) the
successful recompletion of one significant well in late 1998 and (ii)
repairs on another significant well in 1998. Average oil prices decreased
to $14.91 per barrel for the three months ended June 30, 1999 from $15.82
per barrel for the three months ended June 30, 1998. Average gas prices
increased to $1.93 per Mcf for the three months ended June 30, 1999 from
$1.88 per Mcf for the three months ended June 30, 1998.
The II-H Partnership sold certain oil and gas properties during the three
months ended June 30, 1999 and recognized a $266 gain on such sales. Sales
of oil and gas properties during the three months ended June 30, 1998
resulted in the II-H Partnership recognizing similar gains totaling
$257,705.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $4,629 (10.0%) for the three months ended June
30, 1999 as compared to the three months ended June 30, 1998. This
decrease was primarily due to (i) a decrease in production taxes primarily
due to relief
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<PAGE>
measures enacted by several states due to low oil prices in recent months
and (ii) workover expenses incurred on one significant well during the
three months ended June 30, 1998 in order to improve the recovery of
reserves. As a percentage of oil and gas sales, these expenses decreased
to 20.9% for the three months ended June 30, 1999 from 23.6% for the three
months ended June 30, 1998. This percentage decrease was primarily due to
the dollar decrease in oil and gas production expenses.
Depreciation, depletion, and amortization of oil and gas properties
remained relatively constant for the three months ended June 30, 1999 as
compared to the three months ended June 30, 1998. As a percentage of oil
and gas sales, this expense remained relatively constant at 21.1% for the
three months ended June 30, 1999 and 21.3% for the three months ended June
30, 1998.
General and administrative expenses remained relatively constant for the
three months ended June 30, 1999 as compared to the three months ended
June 30, 1998. As a percentage of oil and gas sales, these expenses
remained relatively constant at 12.9% for the three months ended June 30,
1999 and 13.0% for the three months ended June 30, 1998.
SIX MONTHS ENDED JUNE 30, 1999 COMPARED TO THE SIX MONTHS ENDED JUNE 30,
1998.
Six Months Ended June 30,
-------------------------
1999 1998
-------- --------
Oil and gas sales $396,755 $412,973
Oil and gas production expenses $121,585 $104,513
Barrels produced 9,637 10,151
Mcf produced 162,495 131,279
Average price/Bbl $ 12.47 $ 14.99
Average price/Mcf $ 1.70 $ 1.99
As shown in the table above, total oil and gas sales decreased $16,218
(3.9%) for the six months ended June 30, 1999 as compared to the six
months ended June 30, 1998. Of this decrease, approximately $24,000 and
$46,000, respectively, were related to decreases in the average prices of
oil and gas sold and approximately $8,000 was related to a decrease in
volumes of oil sold. These decreases were partially offset by an increase
of approximately $62,000 related to an increase in volumes of gas sold.
Volumes of oil sold decreased 514 barrels, while volumes of gas sold
increased 31,216 Mcf for the six months ended June 30, 1999 as compared to
the six months ended June 30, 1998. The increase in volumes of gas sold
was primarily due to (i) a positive prior period volume adjustment made by
the operator on one significant well during the six months ended June 30,
-63-
<PAGE>
1999 and (ii) an increase in production due to the successful recompletion
of another significant well in late 1998. Average oil and gas prices
decreased to $12.47 per barrel and $1.70 per Mcf, respectively, for the
six months ended June 30, 1999 from $14.99 per barrel and $1.99 per Mcf,
respectively, for the six months ended June 30, 1998.
The II-H Partnership sold certain oil and gas properties during the six
months ended June 30, 1999 and recognized a $700 gain on such sales. Sales
of oil and gas properties during the six months ended June 30, 1998
resulted in the II-H Partnership recognizing similar gains totaling
$315,023.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $17,072 (16.3%) for the six months ended June
30, 1999 as compared to the six months ended June 30, 1998. This increase
was primarily due to (i) ad valorem taxes paid during the six months ended
June 30, 1999, (ii) positive prior period lease operating expense
adjustments made by the operator on several wells during the six months
ended June 30, 1999, and (iii) workover expenses incurred on one
significant well during the six months ended June 30, 1999 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses increased to 30.6% for the six months ended June 30, 1999
from 25.3% for the six months ended June 30, 1998. This percentage
increase was primarily due to the decreases in the average prices of oil
and gas sold and the dollar increase in oil and gas production expenses.
