v2.4.0.8
Document Entity Information Document
6 Months Ended
Jun. 30, 2013
Entity Information  
Entity Registrant Name Rockies Region 2006 Limited Partnership
Entity Central Index Key 0001376912
Current Fiscal Year End Date --12-31
Entity Filer Category Smaller Reporting Company
Document Type 10-Q
Document Period End Date Jun. 30, 2013
Document Fiscal Year Focus 2013
Document Fiscal Period Focus Q2
Amendment Flag false
Entity Common Stock, Shares Outstanding 0.00
Additional General Partnership Units Outstanding 0
v2.4.0.8
Condensed Balance Sheets (Unaudited) Statement (USD $)
Jun. 30, 2013
Dec. 31, 2012
Current assets:    
Cash and cash equivalents $ 8,424,294 $ 102,746
Accounts receivable 243,597 397,981
Crude oil inventory 33,168 54,336
Due from Managing General Partner-derivatives 0 2,716,225
Due from Managing General Partner-other, net 298,372 581,958
Total current assets 8,999,431 3,853,246
Crude oil and natural gas properties, successful efforts method, at cost 40,109,209 56,225,234
Less: Accumulated depreciation, depletion and amortization (24,521,382) (31,815,932)
Crude oil and natural gas properties, net 15,587,827 24,409,302
Other assets 122,689 107,060
Total Assets 24,709,947 28,369,608
Current liabilities:    
Accounts payable and accrued expenses 622,974 138,008
Due to Managing General Partner-derivatives 0 1,234,943
Total current liabilities 622,974 1,372,951
Asset retirement obligations 991,539 1,265,694
Total liabilities 1,614,513 2,638,645
Commitments and contingent liabilities      
Partners' equity:    
Managing General Partner 3,609,279 4,584,442
Limited Partners - 4,497.03 units issued and outstanding 19,486,155 21,146,521
Total Partners' equity 23,095,434 25,730,963
Total Liabilities and Partners' Equity $ 24,709,947 $ 28,369,608
v2.4.0.8
Balance Sheet Parentheticals (Parentheticals)
Jun. 30, 2013
Dec. 31, 2012
Balance Sheet Parentheticals [Abstract]    
Limited Partners' Capital Account, Units Issued 4,497.03 4,497.03
Limited Partners' Capital Account, Units Outstanding 4,497.03 4,497.03
v2.4.0.8
Condensed Statements of Operations (Unaudited) Statement (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Revenues:        
Crude oil, natural gas and NGLs $ 524,779 $ 605,512 $ 1,160,535 $ 1,397,331
Commodity price risk management gain (loss), net 42,304 (255,491) (258,199) 673,447
Total revenues 567,083 350,021 902,336 2,070,778
Operating costs and expenses:        
Crude oil, natural gas and NGLs production costs 246,364 239,429 499,432 505,586
Direct costs - general and administrative 42,926 43,331 97,861 80,891
Depreciation, depletion and amortization 383,093 437,370 819,011 909,370
Accretion of asset retirement obligations 16,033 14,950 31,787 29,640
Total operating costs and expenses 688,416 735,080 1,448,091 1,525,487
Operating income (loss):        
Income (loss) from continuing operations (121,333) (385,059) (545,755) 545,291
Loss from discontinued operations (306,116) (470,120) (212,621) (740,521)
Net loss (427,449) (855,179) (758,376) (195,230)
Net income (loss) per Investor Partner Unit:        
Continuing operations $ (17) $ (54) $ (76) $ 76
Discontinued operations $ (43) $ (66) $ (30) $ (103)
Net income (loss) per Investor Partner unit $ (60) $ (120) $ (106) $ (27)
Investor Partner units outstanding 4,497.03 4,497.03 4,497.03 4,497.03
Managing General Partner
       
Operating income (loss):        
Income (loss) from continuing operations (44,893) (142,472) (201,929) 201,758
Loss from discontinued operations (113,263) (173,944) (78,670) (273,993)
Investor Partners
       
Operating income (loss):        
Income (loss) from continuing operations (76,440) (242,587) (343,826) 343,533
Loss from discontinued operations $ (192,853) $ (296,176) $ (133,951) $ (466,528)
v2.4.0.8
Condensed Statements of Cash Flows (Unaudited) Statement (USD $)
6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Cash flows from operating activities:    
Net loss $ (758,376) $ (195,230)
Adjustments to net loss to reconcile to net cash from operating activities:    
Depreciation, depletion and amortization 935,095 1,449,068
Accretion of asset retirement obligations 39,462 38,333
Change in unrealized loss on derivative transactions 1,015,819 521,490
Loss on sale of crude oil and natural gas properties 73,783 0
Changes in assets and liabilities:    
Accounts receivable 154,384 118,462
Crude oil inventory 15,184 (6,656)
Other assets (15,629) (22,700)
Accounts payable and accrued expenses 301,143 9,234
Due to Managing General Partner-other, net 0 (8,352)
Due from Managing General Partner-other, net 366,244 (121,290)
Net cash from operating activities 2,127,109 1,782,359
Cash flows from investing activities:    
Capital expenditures for crude oil and natural gas properties 0 (1,055,636)
Proceeds from sale of crude oil and natural gas properties 8,071,592 0
Net cash from investing activities 8,071,592 (1,055,636)
Cash flows from financing activities:    
Distributions to Partners (1,877,153) (1,631,723)
Net cash from financing activities (1,877,153) (1,631,723)
Net change in cash and cash equivalents 8,321,548 (905,000)
Cash and cash equivalents, beginning of period 102,746 1,822,783
Cash and cash equivalents, end of period 8,424,294 917,783
Supplemental disclosure of non-cash activity:    
Change in accounts payable and accrued expenses related to disposition of properties and equipment (183,823) 0
Change in due from managing general partner-other,net related to disposition of properties and equipment $ 82,592 $ 0
v2.4.0.8
General and Basis of Presentation
6 Months Ended
Jun. 30, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Organization, Consolidation and Presentation of Financial Statements Disclosure [Text Block]
General and Basis of Presentation

