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# **UNITED STATES**

**SECURITIES AND EXCHANGE COMMISSION**

# **Washington, D.C. 20549**

# ** **

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## **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, 2008**                                                                               |
| ** ** | ** ** | ** **                                                                                                                               |
|       |       | **OR**                                                                                                                                   |
|       |       |                                                                                                                                     |
| **o**      | ** ** | **TRANSITION REPORT PURSUANT TO  SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934**                                 |
|       |       |                                                                                                                                     |
| ** ** | ** ** | **For the Transition Period from                    to** |

 

# **Commission FileNumber: 333-93399-04**

 

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**REEF GLOBAL ENERGY IV, L.P.**

(Exact name of registrant as specified in its charter)

 

| **Nevada**  (State or other jurisdiction of  incorporation or organization)                                        | ** ** | **20-1654113**  (I.R.S. employer  identification no.) |
|--------------------------------------------------------------------------------------------------------------------|------------|-------------------------------------------------------|
| ** **                                                                                                         | ** ** | ** **                                            |
| **1901 N.  Central Expressway, Suite 300****Richardson, Texas 75080**(Address of principal executive offices) | ** ** | **75080-3609**  (Zip code)                            |
| ** **                                                                                                         | ** ** | ** **                                            |
| Registrant’s  telephone number, including area code:                                                          | ** ** | **(972)-437-6792**                                    |

 

Indicate by check mark whether the registrant (1) has filed allreports required to be filed by Section 13 or 15(d) of the SecuritiesExchange Act of 1934 during the preceding 12 months (or for such shorterperiod that the registrant was required to file such reports), and (2) hasbeen subject to such filing requirements for the past 90 days. Yes x    No  o

 

Indicate by check markwhether the registrant is a large accelerated filer, an accelerated filer, anon-accelerated filer, or a smaller reporting company. See the definitions of “largeaccelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2of the Exchange Act.

 
| Large accelerated filer  o | Accelerated filer o | Non-accelerated filer o | Smaller reporting  company x |
|----------------------------|---------------------|-------------------------|------------------------------|

 

Indicate by check markwhether the registrant is a shell company (as defined in Rule 12b-2 of theExchange Act). Yes o     No x

 

**As of September 30, 2008, the registrant had25.028 units of general partner interest held by the managing general partner,and 474.972 units of limited partner interest outstanding.**

** **

** **

** **

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**Table of Contents**

** **

**ReefGlobal Energy IV, L.P.**

**Form 10-QIndex**

 
| **PART I —  FINANCIAL INFORMATION** |
|-----------------------------------------------|
|                                          |   |
| **ITEM  1.**                                  | **Financial Statements (Unaudited)** |
|                                          | *Condensed  Balance Sheets* |
|                                          | *Condensed  Statements of Operations* |
|                                          | *Condensed  Statements of Cash Flows* |
|                                          | *Notes to Condensed Financial Statements* |
|                                          |   |
| **ITEM 2.**                                   | **Management’s  Discussion and Analysis of Financial Condition and Results of Operations** |
|                                          |   |
| **ITEM 3.**                                   | **Quantitative  and Qualitative Disclosures About Market Risk** |
|                                          |   |
| **ITEM 4T.**                                  | **Controls and  Procedures** |
|                                          |   |
| **PART II  — OTHER INFORMATION**    |
|                                          |   |
| **ITEM 1.**                                   | **Legal Proceedings** |
|                                          |   |
| **ITEM 2.**                                   | **Unregistered  Sales of Equity Securities and Use of Proceeds** |
|                                          |   |
| **ITEM 3.**                                   | **Default  Upon Senior Securities** |
|                                          |   |
| **ITEM 4.**                                   | **Submission  of Matters to a Vote of Security Holders** |
|                                          |   |
| **ITEM 5.**                                   | **Other Information** |
|                                          |   |
| **ITEM  6.**                                  | **Exhibits** |
|                                          |   |
| **Signatures**                                |   |

