UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION

                             Washington, D.C. 20549

                                    FORM 10-Q


|X|  QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
     ACT OF 1934 For the quarterly period ended September 30, 2006

                                       or

|_|  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES
     EXCHANGE ACT OF 1934
     For the transition period from _____________________to_____________________


                        Commission File Number 000-51268

                          RIDGEWOOD ENERGY P FUND, LLC
             (Exact name of registrant as specified in its charter)


                 Delaware                               86-1133315
     (State or other jurisdiction of                 (I.R.S. Employer
      incorporation or organization)                Identification No.)


                  1314 King Street, Wilmington, Delaware 19801
               (Address of principal executive offices) (Zip code)


                                 (302) 888-7444
              (Registrant's telephone number, including area code)


     Indicate by check mark whether the registrant (1) has filed all reports
required to be filed by Section 13 or 15(d) of the Securities Exchange Act of
1934 during the preceding 12 months (or for such shorter period that the
registrant was required to file such reports), and (2) has been subject to such
filing requirements for the past 90 days. Yes |X| No |_|

Indicate by check mark whether the registrant is a large accelerated filer, an
accelerated filer, or non-accelerated filer. See definition of "accelerated
filer and large accelerated filer" in Rule 12b-2 of the Exchange Act. (Check
one):

 Large accelerated filer |_|   Accelerated filer |_|   Non-accelerated filer |X|

Indicate by check mark whether the registrant is a shell company (as defined in
Rule 12b-2 of the Exchange Act). Yes |_| No |X|

As of November 30, 2006 there were 933.0600 shares of membership interest of the
registrant outstanding.


<PAGE>

                                Table of Contents
<TABLE>
<S>                                                                                               <C>
Part I - FINANCIAL INFORMATION                                                                    Page

     Item 1.  Financial Statements (Unaudited):
       Condensed Balance Sheets as of September 30, 2006 and December 31, 2005                     3
       Condensed Statements of Operations and Other Comprehensive Loss for the three
         month period ended September 30, 2006 and 2005, for the nine month period ended
         September 30, 2006, and for the period from March 21, 2005 (Inception) to
         September 30, 2006                                                                        4
       Condensed Statements of Cash Flows for the nine month period ended September 30,
         2006, and for the period from March 21, 2005 (Inception) to September 30, 2006            5
       Notes to Unaudited Condensed Financial Statements                                           6
     Item 2.  Management's Discussion and Analysis of Financial Condition
                 and Results of Operations                                                         15
     Item 3.  Quantitative and Qualitative Disclosures About Market Risk                           22
     Item 4.  Controls and Procedures                                                              22

Part II - OTHER INFORMATION

     Item 5.  Other Information                                                                    25
     Item 6.  Exhibits                                                                             26

     SIGNATURES                                                                                    27

</TABLE>


                                       2
<PAGE>

Part I - Financial Information
Item 1.  Financial Statements

                          RIDGEWOOD ENERGY P FUND, LLC
                        (An exploratory stage enterprise)
                            CONDENSED BALANCE SHEETS
                                   (Unaudited)
<TABLE>
<CAPTION>
                                                                    September 30, 2006      December 31, 2005
                                                                    ------------------      -----------------
<S>                                                                   <C>                     <C>
                                     ASSETS
Current assets:
   Cash and cash equivalents                                          $  36,113,308           $   5,532,529
   Short-term investment in marketable securities                        44,915,028              83,770,050
   Prepaid expenses                                                          54,632                  46,110
   Other receivables                                                         66,756                  33,722
                                                                      -------------           -------------

      Total current assets                                               81,149,724              89,382,411
                                                                      -------------           -------------

Salvage fund                                                              1,047,052               1,013,598
                                                                      -------------           -------------

Oil and gas properties
   Advances to operators for working interests and expenditures              11,330              24,941,650
   Unproved properties                                                    9,187,255                       -
                                                                      -------------           -------------

      Total oil and gas properties                                        9,198,585              24,941,650
                                                                      -------------           -------------

      Total assets                                                    $  91,395,361           $ 115,337,659
                                                                      =============           =============

                        LIABILITIES AND MEMBERS' CAPITAL
Current liabilities:
   Due to operator, net                                               $   5,985,742           $           -
   Accrued expenses payable                                                  94,015                  88,200
   Due to affiliates (Note 7)                                                     -                  29,344
                                                                      -------------           -------------

      Total current liabilities                                           6,079,757                 117,544
                                                                      -------------           -------------

Commitments and contingencies (Note 9)

Members' capital:
   Manager:
      Deficit accumulated during the exploratory stage                     (974,658)               (285,892)
      Accumulated other comprehensive income                                      -                     510
                                                                      -------------           -------------

      Manager's total                                                      (974,658)               (285,382)
                                                                      -------------           -------------

   Shareholders:
      Capital contributions (1,335 shares authorized;
         933.0600 shares issued and outstanding)                        138,343,669             138,343,669
      Syndication costs                                                 (15,897,905)            (15,897,905)
      Deficit accumulated during the exploratory stage                  (36,155,502)             (6,990,823)
      Accumulated other comprehensive income                                      -                  50,556
                                                                      -------------           -------------

      Shareholders' total                                                86,290,262             115,505,497
                                                                      -------------           -------------

      Total members' capital                                             85,315,604             115,220,115
                                                                      -------------           -------------

      Total liabilities and members' capital                          $  91,395,361           $ 115,337,659
                                                                      =============           =============

          The accompanying notes are an integral part of these condensed financial statements.

</TABLE>

                                       3
<PAGE>

                          RIDGEWOOD ENERGY P FUND, LLC
                        (An exploratory stage enterprise)
         CONDENSED STATEMENTS OF OPERATIONS AND OTHER COMPREHENSIVE LOSS
                                   (Unaudited)
<TABLE>
<CAPTION>

                                                                                                     For the period
                                                      Three months                                   March 21, 2005
                                                        ended                       Nine months         (Inception)
                                                     September 30,                     ended              through
                                                     -------------                 September 30,       September 30,
                                                 2006               2005               2006                 2006
                                                 ----               ----               ----                 ----
<S>                                         <C>                 <C>                 <C>                 <C>
Revenue
   Oil and gas revenue                      $          -        $          -        $          -        $          -
                                            ------------        ------------        ------------        ------------

Expenses
   Dry-hole costs                           $    915,880        $          -        $ 29,952,816        $ 30,534,266
   Investment fees to affiliate (Note 7)               -           1,637,835                   -           6,280,891
   Management fees to affiliate (Note 7)         864,651             768,122           2,593,953           4,445,295
   Other general and
     administrative expenses                     107,839              58,510             330,579             458,266
                                            ------------        ------------        ------------        ------------

    Total expenses                             1,888,370           2,464,467          32,877,348          41,718,718
                                            ------------        ------------        ------------        ------------

    Loss from operations                      (1,888,370)         (2,464,467)        (32,877,348)        (41,718,718)

Other income
   Interest income                             1,062,825             620,644           3,040,218           4,604,873
   Realized gain (loss) on marketable
      securities                                   1,585                   -             (16,315)            (16,315)
                                            ------------        ------------        ------------        ------------
    Total other income                         1,064,410             620,644           3,023,903           4,588,558

    Net loss                                    (823,960)         (1,843,823)        (29,853,445)        (37,130,160)

Other comprehensive (loss) income
   Unrealized (loss) on
       marketable securities                           -                   -             (51,066)                  -
                                            ------------        ------------        ------------        ------------

    Total comprehensive loss                $   (823,960)       $ (1,843,823)       $(29,904,511)       $(37,130,160)
                                            ============        ============        ============        ============

    Manager - Net  loss                     $   (137,364)       $   (117,788)       $   (688,766)       $   (974,658)

    Shareholders - Net loss                 $   (686,596)       $ (1,726,035)       $(29,164,679)       $(36,155,502)
    Net loss per share                      $       (736)       $     (1,850)       $    (31,257)       $    (38,749)



               The accompanying notes are an integral part of these condensed financial statements.

