United States
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-QSB
[X] QUARTERLY REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the quarterly period ended March 31, 1997
OR
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
For the transition period from...............to...............
Commission file number 33-34348-04
ENEX OIL & GAS INCOME PROGRAM V - SERIES 4, L.P.
(Exact name of small business issuer as specified in its charter)
New Jersey 76-0303885
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
Suite 200, Three Kingwood Place
Kingwood, Texas 77339
(Address of principal executive offices)
Issuer's telephone number (713) 358-8401
Check whether the issuer (1) filed all reports required to be filed by
Section 13 or 15(d) of the Exchange Act during the past 12 months (or for such
shorter period that the registrant was required to file such reports), and (2)
has been subject to such filing requirements for the past 90 days.
Yes x No
<PAGE>
PART I. FINANCIAL INFORMATION
Item I. Financial Statements
ENEX OIL & GAS INCOME PROGRAM V - SERIES 4, L.P.
BALANCE SHEET
- ----------------------------------------------------------------------------
<TABLE>
<CAPTION>
MARCH 31,
ASSETS 1997
----------------
(Unaudited)
CURRENT ASSETS:
<S> <C>
Cash $ 149,974
Accounts receivable - oil & gas sales 123,399
Other current assets 13,604
----------------
Total current assets 286,977
----------------
OIL & GAS PROPERTIES
(Successful efforts accounting method) - Proved
mineral interests and related equipment & facilities 1,450,972
Less accumulated depreciation and depletion 662,090
----------------
Property, net 788,882
----------------
TOTAL 1,075,859
================
LIABILITIES AND PARTNERS' CAPITAL
CURRENT LIABILITIES:
Accounts payable 125,942
Payable to general partner 7,034
----------------
Total current liabilities 132,976
----------------
PARTNERS' CAPITAL:
Limited partners 926,144
General partner 16,739
----------------
Total partners' capital 942,883
----------------
TOTAL $ 1,075,859
================
Number of $500 Limited Partner units outstanding 2,954
</TABLE>
See accompanying notes to financial statements.
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I-1
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 4, L.P.
STATEMENTS OF OPERATIONS
- ----------------------------------------------------------------------------
<TABLE>
<CAPTION>
(UNAUDITED) THREE MONTHS ENDED
-----------------------------
MARCH 31, MARCH 31,
1997 1996
------------ -----------
REVENUES:
<S> <C> <C>
Oil and gas sales $ 244,911 $ 234,956
------------ -----------
EXPENSES:
Depreciation, depletion and amortization 22,595 32,307
Lease operating expenses 133,349 128,207
Production taxes 15,491 15,129
General and administrative 10,007 11,652
------------ -----------
Total expenses 181,442 187,295
------------ -----------
INCOME FROM OPERATIONS 63,469 47,661
------------ -----------
OTHER INCOME:
Other income 1,000 -
------------ -----------
NET INCOME $ 64,469 $ 47,661
============ ===========
</TABLE>
See accompanying notes to financial statements.
- ---------------------------------------------------------------------------
I-2
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 4, L.P.
STATEMENT OF CHANGES IN PARTNERS' CAPITAL
FOR THE YEAR ENDED DECEMBER 31, 1996 AND
FOR THE THREE MONTHS ENDED MARCH 31, 1997
- ------------------------------------------------------------------------------
<TABLE>
<CAPTION>
PER $500
LIMITED
PARTNER
GENERAL LIMITED UNIT OUT-
TOTAL PARTNER PARTNERS STANDING
----------- ------------ ----------- -----------
<S> <C> <C> <C> <C> <C>
BALANCE, JANUARY 1, 1996 $ 979,353 $ 24,981 $ 954,372 $ 323
CASH DISTRIBUTIONS (224,444) (32,399) (192,045) (65)
NET INCOME 215,720 32,218 183,502 62
----------- ------------ --------- ----------
BALANCE, DECEMBER 31, 1996 970,629 24,800 945,829 320
CASH DISTRIBUTIONS (92,215) (16,767) (75,448) (25)
NET INCOME 64,469 8,706 55,763 19
----------- ------------ ----------- -----------
BALANCE, MARCH 31, 1997 $ 942,883 $ 16,739 $ 926,144 (1) $ 314
=========== ============ =========== ===========
</TABLE>
(1) Includes 366 units purchased by the general partner as a limited partner.
See accompanying notes to financial statements.
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I-3
<PAGE>
ENEX OIL AND GAS INCOME PROGRAM V - SERIES 4, L.P.
STATEMENTS OF CASH FLOWS
- -------------------------------------------------------------------------------
<TABLE>
<CAPTION>
(UNAUDITED)
THREE MONTHS ENDED
-----------------------------
MARCH 31, MARCH 31,
1997 1996
------------ -------------
CASH FLOWS FROM OPERATING ACTIVITIES:
<S> <C> <C>
Net income $ 64,469 $ 47,661
------------ -------------
Adjustments to reconcile net income to net cash
provided by operating activities:
Depreciation, depletion and amortization 22,595 32,307
(Increase) decrease in:
Accounts receivable - oil & gas sales 103,276 (15,206)
Increase (decrease) in:
Accounts payable 22,278 1,679
Payable to general partner 2,862 (5,169)
------------ -------------
Total adjustments 151,011 13,611
------------ -------------
Net cash provided by operating activities 215,480 61,272
------------ -------------
CASH FLOWS FROM INVESTING ACTIVITIES:
Property credits - development costs 222 -
---------- -------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions (92,215) (55,498)
------------ -------------
NET INCREASE IN CASH 123,487 5,774
CASH AT BEGINNING OF YEAR 26,487 33,580
------------ -------------
CASH AT END OF PERIOD $ 149,974 $ 39,354
============ =============
</TABLE>
See accompanying notes to financial statements.
