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U.S. SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-KSB/A
AMENDMENT III
(Mark One)
[X] ANNUAL REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [FEE REQUIRED]
For the fiscal year ended December 31, 1995
[ ] TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
For the transition period from...............to...............
Commission file number 33-34348-05
ENEX OIL & GAS INCOME PROGRAM V - Series 5, L.P.
(Name of small business issuer in its charter)
New Jersey 76-0303887
(State or other jurisdiction of (I.R.S. Employer
incorporation or organization) Identification No.)
800 Rockmead Drive
Three Kingwood Place
Kingwood, Texas 77339
(Address of principal executive offices) (Zip Code)
Issuer's telephone number, including area code: (713) 358-8401
Securities registered under Section 12(b) of the Exchange Act: None
Securities registered under Section 12(g) of the Exchange Act:
Limited Partnership Interest
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
Check if there is no disclosure of delinquent filers in response to
Item 405 of Regulation S-B is not contained in this form, and no disclosure will
be contained, to the best of the registrant's knowledge, in definitive proxy or
information statements incorporated by reference in Part III of this Form 10-KSB
or any amendment to this Form 10-KSB.[x]
State issuer's revenues for its most recent fiscal year. $470,696
State the aggregate market value of the voting stock held by
non-affiliates computed by reference to the price at which the stock was sold,
or the average bid and asked prices of such stock as of a specified date within
the past 60 days (See definition of affiliate in Rule 12b-2 of the Exchange
Act):
Not Applicable
Documents Incorporated By Reference:
None
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<PAGE>
PART II
Item 5. Market for Common Equity and Related Security Holder Matters
Market Information
There is no established public trading market for the Company's
outstanding limited partnership interests.
Number of Equity Security Holders
Number of Record Holders
Title of Class (as of March 1, 1996)
----------------- --------------------------------
General Partner's Interests 1
Limited Partnership Interests 523
Dividends
The Company paid cash distributions to partners of $62 and $60 per
$500 investment in 1995 and 1994, respectively. The payment of future
distributions will depend on the Company's earnings, financial condition,
working capital requirements and other factors, although it is anticipated that
regular quarterly distributions will continue through 1996.
II-1
<PAGE>
Item 6. Management's Discussion and Analysis or Plan of Operation
Results of Operations
This discussion should be read in conjunction with the financial
statements of the Company and the notes thereto included in this Form 10-KSB.
Oil sales totaled $470,696 and $498,727 in 1995 and 1994,
respectively. This represents a decrease of $28,031 or 6%. A 13% decrease in oil
production due to natural production declines reduced oil sales by $67,381. This
decrease was partially offset by a 9% increase in the average oil sales price.
The increase in the average oil sales price corresponds with changes in the
overall market for the sale of oil.
Lease operating expenses were $191,617 or 41% of sales in 1995 and
$178,134 or 36% of sales in 1994. The increase of $13,483 or 8% was primarily
due to workover costs incurred in 1995 to acidize the Standard Trust #12 and the
Steinhauser #1 wells. A workover was also attempted on the Steinhauser #6 which
was unsuccessful and the well was plugged and abandoned in the second quarter of
1995. These levels of expenses are considered higher than normal by the general
partner. The higher levels are primarily due to water treatment and disposal
costs on the Muldoon acquisition.
Depreciation and depletion expense was $134,858 in 1995 and $187,296
in 1994. This represents a decrease of $52,438 or 28%. The decline in
production, noted above, decreased depreciation and depletion expense by
$25,210. A 17% decrease in the depletion rate reduced depreciation and depletion
expense by an additional $27,228. The decrease in the depletion rate was
primarily due to an upward revision of the oil reserves during 1995.
General and administrative expenses were $75,090 in 1995 as compared
with $67,600 in 1994. The increase of $7,490 or 11% was primarily due to more
staff time being required to manage the Company's operations, partially offset
by a $4,367 decrease in direct expenses incurred by the Company.
Capital Resources and Liquidity
The Company's cash flow from operations is a direct result of the
amount of net proceeds from the sale of oil production. Accordingly, the changes
in cash flow are primarily due to the changes in oil sales. The Company plans to
repay the amount owed to the general partner in 1996. It is the general
partner's intention to distribute substantially all of the Company's available
net cash flow provided by operating, financing and investing activities to the
Company's partners. Distributions increased slightly from 1994 to 1995 as
revenues remained relatively constant.