</TABLE>

                                       4
<PAGE>

                          RIDGEWOOD ENERGY P FUND, LLC
                        (An exploratory stage enterprise)
                       CONDENSED STATEMENTS OF CASH FLOWS
                                   (Unaudited)
<TABLE>
<CAPTION>
                                                                                          For the period
                                                                                          March 21, 2005
                                                                    Nine months            (Inception)
                                                                       ended                 through
                                                                September 30, 2006      September 30, 2006
                                                                ------------------      ------------------
<S>                                                               <C>                     <C>
Cash flows from operating activities
   Net loss                                                       $ (29,853,445)          $ (37,130,160)
   Adjustments to reconcile net loss to net cash used in
     operating activities
     Dry-hole costs                                                  29,952,816              30,534,266
     Interest earned on salvage fund                                    (33,454)                (47,052)
     Interest earned on marketable securities                        (2,196,645)             (2,659,782)
     Changes in assets and liabilities
      (Increase) in other receivables                                   (33,034)                (42,756)
      (Increase) in prepaid expenses                                     (8,522)                (54,632)
      Increase in accrued expenses payable                                5,815                  86,015
      (Decrease) increase in due to affiliates                          (26,969)                (16,000)
                                                                  -------------           -------------

      Net cash used in operating activities                          (2,193,438)             (9,330,101)
                                                                  -------------           -------------

Cash flows from investing activities
   Payments to operators for working interests and expenditures      (2,886,387)            (27,828,037)
   Capital expenditures for oil and gas properties                   (5,337,622)             (5,919,072)
   Funding of salvage fund                                                    -              (1,000,000)
   Proceeds from the sale of marketable securities                   89,070,100              89,070,100
   Investment in marketable securities                              (48,087,399)           (131,343,246)
   Loss on the sale of marketable securities                             17,900                  17,900
                                                                  -------------           -------------

     Net cash provided by (used in) investing activities             32,776,592             (77,002,355)
                                                                  -------------           -------------

Cash flows from financing activities
   Contributions from shareholders                                            -             138,343,669
   Syndication costs paid                                                (2,375)            (15,897,905)
                                                                  -------------           -------------

     Net cash (used in) provided by financing activities                 (2,375)            122,445,764
                                                                  -------------           -------------

      Net increase in cash and cash equivalents                      30,580,779              36,113,308

      Cash and cash equivalents, beginning of period                  5,532,529                       -
                                                                  -------------           -------------

      Cash and cash equivalents, end of period                    $  36,113,308           $  36,113,308
                                                                  =============           =============

Supplemental schedule of noncash investing activities
      Advances used for capital expenditures in oil
         and gas properties reclassified to unproved properties   $  27,816,707           $  27,816,707
                                                                  =============           =============


      The accompanying notes are an integral part of these condensed financial statements.
</TABLE>

                                       5
<PAGE>

                          RIDGEWOOD ENERGY P FUND, LLC
                        (An exploratory stage enterprise)
                NOTES TO UNAUDITED CONDENSED FINANCIAL STATEMENTS

1. Organization and Purpose

The Ridgewood Energy P Fund, LLC ("Fund"), a Delaware limited liability company,
was formed on March 21, 2005 and operates pursuant to a limited liability
company agreement ("Agreement") dated as of May 16, 2005 by and among Ridgewood
Energy Corporation ("Manager"), and the shareholders of the Fund. Although the
date of formation is March 21, 2005, the Fund did not begin operations until May
16, 2005 when it began its private offering of shares. There were no business
activities prior to May 16, 2005.

The Fund was organized to acquire, drill, construct and develop oil and natural
gas properties located in the United States offshore waters of Texas, Louisiana
and Alabama in the Gulf of Mexico. The Fund has devoted most of its efforts to
raising capital and oil and natural gas exploration activities. To date, the
Fund has not earned revenue from these operations and is considered in the
exploratory stage.

The Manager performs (or arranges for the performance of) the management and
administrative services required for Fund operations. Such services include,
without limitation, the administration of shareholder accounts, shareholder
relations and the preparation, review and dissemination of tax and other
financial information. In addition, the Manager provides office space, equipment
and facilities and other services necessary for Fund operations. The Manager
also engages and manages the contractual relations with outside custodians,
depositories, accountants, attorneys, broker-dealers, corporate fiduciaries,
insurers, banks and others as required (Notes 2, 6 and 7).

2. Summary of Significant Accounting Policies

     Basis of presentation

These unaudited interim condensed financial statements have been prepared by the
Fund's management, in accordance with accounting principles generally accepted
in the United States of America ("GAAP") and in the opinion of management,
contain all adjustments (consisting of only normal recurring adjustments)
necessary to present fairly the Fund's financial position, results of operations
and cash flows for the periods presented. Certain information and note
disclosures normally included in annual financial statements prepared in
accordance with GAAP have been omitted in these unaudited interim condensed
financial statements. The results of operations, financial position, and cash
flows for the periods presented herein are not necessarily indicative of future
financial results. These unaudited interim condensed financial statements should
be read in conjunction with the annual financial statements and the notes
thereto for the period ended December 31, 2005 included in the Fund's Annual
Report Amendment No. 1 on Form 10/A ("Form 10/A").

                                       6
<PAGE>

     Use of Estimates

The preparation of financial statements in conformity with GAAP requires
management to make estimates and assumptions that affect the reported amounts of
assets and liabilities and disclosure of contingent assets and liabilities as of
the date of the financial statements and the reported amounts of revenues and
expenses during the reporting period. On an ongoing basis, the Manager reviews
its estimates, including those related to amounts advanced to and billed by
operators, determination of proved reserves, impairment allowances and
environmental liabilities. Actual results may differ from those estimates.

     Advances to Operators for Working Interests and Expenditures

Each participation agreement the Fund executes for an exploratory project
requires the Fund to make a payment to the working interest owner for the Fund's
ownership rights and working interest in the project. The Fund will account for
such payments as advances to operators for working interests and expenditures.
As drilling costs are incurred the payments are capitalized as unproved
properties.

     Oil and gas natural properties

Investments in oil and natural gas properties are operated by unaffiliated
entities ("Operators") who are responsible for drilling, administering and
producing activities pursuant to the terms of the applicable Operating
Agreements with working interest owners. The Fund's portion of exploration,
drilling, operating and capital equipment expenditures relating to the wells are
advanced and billed by Operators through authorization for expenditures.