Depreciation, depletion, and amortization of oil and gas properties
increased $8,856 (10.1%) for the six months ended June 30, 1999 as
compared to the six months ended June 30, 1998. This increase was
primarily due to the increase in volumes of gas sold. As a percentage of
oil and gas sales, this expense increased to 24.4% for the six months
ended June 30, 1999 from 21.3% for the six months ended June 30, 1998.
This percentage increase was primarily due to the decreases in the average
prices of oil and gas sold.
General and administrative expenses increased $966 (1.7%) for the six
months ended June 30, 1999 as compared to the six months ended June 30,
1998. As a percentage of oil and gas sales, these expenses increased to
14.6% for the six months ended June 30, 1999 from 13.8% for the six months
ended June 30, 1998.
The Limited Partners have received cash distributions through June 30,
1999 totaling $8,329,364 or 90.82% of Limited Partners' capital
contributions.
-64-
<PAGE>
YEAR 2000 COMPUTER ISSUES
- -------------------------
IN GENERAL
The Year 2000 Issue ("Y2K") refers to the inability of computer and other
information technology systems to properly process date and time
information, stemming from the earlier programming practice of using two
digits rather than four to represent the year in a date. For example,
computer programs and imbedded chips that are date sensitive may recognize
a date using (00) as the year 1900 rather than the year 2000. The
consequence of Y2K is that computer and imbedded processing systems may be
at risk of malfunctioning, particularly during the transition from 1999 to
2000.
The effects of Y2K are exacerbated by the interdependence of computer and
telecommunication systems throughout the world. This interdependence also
exists among the Partnerships, Samson Investment Company and its
affiliates ("Samson"), and their vendors, customers, and business
partners, as well as with regulators. The potential risks associated with
Y2K for an oil and gas production company fall into three general areas:
(i) financial, leasehold and administrative computer systems, (ii)
imbedded systems in field process control units, and (iii) third party
exposures. As discussed below, General Partner does not believe that these
risks will be material to the Partnerships' operations.
The Partnerships' business is producing oil and gas. The day-to-day
production of the Partnerships' oil and gas is not dependent on computers
or equipment with imbedded chips. As further discussed below, management
anticipates that the Partnerships' daily business activities will not be
materially affected by Y2K.
The Partnerships rely on Samson to provide all of their operational and
administrative services on either a direct or indirect basis. Samson is
addressing each of the three Y2K areas discussed above through a readiness
process that seeks to:
1. increase the awareness of the issue among key employees;
2. identify areas of potential risk;
3. assess the relative impact of these risks and Samson's ability to
manage them; and
4. remediate these risks on a priority basis wherever possible.
-65-
<PAGE>
One of Samson Investment Company's Executive Vice Presidents is
responsible for communicating to its Board of Directors Y2K actions and
for the ultimate implementation of its Y2K plan. He has delegated to
Samson Investment Company's Senior Vice President-Technology and
Administrative Services principal responsibility for ensuring Y2K
compliance within Samson.
Samson has been planning for the impact of Y2K on its information
technology systems since 1993. As of July 15, 1999, Samson is in the final
stages of implementation of a Y2K plan, as summarized below:
FINANCIAL AND ADMINISTRATIVE SYSTEMS
1. Awareness. Samson has alerted its officers, managers and supervisors of
Y2K issues and asked them to have their employees participate in the
identification of potential Y2K risks which might otherwise go unnoticed
by higher level employees and officers. As a result, awareness of the
issue is considered high.
2. Risk Identification. Samson's most significant financial and
administrative systems exposure is the Y2K status of the accounting and
land administration system used to collect and manage data for internal
management decision making and for external revenue and accounts payable
purposes. Other concerns include network hardware and software, desktop
computing hardware and software, telecommunications, and office space
readiness.