Rockies Region 2006 Limited Partnership (“Partnership” or the “Registrant”) was organized in 2006 as a limited partnership, in accordance with the laws of the State of West Virginia, for the purpose of engaging in the exploration and development of crude oil and natural gas properties. Business operations commenced upon closing of an offering for the private placement of Partnership units. Upon funding, this Partnership entered into a Drilling and Operating Agreement (“D&O Agreement”) with the Managing General Partner which authorizes PDC Energy, Inc. (“PDC”) to conduct and manage this Partnership's business. In accordance with the terms of the Limited Partnership Agreement (the “Agreement”), the Managing General Partner is authorized to manage all activities of this Partnership and initiates and completes substantially all Partnership transactions.

As of June 30, 2013, there were 2,006 limited partners in this Partnership (the “Investor Partners”). PDC is the designated Managing General Partner of this Partnership and owns a 37% Managing General Partner ownership in this Partnership. According to the terms of the Agreement, revenues, costs and cash distributions of this Partnership are allocated 63% to the Investor Partners, which are shared pro rata based upon the number of units in this Partnership, and 37% to the Managing General Partner. The Managing General Partner may repurchase Investor Partner units under certain circumstances provided by the Agreement, upon request of an individual Investor Partner. Through June 30, 2013, the Managing General Partner had repurchased 66 units of Partnership interest from the Investor Partners at an average price of $4,772 per unit. As of June 30, 2013, the Managing General Partner owned 37.9% of this Partnership.

In the Managing General Partner's opinion, the accompanying unaudited condensed financial statements contain all adjustments (consisting of only normal recurring adjustments) necessary for a fair presentation of this Partnership's results for interim periods in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") and with the instructions to Form 10-Q and Article 8 of Regulation S-X of the SEC. Accordingly, pursuant to such rules and regulations, certain notes and other financial information included in the audited financial statements have been condensed or omitted. The information presented in this Quarterly Report on Form 10-Q should be read in conjunction with this Partnership's audited financial statements and notes thereto included in this Partnership's 2012 Form 10-K. This Partnership's accounting policies are described in the Notes to Financial Statements in this Partnership's 2012 Form 10-K and updated, as necessary, in this Quarterly Report on Form 10-Q. The results of operations and cash flows for the three and six months ended June 30, 2013 are not necessarily indicative of the results to be expected for the full year or any other future period.

Certain reclassifications have been made to prior period financial statements to conform to the current year presentation. The reclassifications are mainly attributable to reporting as discontinued operations the results of operations related to the sale of this Partnership's Piceance Basin assets. See Note 8, Divestitures and Discontinued Operations, for additional information regarding the divestiture. The reclassifications had no impact on previously reported cash flows, net income or Partners’ equity.
v2.4.0.8
Recent Accounting Standards
6 Months Ended
Jun. 30, 2013
New Accounting Pronouncement or Change in Accounting Principle, Current Period Disclosures [Abstract]  
Description of New Accounting Pronouncements Adopted [Text Block]
Summary of Significant Accounting Policies

Recently Adopted Accounting Standard

On January 1, 2013, this Partnership adopted changes issued by the Financial Accounting Standards Board regarding the disclosure of offsetting assets and liabilities. These changes require an entity to disclose both gross and net information about both instruments and transactions eligible for offset in the statement of financial position and instruments and transactions subject to an enforceable master netting arrangement or similar agreement. The enhanced disclosures enable users of an entity’s financial statements to understand and evaluate the effect or potential effect of master netting arrangements on an entity’s financial position, including the effect or potential effect of rights of setoff associated with certain financial instruments and derivative instruments. This Partnership's adoption of these changes had no impact on the unaudited condensed financial statements.
v2.4.0.8
Transactions with Managing General Partner
6 Months Ended
Jun. 30, 2013
Related Party Transactions [Abstract]  
Related Party Transactions Disclosure [Text Block]
Transactions with Managing General Partner

The Managing General Partner transacts business on behalf of this Partnership under the authority of the D&O Agreement. Revenues and other cash inflows received by the Managing General Partner on behalf of this Partnership are distributed to the Partners net of corresponding operating costs and other cash outflows incurred on behalf of this Partnership. The fair value of this Partnership's portion of open derivative instruments were recorded on the condensed balance sheets under the captions “Due from Managing General Partner-derivatives” in the case of net unrealized gains and “Due to Managing General Partner-derivatives” in the case of net unrealized losses.

