COMMITMENTS & CONTINGENCIES

12 Months Ended

Dec. 31, 2015

COMMITMENTS & CONTINGENCIES [Abstract]

COMMITMENTS & CONTINGENCIES

NOTE 8     COMMITMENTS & CONTINGENCIES

Litigation

The Company is engaged in proceedings incidental to the normal course of business.  Due to their nature, such legal proceedings involve inherent uncertainties, including but not limited to, court rulings, negotiations between affected parties and governmental intervention.  Based upon the information available to the Company and discussions with legal counsel, it is the Company's opinion that the outcome of the various legal actions and claims that are incidental to its business will not have a material impact on the financial position, results of operations or cash flows.  Such matters, however, are subject to many uncertainties, and the outcome of any matter is not predictable with assurance.

The Company is party to a quiet title action in North Dakota that relates to its interest in certain crude oil and natural gas leases.  In November 2015 the Company received a final judgment that was adverse to the Company.  The Company reduced revenues by approximately $1.7 million (net of accrued production taxes) which had been accruing since the second quarter of 2008.  Prior to the final judgement on these disputed interests, the Company had recognized oil and gas sales in connection with those interests of $0.2 and $0.3 million for the years ended December 31, 2014 and 2013, respectively.