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 March 31, 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
March 31, December 31,
1999 1998
------------- ------------
CURRENT ASSETS:
Cash and cash equivalents $ 240,745 $ 213,480
Accounts receivable:
Oil and gas sales 448,690 506,282
---------- ----------
Total current assets $ 689,435 $ 719,762
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 3,985,277 4,109,296
DEFERRED CHARGE 701,486 701,486
---------- ----------
$5,376,198 $5,530,544
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 103,075 $ 171,762
Gas imbalance payable 125,904 125,904
---------- ----------
Total current liabilities $ 228,979 $ 297,666
ACCRUED LIABILITY $ 180,325 $ 180,325
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 416,808) ($ 417,336)
Limited Partners, issued and
outstanding, 484,283 units 5,383,702 5,469,889
---------- ----------
Total Partners' capital $4,966,894 $5,052,553
---------- ----------
$5,376,198 $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 MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $659,163 $1,036,321
Interest income 2,069 8,463
Gain on sale of oil and
gas properties - 446,864
-------- ----------
$661,232 $1,491,648
COSTS AND EXPENSES:
Lease operating $300,920 $ 311,915
Production tax 30,240 58,758
Depreciation, depletion, and
amortization of oil and gas
properties 144,852 160,596
General and administrative
(Note 2) 172,058 169,236
-------- ----------
$648,070 $ 700,505
-------- ----------
NET INCOME $ 13,162 $ 791,143
======== ==========
GENERAL PARTNER - NET INCOME $ 6,349 $ 45,558
======== ==========
LIMITED PARTNERS - NET INCOME $ 6,813 $ 745,585
======== ==========
NET INCOME per unit $ .01 $ 1.54
======== ==========
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 CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 13,162 $791,143
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 144,852 160,596
Gain on sale of oil and gas
properties - ( 446,864)
Decrease in accounts receivable -
oil and gas sales 57,592 150,579
Increase in accounts receivable -
General Partner - ( 531,748)
Decrease in accounts receivable -
other - 20,975
Decrease in accounts payable ( 68,687) ( 104,297)
-------- --------
Net cash provided by operating
activities $146,919 $ 40,384
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 30,474) ($ 13,541)
Proceeds from sale of oil and
gas properties 9,641 535,558
-------- --------
Net cash provided (used) by
investing activities ($ 20,833) $522,017
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($ 98,821) ($721,645)
-------- --------
Net cash used by financing activities ($ 98,821) ($721,645)
-------- --------
NET INCREASE (DECREASE) IN CASH
AND CASH EQUIVALENTS $ 27,265 ($159,244)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 213,480 830,584
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $240,745 $671,340
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-4-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-B
GEODYNE PRODUCTION PARTNERSHIP II-B
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 161,478 $ 107,021
Accounts receivable:
Oil and gas sales 312,527 328,334
---------- ----------
Total current assets $ 474,005 $ 435,355
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 2,457,437 2,569,828
DEFERRED CHARGE 179,833 179,833
---------- ----------
$3,111,275 $3,185,016
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 79,650 $ 77,383
Gas imbalance payable 19,790 19,790
---------- ----------
Total current liabilities $ 99,440 $ 97,173
ACCRUED LIABILITY $ 98,681 $ 98,681
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 322,262) ($ 320,234)
Limited Partners, issued and
outstanding, 361,719 units 3,235,416 3,309,396
---------- ----------
Total Partners' capital $2,913,154 $2,989,162
---------- ----------
$3,111,275 $3,185,016
========== ==========
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 STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $516,374 $795,456
Interest income 1,169 5,586
Gain on sale of oil and
gas properties - 57,684
-------- --------
$517,543 $858,726
COSTS AND EXPENSES:
Lease operating $239,368 $251,338
Production tax 34,056 43,312
Depreciation, depletion, and
amortization of oil and gas
properties 97,770 103,622
General and administrative
(Note 2) 127,536 126,826
-------- --------
$498,730 $525,098
-------- --------
NET INCOME $ 18,813 $333,628
======== ========
GENERAL PARTNER - NET INCOME $ 4,793 $ 20,547
======== ========
LIMITED PARTNERS - NET INCOME $ 14,020 $313,081
======== ========
NET INCOME per unit $ .04 $ .87
======== ========
UNITS OUTSTANDING 361,719 361,719
======== ========
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 CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 18,813 $333,628
Adjustments to reconcile net
income to net cash provided
by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 97,770 103,622
Gain on sale of oil and gas
properties - ( 57,684)
Decrease in accounts receivable -
oil and gas sales 15,807 62,565
Increase in accounts receivable -
General Partner - ( 69,254)
Increase (decrease) in accounts
payable 2,267 ( 31,978)
-------- --------
Net cash provided by operating
activities $134,657 $340,899
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 159) ($ 4,500)
Proceeds from sale of oil and
gas properties 14,780 72,918
-------- --------
Net cash provided by investing
activities $ 14,621 $ 68,418
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($ 94,821) ($639,220)
-------- --------
Net cash used by financing activities ($ 94,821) ($639,220)
-------- --------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 54,457 ($229,903)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 107,021 644,574
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $161,478 $414,671
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-7-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE PRODUCTION PARTNERSHIP II-C
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------- ------------
CURRENT ASSETS:
Cash and cash equivalents $ 118,340 $ 66,617
Accounts receivable:
Oil and gas sales 148,678 157,275
---------- ----------
Total current assets $ 267,018 $ 223,892
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 1,323,349 1,382,430
DEFERRED CHARGE 153,412 153,412
---------- ----------
$1,743,779 $1,759,734
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 31,050 $ 29,848
Gas imbalance payable 38,249 38,249
---------- ----------
Total current liabilities $ 69,299 $ 68,097
ACCRUED LIABILITY $ 59,308 $ 59,308
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 134,834) ($ 133,264)
Limited Partners, issued and
outstanding, 154,621 units 1,750,006 1,765,593
---------- ----------
Total Partners' capital $1,615,172 $1,632,329
---------- ----------
$1,743,779 $1,759,734
========== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-8-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-C
GEODYNE PRODUCTION PARTNERSHIP II-C
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ---------
REVENUES:
Oil and gas sales $241,303 $368,535
Interest income 879 3,337
Gain on sale of oil and
gas properties - 193,527
-------- --------
$242,182 $565,399
COSTS AND EXPENSES:
Lease operating $ 87,650 $ 89,064
Production tax 23,514 23,238
Depreciation, depletion, and
amortization of oil and gas
properties 53,016 59,593
General and administrative
(Note 2) 54,561 54,209
-------- --------
$218,741 $226,104
-------- --------
NET INCOME $ 23,441 $339,295
