CONFORMED COPY
QUARTERLY REPORT UNDER SECTION 13 OR 15(d)
OF THE SECURITIES EXCHANGE ACT OF 1934
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 10-Q
[X] Quarterly Report Pursuant to Section 13 or 15(d) of
the Securities and Exchange Act of 1934
For the period ended June 30, 1997
or
[ ] Transition Report Pursuant to Section 13 of 15(d) of
the Securities and Exchange Act of 1934
For the transition period from to
Commission file number 033-70568
I.R.S. Employer Identification Number 55-0737400
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
103 East Main Street
Bridgeport, WV 26330
Telephone: (304) 842-6256
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 XX No
<PAGE>
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
INDEX
PART I - FINANCIAL INFORMATION Page No.
Item 1. Financial Statements
Balance Sheets June 30, 1997 and December 31, 1996 1
Statements of Operations - Three Months and
Six Months Ended June 30, 1997 and 1996 2
Statement of Partners' Equity -
Six Months Ended June 30, 1997 3
Statements of Cash Flows -
Six Months Ended June 30, 1997 and 1996 4
Notes to Financial Statements 5
Item 2. Management's Discussion and Analysis of Financial
Condition and Results of Operations 6
PART II OTHER INFORMATION
Item 1. Legal Proceedings 7
Item 6. Exhibits and Reports on Form 8-K 7
<PAGE>
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
Balance Sheets
June 30, 1997 and December 31, 1996
<TABLE>
<S> <S> <S>
Assets 1997 1996
(unaudited)
Current assets:
Cash $ 836 920
Accounts receivable - oil and gas revenues 129,179 195,829
Total current assets 130,015 196,749
Oil and gas properties,
successful efforts method
Oil and gas properties 7,174,936 7,174,936
Less accumulated depreciation, depletion,
and amortization 1,403,300 1,165,600
5,771,636 6,009,336
$5,901,651 6,206,085
Current Liabilities and Partners' Equity
Current liabilities:
Accrued expenses 27,742 36,277
Total current liabilities 27,742 36,277
Partners' equity 5,873,909 6,169,808
5,901,651 6,206,085
</TABLE>
See accompanying notes to financial statements.
-1-
<PAGE>
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
Statements of Operations
Three Months and Six Months Ended June 30, 1997 and 1996
(Unaudited)
<TABLE>
<S> <S> <S> <S> <S>
Three Months Ended Six Months Ended
June 30, June 30,
1997 1996 1997 1996
Revenues:
Sales of oil and gas $191,364 $282,208 $442,630 $666,579
Transportation revenue 322 1,723 451 1,882
Interest income 739 829 1,733 1,616
192,425 284,760 444,814 670,077
Expenses:
Lifting cost 48,831 66,149 87,211 124,023
Direct administrative cost 1,805 15 1,816 15
Depreciation, depletion and amortization 116,294 169,595 237,700 303,380
166,930 235,759 326,727 427,418
Net income $ 25,495 $ 49,001 $118,087 $242,659
Net income per limited and
additional general partner unit $ 57 $ 104 $ 259 $ 514
</TABLE>
See accompanying notes to financial statements.
-2-
<PAGE>
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
Statement of Partners' Equity
Six months ended June 30, 1997
(Unaudited)
<TABLE>
<S> <S> <S> <S>
Limited and
additional Managing
general partners general partner Total
Balance, December 31, 1996 $4,935,814 $1,233,994 $6,169,808
Net income 97,882 20,205 118,087
Distribution to partners (335,159) (78,827) (413,986)
Balance, June 30, 1997 $4,698,537 $1,175,372 $5,873,909
</TABLE>
See accompanying notes to financial statements.
-3-
<PAGE>
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
Statements of Cash Flows
Six months ended June 30, 1997 and 1996
(Unaudited)
<TABLE>
<S> <S> <S>
1997 1996
Cash flows from operating activities:
Net income $ 118,087 $ 242,659
Adjustments to reconcile net income
to net cash provided by operating activities:
Depreciation, depletion, and amortization 237,700 303,380
Changes in operating assets and liabilities:
Decrease (increase) in accounts receivable
- oil and gas revenues 66,650 (55,734)
Decrease in accrued expenses (8,535) (12,696)
Net cash provided from
operating activities 413,902 477,609
Cash flows from financing activities:
Distributions to partners (413,986) (485,265)
Net cash used
by financing activities (413,986) (485,265)
Net decrease in cash (84) (7,656)
Cash at beginning of period 920 7,752
Cash at end of period $ 836 $ 96
</TABLE>
See accompanying notes to financial statements.