The following table presents transactions with the Managing General Partner reflected in the condensed balance sheet line item “Due from Managing General Partner-other, net” which remain undistributed or unsettled with this Partnership's investors as of the dates indicated:

    
 
June 30, 2013
 
December 31, 2012
Crude oil, natural gas and NGLs sales revenues
collected from this Partnership's third-party customers
$
341,971

 
$
415,189

Commodity price risk management, realized gain
179,563

 
216,630

Other (1)
(223,162
)
 
(49,861
)
Total Due from Managing General Partner-other, net
$
298,372

 
$
581,958


(1)
All other unsettled transactions, excluding derivative instruments, between this Partnership and the Managing General Partner. The majority of these are operating costs and general and administrative costs which have not been deducted from distributions.

The following table presents Partnership transactions, excluding derivative transactions which are more fully detailed in Note 5, Derivative Financial Instruments, with the Managing General Partner for the three and six months ended June 30, 2013 and 2012. “Well operations and maintenance” and “Gathering, compression and processing fees” are included in the “Crude oil, natural gas and NGLs production costs” line item on the condensed statements of operations for continuing operations or in Note 8, Divestitures and Discontinued Operations, for discontinued operations.    
 
 Three months ended June 30,
 
Six months ended June 30,
 
2013
 
2012
 
2013
 
2012
 Well operations and maintenance
$
376,474

 
$
679,216

 
$
806,957

 
$
1,168,045

 Gathering, compression and processing fees
37,759

 
62,641

 
82,599

 
112,722

 Direct costs - general and administrative
559,486

 
43,331

 
614,421

 
80,891

 Refracturing and recompletion costs

 
687,228

 

 
1,042,049

 Cash distributions (1)
387,358

 
311,135

 
710,349

 
610,707


(1)
Cash distributions include $8,923 and $15,785 during the three and six months ended June 30, 2013, respectively, and $3,886 and $6,969 during the three and six months ended June 30, 2012, respectively, related to equity cash distributions for Investor Partner units repurchased by PDC.
v2.4.0.8
Fair Value Measurements and Disclosures
6 Months Ended
Jun. 30, 2013
Fair Value Disclosures [Abstract]  
Fair Value Disclosures [Text Block]
Fair Value of Financial Instruments

Determination of fair value. This Partnership's fair value measurements are estimated pursuant to a fair value hierarchy that requires this Partnership to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date, giving the highest priority to quoted prices in active markets (Level 1) and the lowest priority to unobservable data (Level 3). In some cases, the inputs used to measure fair value might fall in different levels of the fair value hierarchy. In these cases, the lowest level input that is significant to a fair value measurement in its entirety determines the applicable level in the fair value hierarchy. Assessing the significance of a particular input to the fair value measurement in its entirety requires judgment, considering factors specific to the asset or liability, and may affect the valuation of the assets and liabilities and their placement within the fair value hierarchy levels. The three levels of inputs that may be used to measure fair value are defined as:

Level 1 - Quoted prices (unadjusted) for identical assets or liabilities in active markets.

Level 2 - Inputs other than quoted prices included within Level 1 that are either directly or indirectly observable for the asset or liability, including quoted prices for similar assets or liabilities in active markets, quoted prices for identical or similar assets or liabilities in inactive markets, inputs other than quoted prices that are observable for the asset or liability and inputs that are derived from observable market data by correlation or other means.

Level 3 - Unobservable inputs for the asset or liability, including situations where there is little, if any, market activity.

The Managing General Partner measures the fair value of this Partnership's derivative instruments based on a pricing model that utilizes market-based inputs, including, but not limited to, the contractual price of the underlying position, current market prices, natural gas forward curve, discount rates such as the LIBOR curve for a similar duration of each outstanding position, volatility factors and nonperformance risk. Nonperformance risk considers the effect of the Managing General Partner's credit standing on the fair value of derivative liabilities and the effect of the Managing General Partner's counterparties' credit standings on the fair value of derivative assets. Both inputs to the model are based on published credit default swap rates and the duration of each outstanding derivative position.

The Managing General Partner validates its fair value measurement through the review of counterparty statements and other supporting documentation, the determination that the source of the inputs is valid, the corroboration of the original source of inputs through access to multiple quotes, if available, or other information and monitoring changes in valuation methods and assumptions. While the Managing General Partner uses common industry practices to develop its valuation techniques, changes in the Managing General Partner's pricing methodologies or the underlying assumptions could result in significantly different fair values. While the Managing General Partner believes its valuation method is appropriate and consistent with those used by other market participants, the use of a different methodology or assumptions to determine the fair value of certain financial instruments could result in a different estimate of fair value.