The successful efforts method of accounting for oil and natural gas producing
activities is followed. Acquisition costs are capitalized when incurred. Other
oil and natural gas exploration costs, excluding the costs of drilling
exploratory wells, are charged to expense as incurred. The costs of drilling
exploratory wells are capitalized pending the determination of whether the wells
have discovered proved commercial reserves. If proved commercial reserves have
not been found, exploratory drilling costs are expensed to dry-hole expense.
Costs to develop proved reserves, including the costs of all development wells
and related facilities and equipment used in the production of crude oil and
natural gas, are capitalized. Expenditures for ongoing repairs and maintenance
of producing properties are expensed as incurred.

Upon the sale or retirement of a proved property (i.e. a producing well), the
cost and related accumulated depletion and amortization will be eliminated from
the property accounts, and the resultant gain or loss is recognized. On the sale
or retirement of an unproved property, gain or loss on the sale is recognized,
taking into consideration the amount of any recorded impairment if the property
had been assessed for impairment. It is not the Manager's intention to sell any
of the Fund's property interests.

                                       7
<PAGE>

Capitalized acquisition costs of producing oil and natural gas properties after
recognizing estimated salvage values are depleted by the unit-of-production
method.

     Revenue Recognition

Oil and natural gas sales are recognized when delivery is made by the Operator
to the purchaser and title is transferred (i.e., production has been delivered
to a pipeline or transport vehicle). The Fund has not earned revenue from
inception to date.

The volume of oil and natural gas sold on the Fund's behalf may differ from the
volume of oil and natural gas the Fund is entitled to. The Fund will account for
such oil and natural gas production imbalances by the entitlements method. Under
the entitlements method, the Fund will recognize a receivable from other working
interest owners for volumes oversold by other working interest owners, and a
payable to other working interest owners for volumes oversold by the Fund. As of
September 30, 2006 and for the period March 21, 2005 (Inception) through
September 30, 2006, there were no oil or natural gas balancing arrangements
between the Fund and other working interest owners.

     Interest Income

Interest income is recognized when earned.

     Syndication Costs

Direct costs associated with offering the Fund's shares including professional
fees, selling expenses and administrative costs payable to the Manager, an
affiliate of the Manager and outside brokers are reflected as a reduction of
shareholders' capital.

     Asset Retirement Obligations

For oil and natural gas properties, there are obligations to perform removal and
remediation activities when the properties are retired. The Financial Accounting
Standards Board ("FASB") issued Statement of Financial Accounting Standards
("SFAS") No. 143, "Accounting for Asset Retirement Obligations" ("SFAS No.
143"), effective for years beginning after December 15, 2002. SFAS No. 143
requires the Fund to record a separate liability for the discounted present
value of the Fund's asset retirement obligations, with an offsetting increase to
the related oil and natural gas properties on the balance sheet. When a project
reaches drilling depth and is determined to be either proved or dry, an asset
retirement obligation is recorded. Plug and abandonment costs associated with
unsuccessful projects are expensed as incurred as dry-hole costs.

                                      September 30, 2006
                                      ------------------
Balance - Beginning of period              $       -

Liabilities incurred                         392,791
Liabilities settled                         (392,791)
                                           ---------
Balance - End of period                    $       -
                                           =========

                                       8
<PAGE>

In March 2005, the FASB issued FASB Interpretation ("FIN") No. 47, "Accounting
for Conditional Asset Retirement Obligations" ("FIN 47"). This interpretation
clarifies that the term "conditional asset retirement obligation" as used in
SFAS No. 143 refers to a legal obligation to perform an asset retirement
activity in which the timing and/or method of settlement are conditional on a
future event that may or may not be within the control of the entity incurring
the obligation. The obligation to perform the asset retirement activity is
unconditional even though uncertainty exists about the timing and/or method of
settlement. Thus, the timing and/or method of settlement may be conditional on a
future event. Accordingly, an entity is required to recognize a liability for
the fair value of a conditional asset retirement obligation if the fair value of
the liability can be reasonably estimated. Uncertainty about the timing and/or
method of settlement of a conditional asset retirement obligation should be
factored into the measurement of the liability, rather than the timing of
recognition of the liability, when sufficient information exists. FIN 47 was
effective for calendar year-end entities no later than December 31, 2005. The
application of FIN 47 did not have an impact on the Fund's financial position or
results of operations.

     Impairment of Long-Lived Assets

In accordance with the provisions of SFAS No. 144, "Accounting for the
Impairment of Long-Lived Assets" ("SFAS No. 144"), long-lived assets, such as
oil and natural gas properties, are evaluated when events or changes in
circumstances indicate the carrying value of such assets may not be recoverable.
The determination of whether impairment has occurred is made by comparing the
carrying values of long-lived assets to the estimated future undiscounted cash
flows attributable to the asset. The impairment loss recognized is the excess of
the carrying value over the future discounted cash flows attributable to the
asset or the estimated fair value of the asset. As of September 30, 2006 and
December 31, 2005, no impairments were recorded.

     Depletion and Amortization

Depletion and amortization of the cost of proved oil and natural gas properties
are calculated using the units of production method. Proved developed reserves
are used as the base for depleting the cost of successful exploratory drilling
and development costs. The sum of proved developed and proved undeveloped
reserves is used as the base for depleting (or amortizing) leasehold acquisition
costs, the costs to acquire proved properties and platform and pipeline costs.
As of September 30, 2006 and December 31, 2005 the Fund did not have proved oil
and natural gas reserves.

     Income Taxes

No provision is made for income taxes in the financial statements as the income
or losses are passed through and included in the tax returns of the individual
shareholders.

     Cash and cash equivalents / Salvage fund

                                       9
<PAGE>

All highly liquid investments with maturities when purchased of three months or
less are considered as cash and cash equivalents. At times, bank deposits may be
in excess of federal insured limits. As of September 30, 2006 and December 31,
2005, respectively, bank balances, inclusive of the salvage fund, exceeded
federally insured limits by approximately $37 million and $6.3 million. The Fund
maintains bank deposits with accredited financial institutions to mitigate such
risk.

     Income and Expense Allocation

Profits and losses are to be allocated 85% to shareholders in proportion to
their relative capital contributions and 15% to the Manager, except for certain
expenses, such as dry-hole costs and fiduciary fees, and interest income, which
are allocated 99% to shareholders and 1% to the Manager.

3.  Recent Accounting Standards

In September 2006, the FASB issued SFAS No. 157, "Fair Value Measurements,"
("SFAS No. 157") which applies under most other accounting pronouncements that
require or permit fair value measurements. SFAS No. 157 provides a common
definition of fair value as the price that would be received to sell an asset or
paid to transfer a liability in a transaction between market participants. The
new standard also provides guidance on the methods used to measure fair value
and requires expanded disclosures related to fair value measurements. SFAS No.
157 is effective for financial statements issued for fiscal years beginning
after November 15, 2007. The Fund does not expect this guidance to have a
material impact on the financial statements.