======== ========
GENERAL PARTNER - NET INCOME $ 7,028 $ 19,182
======== ========
LIMITED PARTNERS - NET INCOME $ 16,413 $320,113
======== ========
NET INCOME per unit $ .11 $ 2.07
======== ========
UNITS OUTSTANDING 154,621 154,621
======== ========
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 STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 23,441 $339,295
Adjustments to reconcile net
income to net cash provided
(used) by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 53,016 59,593
Gain on sale of oil and gas
properties - ( 193,527)
Decrease in accounts receivable -
oil and gas sales 8,597 40,385
Increase in accounts receivable -
General Partner - ( 276,943)
Decrease in accounts receivable -
other - 1,931
Increase in accounts payable 1,202 3,782
-------- --------
Net cash provided (used) by
operating activities $ 86,256 ($ 25,484)
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 68) ($ 131)
Proceeds from sale of oil and
gas properties 6,133 278,772
-------- --------
Net cash provided by investing
activities $ 6,065 $278,641
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($ 40,598) ($347,423)
-------- --------
Net cash used by financing activities ($ 40,598) ($347,423)
-------- --------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 51,723 ($ 94,266)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 66,617 358,095
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $118,340 $263,829
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-10-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 275,762 $ 311,556
Accounts receivable:
Oil and gas sales 311,274 342,433
---------- ----------
Total current assets $ 587,036 $ 653,989
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 2,631,840 2,726,713
DEFERRED CHARGE 614,207 614,207
---------- ----------
$3,833,083 $3,994,909
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 67,045 $ 67,934
Gas imbalance payable 149,648 149,648
---------- ----------
Total current liabilities $ 216,693 $ 217,582
ACCRUED LIABILITY $ 206,215 $ 206,215
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 249,645) ($ 247,182)
Limited Partners, issued and
outstanding, 314,878 units 3,659,820 3,818,294
---------- ----------
Total Partners' capital $3,410,175 $3,571,112
---------- ----------
$3,833,083 $3,994,909
========== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-11-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
REVENUES:
Oil and gas sales $505,415 $ 711,972
Interest income 3,084 10,569
Gain on sale of oil and
gas properties - 439,105
-------- ----------
$508,499 $1,161,646
COSTS AND EXPENSES:
Lease operating $245,252 $ 257,537
Production tax 40,297 64,099
Depreciation, depletion, and
amortization of oil and gas
properties 96,943 113,001
General and administrative
(Note 2) 111,008 110,089
-------- ----------
$493,500 $ 544,726
-------- ----------
NET INCOME $ 14,999 $ 616,920
======== ==========
GENERAL PARTNER - NET INCOME $ 4,473 $ 34,838
======== ==========
LIMITED PARTNERS - NET INCOME $ 10,526 $ 582,082
======== ==========
NET INCOME per unit $ .03 $ 1.85
======== ==========
UNITS OUTSTANDING 314,878 314,878
======== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-12-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-D
GEODYNE PRODUCTION PARTNERSHIP II-D
COMBINED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
----------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 14,999 $ 616,920
Adjustments to reconcile net
income to net cash provided
(used) by operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 96,943 113,001
Gain on sale of oil and gas
properties - ( 439,105)
Decrease in accounts receivable -
oil and gas sales 31,159 184,012
Increase in accounts receivable -
General Partner - ( 615,395)
Decrease in accounts receivable -
other - 20,267
Increase (decrease) in accounts
payable ( 889) 14,484
-------- ----------
Net cash provided (used) by
operating activities $142,212 ($ 105,816)
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 2,070) $ -
Proceeds from sale of oil and
gas properties - 618,106
-------- ----------
Net cash provided (used) by
investing activities ($ 2,070) $ 618,106
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($175,936) ($1,071,978)
-------- ----------
Net cash used by financing activities ($175,936) ($1,071,978)
-------- ----------
NET DECREASE IN CASH AND CASH
EQUIVALENTS ($ 35,794) ($ 559,688)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 311,556 1,151,142
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $275,762 $ 591,454
======== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-13-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------ ------------
CURRENT ASSETS:
Cash and cash equivalents $ 256,838 $ 376,779
Accounts receivable:
Oil and gas sales 201,744 220,028
---------- ----------
Total current assets $ 458,582 $ 596,807
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 2,277,616 2,388,613
DEFERRED CHARGE 275,532 275,532
---------- ----------
$3,011,730 $3,260,952
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 38,113 $ 38,881
Gas imbalance payable 148,458 148,458
---------- ----------
Total current liabilities $ 186,571 $ 187,339
ACCRUED LIABILITY $ 81,050 $ 81,050
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 175,291) ($ 173,306)
Limited Partners, issued and
outstanding, 228,821 units 2,919,400 3,165,869
---------- ----------
Total Partners' capital $2,744,109 $2,992,563
---------- ----------
$3,011,730 $3,260,952
========== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-14-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ---------
REVENUES:
Oil and gas sales $328,051 $478,325
Interest income 3,391 6,458
Gain on sale of oil and
gas properties 367 63,215
-------- --------
$331,809 $547,998
COSTS AND EXPENSES:
Lease operating $125,145 $132,026
Production tax 22,588 33,698
Depreciation, depletion, and
amortization of oil and gas
properties 110,938 136,571
General and administrative
(Note 2) 80,718 80,651
-------- --------
$339,389 $382,946
-------- --------
NET INCOME (LOSS) ($ 7,580) $165,052
======== ========
GENERAL PARTNER - NET
INCOME $ 3,889 $ 13,393
======== ========
LIMITED PARTNERS - NET
INCOME (LOSS) ($ 11,469) $151,659
======== ========
NET INCOME (LOSS) per unit ($ .05) $ .66
======== ========
UNITS OUTSTANDING 228,821 228,821
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-15-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-E
GEODYNE PRODUCTION PARTNERSHIP II-E
COMBINED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
---------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss) ($ 7,580) $165,052
Adjustments to reconcile net income
(loss) to net cash provided by
operating activities:
Depreciation, depletion, and
amortization of oil and gas
properties 110,938 136,571
Gain on sale of oil and gas
properties ( 367) ( 63,215)
Decrease in accounts receivable -
oil and gas sales 18,284 91,524
Increase in accounts receivable -
General Partner - ( 65,205)
Decrease in accounts receivable -
other - 110
Decrease in accounts payable ( 768) ( 42,192)
-------- --------
Net cash provided by operating
activities $120,507 $222,645
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 282) ($ 82,321)
Proceeds from sale of oil and
gas properties 708 69,499
-------- --------
Net cash provided (used) by
investing activities $ 426 ($ 12,822)
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($240,874) ($520,849)
-------- --------
Net cash used by financing activities ($240,874) ($520,849)