This Partnership's fixed-price swaps and basis swaps as of December 31, 2012 were included in Level 2. The following table presents this Partnership's derivative assets and liabilities that had been measured at fair value on a recurring basis:
 
Balance Sheet
 
 
 
Line Item
 
 Level 2
 
 
 
 
Assets:
 
 
 
Current
 
 
 
Commodity-based derivatives
Due from Managing General Partner-derivatives
 
$
2,716,225

 Total assets
 
 
2,716,225

 
 
 
 
Liabilities:
 
 
 
Current
 
 
 
Basis protection derivative contracts
Due to Managing General Partner-derivatives
 
1,234,943

 Total liabilities
 
 
1,234,943

 Net asset
 
 
$
1,481,282

Derivative instruments that were due to mature subsequent to June 30, 2013 were liquidated during the quarter ended June 30, 2013. Accordingly, as of June 30, 2013, this Partnership did not have any derivative instruments in place for its future production.
    
Non-Derivative Financial Assets and Liabilities

The carrying values of the financial instruments included in current assets and current liabilities approximate fair value due to the short-term maturities of these instruments.
v2.4.0.8
Derivative Financial Instruments
6 Months Ended
Jun. 30, 2013
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Derivative Instruments Disclosure [Text Block]
Derivative Financial Instruments


The following tables present the impact of this Partnership's derivative instruments on this Partnership's accompanying condensed statements of operations:
 
 
 Three months ended June 30,
 
 
2013
 
2012
Statement of operations line item:
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized Gains for the Current Period
 
Total
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized and Unrealized Losses for the Current Period
 
Total
Commodity price risk management gain (loss), net
 
 
 
 
 
 
 
 
 
 
 
 
Realized gains (losses)
 
$
320,228

 
$
42,304

 
$
362,532

 
$
677,849

 
$
(10,617
)
 
$
667,232

Unrealized losses
 
(320,228
)
 

 
(320,228
)
 
(677,849
)
 
(244,874
)
 
(922,723
)
Total
$

 
$
42,304

 
$
42,304

 
$

 
$
(255,491
)
 
$
(255,491
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Six months ended June 30,
 
 
2013
 
2012
Statement of operations line item:
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized Losses for the Current Period
 
Total
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized and Unrealized Gains for the Current Period
 
Total
Commodity price risk management gain, net
 
 
 
 
 
 
 
 
 
 
 
 
Realized gains (losses)
 
$
1,015,819

 
$
(258,199
)
 
$
757,620

 
$
941,559

 
$
253,378

 
$
1,194,937

Unrealized gains (losses)
 
(1,015,819
)
 

 
(1,015,819
)
 
(941,559
)
 
420,069

 
(521,490
)
Total
$

 
$
(258,199
)
 
$
(258,199
)
 
$

 
$
673,447

 
$
673,447

v2.4.0.8
Commitments and Contingencies
6 Months Ended
Jun. 30, 2013
Commitments and Contingencies Disclosure [Abstract]  
Commitments and Contingencies Disclosure [Text Block]
Commitments and Contingencies

Legal Proceedings

Neither this Partnership nor PDC, in its capacity as the Managing General Partner of this Partnership, are party to any pending legal proceeding that PDC believes would have a materially adverse effect on this Partnership's business, financial condition, results of operations or liquidity.

Environmental

Due to the nature of the oil and gas industry, this Partnership is exposed to environmental risks. The Managing General Partner has various policies and procedures in place to prevent environmental contamination and mitigate the risks from environmental contamination. The Managing General Partner conducts periodic reviews to identify changes in this Partnership's environmental risk profile. Liabilities are accrued when environmental remediation efforts are probable and the costs can be reasonably estimated. These liabilities are reduced as remediation efforts are completed or are adjusted as a consequence of subsequent periodic reviews. Liabilities for environmental remediation efforts are included in line item captioned “Accounts payable and accrued expenses” on the condensed balance sheet.

During the six months ended June 30, 2013, as a result of the Managing General Partner's periodic review, no new environmental remediation liabilities were identified and this Partnership's expense for environmental remediation efforts was not significant. This Partnership had no liabilities for environmental remediation efforts as of June 30, 2013. This Partnership's environmental remediation liabilities of approximately $97,000 as of December 31, 2012 were assumed by Caerus as part of the Piceance Basin assets divestiture.

The Managing General Partner is not currently aware of any environmental claims existing as of June 30, 2013 which have not been provided for or would otherwise have a material impact on this Partnership's condensed financial statements; however, there can be no assurance that current regulatory requirements will not change or unknown past non-compliance with environmental laws will not be discovered on this Partnership's properties.

Royalty Matters

During the three months ended June 30, 2013, this Partnership recognized charges totaling approximately $517,000 related to royalty payment disputes with interest owners in the Piceance Basin. These charges were included in Direct costs - general and administrative expenses within discontinued operations. The settlement charges were allocated to this Partnership based upon historical revenue amounts. The settlement amount of approximately $201,000 was paid by the Managing General Partner as of June 30, 2013, and is included as a liability in the Due from Managing General Partner-other, net on the balance sheet. The remaining $316,000 is included in Accounts payable and accrued expenses on the balance sheet and represents the Managing General Partner's best estimate relating to the remaining pending dispute regarding various royalty payment issues.
v2.4.0.8
Asset Retirement Obligations Asset Retirement Obligations (Notes)
6 Months Ended
Jun. 30, 2013
ASSET RETIREMENT OBLIGATIONS [Abstract]  
Asset Retirement Obligation Disclosure [Text Block]
Asset Retirement Obligations