3. Risk Assessment. The failure to identify and correct a material Y2K
problem could result in inaccurate or untimely financial information for
management decision-making or cash flow and payment purposes, including
maintaining oil and gas leases.
4. Remediation. Since 1993, Samson has been upgrading its accounting and
land administration software. Substantially all of the Y2K upgrades have
been completed, with the remainder scheduled to be completed during the
3rd quarter of 1999. In addition, in 1997 and 1998 Samson replaced or
applied software patches to substantially all of its network and desktop
software applications and believes them to be generally Y2K compliant.
Additional patches or software upgrades will be applied no later than
September 30, 1999 to complete this process. The costs of all such risk
assessments and remediation are not expected to be material to the
Partnerships.
-66-
<PAGE>
5. Contingency Planning. Notwithstanding the foregoing, should there be
significant unanticipated disruptions in Samson's financial and
administrative systems, all of the accounting processes that are currently
automated will need to be performed manually. Samson has communicated to
its management team the importance of having adequate staff available to
manually perform necessary functions to minimize disruptions.
IMBEDDED SYSTEMS
1. Awareness. Samson's Y2K program has involved all levels of field
personnel from production foremen and higher. Employees at all levels of
the organization have been asked to participate in the identification of
potential Y2K risks, which might otherwise go unnoticed by higher level
employees and officers of Samson, and as a result, awareness of the issue
is considered high.
2. Risk Identification. Samson has inventoried all possible exposures to
imbedded chips and systems. Such exposures can be classified as either (i)
oil and gas production and processing equipment or (ii) office machines
such as faxes, copiers, phones, etc.
With respect to oil and gas production and processing equipment, neither
Samson nor the Partnerships operate offshore wells, significant processing
plants, or wells with older electronic monitoring systems. As a result,
Samson's inventory identified less than 10 applications using imbedded
chips. All of these have been tested by the respective vendors and have
been found to be Y2K compliant or have been upgraded or replaced.
Office machines have been tested by Samson and vendors and are believed to
be compliant.
3. Risk Assessment and Remediation. The failure to identify and correct a
material Y2K problem in an imbedded system could result in outcomes
ranging from errors in data reporting to curtailments or shutdowns in
production. As noted above, Samson has identified less than 10 imbedded
system applications all of which have been made compliant or replaced.
None of these applications are believed to be material to Samson or the
Partnerships. Samson believes that sufficient manual processes are
available to minimize any field level risk and that there will be no
material impact on the Partnerships with respect to these applications.
-67-
<PAGE>
4. Contingency Planning. Should material production disruptions occur as a
result of Y2K failures in field operations, Samson will utilize its
existing field personnel in an attempt to avoid any material impact on
operating cash flow. Samson is not able to quantify any potential exposure
in the event of systems failure or inadequate manual alternatives.
THIRD PARTY EXPOSURES
1. Awareness. Samson has advised management to consider Y2K implications
with its outside vendors, customers, and business partners. Management has
been asked to participate in the identification of potential third party
Y2K risks and, as a result, awareness of the issue is considered high.
2. Risk Identification. Samson's most significant third party Y2K exposure
is its dependence on third parties for the receipt of revenues from oil
and gas sales. However, virtually all of these purchasers are very large
and sophisticated companies. Other Y2K concerns include the availability
of electric power to Samson's field operations, the integrity of
telecommunication systems, and the readiness of commercial banks to
execute electronic fund transfers.
3. Risk Assessment. Because of the high awareness of the Y2K problem in
the U.S., Samson has not undertaken and does not plan to undertake a
formal company wide plan to make inquiries of third parties on the subject
of Y2K readiness. If it did so, Samson has no ability to require responses
to such inquiries or to independently verify their accuracy. Samson has,
however, received oral assurances from its significant oil and gas
purchasers of Y2K compliance. If significant disruptions from major
purchasers were to occur, however, there could be a material and adverse
impact on the Partnerships' results of operations, liquidity, and
financial conditions.
It is important to note that third party oil and gas purchasers have
significant incentives to avoid disruptions arising from a Y2K failure.