-------- --------
NET DECREASE IN CASH AND CASH
EQUIVALENTS ($119,941) ($311,026)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 376,779 670,777
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $256,838 $359,751
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-16-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------- ------------
CURRENT ASSETS:
Cash and cash equivalents $ 166,828 $ 153,240
Accounts receivable:
Oil and gas sales 192,903 187,525
---------- ----------
Total current assets $ 359,731 $ 340,765
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 1,981,017 2,086,592
DEFERRED CHARGE 46,373 46,373
---------- ----------
$2,387,121 $2,473,730
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 27,865 $ 24,007
Gas imbalance payable 4,233 4,233
---------- ----------
Total current liabilities $ 32,098 $ 28,240
ACCRUED LIABILITY $ 24,995 $ 24,995
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 137,076) ($ 144,763)
Limited Partners, issued and
outstanding, 171,400 units 2,467,104 2,565,258
---------- ----------
Total Partners' capital $2,330,028 $2,420,495
---------- ----------
$2,387,121 $2,473,730
========== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-17-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
---------- ---------
REVENUES:
Oil and gas sales $394,229 $432,069
Interest income 1,781 6,095
Gain on sale of oil and
gas properties 898 117,191
-------- --------
$396,908 $555,355
COSTS AND EXPENSES:
Lease operating $132,770 $ 85,885
Production tax 25,231 28,946
Depreciation, depletion, and
amortization of oil and gas
properties 111,013 93,722
General and administrative
(Note 2) 60,495 59,176
-------- --------
$329,509 $267,729
-------- --------
NET INCOME $ 67,399 $287,626
======== ========
GENERAL PARTNER - NET INCOME $ 16,553 $ 17,825
======== ========
LIMITED PARTNERS - NET INCOME $ 50,846 $269,801
======== ========
NET INCOME per unit $ .30 $ 1.57
======== ========
UNITS OUTSTANDING 171,400 171,400
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-18-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-F
GEODYNE PRODUCTION PARTNERSHIP II-F
COMBINED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $ 67,399 $287,626
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 111,013 93,722
Gain on sale of oil and gas
properties ( 898) ( 117,191)
(Increase) decrease in accounts
receivable - oil and gas sales ( 5,378) 74,690
Increase in accounts receivable -
General Partner - ( 113,665)
Decrease in accounts receivable -
other - 43
Increase (decrease) in accounts
payable 3,858 ( 25,093)
-------- --------
Net cash provided by operating
activities $175,994 $200,132
-------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 7,922) ($ 12,820)
Proceeds from sale of oil and
gas properties 3,382 127,928
-------- --------
Net cash provided (used) by
investing activities ($ 4,540) $115,108
-------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($157,866) ($731,828)
-------- --------
Net cash used by financing activities ($157,866) ($731,828)
-------- --------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 13,588 ($416,588)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 153,240 741,852
-------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $166,828 $325,264
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-19-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------- ------------
CURRENT ASSETS:
Cash and cash equivalents $ 349,899 $ 333,168
Accounts receivable:
Oil and gas sales 425,305 398,538
---------- ----------
Total current assets $ 775,204 $ 731,706
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 4,262,383 4,492,141
DEFERRED CHARGE 101,955 101,955
---------- ----------
$5,139,542 $5,325,802
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 59,458 $ 51,385
Gas imbalance payable 9,029 9,029
---------- ----------
Total current liabilities $ 68,487 $ 60,414
ACCRUED LIABILITY $ 57,830 $ 57,830
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 306,633) ($ 304,885)
Limited Partners, issued and
outstanding, 372,189 units 5,319,858 5,512,443
---------- ----------
Total Partners' capital $5,013,225 $5,207,558
---------- ----------
$5,139,542 $5,325,802
========== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-20-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
REVENUES:
Oil and gas sales $852,036 $ 914,389
Interest income 3,885 12,969
Gain on sale of oil and
gas properties 1,878 245,627
-------- ----------
$857,799 $1,172,985
COSTS AND EXPENSES:
Lease operating $282,304 $ 182,432
Production tax 54,538 61,677
Depreciation, depletion, and
amortization of oil and gas
properties 241,511 200,060
General and administrative
(Note 2) 131,150 128,414
-------- ----------
$709,503 $ 572,583
-------- ----------
NET INCOME $148,296 $ 600,402
======== ==========
GENERAL PARTNER - NET INCOME $ 16,881 $ 37,374
======== ==========
LIMITED PARTNERS - NET INCOME $131,415 $ 563,028
======== ==========
NET INCOME per unit $ .35 $ 1.51
======== ==========
UNITS OUTSTANDING 372,189 372,189
======== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-21-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-G
GEODYNE PRODUCTION PARTNERSHIP II-G
COMBINED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $148,296 $ 600,402
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 241,511 200,060
Gain on sale of oil and gas
properties ( 1,878) ( 245,627)
(Increase) decrease in accounts
receivable - oil and gas sales ( 26,767) 160,556
Increase in accounts receivable -
General Partner - ( 239,299)
Increase (decrease) in accounts
payable 8,073 ( 51,937)
-------- ----------
Net cash provided by operating
activities $369,235 $ 424,155
-------- ----------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 17,119) ($ 26,822)
Proceeds from sale of oil and
gas properties 7,244 269,492
-------- ----------
Net cash provided (used) by
investing activities ($ 9,875) $ 242,670
-------- ----------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($342,629) ($1,540,458)
-------- ----------
Net cash used by financing activities ($342,629) ($1,540,458)
-------- ----------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 16,731 ($ 873,633)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 333,168 1,564,325
-------- ----------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $349,899 $ 690,692
======== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-22-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED BALANCE SHEETS
(Unaudited)
ASSETS
March 31, December 31,
1999 1998
------------- ------------
CURRENT ASSETS:
Cash and cash equivalents $ 79,158 $ 78,275
Accounts receivable:
Oil and gas sales 98,059 95,260
---------- ----------
Total current assets $ 177,217 $ 173,535
NET OIL AND GAS PROPERTIES, utilizing
the successful efforts method 1,005,737 1,057,945
DEFERRED CHARGE 23,749 23,749
---------- ----------
$1,206,703 $1,255,229
========== ==========
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 14,309 $ 12,408
---------- ----------
Total current liabilities $ 14,309 $ 12,408
ACCRUED LIABILITY $ 12,063 $ 12,063
PARTNERS' CAPITAL (DEFICIT):
General Partner ($ 76,220) ($ 75,631)
Limited Partners, issued and
outstanding, 91,711 units 1,256,551 1,306,389
---------- ----------
Total Partners' capital $1,180,331 $1,230,758
---------- ----------
$1,206,703 $1,255,229
========== ==========
The accompanying condensed notes are an integral part of
these combined financial statements.