In May 2005, the FASB issued SFAS No. 154, "Accounting Changes and Error
Corrections - a replacement of APB Opinion No. 20 and FASB Statement No. 3"
("SFAS No. 154"). SFAS No. 154 requires, unless impracticable, retrospective
application to prior periods' financial statements of changes in accounting
principle where transition is not specified by a new accounting pronouncement.
SFAS No. 154 also requires that retrospective application of a change in
accounting principle be limited to the direct effects of the change. Indirect
effects of a change in accounting principle should be recognized in the period
of the accounting change. SFAS No. 154 was effective for accounting changes and
corrections of errors made in fiscal years beginning after December 15, 2005.
The adoption of SFAS No. 154 had no impact on the financial statements.

In January 2003, the FASB issued FIN No. 46, "Consolidation of Variable Interest
Entities", ("FIN 46") which changes the criteria by which one company includes
another entity in its consolidated financial statements. FIN 46 requires a
variable interest entity to be consolidated by a company if that company is
subject to a majority of the risk of loss from the variable interest entity's
activities or entitled to receive a majority of the entity's residual returns or
both. The consolidation requirements of FIN 46 apply immediately to variable
interest entities created after December 31, 2003, and apply in the first fiscal
period ending after March 15, 2004, for variable interest entities created prior
to January 1, 2004. In December 2003, the FASB issued a revision of FIN 46 ("FIN
46R") to clarify some of the provisions and to exempt certain entities from its
requirements. The Fund has applied the provisions of FIN 46R effective December
21, 2004, with no impact on the financial statements.

                                       10
<PAGE>

FASB Staff Position ("FSP") 115-1 and 124-1, the Meaning of Other Than Temporary
Impairment and its Application to Certain Investments ("FSP 115-1 and 124-1").
This FSP addresses the determination as to when an investment is considered
impaired, whether that impairment is other than temporary and the measurement of
the impairment loss. It also requires certain disclosures about unrealized
losses that have not been recognized as other than temporary impairments. This
guidance applies to equity securities that have a readily determinable fair
value and all debt securities. It does not apply to investments accounted for
under the equity method. An investment is impaired if its fair value is less
than its cost, as assessed at the individual security level. When an investment
is impaired, the investor is required to evaluate whether the impairment is
other than temporary. If other than temporary, the unrealized loss must be
recognized. For all investments in an unrealized loss position for which other
than temporary impairments have not been recognized, the investor should
disclose by category of investment the amount of unrealized losses and the fair
value of investments with unrealized losses and related narrative disclosures.
FSP 115-1 and 124-1 was effective for reporting periods beginning after December
15, 2005. The adoption of FSP 115-1 and 124-1 had no impact on the financial
statements.

4.   Unproved Properties - Capitalized Exploratory Well Costs

In April 2005, FASB issued ("FSP") 19-1, "Accounting for Suspended Well Costs",
("FSP 19-1"). This FSP was issued to address whether there were circumstances
that would permit the continued capitalization of exploratory well costs beyond
one year, other than when further exploratory drilling is planned and major
capital expenditures would be required to develop the project. FSP 19-1 requires
the continued capitalization of suspended well costs if the well has found a
sufficient quantity of reserves to justify its completion as a producing well
and the entity is making sufficient progress assessing these reserves and the
economic and operating viability of the project. All relevant facts and
circumstances should be evaluated in determining whether an entity is making
sufficient progress assessing the reserves and FSP 19-1 provides several
indicators in this evaluation. FSP 19-1 prohibits continued capitalization of
suspended well costs on the chance that market conditions will change or
technology will be developed to make the project economic.

The Fund adopted FSP 19-1 during the third quarter of 2005. Leasehold
acquisition and exploratory drilling costs are capitalized pending determination
of whether the well has found proved reserves. Unproved properties are assessed
on a quarterly basis by evaluating and monitoring if sufficient progress is made
on assessing the reserves. Capitalization costs are expensed as dry-hole costs
in the event that reserves are not found or are not in sufficient quantities to
complete the well and develop the field. Dry-hole costs were approximately $0.9
million, $30.0 million and $30.5 million for the three months ended September
30, 2006, for the nine months ended September 30, 2006 and for the period March
21, 2005 (Inception) through September 30, 2006, respectively. There were no
dry-hole costs for the three months ended September 30, 2005.

The following table reflects the net changes in unproved properties for the nine
months ended September 30, 2006. As of September 30, 2006 and December 31, 2005,
the Fund had no capitalized exploratory well costs greater than one year.


                                                   Nine months
                                                      ended
                                                September 30, 2006
                                                ------------------
Balance - Beginning of the period                   $         -

Additions to capitalized exploratory well costs
 pending the determination of proved reserves         9,187,255
Reclassifications to proved properties based on
 the determination of proved reserves                         -
Capitalized exploratory well costs charged to
 dry hole costs                                               -
                                                    -----------
Balance - End of the period                         $ 9,187,255
                                                    ===========

                                       11
<PAGE>

5. Short-term investments in Marketable Securities inclusive of Salvage Fund

Short-term investments are comprised of US Treasury Notes with maturities
greater than three months and are considered held-to-maturity investments.
Held-to-maturity securities are those investments that the Fund has the ability
and intent to hold until maturity. Held-to maturity investments are recorded at
cost plus accrued income, adjusted for the amortization of premiums and
discounts, which approximate market value. Interest income is accrued as earned.
Held-to-maturity investments as of September 30, 2006 mature in November 2006
and January 2007.

Available for sale securities are carried in the financial statements at fair
value. The Fund had no short-term investments considered available for sale as
of September 30, 2006. Available for sale investments as of December 31, 2005
matured in May 2006. The following table is a summary of short-term instruments
considered available for sale as of December 31, 2005.

                                         As of December 31, 2005
                                   -----------------------------------

                                                           Fair
                                         Cost              Value
                                   ----------------- -----------------
     Available-for-Sale

         U.S. Treasury Notes          $83,718,984       $83,770,050

6.   Distributions

Distributions to shareholders are allocated in proportion to the number of
shares held.

The Manager will determine whether Available Cash from Operations, as defined in
the Fund's Operating Agreement, is to be distributed. Such distribution will be
allocated 85% to the shareholders and 15% to the Manager, as defined in the
Fund's Operating Agreement.

Available Cash from Dispositions, as defined in the Fund's Operating Agreement,
will be paid 99% to shareholders and 1% to the Manager until the shareholders
have received total distributions equal to their capital contributions. After
shareholders have received distributions equal to their capital contributions,
85% of Available Cash from Dispositions will be distributed to shareholders and
15% to the Manager.

There have been no distributions made by the Fund.

7.  Related Parties

Ridgewood Energy Corporation, the Manager, was paid a one time investment fee of
4.5% of initial capital contributions. Fees are payable for services of
investigating and evaluating investment opportunities and effecting
transactions. For the three months ended September 30, 2005, investment fees
were approximately $1.6 million. For the period March 21, 2005 (Inception)
through September 30, 2006 investment fees were approximately $6.3 million. Of
this amount nil and approximately $12 thousand were included in due to
affiliates as of September 30, 2006 and December 31, 2005, respectively. In
2006, there were no investment fees.

                                       12
<PAGE>

A management agreement provides that the Manager render management,
administrative and advisory services. For such services, the Manager receives an
annual management fee, payable monthly, of 2.5% of total capital contributions.
Management fees of approximately $0.9 million and $2.6 million were incurred and
paid for the three months ended September 30, 2006 and for the nine months ended
September 30, 2006, respectively. For the three months ended September 30, 2005
management fees were approximately $0.8 million. Management fees of
approximately $4.4 million were incurred and paid for the period from March 21,
2005 (Inception) through September 30, 2006.