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 flows to fund operations and to
maintain a regular pattern of distributions.
At December 31, 1995, the Company had no material commitments for
capital expenditures. The Company does not intend to engage in any significant
developmental drilling activity.
II-2
<PAGE>
Item 7. Financial Statements and Supplementary Data
INDEPENDENT AUDITORS' REPORT
The Partners
Enex Oil & Gas Income
Program V - Series 5, L.P.:
We have audited the accompanying balance sheet of Enex Oil & Gas Income Program
V - Series 5, L.P. (a New Jersey limited partnership) as of December 31, 1995,
and the related statement of operations, changes in partners' capital, and cash
flows for each of the two years in the period ended December 31, 1995. These
financial statements are the responsibility of the general partner of Enex Oil &
Gas Income Program V Series 5, L.P. Our responsibility is to express an opinion
on the financial statements based on our audit.
We conducted our audits in accordance with generally accepted auditing
standards. Those standards require that we plan and perform the audit to obtain
reasonable assurance about whether the financial statements are free of material
misstatement. An audit includes examining, on a test basis, evidence supporting
the amounts and disclosures in the financial statements. An audit also includes
assessing the accounting principles used and significant estimates made by
management, as well as evaluating the overall financial statement presentation.
We believe that our audits provide a reasonable basis for our opinion.
In our opinion, such financial statements present fairly, in all material
respects, the financial position of Enex Oil & Gas Income Program V - Series 5,
L.P. at December 31, 1995 and the results of its operations and its cash flows
for each of the two years in the period ended December 31, 1995 in conformity
with generally accepted accounting principles.
DELOITTE & TOUCHE LLP
Houston, Texas
March 18, 1996
II-3
<PAGE>
<TABLE>
<CAPTION>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
BALANCE SHEET, DECEMBER 31, 1995
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ASSETS
1995
--------------
CURRENT ASSETS:
<S> <C>
Cash $ 50,792
Accounts receivable - oil & gas sales 41,372
Other current assets 2,847
--------------
Total current assets 95,011
--------------
OIL & GAS PROPERTIES
(Successful efforts accounting method) - Proved
mineral interests and related equipment & facilities 1,184,198
Less accumulated depreciation and depletion 616,145
--------------
Property, net 568,053
--------------
ORGANIZATION COSTS
(Net of accumulated amortization of $36,131) 13,138
-------------
TOTAL $ 676,202
==============
LIABILITIES AND PARTNERS' CAPITAL (DEFICIT)
CURRENT LIABILITIES:
Accounts payable $ 31,933
Payable to general partner 9,985
--------------
Total current liabilities 41,918
--------------
PARTNERS' CAPITAL (DEFICIT):
Limited partners 616,129
General partner 18,155
--------------
Total partners' capital 634,284
--------------
TOTAL $ 676,202
==============
Number of $500 Limited Partner units outstanding 2,463
</TABLE>
See accompanying notes to financial statements.
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II-4
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
STATEMENT OF OPERATIONS
FOR THE TWO YEARS ENDED DECEMBER 31, 1995
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<TABLE>
<CAPTION>
1995 1994
------------------- --------------------
REVENUES:
<S> <C> <C>
Oil sales $ 470,696 $ 498,727
------------------- --------------------
EXPENSES:
Depreciation, depletion and amortization 144,712 197,150
Lease operating expenses 191,617 178,134
Production taxes 21,789 23,105
General and administrative:
Allocated from general partner 74,397 62,540
Direct expense 693 5,060
------------------- --------------------
Total expenses 433,208 465,989
------------------- --------------------
INCOME FROM OPERATIONS 37,488 32,738
------------------- --------------------
OTHER INCOME:
Interest income 110 -
------------------- --------------------
NET INCOME $ 37,598 $ 32,738
=================== ====================
</TABLE>
See accompanying notes to financial statements.