For example, most of these parties are under contractual obligations to
purchase oil and gas or disperse revenues to Samson. The failure to do so
will result in contractual and statutory penalties. Therefore, Samson
believes that it is unlikely that there will be material third party
non-compliance with purchase and remittance obligations as a result of Y2K
issues.
-68-
<PAGE>
4. Remediation. Where Samson perceives significant risk of Y2K
non-compliance that may have a material impact on it, and where the
relationship between Samson and a vendor, customer, or business partner
permits, joint testing may be undertaken during the remainder of 1999 to
further identify these risks.
5. Contingency Planning. In the unlikely event that material production
disruptions occur as a result of Y2K failures of third parties, the
Partnerships' operating cash flow could be impacted. This contingency will
be factored into deliberations on the level of quarterly cash
distributions paid out during any such period of cash flow disruption.
-69-
<PAGE>
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET
RISK.
The Partnerships do not hold any market risk sensitive instruments.
-70-
<PAGE>
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 II-A Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
27.2 Financial Data Schedule containing summary financial
information extracted from the II-B Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
27.3 Financial Data Schedule containing summary financial
information extracted from the II-C Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
27.4 Financial Data Schedule containing summary financial
information extracted from the II-D Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
27.5 Financial Data Schedule containing summary financial
information extracted from the II-E Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
27.6 Financial Data Schedule containing summary financial
information extracted from the II-F Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
27.7 Financial Data Schedule containing summary financial
information extracted from the II-G Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
-71-
<PAGE>
27.8 Financial Data Schedule containing summary financial
information extracted from the II-H Partnership's
financial statements as of June 30, 1999 and for the six
months ended June 30, 1999, filed herewith.
All other exhibits are omitted as inapplicable.
(b) Reports on Form 8-K.
None.
-72-
<PAGE>
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 II-A
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
(Registrant)
BY: GEODYNE RESOURCES, INC.
General Partner
Date: August 12, 1999 By: /s/Dennis R. Neill
--------------------------------
(Signature)
Dennis R. Neill
President
Date: August 12, 1999 By: /s/Patrick M. Hall
--------------------------------
(Signature)
Patrick M. Hall
Principal Accounting Officer
-73-
<PAGE>
INDEX TO EXHIBITS
NUMBER DESCRIPTION
- ------ -----------
27.1 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-A's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.2 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-B's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.3 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-C's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.4 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-D's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.5 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-E's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.6 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-F's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.7 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-G's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
27.8 Financial Data Schedule containing summary financial information
extracted from the Geodyne Energy Income Limited Partnership II-H's
financial statements as of June 30, 1999 and for the six months
ended June 30, 1999, filed herewith.
All other exhibits are omitted as inapplicable.
-74-
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000824894
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-A
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 395,954
<SECURITIES> 0
<RECEIVABLES> 777,048
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 1,173,002
<PP&E> 30,995,629
<DEPRECIATION> 27,182,134
<TOTAL-ASSETS> 5,687,983
<CURRENT-LIABILITIES> 215,102
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 5,292,556
<TOTAL-LIABILITY-AND-EQUITY> 5,687,983
<SALES> 1,494,025
<TOTAL-REVENUES> 1,701,215
<CGS> 0
<TOTAL-COSTS> 1,227,042
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 474,173
<INCOME-TAX> 0
<INCOME-CONTINUING> 474,173
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 474,173
<EPS-BASIC> 0.91
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000826345
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-B
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 163,540
<SECURITIES> 0
