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.

Schedule of segment information                    
  Three months ended June 30,   Six months ended June 30, 
   2025   2024   2025   2024 
  (in thousands) 
Revenue:                
Oil and gas revenue  $1,229   $2,015   $2,618   $3,706 
Other revenue   95    78    193    112 
Total revenue   1,324    2,093    2,811    3,818 
Less:                    
Depletion and amortization   545    606    999    1,207 
Lease operating expense   178    191    374    326 
Transportation and processing expense   52    71    103    132 
Insurance expense   22    20    48    47 
Workover expense   16    16    30    112 
Management fees to affiliate   234    233    468    466 
Other segment items   61    18    129    46 
Net income  $216   $938   $660   $1,482 

 

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.