The Manager was paid an offering fee which approximated 3.5% of capital
contributions to cover expenses incurred in the offer and sale of shares of the
Fund. Such offering fee was included in syndication costs (Note 2) of
approximately $15.9 million. Of this amount nil and approximately $10 thousand,
respectively, were included in due to affiliates as of September 30, 2006 and
December 31, 2005. There were no offering fees incurred in 2006.

From time to time, short-term payables and receivables, which do not bear
interest, arise from transactions with affiliates in the ordinary course of
business. As of September 30, 2006 and December 31, 2005, the Manager owed the
Fund nil and approximately $1 thousand, respectively, for the overpayment of
fees which is included in due to affiliates.

In 2005, Ridgewood Securities Corporation, a registered broker-dealer affiliated
with the Manager, was paid selling commissions and placement fees of
approximately $0.3 million and $1.4 million, respectively, for shares of the
Fund sold which are reflected in syndication costs (Note 2). As of September 30,
2006 and December 31, 2005, nil and approximately $9 thousand, respectively, was
included in due to affiliates.

None of the compensation to be received by the Manager has been derived as a
result of arm's length negotiations.

The Fund has working interest ownership in certain projects to acquire and
develop oil and natural gas projects with other entities that are likewise
managed by the Manager.

8.  Fair Value of Financial Instruments

As of September 30, 2006 and for the period ended December 31, 2005, the
carrying value of cash and cash equivalents, short-term investments in
marketable securities, and salvage fund, approximate fair value. Cash and cash
equivalents principally consist of money market funds and short-term investments
in three month US Treasury Notes.

9.  Commitments and Contingencies

     Environmental Considerations

The exploration for and development of oil and natural gas involves the
extraction, production and transportation of materials which, under certain
conditions, can be hazardous or cause environmental pollution problems. The

                                       13
<PAGE>

Manager and the Operators are continually taking action they believe appropriate
to satisfy applicable federal, state and local environmental regulations and do
not currently anticipate that compliance with federal, state and local
environmental regulations will have a material adverse effect upon capital
expenditures, results of operations or the competitive position of the Fund in
the oil and natural gas industry. However, due to the significant public and
governmental interest in environmental matters related to those activities, the
Manager cannot predict the effects of possible future legislation, rule changes,
or governmental or private claims. As of September 30, 2006 and December 31,
2005, there were no known environmental contingencies that required the Fund to
record a liability.

     Salvage Fund

Pursuant to the Fund's Operating Agreement, the Fund deposits in a separate
interest-bearing account, or a salvage fund, money to provide for dismantling
production platforms and facilities, plugging and abandoning the wells and
removing the platforms, facilities and wells after their useful lives, in
accordance with applicable federal and state laws and regulations.

Interest earned on the account will become part of the salvage fund; there are
no legal restrictions on the withdrawal from the salvage fund.

     Insurance Coverage

The Fund is subject to all risks inherent in the exploration for and development
of oil and natural gas. Insurance coverage as is customary for entities engaged
in similar operations is maintained, but losses may occur from uninsurable risks
or amounts in excess of existing insurance coverage. The occurrence of an event
which is not insured or not fully insured could have an adverse impact upon
earnings and financial position.


                                       14
<PAGE>

Item 2. Management's Discussion and Analysis of Financial Condition and Results
of Operations

Cautionary Statement Regarding Forward-Looking Statements

This Quarterly Report on Form 10-Q, including all documents incorporated by
reference, includes "forward-looking" statements within the meaning of Section
27A of the Securities Act of 1933, as amended (the "Securities Act") and Section
21E of the Securities Exchange Act of 1934, as amended, and the Private
Securities Litigation Reform Act of 1995, and the "safe harbor" provisions
thereof. These forward-looking statements are usually accompanied by the words
"anticipates," "believes," "plan," "seek," "expects," "intends," "estimates,"
"projects," "will likely result," "will continue," "future" and similar terms
and expressions. The forward-looking statements in this Quarterly Report on Form
10-Q reflect our current views with respect to future events and financial
performance. These forward-looking statements are subject to certain risks and
uncertainties, including, among other things, the high-risk nature of natural
gas exploratory operations, the fact that our drilling activities are managed by
third parties, the volatility of natural gas prices and extraction, and those
other risks and uncertainties discussed in the Fund's Annual Report Amendment
No. 1 on Form 10/A ("Form 10/A") filed with the Securities and Exchange
Commission that could cause actual results to differ materially from historical
results or those anticipated. In light of these risks and uncertainties, there
can be no assurance that the forward-looking information contained in this
Quarterly Report on Form 10-Q will in fact occur or prove to be accurate.
Readers should not place undue reliance on the forward-looking statements
contained herein, which speak only as of today's date. We undertake no
obligation to publicly revise these forward-looking statements to reflect events
or circumstances that may arise after today. All subsequent written or oral
forward-looking statements attributable to us or persons acting on our behalf
are expressly qualified in their entirety by this section.

Critical Accounting Policies and Estimates

The following discussion and analysis of our financial condition and operating
results is based on our financial statements. The preparation of this Quarterly
Report on Form 10-Q requires us to make estimates and assumptions that affect
the reported amount of assets and liabilities, disclosure of contingent assets
and liabilities at the date of our financial statements, and the reported amount
of revenue and expenses during the reporting period. Actual results may differ
from those estimates and assumptions. See "Notes to Unaudited Condensed
Financial Statements" in Part I of this Quarterly Report on Form 10-Q for a
presentation of the Fund's critical accounting principles. No changes have been
made to our critical accounting policies and estimates since the filing of the
Form 10/A.

Overview

The Fund is an independent oil and natural gas producer. Our primary investment
objective is to generate cash flow for distribution to its shareholders through
participation in oil and natural gas exploration and development projects in the
Gulf of Mexico. The Fund began its operations by offering our shares in a
private offering on May 16, 2005. As a result of such offering, we raised

                                       15
<PAGE>

approximately $138.3 million through the sale of 933.0600 shares of LLC
membership interests. After the payment of approximately $22.2 million in
offering fees, commissions and investment fees to Ridgewood Energy Corporation,
affiliates and broker-dealers, the Fund retained approximately $116.1 million
available for investment. Investment fees represent a one time fee of 4.5% of
initial capital contributions. The fee is payable for the service of
investigating and evaluating investment opportunities and affecting
transactions.

The Manager performs certain duties on the Fund's behalf including the
evaluation of potential projects for investment and ongoing administrative and
advisory services associated with these projects. The Fund does not currently,
nor is there any plan to, operate any project in which the Fund participates.
The Manager enters into operating agreements with third-party operators for the
management of all exploration, development and producing operations, as
appropriate. As compensation for the above duties, the Manager is paid a onetime
investment fee (4.5%) for the evaluation of projects on the Fund's behalf and an
annual management fee (2.5%), payable monthly, for ongoing administrative and
advisory duties as well as reimbursement of expenses. The Manager also
participates in distributions as additional compensation for its administrative
and management services.

