v3.25.2
Segment Information
 6 Months Ended
Jun. 30, 2025
Segment Reporting [Abstract]  
Segment Information

 

4.Segment Information

 

The Fund’s operations are managed through a single operating segment. As such, the Fund has only a single reportable segment that derives its revenue from the sale of oil and gas. The Fund’s chief operating decision-maker is the Executive Vice President, Chief Financial Officer and Assistant Secretary of the Fund, who reviews the Fund’s operating results to make decisions about allocating resources and assessing performance for the Fund. The profit or loss metric used to evaluate segment performance is net income; consistent with net income reported on the statement of operations.

 

The measure of segment assets is reported on the balance sheet as total assets.

 

The following table is a summary of segment information for the three and six months ended June 30, 2025 and 2024.

                    
   Three months ended June 30,   Six months ended June 30, 
   2025   2024   2025   2024 
   (in thousands) 
Revenue:                
Oil and gas revenue  $1,095   $1,780   $2,332   $3,275 
Other revenue   64    54    131    77 
Total revenue   1,159    1,834    2,463    3,352 
Less:                    
Depletion and amortization   354    474    705    841 
Lease operating expense   149    168    317    280 
Transportation and processing expense   41    57    82    106 
Insurance expense   17    17    38    39 
Workover expense   11    15    26    111 
Management fees to affiliate   224    226    449    451 
Other segment items   48    12    98    30 
Net income  $315   $865   $748   $1,494 

 

Other segment items include accretion expense related to the asset retirement obligations established for the Fund’s oil and gas properties, general and administrative expenses representing costs specifically identifiable or allocable to the Fund, such as accounting and professional fees and insurance expenses, net of dividend income related to the Fund’s investment in Delta House and interest income earned on cash and cash equivalents and salvage fund.

 

The measure of expenditures for segment assets is reported on the statements of cash flows as “(Capital expenditures) credits for oil and gas properties.” Significant noncash items represent “Depletion and amortization” and “Accretion expense” as reported on the statements of cash flows.