-23-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED STATEMENTS OF OPERATIONS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
-------- ----------
REVENUES:
Oil and gas sales $198,192 $217,703
Interest income 813 2,935
Gain on sale of oil and
gas properties 434 57,318
-------- --------
$199,439 $277,956
COSTS AND EXPENSES:
Lease operating $ 67,400 $ 43,473
Production tax 12,641 14,867
Depreciation, depletion, and
amortization of oil and gas
properties 55,089 46,481
General and administrative
(Note 2) 32,388 31,636
-------- --------
$167,518 $136,457
-------- --------
NET INCOME $ 31,921 $141,499
======== ========
GENERAL PARTNER - NET INCOME $ 3,759 $ 8,787
======== ========
LIMITED PARTNERS - NET INCOME $ 28,162 $132,712
======== ========
NET INCOME per unit $ .31 $ 1.45
======== ========
UNITS OUTSTANDING 91,711 91,711
======== ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-24-
<PAGE>
GEODYNE ENERGY INCOME LIMITED PARTNERSHIP II-H
GEODYNE PRODUCTION PARTNERSHIP II-H
COMBINED STATEMENTS OF CASH FLOWS
FOR THE THREE MONTHS ENDED MARCH 31, 1999 AND 1998
(Unaudited)
1999 1998
--------- ----------
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income $31,921 $141,499
Adjustments to reconcile net income
to net cash provided by operating
activities:
Depreciation, depletion, and
amortization of oil and gas
properties 55,089 46,481
Gain on sale of oil and gas
properties ( 434) ( 57,318)
(Increase) decrease in accounts
receivable - oil and gas sales ( 2,799) 37,481
Increase in accounts receivable -
General Partner - ( 56,045)
Increase (decrease) in accounts
payable 1,901 ( 11,768)
------- --------
Net cash provided by operating
activities $85,678 $100,330
------- --------
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures ($ 4,203) ($ 6,209)
Proceeds from sale of oil and
gas properties 1,756 63,149
------- --------
Net cash provided (used) by
investing activities ($ 2,447) $ 56,940
------- --------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions ($82,348) ($358,889)
------- --------
Net cash used by financing activities ($82,348) ($358,889)
------- --------
NET INCREASE (DECREASE) IN CASH AND
CASH EQUIVALENTS $ 883 ($201,619)
CASH AND CASH EQUIVALENTS AT
BEGINNING OF PERIOD 78,275 364,502
------- --------
CASH AND CASH EQUIVALENTS AT
END OF PERIOD $79,158 $162,883
======= ========
The accompanying condensed notes are an integral part of
these combined financial statements.
-25-
<PAGE>
GEODYNE ENERGY INCOME PROGRAM II LIMITED PARTNERSHIPS
CONDENSED NOTES TO THE COMBINED FINANCIAL STATEMENTS
MARCH 31, 1999
(Unaudited)
1. ACCOUNTING POLICIES
-------------------
The combined balance sheets as of March 31, 1999, combined statements of
operations for the three months ended March 31, 1999 and 1998, and
combined statements of cash flows for the three months ended March 31,
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 March 31, 1999, the combined results of operations for the
three months ended March 31, 1999 and 1998, and the combined cash flows
for the three months ended March 31, 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 March 31, 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.
-26-
<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.
-27-
<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 March 31, 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 $44,615 $127,443
II-B 32,346 95,190
II-C 13,872 40,689
II-D 28,145 82,863
II-E 20,502 60,216
II-F 15,390 45,105
II-G 33,206 97,944
II-H 8,253 24,135
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.
-28-
<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.
-29-
<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 March 31, 1999 and the net revenue
generated from future operations will provide sufficient working capital
to meet current and future obligations.
During the three months ended March 31, 1999, the third party operator of
the State Lease 8191 No. 4 well in St. Bernard Parish, Louisiana charged
the II-A Partnership for capital expenditures of $30,303. These costs were
allegedly incurred by the operator in drilling this well 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. For
financial reporting purposes, these charges have been recorded as capital
costs.
-30-
<PAGE>
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.
II-A PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- ----------
Oil and gas sales $659,163 $1,036,321
Oil and gas production expenses $331,160 $ 370,673
Barrels produced 23,324 22,046
Mcf produced 260,569 313,823
Average price/Bbl $ 10.70 $ 15.86
Average price/Mcf $ 1.57 $ 2.19
As shown in the table above, total oil and gas sales decreased $377,158
(36.4%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $117,000 was
related to a decrease in volumes of gas sold and approximately $120,000
and $161,000, respectively, were related to decreases in the average
prices of oil and gas sold. Volumes of oil sold increased 1,278 barrels,
while volumes of gas sold decreased 53,254 Mcf for the three months ended
-31-
<PAGE>
March 31, 1999 as compared to the three months ended March 31, 1998. Oil
volumes increased primarily due to positive prior period volume
adjustments on three significant wells during the three months ended March
31, 1999. The decrease in volumes of gas sold resulted primarily from (i)
the sale of several wells during 1998, (ii) the II-A Partnership receiving
a reduced percentage of sales on one significant well during the three
months ended March 31, 1999 due to its overproduced position in that well,
and (iii) negative prior period volume adjustments made by the purchasers
on two wells during the three months ended March 31, 1999. Average oil and
gas prices decreased to $10.70 per barrel and $1.57 per Mcf, respectively,
for the three months ended March 31, 1999 from $15.86 per barrel and $2.19
per Mcf, respectively, for the three months ended March 31, 1998.
The II-A Partnership sold certain oil and gas properties during the three
months ended March 31, 1998 and recognized a $446,864 gain on such sales.
No such gains were recognized on sales of oil and gas properties during
the three months ended March 31, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $39,513 (10.7%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
decrease resulted primarily from (i) a decrease in production taxes
associated with the decrease in oil and gas sales, (ii) production tax
credits received from the operator on several wells during the three
months ended March 31, 1999, and (iii) workover expenses incurred on three
wells during the three months ended March 31, 1998 in order to improve the
recovery of reserves. These decreases were partially offset by workover
expenses incurred on two wells during March 31, 1999. As a percentage of
oil and gas sales, these expenses increased to 50.2% for the three months
ended March 31, 1999 from 35.8% for the three months ended March 31, 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 $15,744 (9.8%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This decrease resulted
primarily from the decrease in volumes of gas sold. As a percentage of oil
and gas sales, this expense increased to 22.0% for the three months ended
March 31, 1999 from 15.5% for the three months ended March 31, 1998. This
percentage increase was primarily due to the decreases in the average
prices of oil and gas sold.
-32-
<PAGE>
General and administrative expenses increased $2,822 (1.7%) for the three
months ended March 31, 1999 as compared to the three months ended March
31, 1998. As a percentage of oil and gas sales, these expenses increased
to 26.1% for the three months ended March 31, 1998 from 16.3% for the
three months ended March 31, 1999. This percentage increase was primarily
due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $46,828,357 or 96.70% of the Limited Partners' capital
contributions.