Project Update

Since inception in March 2005, the Fund has acquired an interest in five
offshore projects and has participated in the drilling of five wells. During
2006 we were notified by the project operators that two of the five projects
resulted in dry-holes and one of the projects, West Cameron 593 was successful.
The other remaining two projects, West Cameron 109 and Green Canyon 246 are
currently drilling.

West Cameron 109

In August 2006, the fund acquired a 22.5% working interest in the exploratory
project West Cameron 109 from Nexen Inc ("Nexen"), the Operator. In
consideration for our interest, the Fund has agreed to pay 30% of the drilling
costs for the first well. This project is in approximately 43 feet of water and
is about 17 miles offshore Louisiana. West Cameron 109 has high quality 3-D
seismic data and is in close proximity to multiple discoveries on nearby lease
blocks. There are multiple targets between 16,000 and 17,200 feet. Target depth
for the first proposed well is 16,517 feet. The well started drilling on
September 1, 2006 and results are expected in December 2006. The total budget
for the Fund assuming success is approximately $23.0 million and includes two
additional developmental wells and a platform.

Through September 30, 2006 the Fund has made advances to the operator for
working interests and capital expenditures of approximately $2.9 million, of
this amount all but $11 thousand has been utilized for actual capital
expenditures as of September 30, 2006.

Green Canyon 246

                                       16
<PAGE>

In July 2006, the Fund acquired a 5% working interest in the exploratory project
Green Canyon 246 from Marathon Oil ("Marathon"), the Operator. In consideration
for our interest, the Fund has agreed to pay 10% of the drilling costs on the
first well.

The project is located offshore Louisiana in 3,280 feet of water. There are
multiple target reservoirs between 13,000 and 17,000 feet. If successful, the
Fund will have the option to process our proportionate share of oil
approximately 5 miles away at Shell's Bullwinkle platform for $4.00 per barrel.
This well is drilling 3,000 feet up-dip from a well on Green Canyon 202, the
adjacent lease block to the North. There is a salt body barrier trap dividing
Shell's field from ours.

Marathon contracted the Diamond Offshore Ocean Voyager rig to drill this well
and drilling was scheduled to begin on August 15, 2006. The rig was delayed
because new Mineral Management Services regulations required an upgrade to the
mooring system, from 8 anchors to 12 anchors. As a result of the upgrade the
well started drilling on September 30, 2006.

The total budget for the Fund assuming success is approximately $20.6 million
and includes 2 additional development wells, and two side-tracks. Capital
expenditures as of September 30, 2006 approximated $0.7 million.

West Cameron 593

In July 2006, the Fund acquired a 43.28% working interest in the exploratory
project West Cameron 593 from Newfield Exploration ("Newfield"), the Operator.

On August 15, 2006, the Fund started drilling West Cameron 593 a 12,849 foot
single well project in approximately 257 feet of water offshore Louisiana. West
Cameron 593 was deemed successful in mid September and both parties agreed to
proceed with the completion of the well. A flow test was performed on the well.
The Operator has an existing production platform approximately 10,000 feet away,
also on lease block 593, that will produce and sell our proportionate share of
gas after a flow-line is built to connect the production platforms. The Fund
anticipates putting this well on production during spring 2007.

The total budget for the Fund assuming success is approximately $12.4 million
including completion, platform and facilities costs. Capital expenditures as of
September 30, 2006 approximated $5.5 million.

West Cameron 265/266

In 2005, the Fund acquired a 40% working interest from Marathon, the Operator.
In consideration of this interest, the Fund agreed to pay 60% of the drilling
costs on the first well. The project is located in the center of the two federal
lease blocks and had a five to seven reservoir potential, stacked one on top of
the other between 11,000 feet and 19,000 feet. The well began drilling in
February 2006. On May 16, 2006, the decision was made to plug and abandon the
well. Dry-hole costs including plug and abandonment expenses incurred by the
Fund for the three months ended September 30, 2006, the nine

                                       17
<PAGE>

months ended September 30, 2006 and for the period March 21, 2005 (Inception)
through September 30, 2006 were approximately $0.9 million, $21.5 million and
$22.1 million, respectively.

South Marsh Island 231

In 2005, the Fund acquired a 30% working interest from Stone Energy, the
Operator. In consideration for our 30% working interest, the Fund agreed to pay
50% of the drilling costs for the first well. The target was two natural gas
reservoirs between 15,000 feet and 15,800 feet. The well began drilling on
February 18, 2006 and reached its total depth of 15,800 feet on March 31, 2006,
44 days after the spud date. Attempts to evaluate the well with electric
wireline logs failed. The well was evaluated with logging while drilling ("LWD")
tools. The well was deemed to be non-commercial. On April 5, 2006 the decision
was made to plug and abandoned the well. Dry-hole costs including plug and
abandonment expenses incurred by the Fund for the three months ended September
30, 2006, the nine months ended September 30, 2006 and for the period March 21,
2005 (Inception) through September 30, 2006 were approximately $30 thousand,
$8.5 million and $8.5 million, respectively.

Results of Operations

For the three and nine months ended September 30, 2006, the Fund had an
operating loss of approximately $1.9 million and $32.9 million, respectively.
The loss is primarily comprised of dry-hole costs of approximately $0.9 million
and $30 million for the three and nine months ended September 30, 2006,
respectively. Management fees of approximately $0.9 million and $2.6 million and
general and administrative costs of approximately $0.1 million and $0.3 million
comprised the remainder of the Fund's expenses for the three and nine months
ended September 30, 2006, respectively. For the period March 21, 2005
(Inception) through September 30, 2006 the Fund had an operating loss of
approximately 41.7 million. The loss is primarily comprised of dry-hole costs of
approximately $30.5 million, investment fees of approximately $6.3 million,
management fees of approximately $4.4 and general and administrative costs of
approximately $0.5 million.

For the three months ended September 30, 2005 the Fund was in its initial phase
of raising shareholder's capital. The loss from operations for the three months
ended September 30, 2005 represented onetime investment fees and annual
management fees paid to the Manager as well as other general and administrative
expenses totaling approximately $2.5 million.

The Manager is paid a onetime investment fee of 4.5% of initial capital
contributions. The fee is payable for the service of investigating and
evaluating investment opportunities and affecting transactions. For the three
months ended September 30, 2005, investment fees incurred and paid were
approximately $1.6 million. For the period March 21, 2005 (Inception) through
September 30, 2006 investment fees paid were approximately $6.3 million. There
were no investment fees incurred or paid during 2006 as the Fund was closed as
of December 31, 2005.

Dry-hole costs are those costs incurred to drill and develop a well that is
ultimately found to be incapable of producing either oil or natural gas in
sufficient quantities to justify completion of the well. Dry-hole costs,
inclusive of plug and abandonment costs, are recognized in the period in which
the costs are incurred. For the three and nine months ended September 30, 2006
and for the period March 21, 2005 (Inception) through September 30, 2006
dry-hole costs related to the West Cameron 265/266 and South Marsh Island 231
projects were approximately $0.9 million, $30.0 million and $30.5 million,

                                       18
<PAGE>

respectively. There were no dry-hole costs for the period ended September 30,
2005 as the Fund was not participating in projects at that time.

