13. Unaudited Oil and Gas Reserves Information (Tables)

12 Months Ended

Mar. 31, 2014

Extractive Industries [Abstract]

Analysis of Changes in Proved Reserves

Proved Reserves

	March 31, 2014						March 31, 2013
	Oil			Gas			Oil			Gas
	(Bbls)			(Mcf)			(Bbls)			(Mcf)
Proved Reserves:
Balance, beginning of year		2,457,000			2,786,000			1,227,000			646,000
Revisions of previous estimates1		(88,000	)		245,000			101,000			148,000
Extensions and discoveries2		359,000			572,000			1,245,000			1,936,000
Sales of reserves in place		-			-			-			-
Improved recovery		-			-			7,000			163,000
Purchase of reserves		-			-			-			-
Production3		(174,000	)		(190,000	)		(123,000	)		(107,000	)
Balance, end of year		2,554,000			3,413,000			2,457,000			2,786,000
Proved developed reserves:
Balance, beginning of year		1,388,000			1,182,000			1,077,000			515,000
Balance, end of year		1,526,000			1,773,000			1,388,000			1,182,000
Proved undeveloped reserves:
Balance, beginning of year4		1,069,000			1,604,000			150,000			131,000
PUDs converted to PDP		(405,000	)		(607,000	)		-			-
PUDs added during the year		338,000			633,000			919,000			1,473,000
Revisions of previous estimates		26,000			10,000			-			-
Balance, end of year		1,028,000			1,640,000			1,069,000			1,604,000

1	Revisions of Previous Estimates – Estimates reflect an overall steady trend of increases in oil and gas prices since December 2008, when prices reached a 5-year low, offset by normal decline curves in wells.
2	Extensions and Discoveries – Additions during the year ended March 31, 2014 consisted of 62 gross wells, 57 in North Dakota and five in Montana.  Extensions and discoveries during the year ended March 31, 2013 consisted of 103 gross wells, 102 in North Dakota and one in Louisiana.
3	Production – Volumes of oil and gas that were produced were removed from reserves during the year.
4	Proved undeveloped reserves - Positive revisions of 14,000 BOE, or 1%, were made to the March 31, 2013 estimated proved undeveloped reserves balance.  The primary cause for these revisions was due to increases in pricing which extended the economic life of the wells.  Within portions of the Company’s areas of operation, actual well results underperformed relative to the proved undeveloped forecasts in the March 31, 2013 reserve report.  The proved undeveloped forecasts in these areas have been adjusted to reflect these well performances in the March 31, 2014 reserve report.

Standardized Measure of Estimated Discounted Future Net Cash Flows

Standardized Measure of Estimated Discounted Future Net Cash Flows

	For the years ended March 31,
	2014			2013
Future cash inflows	$	246,908,000		$	217,487,000
Future cash outflows:
Production cost		(91,392,000	)		(88,280,000	)
Development cost		(25,563,000	)		(28,255,000	)
Future income tax		(28,829,000	)		(25,675,000	)
Future net cash flows		101,124,000			75,277,000
Adjustment to discount future annual net cash flows at 10%		(52,069,000	)		(43,661,000	)
Standardized measure of discounted future net cash flows	$	49,055,000		$	31,616,000

Changes in Standardized Measure of Estimated Discounted Future Net Cash Flows

	For the years ended March 31,
	2014			2013
Standardized measure, beginning of year	$	31,616,000		$	23,183,000
Sales of oil and gas, net of production cost 1		(11,901,000	)		(6,558,000	)
Net change in sales prices, net of production cost		10,126,000			(9,648,000	)
Discoveries, extensions and improved recoveries, net of future development cost		6,021,000			21,075,000
Change in future development costs		-			-
Development costs incurred during the period that reduced future development cost		9,955,000			(2,757,000	)
Sales of reserves in place		-			-
Revisions of quantity estimates		(1,487,000	)		2,036,000
Accretion of discount		5,729,000			3,780,000
Net change in income tax		(941,000	)		3,320,000
Purchase of reserves		-			-
Changes in timing of rates of production		(63,000	)		(2,815,000	)
Standardized measure, end of year	$	49,055,000		$	31,616,000

1 During the fiscal year ended March 31, 2014, we have revised our disclosure to include $971,000 of production taxes previously excluded from Sales of oil and gas, net of production costs as of March 31, 2014.