The following table presents the changes in carrying amounts of the asset retirement obligations associated with this Partnership's working interest in crude oil and natural gas properties:

 
Amount
 
 
Balance at December 31, 2012
$
1,265,694

Accretion expense
39,462

Obligations discharged with disposal of properties
(313,617
)
Balance at June 30, 2013
$
991,539

 
 
v2.4.0.8
Assets Held for Sales, Divestitures and Discontinued Operations
6 Months Ended
Jun. 30, 2013
Discontinued Operations and Disposal Groups [Abstract]  
Disposal Groups, Including Discontinued Operations, Disclosure [Text Block]
Divestitures and Discontinued Operations

Piceance Basin. In February 2013, this Partnership's Managing General Partner entered into a purchase and sale agreement ("PSA") with certain affiliates of Caerus Oil and Gas LLC (“Caerus”), pursuant to which this Partnership agreed to sell to Caerus all of its Piceance Basin assets and certain derivatives. Under the same PSA, PDC agreed to sell to Caerus the Piceance Basin assets of PDC and certain other PDC-sponsored partnerships and certain other non-core Colorado oil and gas properties, leasehold mineral interests and related assets. In June 2013, this divestiture was completed with total consideration for this Partnership of approximately $8.1 million, subject to customary post-closing adjustments. The sale resulted in a loss on divestiture of assets of approximately $74,000. The Managing General Partner used the proceeds from the asset divestiture for distributions to Partners in July 2013. See Note 9, Subsequent Events, for additional information regarding the use of proceeds received from the Piceance Basin asset sale.
Following the sale, this Partnership does not have a significant continuing involvement in the operations of, or cash flows from, the Piceance Basin oil and gas properties. Accordingly, the results of operations related to these assets have been separately reported as discontinued operations in the unaudited condensed statement of operations for all periods presented.
The following table presents statement of operations data related to this Partnership's discontinued operations for the Piceance Basin divestiture:

 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
Statement of Operations - Discontinued Operations
 
2013
 
2012
 
2013
 
2012
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
Crude oil, natural gas and NGLs sales
 
$
508,191

 
$
238,760

 
$
1,007,042

 
$
581,832

 
 
 
 
 
 
 
 
 
Operating costs and expenses:
 
 
 
 
 
 
 
 
Crude oil, natural gas and NGLs production costs
 
220,871

 
433,991

 
505,561

 
773,962

Depreciation, depletion and amortization
 

 
270,510

 
116,084

 
539,698

Direct costs - general and administrative expense
 
516,560

 

 
516,560

 

Accretion of asset retirement obligations
 
3,093

 
4,379

 
7,675

 
8,693

Loss on sale of crude oil and natural gas properties
 
73,783

 

 
73,783

 

Total operating costs and expenses
 
814,307

 
708,880

 
1,219,663

 
1,322,353

 
 
 
 
 
 
 
 
 
Loss from discontinued operations
 
$
(306,116
)
 
$
(470,120
)
 
$
(212,621
)
 
$
(740,521
)
 
 
 
 
 
 

 

While the reclassification of revenues and expenses related to discontinued operations for the prior period had no impact upon previously reported net earnings, the statement of operations table presents the revenues and expenses that were reclassified from the specified statement of operations line items to discontinued operations.
v2.4.0.8
Subsequent Events (Notes)
6 Months Ended
Jun. 30, 2013
Subsequent Events [Abstract]  
Subsequent Events [Text Block]
Subsequent Events

In July 2013, this Partnership distributed proceeds received for the Piceance Basin asset divestiture of $8.1 million to the Partners as follows:
 
Amount
 
(millions)
 
 
Managing General Partner
$
3.0

Investor Partners
5.1

Total
$
8.1

 
 
v2.4.0.8
Significant Accounting Policies (Policies)
6 Months Ended
Jun. 30, 2013
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Basis of Accounting, Policy [Policy Text Block]
In the Managing General Partner's opinion, the accompanying unaudited condensed financial statements contain all adjustments (consisting of only normal recurring adjustments) necessary for a fair presentation of this Partnership's results for interim periods in accordance with accounting principles generally accepted in the United States of America ("U.S. GAAP") and with the instructions to Form 10-Q and Article 8 of Regulation S-X of the SEC. Accordingly, pursuant to such rules and regulations, certain notes and other financial information included in the audited financial statements have been condensed or omitted. The information presented in this Quarterly Report on Form 10-Q should be read in conjunction with this Partnership's audited financial statements and notes thereto included in this Partnership's 2012 Form 10-K. This Partnership's accounting policies are described in the Notes to Financial Statements in this Partnership's 2012 Form 10-K and updated, as necessary, in this Quarterly Report on Form 10-Q. The results of operations and cash flows for the three and six months ended June 30, 2013 are not necessarily indicative of the results to be expected for the full year or any other future period.
v2.4.0.8
Transactions with Managing General Partner Transactions with Managing General Partner (Tables)
6 Months Ended
Jun. 30, 2013
Related Party Transactions [Abstract]  
Due from (to) Managing General Partner-other, net [Table Text Block]
The following table presents transactions with the Managing General Partner reflected in the condensed balance sheet line item “Due from Managing General Partner-other, net” which remain undistributed or unsettled with this Partnership's investors as of the dates indicated:

