Consolidated Statements of Cash Flows (Unaudited) (USD $) In Thousands	9 Months Ended
Sep. 30, 2011	Sep. 30, 2010
Cash flows from operating activities:
Net income	$ 5,897	$ 8,087
Adjustments to reconcile net income to net cash from operating activities:
Depreciation, depletion, amortization and accretion of asset retirement obligation	14,444	13,862
Abandonment of non-producing properties	73	80
Provision for deferred taxes	3,459	4,531
Stock-based compensation expense	767	726
Non-cash gain on transfer of asset retirement obligation to third party		(164)
Change in fair value of derivative contracts	(4,993)	(8,030)
Revenue from carried interest	(117)	(1,727)
Gain on sale of oil and gas properties	(582)	(213)
Changes in current assets and liabilities:
Decrease (Increase) in deposit held in escrow	51	(3)
Decrease in accounts receivable	322	1,218
Decrease (Increase) in other current assets	230	(392)
Increase (Decrease) in accounts payable and accrued expenses	(46)	2,350
Increase (Decrease) in accrued production taxes	(723)	968
NET CASH PROVIDED BY OPERATING ACTIVITIES	18,782	21,251
Cash flows from investing activities:
Sale of oil and gas properties and equipment	371	7
Payments to acquire producing properties and equipment, net	(12,491)	(11,466)
Payments to acquire corporate and non-producing properties	(98)	(843)
Purchase of additional Atlantic Rim working interest		(7,761)
NET CASH USED IN INVESTING ACTIVITIES	(12,218)	(20,063)
Cash flows from financing activities:
Principal payments on capital lease obligations	(408)	(399)
Issuance of stock under Company stock plans		7
Tax withholdings related to net share settlement of restricted stock awards	(17)	(3)
Dividends paid on preferred stock	(2,792)	(2,792)
NET CASH PROVIDED BY FINANCING ACTIVITIES	(3,217)	(3,187)
Change in cash and cash equivalents	3,347	(1,999)
Cash and cash equivalents at beginning of period	2,605	5,682
CASH AND CASH EQUIVALENTS AT END OF PERIOD	5,952	3,683
Supplemental disclosure of cash and non-cash transactions:
Cash paid for interest	744	1,302
Cash paid for income taxes		41
Interest capitalized	93	124
Additions to developed properties included in current liabilities	$ 4,014	$ 733

Represents the noncash expense charged against earnings in the period to recognize the consumption of oil and gas reserves that are part of an entities' assets, the noncash expense related to the cost of tangible assets to period that benefit from these assets and the noncash expense recognized during the period, in connection with the accretion, of the discounted liability recognized for the fair value of an asset retirement obligation at the time of acquisition or completion of a well. The accretion is recognized over the remaining estimated lives of the respective oil and gas properties.

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