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II-5
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
STATEMENT OF CHANGES IN PARTNERS' CAPITAL
FOR THE TWO YEARS ENDED DECEMBER 31, 1995
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<TABLE>
<CAPTION>
PER $500
LIMITED
PARTNER
GENERAL LIMITED UNIT OUT-
TOTAL PARTNER PARTNERS STANDING
----------------- ------------------ ------------------ -------------------
<S> <C> <C> <C> <C>
BALANCE, JANUARY 1, 1994 $ 897,520 $ 10,292 $ 887,228 $ 360
CASH DISTRIBUTIONS (164,848) (16,484) (148,364) (60)
NET INCOME 32,738 22,990 9,748 4
----------------- ------------------ ------------------ -------------------
BALANCE, DECEMBER 31, 1994 765,410 16,798 748,612 304
CASH DISTRIBUTIONS (168,724) (16,874) (151,850) (62)
NET INCOME 37,598 18,231 19,367 8
----------------- ------------------ ------------------ -------------------
BALANCE, DECEMBER 31, 1995 $ 634,284 $ 18,155 $ 616,129 (1)$ 250
================= ================== ================== ===================
</TABLE>
(1) Includes 102 units purchased by the general partner as a limited partner.
See accompanying notes to financial statements.
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II-6
<PAGE>
STATEMENT OF CASH FLOWS
FOR THE TWO YEARS ENDED DECEMBER 31, 1995
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<TABLE>
<CAPTION>
1995 1994
-------------------- -------------------
CASH FLOWS FROM OPERATING ACTIVITIES:
<S> <C> <C>
Net income $ 37,598 $ 32,738
-------------------- -------------------
Adjustments to reconcile net income to net cash
provided by operating activities
Depreciation, depletion and amortization 144,712 197,150
(Increase) in:
Accounts receivable - oil sales (8,210) (39)
Other current assets (2,847) -
Increase (decrease) in:
Accounts payable 13,526 4,017
Payable to general partner (6,111) 13,463
-------------------- -------------------
Total adjustments 141,070 214,591
-------------------- -------------------
Net cash provided by operating activities 178,668 247,329
-------------------- -------------------
CASH FLOWS FROM INVESTING ACTIVITIES:
Property additions - development costs (80,581) (7,332)
-------------------- -------------------
CASH FLOWS FROM FINANCING ACTIVITIES:
Cash distributions (168,724) (164,848)
-------------------- -------------------
NET INCREASE (DECREASE) IN CASH (70,637) 75,149
CASH AT BEGINNING OF YEAR 121,429 46,280
-------------------- -------------------
CASH AT END OF YEAR $ 50,792 $ 121,429
==================== ===================
</TABLE>
See accompanying notes to financial statements.
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II-7
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
NOTES TO FINANCIAL STATEMENTS
FOR THE TWO YEARS ENDED DECEMBER 31, 1995
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1. PARTNERSHIP ORGANIZATION
Enex Oil & Gas Income Program V - Series 5, L.P. (the "Company"), a
New Jersey limited partnership, commenced operations on April 30,
1992, for the purpose of acquiring proved oil and gas properties.
Total limited partner contributions were $1,231,732, of which
$12,317 was contributed by Enex Resources Corporation ("Enex"), the
general partner.
In accordance with the partnership agreement, the Company paid
commissions and due diligence expenses of $110,299 for solicited
subscriptions to Enex Securities Corporation, a subsidiary of Enex,
and reimbursed Enex for organization expenses of approximately
$49,269.
Information relating to the allocation of costs and revenues
between Enex, as general partner, and the limited partners is as
follows:
Limited
Enex Partners
Commissions and selling expenses 100%
Company reimbursement of organization
expense 100%
Company property acquisition 100%
General and administrative costs 10% 90%
Costs of drilling and completing
development wells 10% 90%
Revenues from temporary investment of
partnership capital 100%
Revenues from producing properties 10% 90%
Operating costs (including general and
administrative costs associated with
operating producing properties) 10% 90%
At the point in time when the cash distributions to the limited
partners equal their subscriptions ("payout"), the costs of
drilling and completing development wells, revenues from producing
properties, general and administrative costs and operating costs
will be allocated 15% to the general partner and 85% to the limited
partners.
II-8
<PAGE>
2. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
Oil and Gas Properties - The Company uses the successful efforts
method of accounting for its oil and gas operations. Under this
method, the costs of all development wells are capitalized.
Capitalized costs are amortized on the units-of-production method
based on estimated total proved reserves. The acquisition costs of
improved oil and gas properties are capitalized and periodically
assessed for impairment.
