Exhibit B

NATIONAL FUEL RESOURCES, INC.
BALANCE SHEET

	AT JUNE 30,
	2004			2003
ASSETS
Current Assets:
Cash and Temporary
Cash Investments	$	8,541,177		$	2,556,245
Accounts Receivable - Net		11,950,038			15,347,592
Accounts Receivable - Interco		398,082			1,636,554
Notes Receivable - Intercompany		41,900,000			39,600,000
Reserve for Bad Debts		(1,247,033	)		(1,730,886	)
Gas Stored Underground		9,455,622			4,680,303
Other Current Assets		373,208			305,642
		71,371,094			62,395,450
Property, Plant, and Equipment
Furniture and Fixtures		1,169,524			1,149,627
Less - Accumulated DD&A		(1,066,719	)		(955,677	)
		102,805			193,950
Fair Market Value of Derivative
Financial Instruments-Asset		--			1,014,670
Other Assets		462,440			21,119
	$	71,936,339		$	63,625,189
LIABILITIES
Current Liabilities:
Accounts Payable	$	6,757,777		$	7,131,814
Accrued Liabilities		8,430,438			4,407,445
Current Income Taxes - Federal		842,515			1,228,349
Accounts Payable - Intercompany		6,608,278			3,830,280
Notes Payable - Intercompany		--			--
Dividend Payable		1,950,000			200,000
		24,589,008			16,797,888
Long Term Liabilities:
Deferred Income Taxes		(1,809,266	)		(2,361,109	)
Fair Market Value of Derivative
Financial Instruments-Liability		957,377			--
Miscellaneous Deferred Credits		712,739			4,481,269
		(139,150	)		2,120,160
Stockholder's Equity:
Common Stock		10,000			10,000
Capital Paid in Excess of Par		33,490,000			33,490,000
Retained Earnings		14,348,992			11,574,454
Unrealized Gain/Loss		(362,511	)		(367,313	)
Total Equity		47,486,481			44,707,141
	$	71,936,339		$	63,625,189