The Manager receives an annual management fee, payable monthly, of 2.5% of total
capital contributions. Management fees are charged to cover expenses associated
with overhead incurred by the Manager for its ongoing management, administrative
and advisory services. Such overhead expenses include but are not limited to
rent, payroll and benefits for employees of the Manager, and other
administrative costs. For the three and nine months ended September 30, 2006 and
for the period March 21, 2005 (Inception) through September 30, 2006, management
fees of approximately $0.9 million, $2.6 million and $4.4 million respectively,
were incurred and paid. For the three months ended September 30, 2005,
management fees were $0.8 million.

Other general and administrative expenses represent accounting, legal, fiduciary
fees and insurance expenses specifically identifiable or allocable to the Fund.
Accounting and legal fees represent annual audit and tax preparation fees,
quarterly reviews and filing fees of the Fund. Fiduciary fees represent bank
fees associated with the management of the Fund's short-term investment
portfolio in US Treasury Notes and have increased in 2006 due to greater
investment activity. Insurance expense represents premiums related to well
control insurance and directors and officers liability policy and are allocated
to the Fund based on capital raised by all oil and natural gas funds managed by
the Manager. General and administrative expenses of approximately $0.1 million,
$0.3 million and $0.5 million, respectively, were incurred and paid for the
three and nine months ended September 30, 2006 and for the period March 21, 2005
(Inception) through September 30, 2006, respectively. General and administrative
expenses of approximately $59 thousand were incurred and paid for the three
months ended September 30, 2005.

Other Income

Other income is comprised primarily of interest income and represents interest
earned on money market accounts and short-term US Treasury Notes. Interest
income for the three months ended September 30, 2006, the nine months ended
September 30, 2006, and the period March 21, 2005 (Inception) through September
30, 2006 totaled approximately $1.1 million, $3.0 million and $4.6 million,
respectively. Interest income for the three months ended September 30, 2005
totaled approximately $0.6 million. In 2006, the average monthly interest income
increased as a result of higher interest rates in 2006 compared to 2005.

Other Comprehensive (Loss) Income

Other comprehensive loss is comprised solely of unrealized losses on short-term
investments and represents unrealized losses on available-for-sale marketable
debt securities. For the three and nine months ended September 30, 2006,
unrealized loss totaled nil and approximately $51 thousand, respectively. The
unrealized loss for the nine months ended September 30, 2006 resulted from the
reversal of previously recognized unrealized holding gains recorded on short
term investments which matured during the period. As of September 30, 2006, all
investments in short-term US Treasury Notes are considered held-to-maturity
investments and are recorded at cost plus accrued interest. Held to maturity
investments mature in November 2006 and January 2007.

                                       19
<PAGE>

Capital Resources and Liquidity

Cash used in operating activities for the nine months ended September 30, 2006
was approximately $2.1 million, primarily related to management fees of
approximately $2.6 million offset by approximately $1.4 million of interest
income.

Cash flows used in operating activities for the period March 21, 2005
(Inception) through September 30, 2006 were approximately $9.3 million,
primarily related to cash expenditures of approximately $4.4 million and
approximately $6.3 million for management fees and investment fees,
respectively, offset by interest income of approximately $1.9 million.

Cash flows provided by investing activities for the nine months ended September
30, 2006 of approximately $32.8 million, primarily was related to cash
expenditures of approximately $5.3 million and exploration and development
expenditures of approximately $2.9 million for working interests and
expenditures. Additionally, proceeds from the sale of marketable securities of
approximately $89.1 million were primarily offset by investment in marketable
securities of approximately $48.1 million.

Cash flows used in investing activities for the period March 21, 2005
(Inception) through September 30, 2006 of approximately $77 million, was
primarily related to cash expenditures of approximately $5.9 million relating to
capital expenditures for oil and natural gas properties, expenditures of
approximately $27.8 million for working interests to be used in exploration and
development activities and expenditures and approximately $1 million for the
funding of the salvage fund. Additionally, proceeds from the sale of marketable
securities of approximately $89.1 million were primarily offset by investment in
marketable securities of approximately $131.4 million.

Cash flows used in financing activities for the nine months ended September 30,
2006 was approximately $2 thousand primarily related to cash expenditures for
the payment of syndication costs.

Cash flows provided by financing activities for the period March 21, 2005
(Inception) through September 30, 2006 were approximately $122.4 million,
primarily related to cash receipts of approximately $138.3 million obtained from
our private offering, offset by approximately $15.9 million of payments for
syndication costs.

We expect to meet our cash commitments for the next twelve months from our cash
and investments on hand.

Estimated Capital Expenditures

The Fund has entered into multiple Offshore Operating Agreements for the
drilling and development of its investment properties. The estimated capital
expenditures associated with these agreements can vary depending on the stage of
development on a property-by-property basis. As of September 30, 2006, such
estimated capital expenditures to be spent total approximately $39.7 million,
all of which except $6.0 million due to operators has been spent to date.

The table below presents exploration and development capital expenditures from
inception as well as estimated budgeted amounts for future periods:

                                       20
<PAGE>

<TABLE>
<CAPTION>

Estimated Capital Expenditures
As of September 30, 2006                    Total Project         Spent Through           To be Spent
($ Millions)                                    Costs          September 30, 2006       Next 12 Months
                                                -----          ------------------       --------------
<S>                                           <C>                    <C>                    <C>
Projects
        South Marsh Island 231 (i)            $   8.5                $   8.5                $   -
        West Cameron 265/266 (ii)                22.1                   22.1                    -
        West Cameron 109 (iii)                   23.0                    2.9                   20.1
        Green Canyon 246 (iv)                    20.6                    0.7                   19.9
        West Cameron 593 (v)                     12.4                    5.5                    6.9
                                              -------                -------                -------
                                              $  86.6                $  39.7                $  46.9
</TABLE>

     (i) South Marsh Island 231 was determined to be a dry-hole in April 2006.
    (ii) West Cameron 265/266 was determined to be a dry-hole in May 2006.
   (iii) West Cameron 109 began drilling in September 2006. Drilling/dry-hole
         costs to the Fund are estimated at $6.1 million; if the project is
         determined to be successful, estimated total costs including drilling
         and development would approximate $23.0 million.
    (iv) Green Canyon 246 began drilling in September 2006. Drilling/dry-hole
         costs to the Fund are estimated at $6.1 million; if the project is
         determined to be successful, estimated total costs including drilling
         and development would approximate $20.6 million.
     (v) West Camron 593 was deemed a commercial success in late September and
         is expected to begin production in spring 2007.


After consideration of the above identified projects as well as projected fund
expenses and salvage fund requirements, the Fund is projecting additional
capital expenditures approximating $46.9 million.


                                       21
<PAGE>

Item 3.  Quantitative and Qualitative Disclosures about Market Risk

The principal market risks to which the Fund is exposed that may adversely
impact the Fund's results of operations and financial position are changes in
oil and natural gas prices. The Fund has no market risk sensitive instruments
held for trading purposes. Information about market risks for the nine months
ended September 30, 2006, does not differ materially from that discussed under
Item 2C of the Fund's Annual Report Amendment No. 1 for 2005 on Form 10/A ("Form
10/A") filed with the SEC.