    
 
June 30, 2013
 
December 31, 2012
Crude oil, natural gas and NGLs sales revenues
collected from this Partnership's third-party customers
$
341,971

 
$
415,189

Commodity price risk management, realized gain
179,563

 
216,630

Other (1)
(223,162
)
 
(49,861
)
Total Due from Managing General Partner-other, net
$
298,372

 
$
581,958


(1)
All other unsettled transactions, excluding derivative instruments, between this Partnership and the Managing General Partner. The majority of these are operating costs and general and administrative costs which have not been deducted from distributions.
Schedule of Related Party Transactions [Table Text Block]
The following table presents Partnership transactions, excluding derivative transactions which are more fully detailed in Note 5, Derivative Financial Instruments, with the Managing General Partner for the three and six months ended June 30, 2013 and 2012. “Well operations and maintenance” and “Gathering, compression and processing fees” are included in the “Crude oil, natural gas and NGLs production costs” line item on the condensed statements of operations for continuing operations or in Note 8, Divestitures and Discontinued Operations, for discontinued operations.    
 
 Three months ended June 30,
 
Six months ended June 30,
 
2013
 
2012
 
2013
 
2012
 Well operations and maintenance
$
376,474

 
$
679,216

 
$
806,957

 
$
1,168,045

 Gathering, compression and processing fees
37,759

 
62,641

 
82,599

 
112,722

 Direct costs - general and administrative
559,486

 
43,331

 
614,421

 
80,891

 Refracturing and recompletion costs

 
687,228

 

 
1,042,049

 Cash distributions (1)
387,358

 
311,135

 
710,349

 
610,707


(1)
Cash distributions include $8,923 and $15,785 during the three and six months ended June 30, 2013, respectively, and $3,886 and $6,969 during the three and six months ended June 30, 2012, respectively, related to equity cash distributions for Investor Partner units repurchased by PDC.
v2.4.0.8
Fair Value Measurements and Disclosures Fair Value Measurements and Disclosures (Tables)
6 Months Ended
Jun. 30, 2013
Fair Value Disclosures [Abstract]  
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block]
The following table presents this Partnership's derivative assets and liabilities that had been measured at fair value on a recurring basis:
 
Balance Sheet
 
 
 
Line Item
 
 Level 2
 
 
 
 
Assets:
 
 
 
Current
 
 
 
Commodity-based derivatives
Due from Managing General Partner-derivatives
 
$
2,716,225

 Total assets
 
 
2,716,225

 
 
 
 
Liabilities:
 
 
 
Current
 
 
 
Basis protection derivative contracts
Due to Managing General Partner-derivatives
 
1,234,943

 Total liabilities
 
 
1,234,943

 Net asset
 
 
$
1,481,282

v2.4.0.8
Derivative Financial Instruments Derivative Financial Instruments (Tables)
6 Months Ended
Jun. 30, 2013
Derivative Instruments and Hedging Activities Disclosure [Abstract]  
Schedule of Other Derivatives Not Designated as Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block]
The following tables present the impact of this Partnership's derivative instruments on this Partnership's accompanying condensed statements of operations:
 
 
 Three months ended June 30,
 
 
2013
 
2012
Statement of operations line item:
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized Gains for the Current Period
 
Total
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized and Unrealized Losses for the Current Period
 
Total
Commodity price risk management gain (loss), net
 
 
 
 
 
 
 
 
 
 
 
 
Realized gains (losses)
 
$
320,228

 
$
42,304

 
$
362,532

 
$
677,849

 
$
(10,617
)
 
$
667,232

Unrealized losses
 
(320,228
)
 

 
(320,228
)
 
(677,849
)
 
(244,874
)
 
(922,723
)
Total
$

 
$
42,304

 
$
42,304

 
$

 
$
(255,491
)
 
$
(255,491
)
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Six months ended June 30,
 
 
2013
 
2012
Statement of operations line item:
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized Losses for the Current Period
 
Total
 
Reclassification of Realized Gains (Losses) included in Prior Periods Unrealized
 
Realized and Unrealized Gains for the Current Period
 
Total
Commodity price risk management gain, net
 
 
 
 
 
 
 
 
 
 
 
 
Realized gains (losses)
 
$
1,015,819

 
$
(258,199
)
 
$
757,620

 
$
941,559

 
$
253,378

 
$
1,194,937

Unrealized gains (losses)
 
(1,015,819
)
 

 
(1,015,819
)
 
(941,559
)
 
420,069

 
(521,490
)
Total
$

 
$
(258,199
)
 
$
(258,199
)
 
$

 
$
673,447

 
$
673,447

v2.4.0.8
Asset Retirement Obligations Asset Retirement Obligations (Tables)
6 Months Ended
Jun. 30, 2013
ASSET RETIREMENT OBLIGATIONS [Abstract]  
Schedule of Change in Asset Retirement Obligation [Table Text Block]
Asset Retirement Obligations

