Supplementary Financial Information on Oil and Natural Gas Exploration, Development and Production (Tables)

12 Months Ended

Dec. 31, 2014

Supplementary result of oil and gas operations

The Company currently has no operations in foreign jurisdictions. Results of operations from oil and natural gas producing activities are summarized below for the years ended December 31:



	Years Ended December 31,
	2014			2013
Revenues	$	695,318		$	735,413
Costs incurred:
Exploration and dry hole costs	56,351			112,123
Lease operating costs and production taxes	225,074			247,350
Impairment of oil and natural gas reserves	3,721,042			640,583
Depletion, depreciation and accretion	430,912			378,398
Totals, costs incurred	4,433,379			1,378,454
Pre-tax (loss) from producing activities	(3,738,061		)	(643,041		)
Results (loss) from of oil and natural gas producing activities (excluding overhead, income taxes, and interest costs)	$	(3,738,061	)	$	(643,041	)

Supplementary schedule of oil and gas properties

Costs incurred in oil and natural gas property acquisition, exploration and development activities are summarized below for the years ended December 31:



	Years Ended December 31,
	2014		2013
Property acquisition and developmental costs:
Development	$	841,270	$	2,346,482
Property Acquisition	3,214,872		81,550
Undrilled leaseholds	22,577		—
Asset retirement obligations	3,721		8,930
Totals costs incurred	$	4,082,440	$	2,436,962

Supplementary schedule of oil and gas reserves

The Company’s proved oil and natural gas reserves for the years ended December 31, 2014 and December 31, 2013 are shown below:



	Years Ended December 31,
Volumes	2014		2013
Natural gas:	(Mcfs)
Proved developed and undeveloped reserves (mcf):
Beginning of year	723,190		679,410
Purchase (sale) of natural gas properties in place	(46,770	)	(6,004	)
Discoveries and extensions	—		66,680
Revisions	(30,843	)	27,937
Production	(45,577	)	(44,833	)
Proved reserves, at end of year (a)	600,000		723,190



	Years Ended December 31,
	2014		2013
Oil:	(Bbls)
Proved developed and undeveloped reserves:
Beginning of year	49,020		24,290
Purchase (sale) of oil producing properties in place	(26,290	)	(2,430	)
Discoveries and extensions	1,175		30,550
Revisions	3,700		2,420
Production	(6,905	)	(5,810	)
Proved reserves, at end of year (a)	20,700		49,020


(a)	Includes 300,000 Mcf and 10,350 bbl and 361,595 Mcf and 24,510 bbl for the twelve months ended December 31, 2014 and 2013, respectively of proved reserves attributable to a consolidated subsidiary in which there is a 50% non-controlling interest.



	Years Ended December 31,
Values	2014			2013
Future cash inflows	$	4,920,190		$	8,174,120
Future costs:
Production	2,144,600			(3,387,700		)
Development	87,650			(555,650		)
Future cash flows	2,687,940			4,230,770
10% annual discount for estimated timing of cash flow	(1,223,370		)	1,808,670
Standardized measure of discounted cash flow (a)	$	1,464,570		$	2,422,100


(a)	Includes $732,285 and $1,211,050 for the twelve months ended December 31, 2014 and 2013, respectively of discounted cash flows attributable to a consolidated subsidiary in which there is a 50% non-controlling interest.

Supplementary schedule of change in measures

Changes in the standardized measure of future net cash flows relating to proved oil and natural gas reserves for the years ended December 31 is summarized below:



	For the years ended December 31,
	2014			2013
Increase (decrease)
Sale of gas and oil, net of operating expenses	$	(470,244	)	$	(473,159	)
Discoveries, extensions and improved recovery, net of future production and development costs	—			888,160
Accretion of discount	242,210			261,779
Net increase (decrease)	$	(228,034	)	$	676,780
Standardized measure of discounted future cash flows:
Beginning of the year	$	2,422,100		$	1,745,320

Before Income Taxes	$	1,464,570		$	2,422,100
Income Taxes	(500,586		)	(823,500		)
End of the year (a)	$	963,984		$	1,598,600