Certain Relationship's and Related Party Transactions

12 Months Ended

Dec. 31, 2012

Certain Relationship's and Related Party Transactions [Abstract]

CERTAIN RELATIONSHIP'S AND RELATED PARTY TRANSACTIONS

NOTE 8 — CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS

The Partnership has entered into the following significant transactions with its MGP and its affiliates as provided under the Partnership Agreement.

·Administrative costs, which are included in general and administrative expenses in the Partnership's statements of operations, are payable at $75 per well per month. Administrative costs incurred for the years ended December 31, 2012 and 2011 were $42,200 and $43,800, respectively.

·Monthly well supervision fees, which are included in production expenses in the Partnership's statements of operations, are payable at $975 per well per month for the Marcellus wells and $1,500 per well per month for New Albany and Antrim Shale wells. For all other wells a fee of $392 is charged per well per month for operating and maintaining the wells. Well supervision fees incurred for the years ended December 31, 2012 and 2011 were $533,600 and $559,000, respectively.

·Transportation fees, which are included in production expenses in the Partnership's statements of operations, incurred for the years ended December 31, 2012 and 2011 were $965,000 and $2,072,700, respectively.

·Direct costs, which are included in production and general administrative expenses in the Partnership's statements of operations, are payable to the MGP and its affiliates as reimbursement for all costs expended on the Partnership's behalf. Direct costs incurred for the years ended December 31, 2012 and 2011 were $1,668,400 and $1,745,900, respectively.

·Assets contributed from the MGP, which are disclosed on the Partnership's statements of cash flows as non-cash investing and financing activities, for the year ended December 31, 2011 were $1,834,300.

·The MGP and its affiliates perform all administrative and management functions for the Partnership including billing revenues and paying expenses. Accounts receivable-affiliate on the Partnership's balance sheets includes the net production revenues due from the MGP.

Subordination by Managing General Partner

·Under the terms of the Partnership Agreement, the MGP may be required to subordinate up to 50% of its share of net production revenues so that the limited partners receive a return of at least 10% of their net subscriptions, determined on a cumulative basis, in each of the first five years of Partnership operations, commencing with the first distribution to the investor partners (February 2010) and expiring 60 months from that date.