The following table presents the changes in carrying amounts of the asset retirement obligations associated with this Partnership's working interest in crude oil and natural gas properties:

 
Amount
 
 
Balance at December 31, 2012
$
1,265,694

Accretion expense
39,462

Obligations discharged with disposal of properties
(313,617
)
Balance at June 30, 2013
$
991,539

 
 
v2.4.0.8
Assets Held for Sales, Divestitures and Discontinued Operations Assets Held for Sale, Divestitures and Discontinued Operations (Tables)
6 Months Ended
Jun. 30, 2013
Discontinued Operations and Disposal Groups [Abstract]  
Schedule of Disposal Groups, Including Discontinued Operations, Income Statement, Balance Sheet and Additional Disclosures [Table Text Block]
The following table presents statement of operations data related to this Partnership's discontinued operations for the Piceance Basin divestiture:

 
 
Three Months Ended June 30,
 
Six Months Ended June 30,
Statement of Operations - Discontinued Operations
 
2013
 
2012
 
2013
 
2012
 
 
 
 
 
 
 
 
 
Revenues:
 
 
 
 
 
 
 
 
Crude oil, natural gas and NGLs sales
 
$
508,191

 
$
238,760

 
$
1,007,042

 
$
581,832

 
 
 
 
 
 
 
 
 
Operating costs and expenses:
 
 
 
 
 
 
 
 
Crude oil, natural gas and NGLs production costs
 
220,871

 
433,991

 
505,561

 
773,962

Depreciation, depletion and amortization
 

 
270,510

 
116,084

 
539,698

Direct costs - general and administrative expense
 
516,560

 

 
516,560

 

Accretion of asset retirement obligations
 
3,093

 
4,379

 
7,675

 
8,693

Loss on sale of crude oil and natural gas properties
 
73,783

 

 
73,783

 

Total operating costs and expenses
 
814,307

 
708,880

 
1,219,663

 
1,322,353

 
 
 
 
 
 
 
 
 
Loss from discontinued operations
 
$
(306,116
)
 
$
(470,120
)
 
$
(212,621
)
 
$
(740,521
)
 
 
 
 
 
 

 

While the reclassification of revenues and expenses related to discontinued operations for the prior period had no impact upon previously reported net earnings, the statement of operations table presents the revenues and expenses that were reclassified from the specified statement of operations line items to discontinued operations.
v2.4.0.8
Subsequent Events (Tables)
6 Months Ended
Jun. 30, 2013
Subsequent Events [Abstract]  
Schedule of Subsequent Events [Table Text Block]
In July 2013, this Partnership distributed proceeds received for the Piceance Basin asset divestiture of $8.1 million to the Partners as follows:
 
Amount
 
(millions)
 
 
Managing General Partner
$
3.0

Investor Partners
5.1

Total
$
8.1

 
 
v2.4.0.8
General and Basis of Presentation General and Basis of Presentation (Details) (USD $)
6 Months Ended
Jun. 30, 2013
Number_of_Limited_Partners
Organization, Consolidation and Presentation of Financial Statements [Abstract]  
Number of Investor Partners 2,006
Managing General Partner, Ownership Interest Before Unit Repurchases 37.00%
Investor Partner Ownership Interest 63.00%
Limited Partner Units Repurchased by Managing General Partner 66
Average Price Paid for Units Repurchased by Managing General Partner $ 4,772
Managing General Partner Ownership Interest 37.90%
v2.4.0.8
Transactions with Managing General Partner Undistributed or Unsettled Transactions With Investor Partners (Details) (USD $)
Jun. 30, 2013
Dec. 31, 2012
Related Party Transaction    
Due from (to) Managing General Partner-other, net $ 298,372 $ 581,958
Crude oil, natural gas and NGLs sales revenues collected from the Partnership's third-party customers
   
Related Party Transaction    
Due from (to) Managing General Partner-other, net 341,971 415,189
Commodity price risk management, realized gain
   
Related Party Transaction    
Due from (to) Managing General Partner-other, net 179,563 216,630
Other
   
Related Party Transaction    
Due from (to) Managing General Partner-other, net $ (223,162) [1] $ (49,861) [1]
[1] All other unsettled transactions, excluding derivative instruments, between this Partnership and the Managing General Partner. The majority of these are operating costs and general and administrative costs which have not been deducted from distributions.
v2.4.0.8
Transactions with Managing General Partner Related Party Transactions (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Related Party Transaction        
Direct costs - general and administrative $ 42,926 $ 43,331 $ 97,861 $ 80,891
Transactions with Managing General Partner
       