Item 4.  Controls and Procedures

(a)  Evaluation of Disclosure Controls and Procedures

The Fund maintains disclosure controls and procedures that are designed to
ensure that information required to be disclosed in the reports that the Fund
files or submits as defined in Rules 13a-15(e) of the Securities and Exchange
Act of 1934, as amended ("Exchange Act") is recorded, processed, summarized and
reported within the time periods specified in the SEC's rules and forms, and
that such information is accumulated and communicated to the Chief Executive
Officer ("CEO") and Chief Financial Officer ("CFO") to allow timely decisions
regarding required disclosures.

The Fund carried out the evaluation required by paragraph (b) of the Exchange
Act Rules 13a-15 and 15d-15, under the supervision and with the participation of
our management, including the CEO and CFO, of the effectiveness of our
"disclosure controls and procedures" (as defined in the Exchange Act Rules
13a-15(e) and 15d-15(e). Based upon this evaluation, the CEO and CFO have
concluded that as of September 30, 2006 ("Evaluation Date"), our disclosure
controls and procedures were not effective as of the Evaluation Date because of
the material weaknesses described below.

Subsequent to the issuance of the Fund's Form 10 originally filed with the
Securities and Exchange Commission (the "SEC") on April 21, 2006, as reported
under Item 4.02 of the Form 8-K filed by the Fund on October 24, 2006, on
October 20, 2006, Ridgewood Energy Corporation (the "Manager") of the Fund
concluded that the Fund's financial statements as of and for the period from
March 21, 2005 (Inception) to December 31, 2005 as included in the Fund's Form
10 should no longer be relied upon and should be restated to correct for errors
detected by Management. Therefore, the Fund filed Form 10/A on November 13,
2006.

(b)  Changes in Internal Control over Financial Reporting

In the course of our evaluation of disclosure controls and procedures,
management considered certain internal control areas in which we have made and
are continuing to make changes to improve and enhance controls. Based upon that
evaluation, the CEO and CFO concluded that there were no changes in our internal
control over financial reporting identified in connection with the evaluation
required by paragraph (d) of Exchange Act Rules 13a-15 or 15d-15 that occurred
during the Fund's most recent fiscal quarter, the quarter ended September 30,
2006, that have materially affected, or are reasonably likely to materially
affect, our internal control over financial reporting.

                                       22
<PAGE>

As reported in Note 11 of the Fund's 2005 Form 10/A filed on November 13, 2006,
subsequent to the issuance of the Fund's financial statements as of and for the
year ended December 31, 2005, management identified accounting errors. These
accounting errors, which are the result of material weaknesses, also existed as
of September 30, 2006 and therefore are reported in this Form 10-Q.

(c)  Material Weaknesses

After examining certain transactions and reviewing various reconciliations from
2005, various accounting errors were identified. Based upon management's review,
it has been determined these errors were inadvertent and unintentional. As a
result of these initial findings, on October 20, 2006, Management announced the
Fund would restate its previously filed financial statements. Management
expanded the scope of the review to include pre and post-closing procedures. As
a result of this expanded review, additional items were identified and
corrected. The effects of these restatements were previously reflected in
Amendment No. 1 of our Form 10/A as filed with the SEC on November 13, 2006.

Other accounting errors were identified as part of the Fund's review of various
other historical transactions. The Fund concluded the reason for these errors
primarily related to the lack of sufficient control and documentation procedures
in 2005 and prior years relating to certain processing, recording, summarizing
and reporting processes.

The Fund had the following material weaknesses. These weaknesses resulted in the
restatement of our initial Form 10, filed as Form 10/A on November 13, 2006.

     o    Lack of sufficient communication and documentation, and lack of
          appropriate procedures surrounding pre and post-closing procedures
          including reconciliations and analytical reviews;
     o    Staff lacking sufficient technical expertise in the oil and gas
          industry, as well as GAAP and SEC requirements;
     o    Insufficient training programs, and policies and procedures on
          financial controls, to ensure the ongoing application and execution of
          controls; and
     o    Lack of resources necessary to perform consistent, routine analytical
          reviews of the financial results, including key balance sheet and
          income statement account analyses.

(d)  Material Weaknesses Remediation Plans

The Manager is committed to the remediation of these material weaknesses, as
well as to the continued improvement of the Fund's overall system of internal
control over financial reporting. Management has developed remediation plans for
each of the weaknesses, and has undergone efforts to strengthen the existing
finance organization and systems across the Fund. These efforts include the
addition of finance resources which provided technical support and oversight for
our financial processes. In addition, various employees have attended training
programs. The Fund has also utilized additional resources to assist in the
program management aspect of each material weakness in its remediation plan.

                                       23
<PAGE>

The Fund currently is executing its remediation plan that includes the
following:

     o    Adopting a more rigorous approach to communicate, document and
          reconcile the detailed components of pre and post-closing procedures
          including developing policy and procedure manuals and detailed
          checklists;
     o    Expanding staffing and resources, including the continued use of
          external third party assistance;
     o    Creating detailed training programs, and policies and procedures on
          financial controls, to ensure ongoing application and execution of
          controls; and
     o    Developing tools to perform consistent, routine analytical reviews of
          the financial results, including key balance sheet and income
          statement account analyses.


                                       24
<PAGE>

Part II.  Other Information

Item 5.   Other Information

From the date of inception of the Fund through November 30, 2006, there were no
"reportable events" as defined in Item 304(a)(1)(v) of Regulation S-K.


                                       25
<PAGE>

Item 6.       Exhibits

       31.1   Certification of Robert E. Swanson, Chief Executive Officer,
              pursuant to Securities Exchange Act Rule 13a-14(a).
       31.2   Certification of Kathleen P. McSherry, Chief Financial Officer,
              pursuant to Securities Exchange Act Rule 13a-14(a).
         32   Certifications pursuant to 18 U.S.C. Section 1350, as adopted
              pursuant to Section 906 of The Sarbanes-Oxley Act of 2002, signed
              by Robert E. Swanson, Chief Executive Officer of the Company and
              Kathleen P. McSherry, Chief Financial Officer of the Company.


                                       26
<PAGE>

                                   SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the
Registrant has caused this report to be signed on its behalf by the undersigned,
thereunto duly authorized.


Dated: November 30, 2006               RIDGEWOOD ENERGY P FUND, LLC

                           By:    /s/  ROBERT E. SWANSON
                                Name:  Robert E. Swanson
                               Title:  President and Chief Executive Officer
                                       (Principal Executive Officer)

Dated: November 30, 2006
                           By:    /s/  KATHLEEN P. MCSHERRY
                                Name:  Kathleen P. McSherry
                               Title:  Senior Vice President and Chief Financial
                                       Officer (Principal Financial and
                                       Accounting Officer)



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<PAGE>

              Exhibit Index

       31.1   Certification of Robert E. Swanson, Chief Executive Officer,
              pursuant to Securities Exchange Act Rule 13a-14(a).
       31.2   Certification of Kathleen P. McSherry, Chief Financial Officer,
              pursuant to Securities Exchange Act Rule 13a-14(a).
         32   Certifications pursuant to 18 U.S.C. Section 1350, as adopted
              pursuant to Section 906 of The Sarbanes-Oxley Act of 2002, signed
              by Robert E. Swanson, Chief Executive Officer of the Company and
              Kathleen P. McSherry, Chief Financial Officer of the Company.


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