The Financial Accounting Standards Board has issued Statement of
Financial Accounting Standards No. 121, "Accounting for the
Impairment of Long Lived Assets and for Long-Lived Assets to Be
Disposed Of." This statement requires that long-lived assets and
certain identifiable intangibles held and used by the Company be
reviewed for impairment whenever events or changes in circumstances
indicate that the carrying amount of an asset may not be
recoverable.
The Company has not determined the effect, if any, on its financial
position or results of operations which may result from the
adoption of this statement in the first quarter of 1996.
The Company's operating interests in oil and gas properties are
recorded using the pro rata consolidation method pursuant to
Interpretation 2 of Accounting Principles Board Opinion 18.
Organization Costs - Organization costs are being amortized on a
straight-line basis over a five-year period.
Cash Flows - The Company has presented its cash flows using the
indirect method and considers all highly liquid investments with an
original maturity of three months or less to be cash equivalents.
General and Administrative Expenses - The Company reimburses the
General Partner for direct costs and administrative costs incurred
on its behalf. Administrative costs allocated to the Company are
computed on a cost basis in accordance with standard industry
practices by allocating the time spent by the General Partner's
personnel among all projects and by allocating rent and other
overhead on the basis of the relative direct time charges.
Uses of Estimates - The preparation of the financial statements in
conformity with generally accepted accounting principles requires
management to make estimates and assumptions that affect the
reported amounts of assets and liabilities and disclosure of
contigent assets and liabilities at the date of the financial
statements and the reported amounts of revenue and expenses during
the reporting periods. Actual results could differ from these
estimates.
3. FEDERAL INCOME TAXES
General - The Company is not a taxable entity for federal income
tax purposes. Such taxes are liabilities of the individual partners
and the amounts thereof will vary depending on the individual
situation of each partner. Accordingly, there is no provision for
income taxes in the accompanying financial statements.
II-9
<PAGE>
Set forth below is a reconciliation of net income as reflected in the
accompanying financial statements and net income (loss) for federal income
tax purposes for the year ended December 31, 1995:
<TABLE>
<CAPTION>
Allocable to Per $500 Limited
--------------------------------
General Limited Partner Unit
TOTAL Partner Partners Outstanding
---------------- ---------------- -------------- --------------------
Net income as reflected in the
<S> <C> <C> <C> <C>
accompanying financial statements $ 37,598 $ 18,231 $ 19,367 $ 8
Reconciling items:
Intangible drilling costs
capitalized for financial
reporting purposes which
were charged-off for federal
income tax purposes (49,982) (4,998) (44,984) (18)
Difference in depreciation,
depletion and amortization
computed for federal income
tax purposes and the amount
computed for financial
reporting purposes (32,577) - (32,577) (14)
---------------- ---------------- -------------- --------------------
Net income (loss) for federal
income tax purposes $ (44,961) $ 13,233 $ (58,194) $ (24)
================ ================ ============== ====================
</TABLE>
Net income(loss) for income tax purposes is a summation of ordinary
income(loss), portfolio income (loss), cost depletion and intangible
drilling costs as presented in the Company's income tax return.
Set forth below is a reconciliation between partners' capital as reflected
in the accompanying financial statements and partners' capital for federal
income tax purposes as of December 31, 1995:
<TABLE>
<CAPTION>
Allocable to Per $500 Limited
--------------------------------
General Limited Partner Unit
TOTAL Partner Partners Outstanding
---------------- ---------------- -------------- --------------------
Partners' capital as reflected in the
<S> <C> <C> <C> <C>
accompanying financial statements $ 634,284 $ 18,155 $ 616,129 $ 250
Reconciling items:
Intangible drilling costs
capitalized for financial
reporting purposes which
were charged-off for federal
income tax purposes (49,982) (4,998) (44,984) (18)
Difference in accumulated
depreciation, depletion and
amortization for financial
reporting and federal income
tax purposes (38,241) - (38,241) (16)
Commissions and syndication
fees capitalized for federal
income tax purposes 110,299 - 110,299 45
---------------- ---------------- -------------- --------------------
Partners' capital for federal
income tax purposes $ 656,360 $ 13,157 $ 643,203 $ 261
================ ================ ============== ====================
</TABLE>
II-10
<PAGE>
4. PAYABLE TO GENERAL PARTNER
The payable to general partner primarily consists of general and
administrative expenses allocated to the Company by the general
partner for its ongoing operations and is expected to be repaid in
1996.