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I-4
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 4, L.P.
NOTES TO UNAUDITED FINANCIAL STATEMENTS
1. The interim financial information included herein is unaudited;
however, such information reflects all adjustments (consisting solely
of normal recurring adjustments) which are, in the opinion of
management, necessary for a fair presentation of results for the
interim periods.
2. A cash distribution was made to the limited partners of the Company in
the amount of $75,448, representing net revenues from the sale of oil
and gas produced from properties owned by the Company. This
distribution was made on January 31, 1997.
3. On April 7, 1997, the Company's General Partner mailed proxy material
to the limited partners with respect to a proposed consolidation of
the Company with 33 other managed limited partnerships. The terms and
conditions of the proposed consolidation are set forth in such proxy
material.
I-5
<PAGE>
Item 2. Management's Discussion and Analysis or Plan of Operation.
First Quarter of 1997 Compared to First Quarter 1996
Oil and gas sales for the first quarter increased from $234,956 in 1996 to
$244,911 in 1997. This represents an increase of $9,955 or 4%. Oil sales
increased by $6,680 or 3%. A 22% increase in average oil sales prices increased
sales by $35,514. This increase was partially offset by a 15% decrease in oil
production. Gas sales increased by $3,275 or 8%. A 22% increase in average gas
prices increased sales by $7,985. This increase was partially offset by an 11%
decrease in gas production. The decreases in oil and gas production were
primarily due to natural production declines. The increases in average oil and
gas prices correspond with increases in the overall market for the sale of oil
and gas.
Lease operating expenses increased from $128,207 in the first quarter of 1996 to
$133,349 in the first quarter of 1997. The increase of $5,142 or 4%, was
primarily the result of higher operating expenses incurred at the Charlotte
acquisition in 1997.
Depreciation and depletion expense was $29,353 in the first quarter of 1996 as
compared with $22,595 in the first quarter of 1997. This represents a decrease
of $6,758 or 23%. The changes in production, noted above, reduced depreciation
and depletion expense by $4,060. An 11% decrease in the depletion rate reduced
depreciation and depletion expense by an additional $2,698. The decrease in the
depletion rate was primarily a result of an upward revision of the oil reserves
during December 1996, partially offset by a downward revision of the gas
reserves during December 1996.
General and administrative expenses decreased from $11,652 in the first quarter
of 1996 to $10,007 in the first quarter of 1997. This decrease of $1,645 or 14%
was primarily a result of less staff time being required to manage the Company's
operations.
CAPITAL RESOURCES AND LIQUIDITY
The Company's cash flow from operations is a direct result of the amount of net
proceeds realized from the sale of oil and gas production. Accordingly, the
changes in cash flow from 1996 to 1997 are primarily due to the changes in oil
and gas sales described above. It is the general partner's intention to
distribute substantially all of the Company's available cash flow to the
Company's partners. The Company's "available cash flow" is essentially equal to
the net amount of cash provided by operating, financing and investing
activities.
The Company will continue to recover its reserves and distribute to the limited
partners the net proceeds realized from the sale of oil and gas production.
Distribution amounts are subject to change if net revenues are greater or less
than expected. Nonetheless, the general partner believes the Company will
continue to have sufficient cash flow to fund operations and to maintain a
regular pattern of distributions.
On April 7, 1997, the Company's General Partner mailed proxy material to the
limited partners with respect to a proposed consolidation of the Company with 33
other managed limited partnerships. The terms and conditions of the proposed
consolidation are set forth in such proxy material.
As of March 31, 1997, the Company had no material commitments for capital
expenditures. The Company does not intend to engage in any significant
developmental drilling activity
I-6
<PAGE>
PART II. OTHER INFORMATION
Item 1. Legal proceedings.
None
Item 2. Changes in Securities.
None
Item 3. Defaults upon Senior Securities.
Not Applicable
Item 4. Submission of Matters to a Vote of Security Holders.
Not Applicable
Item 5. Other Information.
Not Applicable
Item 6. Exhibits and Reports on Form 8-K.
(a) There are no exhibits to this report.
(b) The Company filed no reports on Form 8-K during the
quarter ended March 31, 1997.
II-1
<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 hereunto duly authorized.
ENEX OIL & GAS INCOME
PROGRAM V - SERIES 4, L.P.
-------------------------
(Registrant)
By: ENEX RESOURCES CORPORATION
--------------------------
General Partner
By: /s/ R. E. Densford
------------------
R. E. Densford
Vice President, Secretary
Treasurer and Chief Financial
Officer
May 11, 1997 By: /s/ James A. Klein
-------------------
James A. Klein
Controller and Chief
Accounting Officer
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
(Replace this text with the legend)
</LEGEND>
<CIK> 0000881757
<NAME> Enex Oil & Gas Income Program V - Series 4, L.P.
<S> <C>
<PERIOD-TYPE> 3-mos
<FISCAL-YEAR-END> dec-31-1997
<PERIOD-START> jan-01-1997
<PERIOD-END> mar-31-1997
<CASH> 149974
<SECURITIES> 0
<RECEIVABLES> 123399
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 286977
<PP&E> 1450972
<DEPRECIATION> 662090
<TOTAL-ASSETS> 1075859
<CURRENT-LIABILITIES> 132976
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 942883
<TOTAL-LIABILITY-AND-EQUITY> 1075859
<SALES> 244911
<TOTAL-REVENUES> 244911
<CGS> 148840
<TOTAL-COSTS> 171435
<OTHER-EXPENSES> 10007
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 64469
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
