Equity Investments	6 Months Ended
Jun. 30, 2012
Equity Investments [Abstract]
Equity Investments	NOTE L: Equity Investments The Company holds investments, in the form of general partnership interests, in two affiliated partnerships, SBE Partners and OKLA Energy. The Company accounts for these investments using the equity method of accounting. Under this accounting method the Company records its net share of income and expenses in the Partnership Income line item of its Consolidated Statement of Income. Contributions to the investment increase the Company’s investment while distributions from the investment decrease the Company’s carrying value of the investment. OKLA Energy, formed during 2008, holds direct working interests in producing oil and gas properties located throughout Oklahoma. The Company’s 2% general partner interest reverts to 35.66% when the limited partner realizes a contractually specified rate of return. The Company recorded losses in partnership income related to this investment of $2,100 and gains of $10,000, respectively for the three month periods ended June 30, 2012 and 2011. For the six month periods ended June 30, 2012 and 2011 the Company recorded gain in partnership income of $900 and $9,000, respectively. SBE Partners, formed during 2007, holds direct working interests in producing oil and gas properties located in Giddings field, Texas. The Company holds a general partnership interest of approximately 30%. The Company recorded gains in partnership income related to this investment of $106,000 and $495,000, respectively for the three month periods ended June 30, 2012 and 2011. For the six month periods ended June 30, 2012 and 2011 the Company recorded gain in partnership income of $394,000 and $906,000, respectively. The Company’s carrying value for its equity investment in OKLA Energy at June 30, 2012 and December 31, 2011, was $629,000 and $646,000, respectively. The Company’s carrying value for its equity investment in SBE Partners at June 30, 2012 and December 31, 2011 was $1.0 million and $1.6 million, respectively.

Equity Investments

6 Months Ended

Jun. 30, 2012

NOTE L: Equity Investments

The Company holds investments, in the form of general partnership interests, in two affiliated partnerships, SBE Partners and OKLA Energy. The Company accounts for these investments using the equity method of accounting. Under this accounting method the Company records its net share of income and expenses in the Partnership Income line item of its Consolidated Statement of Income. Contributions to the investment increase the Company’s investment while distributions from the investment decrease the Company’s carrying value of the investment.

OKLA Energy, formed during 2008, holds direct working interests in producing oil and gas properties located throughout Oklahoma. The Company’s 2% general partner interest reverts to 35.66% when the limited partner realizes a contractually specified rate of return. The Company recorded losses in partnership income related to this investment of $2,100 and gains of $10,000, respectively for the three month periods ended June 30, 2012 and 2011. For the six month periods ended June 30, 2012 and 2011 the Company recorded gain in partnership income of $900 and $9,000, respectively.

SBE Partners, formed during 2007, holds direct working interests in producing oil and gas properties located in Giddings field, Texas. The Company holds a general partnership interest of approximately 30%. The Company recorded gains in partnership income related to this investment of $106,000 and $495,000, respectively for the three month periods ended June 30, 2012 and 2011. For the six month periods ended June 30, 2012 and 2011 the Company recorded gain in partnership income of $394,000 and $906,000, respectively.

The Company’s carrying value for its equity investment in OKLA Energy at June 30, 2012 and December 31, 2011, was $629,000 and $646,000, respectively. The Company’s carrying value for its equity investment in SBE Partners at June 30, 2012 and December 31, 2011 was $1.0 million and $1.6 million, respectively.

GEORESOURCES INC 10-Q