5. SIGNIFICANT PURCHASERS
Conoco, Inc. accounted for 100% and 94% of the Company's total oil
sales in 1995 and 1994, respectively.
II-11
<PAGE>
ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
SUPPLEMENTARY OIL INFORMATION
FOR THE TWO YEARS ENDED DECEMBER 31, 1995
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Proved Oil Reserve Quantities (Unaudited)
The following presents an estimate of the Company's proved oil and gas
reserve quantities and changes therein for each of the two years in the
period ended December 31, 1995. Oil reserves are stated in barrels
("BBLS"). The amounts per $500 limited partner unit do not include a
potential 5% reduction after payout. All of the Company's reserves are
located within the United States
<TABLE>
<CAPTION>
Per $500
Limited
Oil Partner Unit
(BBLS) Outstanding
--------------- ---------------------
PROVED DEVELOPED AND
UNDEVELOPED RESERVES:
<S> <C> <C>
January 1, 1994 140,001 52
Revisions of previous estimates (1,584) (1)
Production (32,021) (12)
--------------- ---------------------
December 31, 1994 106,396 39
Revisions of previous estimates 37,440 14
Production (27,111) (10)
--------------- ---------------------
December 31, 1995 116,725 43
=============== =====================
PROVED DEVELOPED RESERVES:
January 1, 1994 140,001 52
=============== =====================
December 31, 1994 106,396 39
=============== =====================
December 31, 1995 102,144 37
=============== =====================
</TABLE>
II-12
<PAGE>
Item 8. Changes In and Disagreements With Accountants on Accounting and
Financial Disclosure
Not Applicable
II-13
<PAGE>
SIGNATURES
In accordance with Section 13 or 15 (d) of the Exchange Act,
the registrant caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.
ENEX OIL AND GAS INCOME PROGRAM V -
SERIES 5, L.P.
By: ENEX RESOURCES CORPORATION
the General Partner
December 23, 1996 By: /s/ G. B. Eckley
-------------------
G. B. Eckley, President
In accordance with the Exchange Act, this report has been
signed below on December 23, 1996, by the following persons in the capacities
indicated.
ENEX RESOURCES CORPORATION General Partner
By: /s/ G. B. Eckley
------------------------
G. B. Eckley, President
/s/ G. B. Eckley
President, Chief Executive
------------------ Officer and Director
G. B. Eckley
/s/ R. E. Densford Vice President, Secretary, Treasurer,
Chief Financial Officer and Director
-------------------
R. E. Densford
/s/ James A. Klein Controller and Chief Accounting Officer
-----------------
James A. Klein
S-1
<PAGE>
/s/ Robert D. Carl, III
--------------------------
Robert D. Carl, III Director
/s/ Martin J. Freedman
--------------------------
Martin J. Freedman Director
/s/ William C. Hooper, Jr.
--------------------------
William C. Hooper, Jr. Director
/s/ Tom Shorney
--------------------------
Tom Shorney Director
/s/ Stuart Strasner
--------------------------
Stuart Strasner Director
S-2
<PAGE>
<TABLE> <S> <C>
<ARTICLE> 5
<LEGEND>
(Replace this text with the legend)
</LEGEND>
<CIK> 0000890855
<NAME> ENEX OIL & GAS INCOME PROGRAM V - SERIES 5, L.P.
<S> <C>
<PERIOD-TYPE> 12-MOS
<FISCAL-YEAR-END> dec-31-1996
<PERIOD-START> jan-01-1996
<PERIOD-END> dec-31-1996
<CASH> 50792
<SECURITIES> 0
<RECEIVABLES> 41372
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 95011
<PP&E> 1184198
<DEPRECIATION> 616145
<TOTAL-ASSETS> 676202
<CURRENT-LIABILITIES> 41918
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 634284
<TOTAL-LIABILITY-AND-EQUITY> 676202
<SALES> 470696
<TOTAL-REVENUES> 470696
<CGS> 358118
<TOTAL-COSTS> 433208
<OTHER-EXPENSES> 75090
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 0
<INCOME-TAX> 0
<INCOME-CONTINUING> 0
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 37598
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