<RECEIVABLES> 403,368
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<CURRENT-ASSETS> 566,908
<PP&E> 21,445,704
<DEPRECIATION> 19,080,694
<TOTAL-ASSETS> 3,111,751
<CURRENT-LIABILITIES> 85,257
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 2,927,813
<TOTAL-LIABILITY-AND-EQUITY> 3,111,751
<SALES> 1,085,725
<TOTAL-REVENUES> 1,088,109
<CGS> 0
<TOTAL-COSTS> 905,362
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 182,747
<INCOME-TAX> 0
<INCOME-CONTINUING> 182,747
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 182,747
<EPS-BASIC> 0.46
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000833054
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-C
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 118,170
<SECURITIES> 0
<RECEIVABLES> 192,565
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 310,735
<PP&E> 9,314,754
<DEPRECIATION> 8,034,676
<TOTAL-ASSETS> 1,744,225
<CURRENT-LIABILITIES> 66,909
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 1,618,008
<TOTAL-LIABILITY-AND-EQUITY> 1,744,225
<SALES> 524,665
<TOTAL-REVENUES> 526,572
<CGS> 0
<TOTAL-COSTS> 407,417
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 119,155
<INCOME-TAX> 0
<INCOME-CONTINUING> 119,155
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 119,155
<EPS-BASIC> 0.63
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000833526
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-D
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 347,660
<SECURITIES> 0
<RECEIVABLES> 402,758
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 750,418
<PP&E> 17,010,673
<DEPRECIATION> 14,472,559
<TOTAL-ASSETS> 3,902,739
<CURRENT-LIABILITIES> 221,301
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 3,475,223
<TOTAL-LIABILITY-AND-EQUITY> 3,902,739
<SALES> 1,126,215
<TOTAL-REVENUES> 1,169,046
<CGS> 0
<TOTAL-COSTS> 938,924
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 230,122
<INCOME-TAX> 0
<INCOME-CONTINUING> 230,122
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 230,122
<EPS-BASIC> 0.62
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000842881
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-E
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 357,676
<SECURITIES> 0
<RECEIVABLES> 292,069
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 649,745
<PP&E> 15,254,646
<DEPRECIATION> 13,092,839
<TOTAL-ASSETS> 3,087,084
<CURRENT-LIABILITIES> 180,586
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 2,825,448
<TOTAL-LIABILITY-AND-EQUITY> 3,087,084
<SALES> 803,244
<TOTAL-REVENUES> 832,749
<CGS> 0
<TOTAL-COSTS> 632,803
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 199,946
<INCOME-TAX> 0
<INCOME-CONTINUING> 199,946
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 199,946
<EPS-BASIC> 0.79
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000850506
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-F
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 182,127
<SECURITIES> 0
<RECEIVABLES> 243,521
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 425,648
<PP&E> 11,104,812
<DEPRECIATION> 9,206,512
<TOTAL-ASSETS> 2,370,321
<CURRENT-LIABILITIES> 28,805
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 2,316,521
<TOTAL-LIABILITY-AND-EQUITY> 2,370,321
<SALES> 771,173
<TOTAL-REVENUES> 775,551
<CGS> 0
<TOTAL-COSTS> 539,370
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 236,181
<INCOME-TAX> 0
<INCOME-CONTINUING> 236,181
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 236,181
<EPS-BASIC> 1.14
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000851724
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-G
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 427,496
<SECURITIES> 0
<RECEIVABLES> 558,635
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 986,131
<PP&E> 23,730,405
<DEPRECIATION> 19,644,034
<TOTAL-ASSETS> 5,174,457
<CURRENT-LIABILITIES> 61,622
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 5,055,005
<TOTAL-LIABILITY-AND-EQUITY> 5,174,457
<SALES> 1,704,587
<TOTAL-REVENUES> 1,714,281
<CGS> 0
<TOTAL-COSTS> 1,161,744
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 552,537
<INCOME-TAX> 0
<INCOME-CONTINUING> 552,537
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 552,537
<EPS-BASIC> 1.37
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000854062
<NAME> GEODYNE ENERGY INCOME LIMITED PTSP II-H
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> JUN-30-1999
<CASH> 95,694
<SECURITIES> 0
<RECEIVABLES> 128,199
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 223,893
<PP&E> 5,705,804
<DEPRECIATION> 4,741,852
<TOTAL-ASSETS> 1,211,594
<CURRENT-LIABILITIES> 12,701
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 1,186,830
<TOTAL-LIABILITY-AND-EQUITY> 1,211,594
<SALES> 396,755
<TOTAL-REVENUES> 398,905
<CGS> 0
<TOTAL-COSTS> 276,606
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 122,299
<INCOME-TAX> 0
<INCOME-CONTINUING> 122,299
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 122,299
<EPS-BASIC> 1.23
<EPS-DILUTED> 0
</TABLE>