-4-
<PAGE>
PDC 1994-D LIMITED PARTNERSHIP
(A West Virginia Limited Partnership)
Notes to Financial Statements
(Unaudited)
1. Accounting Policies
Reference is hereby made to the Partnership's Annual Report on Form
10-K for 1996, which contains a summary of major accounting policies
followed by the Partnership in the preparation of its financial
statements. These policies were also followed in preparing the
quarterly report included herein.
2. Basis of Presentation
The Management of the Partnership believes that all adjustments
(consisting of only normal recurring accruals) necessary to a fair
statement of the results of such periods have been made. The results
of operations for the six months ended June 30, 1997 are not
necessarily indicative of the results to be expected for the full year.
3. Oil and Gas Properties
Oil and Gas Properties are reported on the successful efforts method.
-5-<PAGE>
Item 2. Management's Discussion and Analysis of Financial Condition and
Results of Operations
Liquidity and Capital Resources
The Partnership was funded on December 30, 1994 with initial
Limited and Additional General Partner contributions of $7,548,761
and the Managing General Partner contributed $1,651,292. Offering,
organization and legal costs of $943,595 were incurred leaving
available capital of $8,256,458 for Partnership activities.
The Partnership began exploration and development activities
subsequent to the funding of the Partnership and completed well
drilling activities by March 31, 1995. Forty-two wells have been
drilled, of which thirty-eight have been completed as producing wells.
Operations will be conducted with available funds and revenues
generated from oil and gas activities. No bank borrowings are
anticipated.
The Partnership had net working capital at June 30, 1997 of
$102,273.
The Partnership's revenues from oil and gas will be affected by
changes in prices. As a result of changes in federal regulations,
gas prices are highly dependent on the balance between supply and
demand. The Partnership's gas sales prices are subject to increase
and decrease based on various market sensitive indices.
Results of Operations
Three Months Ended June 30, 1997 Compared with 1996
Natural gas sales decreased approximately 32.2% during the
second quarter of 1997 compared with the same period in 1996 due to
lower sales volumes and lower average sales prices. While the
Partnership experienced a modest net income, depreciation, depletion
and amortization is a non-cash expense and therefore the Partnership
distributed $201,231 to the partners during the second quarter of 1997.
Six Months Ended June 30, 1997 Compare with 1996
Natural gas sales decreased approximately 33.6% during the first
six months of 1997 compared with the same period in 1996 primarily
due to lower sales volumes and lower average sales prices. While the
Partnership experienced a modest net income, depreciation, depletion
and amortization is a non-cash expense and therefore the Partnership
distributed $413,986 to the partners during the first six months of
1997.
-6-
<PAGE>
CONFORMED COPY
PART II - OTHER INFORMATION
Item 1. Legal Proceedings
None.
Item 6. Exhibits and Reports on Form 8-K
(a) None.
(b) No reports on Form 8-K have been filed during the quarter ended
June 30, 1997.
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.
PDC 1994-D Limited Partnership
(Registrant)
By its Managing General Partner
Petroleum Development Corporation
Date: August 6, 1997 /s/ Steven R. Williams
Steven R. Williams
President
Date: August 6, 1997 /s/ Dale G. Rettinger
Dale G. Rettinger
Executive Vice President
and Treasurer
-7-
<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> 6-MOS
<FISCAL-YEAR-END> DEC-31-1997
<PERIOD-END> JUN-30-1997
<CASH> 836
<SECURITIES> 0
<RECEIVABLES> 129,179
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 130,015
<PP&E> 7,174,936
<DEPRECIATION> 1,403,300
<TOTAL-ASSETS> 5,901,651
<CURRENT-LIABILITIES> 27,742
<BONDS> 0
0
0
<COMMON> 0
<OTHER-SE> 0
<TOTAL-LIABILITY-AND-EQUITY> 5,901,651
<SALES> 444,630
<TOTAL-REVENUES> ,444,814
<CGS> 87,211
<TOTAL-COSTS> 326,727
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> 118,087
<INCOME-TAX> 0
<INCOME-CONTINUING> 118,087
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> 118,087
<EPS-PRIMARY> 0
<EPS-DILUTED> 0
</TABLE>