Related Party Transaction        
Well operations and maintenance 376,474 679,216 806,957 1,168,045
Gathering, compression and processing fees 37,759 62,641 82,599 112,722
Direct costs - general and administrative 559,486 43,331 614,421 80,891
Refracturing and recompletion costs 0 687,228 0 1,042,049
Cash distributions 387,358 [1] 311,135 [1] 710,349 [1] 610,707 [1]
Distribution Made to Limited Partner, Cash Distributions Paid $ 8,923 $ 3,886 $ 15,785 $ 6,969
[1] Cash distributions include $8,923 and $15,785 during the three and six months ended June 30, 2013, respectively, and $3,886 and $6,969 during the three and six months ended June 30, 2012, respectively, related to equity cash distributions for Investor Partner units repurchased by PDC.
v2.4.0.8
Fair Value Measurements and Disclosures Fair Value Measurements and Disclosures (Details) (USD $)
Jun. 30, 2013
Dec. 31, 2012
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Due from Managing General Partner-derivatives $ 0 $ 2,716,225
Due to Managing General Partner-derivatives 0 1,234,943
Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
   
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Assets, Fair Value Disclosure   2,716,225
Liabilities, Fair Value Disclosure   1,234,943
Net Asset Fair Value   1,481,282
Commodity Contracts Related to Natural Gas and Crude Oil Sales [Member] | Current Assets [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
   
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Due from Managing General Partner-derivatives   2,716,225
Basis Protection Contracts Related to Natural Gas and Crude Oil Sales [Member] | Current Liabilities [Member] | Fair Value, Measurements, Recurring [Member] | Fair Value, Inputs, Level 2 [Member]
   
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]    
Due to Managing General Partner-derivatives   $ 1,234,943
v2.4.0.8
Derivative Financial Instruments Derivative Financial Instruments (Details) (Commodity Price Risk Management, net [Member], USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Derivative Financial Instruments        
Realized Gains (Losses) $ 362,532 $ 667,232 $ 757,620 $ 1,194,937
Unrealized gains (losses) (320,228) (922,723) (1,015,819) (521,490)
Total 42,304 (255,491) (258,199) 673,447
Reclassification of Realized Gains (Losses) Included in Prior Periods Unrealized [Member]
       
Derivative Financial Instruments        
Realized Gains (Losses) 320,228 677,849 1,015,819 941,559
Unrealized gains (losses) (320,228) (677,849) (1,015,819) (941,559)
Total 0 0 0 0
Realized and Unrealized Gains (Losses) for the Current Period [Member]
       
Derivative Financial Instruments        
Realized Gains (Losses) 42,304 (10,617) (258,199) 253,378
Unrealized gains (losses) 0 (244,874) 0 420,069
Total $ 42,304 $ (255,491) $ (258,199) $ 673,447
v2.4.0.8
Commitments and Contingencies Commitments and Contingencies (Details) (USD $)
3 Months Ended
Jun. 30, 2013
Dec. 31, 2012
Commitments and Contingencies Disclosure [Abstract]    
Accrued environmental remediation liabilities $ 0 $ 97,000
Royalty payment settlement expense 517,000  
Payments for Royalties 201,000  
Accrued royalty payment settlement $ 316,000  
v2.4.0.8
Asset Retirement Obligations Asset Retirement Obligations (Details) (USD $)
6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Changes in asset retirement obligations    
Balance at December 31, 2012 $ 1,265,694  
Accretion expense 39,462 38,333
Obligations discharged with disposal of properties (313,617)  
Balance at June 30, 2013 $ 991,539  
v2.4.0.8
Assets Held for Sales, Divestitures and Discontinued Operations Assets Held for Sale, Divestitures and Discontinued Operations (Details) (USD $)
3 Months Ended 6 Months Ended
Jun. 30, 2013
Jun. 30, 2012
Jun. 30, 2013
Jun. 30, 2012
Statement of Operations - Discontinued Operations        
Loss from discontinued operations $ (306,116) $ (470,120) $ (212,621) $ (740,521)
Segment, Discontinued Operations [Member]
       
Statement of Operations - Discontinued Operations        
Crude oil, natural gas and NGL sales 508,191 238,760 1,007,042 581,832
Crude oil, natural gas and NGL production costs 220,871 433,991 505,561 773,962
Depreciation, depletion and amortization 0 270,510 116,084 539,698
Direct costs - general and administrative 516,560 0 516,560 0
Accretion of asset retirement obligations 3,093 4,379 7,675 8,693
Loss on sale of crude oil and natural gas properties 73,783 0 73,783 0
Total operating costs and expenses 814,307 708,880 1,219,663 1,322,353
Loss from discontinued operations $ (306,116) $ (470,120) $ (212,621) $ (740,521)
v2.4.0.8
Assets Held for Sales, Divestitures and Discontinued Operations Additional Information (Details) (USD $)
3 Months Ended
Jun. 30, 2013
Discontinued Operations and Disposal Groups [Abstract]  
Consideration received from sale of Piceance Basin oil and gas properties $ 8,100,000
Gain on disposal of Piceance Basin oil and gas properties $ 74,000
v2.4.0.8
Subsequent Events (Details) (USD $)
In Millions, unless otherwise specified
3 Months Ended
Jun. 30, 2013
Subsequent Event:  
Distribution of proceeds received from sale of Piceance Basin assets $ 8.1
Managing General Partner
 
Subsequent Event:  
Distribution of proceeds received from sale of Piceance Basin assets 3.0
Investor Partners
 
Subsequent Event:  
Distribution of proceeds received from sale of Piceance Basin assets $ 5.1