II-B PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- --------
Oil and gas sales $516,374 $795,456
Oil and gas production expenses $273,424 $294,650
Barrels produced 14,932 15,911
Mcf produced 220,787 237,012
Average price/Bbl $ 10.75 $ 16.11
Average price/Mcf $ 1.61 $ 2.27
As shown in the table above, total oil and gas sales decreased $279,082
(35.1%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $16,000 and
$37,000, respectively, were related to decreases in volumes of oil and gas
sold and approximately $80,000 and $146,000, respectively, were related to
decreases in the average prices of oil and gas sold. Volumes of oil and
gas sold decreased 979 barrels and 16,225 Mcf, respectively, for the three
months ended March 31, 1999 as compared to the three months ended March
31, 1998. Average oil and gas prices decreased to $10.75 per barrel and
$1.61 per Mcf, respectively, for the three months ended March 31, 1999
from $16.11 per barrel and $2.27 per Mcf, respectively, for the three
months ended March 31, 1998.
The II-B Partnership sold certain oil and gas properties during the three
months ended March 31, 1998 and recognized a $57,684 gain on such sales.
No such gains were recognized on sales of oil and gas properties during
the three months ended March 31, 1999.
-33-
<PAGE>
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $21,226 (7.2%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
decrease resulted primarily from (i) a decrease in production taxes
associated with the decrease in volumes of oil and gas sold and (ii)
workover expenses incurred on three wells during the three months ended
March 31, 1998 in order to improve the recovery of reserves. These
decreases were partially offset by workover expenses incurred on one well
during the three months ended March 31, 1999. As a percentage of oil and
gas sales, these expenses increased to 53.0% for the three months ended
March 31, 1999 from 37.0% for the three months ended March 31, 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 $5,852 (5.6%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. As a percentage of oil
and gas sales, this expense increased to 18.9% for the three months ended
March 31, 1999 from 13.0% for the three months ended March 31, 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
three months ended March 31, 1999 as compared to the three months ended
March 31, 1998. As a percentage of oil and gas sales, these expenses
increased to 24.7% for the three months ended March 31, 1999 from 15.9%
for the three months ended March 31, 1998. This percentage increase was
primarily due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $34,220,916 or 94.61% of the Limited Partners' capital
contributions.
-34-
<PAGE>
II-C PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- --------
Oil and gas sales $241,303 $368,535
Oil and gas production expenses $111,164 $112,302
Barrels produced 4,701 5,004
Mcf produced 116,384 137,055
Average price/Bbl $ 10.81 $ 15.08
Average price/Mcf $ 1.64 $ 2.14
As shown in the table above, total oil and gas sales decreased $127,232
(34.5%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $44,000 was
related to a decrease in volumes of gas sold and approximately $20,000 and
$58,000, respectively, were related to decreases in the average prices of
oil and gas sold. Volumes of oil and gas sold decreased 303 barrels and
20,671 Mcf, respectively, for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. The decrease in volumes
of gas sold resulted primarily from (i) the sale of several wells during
1998, (ii) positive prior period volume adjustments on two significant
wells made by the operator during the three months ended March 31, 1998,
and (iii) normal declines in production. Average oil and gas prices
decreased to $10.81 per barrel and $1.64 per Mcf, respectively, for the
three months ended March 31, 1999 from $15.08 per barrel and $2.14 per
Mcf, respectively, for the three months ended March 31, 1998.
The II-C Partnership sold certain oil and gas properties during the three
months ended March 31, 1998 and recognized a $193,527 gain on such sales.
No such gains were recognized on sales of oil and gas properties during
the three months ended March 31, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $1,138 (1.0%) for the three months ended March
31, 1999 as compared to the three months ended March 31, 1998. This
decrease resulted primarily from (i) a decrease in lease operating
expenses associated with the decrease in volumes of oil and gas sold and
(ii) workover expenses incurred on two wells during the three months ended
March 31, 1998 in order to improve the recovery of reserves. This decrease
was partially offset by workover expenses incurred on another well during
the three months ended March 31, 1999 in order to improve the recovery
-35-
<PAGE>
of reserves. Any increase in production taxes resulting from positive
prior period production tax adjustments made by the purchaser on two wells
during the three months ended March 31, 1999 was substantially offset by a
decrease in production taxes associated with the decrease in volumes of
oil and gas sold. As a percentage of oil and gas sales, these expenses
increased to 46.1% for the three months ended March 31, 1999 from 30.5%
for the three months ended March 31, 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 $6,577 (11.0%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This decrease resulted
primarily from the decreases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 22.0% for the
three months ended March 31, 1999 from 16.2% for the three months ended
March 31, 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
three months ended March 31, 1999 as compared to the three months ended
March 31, 1998. As a percentage of oil and gas sales, these expenses
increased to 22.6% for the three months ended March 31, 1999 from 14.7%
for the three months ended March 31, 1998. This percentage increase was
primarily due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $15,533,686 or 100.46% of the Limited Partners' capital
contributions.
II-D PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- --------
Oil and gas sales $505,415 $711,972
Oil and gas production expenses $285,549 $321,636
Barrels produced 9,304 11,829
Mcf produced 223,820 258,157
Average price/Bbl $ 10.21 $ 15.10
Average price/Mcf $ 1.83 $ 2.07
As shown in the table above, total oil and gas sales decreased $206,557
(29.0%) for the three months ended March 31, 1999 as compared to the three
months ended March 31,
-36-
<PAGE>
1998. Of this decrease, approximately $38,000 and $71,000, respectively,
were related to decreases in volumes of oil and gas sold and approximately
$46,000 and $52,000, respectively, were related to decreases in the
average prices of oil and gas sold. Volumes of oil and gas sold decreased
2,525 barrels and 34,337 Mcf, respectively, for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. The
decrease in volumes of oil sold resulted primarily from the sale of
several wells during 1998. The decrease in volumes of gas sold resulted
primarily from (i) the sale of several wells during 1998 and (ii) normal
declines in production. This decrease was partially offset by a negative
prior period volume adjustment made by the purchaser on one well during
the three months ended March 31, 1998. Average oil and gas prices
decreased to $10.21 per barrel and $1.83 per Mcf, respectively, for the
three months ended March 31, 1999 from $15.10 per barrel and $2.07 per
Mcf, respectively, for the three months ended March 31, 1998.
The II-D Partnership sold certain oil and gas properties during the three
months ended March 31, 1998, and recognized a $439,105 gain on such sales.
No such gains were recognized on sales of oil and gas properties during
the three months ended March 31, 1999.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $36,087 (11.2%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
decrease resulted primarily from (i) workover expenses incurred on one
well during the three months ended March 31, 1998 in order to improve the
recovery of reserves, (ii) decreases in production taxes associated with
the decrease in oil and gas sales, and (iii) decreases in lease operating
expenses associated with the decreases in the volumes of oil and gas sold.
These decreases were partially offset by an increase in workover expenses
incurred one well during the three months ended March 31, 1999 in order to
improve the recovery of reserves. As a percentage of oil and gas sales,
these expenses increased to 56.5% for the three months ended March 31,
1999 from 45.2% for the three months ended March 31, 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 $16,058 (14.2%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This decrease resulted
primarily from the decreases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 19.2% for the
three months ended March 31, 1999 from 15.9% for the three months ended
March 31, 1998. This percentage increase was
-37-
<PAGE>
primarily due to the decreases in the average prices of oil and gas sold.
General and administrative expenses remained relatively constant for the
three months ended March 31, 1999 as compared to the three months ended
March 31, 1998. As a percentage of oil and gas sales, these expenses
increased to 22.0% for the three months ended March 31, 1999 from 15.5%
for the three months ended March 31, 1998. This percentage increase was
primarily due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $31,454,903 or 99.90% of the Limited Partners' capital
contributions.
II-E PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- --------
Oil and gas sales $328,051 $478,325
Oil and gas production expenses $147,733 $165,724
Barrels produced 8,860 8,400
Mcf produced 154,199 177,849
Average price/Bbl $ 11.17 $ 14.45
Average price/Mcf $ 1.49 $ 2.01
As shown in the table above, total oil and gas sales decreased $150,274
(31.4%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $29,000 and
$80,000, respectively, were related to decreases in the average prices of
oil and gas sold and approximately $47,000 was related to a decrease in
the volumes of gas sold. Volumes of oil sold increased 460 barrels, while
volumes of gas sold decreased 23,650 Mcf for the three months ended March
31, 1999 as compared to the three months ended March 31, 1998. The
decrease in volumes of gas sold resulted primarily from (i) the II-E
Partnership receiving an increased percentage of sales on one well during
the three months ended March 31, 1998 due to its underproduced gas
balancing position in that well, (ii) the II-E Partnership receiving a
decreased percentage of sales on another well during the three months
ended March 31, 1999, and (iii) normal declines in production. Average oil
and gas prices decreased to $11.17 per barrel and $1.49 per Mcf,
respectively, for the three months ended March 31, 1999 from $14.45 per
barrel and $2.01 per Mcf, respectively, for the three months ended March
31, 1998.
-38-
<PAGE>
The II-E Partnership sold certain oil and gas properties during the three
months ended March 31, 1999 and recognized a $367 gain on such sales.
Sales of oil and gas properties during the three months ended March 31,
1998 resulted in the II-E Partnership recognizing similar gains totaling
$63,215.
Oil and gas production expenses (including lease operating expenses and
production taxes) decreased $17,991 (10.9%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
decrease resulted primarily from decreases in (i) production taxes
associated with the decrease in oil and gas sales and (ii) lease operating
expenses associated with the decrease in volumes of gas sold. These
decreases were partially offset by workover expenses incurred on one well
during the three months ended March 31, 1999 in order to improve the
recovery of reserves. As a percentage of oil and gas sales, these expenses
increased to 45.0% for the three months ended March 31, 1999 from 34.6%
for the three months ended March 31, 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 $25,633 (18.8%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This decrease resulted
primarily from the decrease in volumes of gas sold. As a percentage of oil
and gas sales, this expense increased to 33.8% for the three months ended
March 31, 1999 from 28.6% for the three months ended March 31, 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
three months ended March 31, 1999 as compared to the three months ended
March 31, 1998. As a percentage of oil and gas sales, these expenses
increased to 24.6% for the three months ended March 31, 1999 from 16.9%
for the three months ended March 31, 1998. This percentage increase was
primarily due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $22,706,574 or 99.23% of Limited Partners' capital
contributions.
-39-
<PAGE>
II-F PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- --------
Oil and gas sales $394,229 $432,069
Oil and gas production expenses $158,001 $114,831
Barrels produced 10,481 9,805
Mcf produced 186,584 143,447
Average price/Bbl $ 10.34 $ 14.07
Average price/Mcf $ 1.53 $ 2.05
As shown in the table above, total oil and gas sales decreased $37,840
(8.8%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $39,000 and
$97,000, respectively, were related to decreases in the average prices of
oil and gas sold, which decreases were partially offset by increases of
approximately $10,000 and $88,000, respectively, related to increases in
the volumes of oil and gas sold. Volumes of oil and gas sold increased 676
barrels and 43,137 Mcf, respectively, for the three months ended March 31,
1999 as compared to the three months ended March 31, 1998. The increase in
volumes of gas sold resulted primarily from (i) a positive prior period
volume adjustment made by the operator on one significant well during the
three months ended March 31, 1999 and (ii) an increase in production due
to the successful recompletion of another well in late 1998. Average oil
and gas prices decreased to $10.34 per barrel and $1.53 per Mcf,
respectively, for the three months ended March 31, 1999 from $14.07 per
barrel and $2.05 per Mcf, respectively, for the three months ended March
31, 1998.
The II-F Partnership sold certain oil and gas properties during the three
months ended March 31, 1999 and recognized a $898 gain on such sales.
Sales of oil and gas properties during the three months ended March 31,
1998 resulted in the II-F Partnership recognizing similar gains totaling
$117,191.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $43,170 (37.6%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
increase resulted primarily from (i) ad valorem taxes being paid during
the three months ended March 31, 1999, (ii) an increase in lease operating
expenses associated with the increase in volumes of
-40-
<PAGE>
oil and gas sold, and (iii) workover expenses incurred on one well during
the three months ended March 31, 1999 in order to improve the recovery of
reserves. As a percentage of oil and gas sales, these expenses increased
to 40.1% for the three months ended March 31, 1999 from 26.6% for the
three months ended March 31, 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 $17,291 (18.4%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This increase resulted
primarily from the increases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 28.2% for the
three months ended March 31, 1999 from 21.7% for the three months ended
March 31, 1998. This percentage increase was primarily due to the
decreases in the average prices of oil and gas sold.
General and administrative expenses increased $1,319 (2.2%) for the three
months ended March 31, 1999 as compared to the three months ended March
31, 1998. As a percentage of oil and gas sales, these expenses increased
to 15.3% for the three months ended March 31, 1999 from 13.7% for the
three months ended March 31, 1998. This percentage increase was primarily
due to the decrease in oil and gas sales.
The II-F Partnership achieved payout during the three months ended March
31, 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 March 31,
1999 totaling $17,177,051 or 100.22% of Limited Partners' capital
contributions.
-41-
<PAGE>
II-G PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- ---------
Oil and gas sales $852,036 $914,389
Oil and gas production expenses $336,842 $244,109
Barrels produced 22,078 20,593
Mcf produced 406,215 305,144
Average price/Bbl $ 10.34 $ 14.07
Average price/Mcf $ 1.54 $ 2.05
As shown in the table above, total oil and gas sales decreased $62,353
(6.8%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $82,000 and
$208,000, respectively, were related to decreases in the average prices of
oil and gas sold, which decreases were partially offset by increases of
approximately $21,000 and $207,000, respectively, related to increases in
the volumes of oil and gas sold. Volumes of oil and gas sold increased
1,485 barrels and 101,071 Mcf, respectively, for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. The
increase in volumes of gas sold resulted primarily from (i) a positive
prior period volume adjustment made by the operator on one significant
well during the three months ended March 31, 1999 and (ii) an increase in
production due to the successful recompletion of another well in late
1998. Average oil and gas prices decreased to $10.34 per barrel and $1.54
per Mcf, respectively, for the three months ended March 31, 1999 from
$14.07 per barrel and $2.05 per Mcf, respectively, for the three months
ended March 31, 1998.
The II-G Partnership sold certain oil and gas properties during the three
months ended March 31, 1999 and recognized a $1,878 gain on such sales.
Sales of oil and gas properties during the three months ended March 31,
1998 resulted in the II-G Partnership recognizing similar gains totaling
$245,627.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $92,733 (38.0%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
increase resulted primarily from (i) ad valorem taxes being paid during
the three months ended March 31, 1999, (ii) an increase in lease operating
expenses associated with the increase in volumes of oil and gas sold, and
(iii) workover expenses incurred on one significant well during the three
months ended March 31, 1999
-42-
<PAGE>
in order to improve the recovery of reserves. As a percentage of oil and
gas sales, these expenses increased to 39.5% for the three months ended
March 31, 1999 from 26.7% for the three months ended March 31, 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 $41,451 (20.7%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This increase resulted
primarily from the increases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 28.3% for the
three months ended March 31, 1999 from 21.9% for the three months ended
March 31, 1998. This percentage increase was primarily due to the
decreases in the average prices of oil and gas sold.
General and administrative expenses increased $2,736 (2.1%) for the three
months ended March 31, 1999 as compared to the three months ended March
31, 1998. As a percentage of oil and gas sales, these expenses increased
to 15.4% for the three months ended March 31, 1999 from 14.0% for the
three months ended March 31, 1998. This percentage increase was primarily
due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $35,429,371 or 95.19% of Limited Partners' capital
contributions.
II-H PARTNERSHIP
THREE MONTHS ENDED MARCH 31, 1999 COMPARED TO THE THREE MONTHS ENDED MARCH
31, 1998.
Three Months Ended March 31,
----------------------------
1999 1998
-------- --------
Oil and gas sales $198,192 $217,703
Oil and gas production expenses $ 80,041 $ 58,340
Barrels produced 5,155 4,789
Mcf produced 94,271 72,675
Average price/Bbl $ 10.34 $ 14.06
Average price/Mcf $ 1.54 $ 2.07
As shown in the table above, total oil and gas sales decreased $19,511
(9.0%) for the three months ended March 31, 1999 as compared to the three
months ended March 31, 1998. Of this decrease, approximately $19,000 and
$50,000, respectively, were related to decreases in the average prices of
oil and gas sold, which decreases were partially offset by increases of
approximately $5,000 and $45,000,
-43-
<PAGE>
respectively, related to increases in the volumes of oil and gas sold.
Volumes of oil and gas sold increased 366 barrels and 21,596 Mcf,
respectively, for the three months ended March 31, 1999 as compared to the
three months ended March 31, 1998. The increase in volumes of gas sold
resulted primarily from (i) a positive prior period volume adjustment made
by the operator on one significant well during the three months ended
March 31, 1999 and (ii) an increase in production due to the successful
recompletion of another well in late 1998. Average oil and gas prices
decreased to $10.34 per barrel and $1.54 per Mcf, respectively, for the
three months ended March 31, 1999 from $14.06 per barrel and $2.07 per
Mcf, respectively, for the three months ended March 31, 1998.
The II-H Partnership sold certain oil and gas properties during the three
months ended March 31, 1999 and recognized a $434 gain on such sales.
Sales of oil and gas properties during the three months ended March 31,
1998 resulted in the II-H Partnership recognizing similar gains totaling
$57,318.
Oil and gas production expenses (including lease operating expenses and
production taxes) increased $21,701 (37.2%) for the three months ended
March 31, 1999 as compared to the three months ended March 31, 1998. This
increase resulted primarily from (i) ad valorem taxes being paid during
the three months ended March 31, 1999, (ii) an increase in lease operating
expenses associated with the increase in volumes of oil and gas sold, and
(iii) workover expenses incurred on one well during the three months ended
March 31, 1999 in order to improve the recovery of reserves. As a
percentage of oil and gas sales, these expenses increased to 40.4% for the
three months ended March 31, 1999 from 26.8% for the three months ended
March 31, 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 $8,608 (18.5%) for the three months ended March 31, 1999 as
compared to the three months ended March 31, 1998. This increase resulted
primarily from the increases in volumes of oil and gas sold. As a
percentage of oil and gas sales, this expense increased to 27.8% for the
three months ended March 31, 1999 from 21.4% for the three months ended
March 31, 1998. This percentage increase was primarily due to the
decreases in the average prices of oil and gas sold.
-44-
<PAGE>
General and administrative expenses increased $752 (2.4%) for the three
months ended March 31, 1999 as compared to the three months ended March
31, 1998. As a percentage of oil and gas sales, these expenses increased
to 16.3% for the three months ended March 31, 1999 from 14.5% for the
three months ended March 31, 1998. This percentage increase was primarily
due to the decrease in oil and gas sales.
The Limited Partners have received cash distributions through March 31,
1999 totaling $8,250,364 or 89.96% of Limited Partners' capital
contributions.
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, 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.
-45-
<PAGE>
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.
Samson Investment Company's Chief Financial Officer 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 May 1, 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.
-46-
<PAGE>
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
2nd 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 June
30, 1999 to complete this process. The costs of all such risk assessments
and remediation are not expected to be material to the Partnerships.
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 will consider in the
second half of 1999 its options with respect to contingency arrangements
for temporary staffing to accommodate such situations.
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 are in the process of being tested by the respective
vendors and are expected to be Y2K compliant or replaced no later than
June 30, 1999. Oil and gas production related to such equipment is very
minor with respect to the entire Samson group, and, in fact, the
Partnerships' production may not use such equipment at all.
-47-
<PAGE>
Office machines are currently being tested by Samson and vendors. It is
expected that such machines will be made compliant or replaced no later
than June 30, 1999. 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 that may have a Y2K problem. None of
these applications are believed to be material to Samson or the
Partnerships. Once identified, assessed and prioritized, Samson intends to
test and upgrade imbedded components and systems in field process control
units deemed to pose the greatest risk of significant non-compliance and
capable of testing. Samson believes that sufficient manual processes are
available to minimize any such field level risk and that there will be no
material impact on the Partnerships with respect to these applications.
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
-48-
<PAGE>
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.
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 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.
-49-
<PAGE>
ITEM 3. QUANTITATIVE AND QUALITATIVE DISCLOSURES ABOUT MARKET
RISK.
The Partnerships do not hold any market risk sensitive instruments.
-50-
<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 March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
27.2 Financial Data Schedule containing summary financial
information extracted from the II-B Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
27.3 Financial Data Schedule containing summary financial
information extracted from the II-C Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
27.4 Financial Data Schedule containing summary financial
information extracted from the II-D Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
27.5 Financial Data Schedule containing summary financial
information extracted from the II-E Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
27.6 Financial Data Schedule containing summary financial
information extracted from the II-F Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
27.7 Financial Data Schedule containing summary financial
information extracted from the II-G Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
-51-
<PAGE>
27.8 Financial Data Schedule containing summary financial
information extracted from the II-H Partnership's
financial statements as of March 31, 1999 and for the
three months ended March 31, 1999, filed herewith.
All other exhibits are omitted as inapplicable.
(b) Reports on Form 8-K.
1. Current Report on Form 8-K filed during the first quarter of
1999:
Date of Event: January 29, 1999
Date filed with SEC: January 29, 1999
Items Included: Item 5 - Other Events
Item 7 - Exhibits
-52-
<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: May 11, 1999 By: /s/Dennis R. Neill
--------------------------------
(Signature)
Dennis R. Neill
President
Date: May 11, 1999 By: /s/Patrick M. Hall
--------------------------------
(Signature)
Patrick M. Hall
Principal Accounting Officer
-53-
<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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 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 March 31, 1999 and for the three months
ended March 31, 1999, filed herewith.
All other exhibits are omitted as inapplicable.
-54-
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000824894
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-A
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 240,745
<SECURITIES> 0
<RECEIVABLES> 448,690
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 689,435
<PP&E> 31,024,018
<DEPRECIATION> 27,038,741
<TOTAL-ASSETS> 5,376,198
<CURRENT-LIABILITIES> 228,979
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 4,966,894
<TOTAL-LIABILITY-AND-EQUITY> 5,376,198
<SALES> 659,163
<TOTAL-REVENUES> 661,232
<CGS> 0
<TOTAL-COSTS> 648,070
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 13,162
<INCOME-TAX> 0
<INCOME-CONTINUING> 13,162
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 13,162
<EPS-PRIMARY> 0.01
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000826345
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-B
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 161,478
<SECURITIES> 0
<RECEIVABLES> 312,527
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 474,005
<PP&E> 21,451,475
<DEPRECIATION> 18,994,038
<TOTAL-ASSETS> 3,111,275
<CURRENT-LIABILITIES> 99,440
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 2,913,154
<TOTAL-LIABILITY-AND-EQUITY> 3,111,275
<SALES> 516,374
<TOTAL-REVENUES> 517,543
<CGS> 0
<TOTAL-COSTS> 498,730
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 18,813
<INCOME-TAX> 0
<INCOME-CONTINUING> 18,813
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 18,813
<EPS-PRIMARY> 0.04
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000833054
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-C
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 118,340
<SECURITIES> 0
<RECEIVABLES> 148,678
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 267,018
<PP&E> 9,306,911
<DEPRECIATION> 7,983,562
<TOTAL-ASSETS> 1,743,779
<CURRENT-LIABILITIES> 69,299
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 1,615,172
<TOTAL-LIABILITY-AND-EQUITY> 1,743,779
<SALES> 241,303
<TOTAL-REVENUES> 242,182
<CGS> 0
<TOTAL-COSTS> 218,741
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 23,441
<INCOME-TAX> 0
<INCOME-CONTINUING> 23,441
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 23,441
<EPS-PRIMARY> 0.11
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000833526
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-D
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 275,762
<SECURITIES> 0
<RECEIVABLES> 311,274
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 587,036
<PP&E> 16,996,927
<DEPRECIATION> 14,365,087
<TOTAL-ASSETS> 3,833,083
<CURRENT-LIABILITIES> 216,693
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 3,410,175
<TOTAL-LIABILITY-AND-EQUITY> 3,833,083
<SALES> 505,415
<TOTAL-REVENUES> 508,499
<CGS> 0
<TOTAL-COSTS> 493,500
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 14,999
<INCOME-TAX> 0
<INCOME-CONTINUING> 14,999
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 14,999
<EPS-PRIMARY> 0.03
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000842881
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-E
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 256,838
<SECURITIES> 0
<RECEIVABLES> 201,744
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 458,582
<PP&E> 15,255,358
<DEPRECIATION> 12,977,742
<TOTAL-ASSETS> 3,011,730
<CURRENT-LIABILITIES> 186,571
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 2,744,109
<TOTAL-LIABILITY-AND-EQUITY> 3,011,730
<SALES> 328,051
<TOTAL-REVENUES> 331,809
<CGS> 0
<TOTAL-COSTS> 339,389
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (7,580)
<INCOME-TAX> 0
<INCOME-CONTINUING> (7,580)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (7,580)
<EPS-PRIMARY> (0.05)
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000850506
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-F
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 166,828
<SECURITIES> 0
<RECEIVABLES> 192,903
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 359,731
<PP&E> 11,104,842
<DEPRECIATION> 9,123,825
<TOTAL-ASSETS> 2,387,121
<CURRENT-LIABILITIES> 32,098
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 2,330,028
<TOTAL-LIABILITY-AND-EQUITY> 2,387,121
<SALES> 394,229
<TOTAL-REVENUES> 396,908
<CGS> 0
<TOTAL-COSTS> 329,509
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 67,399
<INCOME-TAX> 0
<INCOME-CONTINUING> 67,399
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 67,399
<EPS-PRIMARY> 0.30
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000851724
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-G
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 349,899
<SECURITIES> 0
<RECEIVABLES> 425,305
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 775,204
<PP&E> 23,730,445
<DEPRECIATION> 19,468,062
<TOTAL-ASSETS> 5,139,542
<CURRENT-LIABILITIES> 68,487
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 5,013,225
<TOTAL-LIABILITY-AND-EQUITY> 5,139,542
<SALES> 852,036
<TOTAL-REVENUES> 857,799
<CGS> 0
<TOTAL-COSTS> 709,503
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 148,296
<INCOME-TAX> 0
<INCOME-CONTINUING> 148,296
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 148,296
<EPS-PRIMARY> 0.35
<EPS-DILUTED> 0
</TABLE>
<TABLE> <S> <C>
<ARTICLE> 5
<CIK> 0000854062
<NAME> GEODYNE ENERGY INCOME LIMITED PSHIP II-H
<S> <C>
<PERIOD-TYPE> 3-MOS
<FISCAL-YEAR-END> DEC-31-1999
<PERIOD-START> JAN-01-1999
<PERIOD-END> MAR-31-1999
<CASH> 79,158
<SECURITIES> 0
<RECEIVABLES> 98,059
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 177,217
<PP&E> 5,705,737
<DEPRECIATION> 4,700,000
<TOTAL-ASSETS> 1,206,703
<CURRENT-LIABILITIES> 14,309
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 1,180,331
<TOTAL-LIABILITY-AND-EQUITY> 1,206,703
<SALES> 198,192
<TOTAL-REVENUES> 199,439
<CGS> 0
<TOTAL-COSTS> 167,518
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 31,921
<INCOME-TAX> 0
<INCOME-CONTINUING> 31,921
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 31,921
<EPS-PRIMARY> 0.31
<EPS-DILUTED> 0
</TABLE>