 

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# **PART I FINANCIAL INFORMATION**

# ** **

## **Item 1. Financial Statements**

 

**Reef Global Energy IV, L.P.**

**Condensed Balance Sheets**

** **
| ** **                                                                    | ** ** | **September 30,** | ** **  | **December 31,** | ** ** |
|-------------------------------------------------------------------------------|------------|------------------------|-------------|-----------------------|------------|
| ** **                                                                    | ** ** | **2008**               | ** **  | **2007**              | ** ** |
| ** **                                                                    | ** ** | **(Unaudited)**        | ** **  | ** **            | ** ** |
|                                                                          |       |                   |        |                  |       |
| **Assets**                                                                    |       |                   |        |                  |       |
|                                                                          |       |                   |        |                  |       |
| **Current  assets:**                                                          |       |                   |        |                  |       |
| Cash and cash  equivalents                                                    | ** ** | **$**                  | 122,237     |                  | **$**      | 75,764 |   |
| Accounts  receivable from affiliates, net                                     |       | 32,900                 |        | —                |       |
| **Total  current assets**                                                     | ** ** | **155,137**            | ** **  | **75,764**            | ** ** |
|                                                                          |       |                   |        |                  |       |
| **Oil and  natural gas properties, full cost method of accounting:**          |       |                   |        |                  |       |
| Proved  properties, net of accumulated depletion of $8,448,446 and $8,393,271 |       | 272,379                |        | 152,562               |       |
| **Net oil  and natural gas properties**                                       | ** ** | **272,379**            | ** **  | **152,562**           | ** ** |
| ** **                                                                    | ** ** | ** **             | ** **  | ** **            | ** ** |
| **Total  assets**                                                             | ** ** | **$**                  | **427,516** | ** **            | **$**      | **228,326** | ** ** |
|                                                                          |       |                   |        |                  |       |
| **Liabilities  and partnership equity**                                       |       |                   |        |                  |       |
|                                                                          |       |                   |        |                  |       |
| **Current  liabilities:**                                                     |       |                   |        |                  |       |
| Accounts payable                                                              | ** ** | **$**                  | 180         |                  | **$**      | 82 |   |
| Accounts payable  to affiliates                                               |       | —                 |        | 6,240                 |       |
| **Total  current liabilities**                                                | ** ** | **180**                | ** **  | **6,322**             | ** ** |
|                                                                          |       |                   |        |                  |       |
| **Long-term  liabilities:**                                                   |       |                   |        |                  |       |
| Asset retirement  obligation                                                  |       | 128,653                |        | 137,757               |       |
| **Total  long-term liabilities**                                              | ** ** | **128,653**            | ** **  | **137,757**           | ** ** |
|                                                                          |       |                   |        |                  |       |
| **Partnership  equity:**                                                      |       |                   |        |                  |       |
| General partners                                                              |       | —                 |        | 3,459                 |       |
| Limited partners                                                              |       | 73,067                 |        | 9,683                 |       |
| Managing general  partner                                                     |       | 225,616                |        | 71,105                |       |
| **Partnership  equity**                                                       | ** ** | **298,683**            | ** **  | **84,247**            | ** ** |
| ** **                                                                    | ** ** | ** **             | ** **  | ** **            | ** ** |
| **Total  liabilities and partnership equity**                                 | ** ** | **$**                  | **427,516** | ** **            | **$**      | **228,326** | ** ** |

 

*See accompanying notes tocondensed financial statements.*

 

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**Reef Global Energy IV, L.P.**

**Condensed Statements ofOperations**

* *
| ** **                                    | ** ** | **For the three months ended  September 30 (unaudited)** | ** ** | **For the nine months ended  September 30 (unaudited)** | ** ** |
|-----------------------------------------------|------------|----------------------------------------------------------------------------------------|------------|---------------------------------------------------------------------------------------|------------|
| ** **                                    | ** ** | **2008**                                                                               | ** ** | **2007**                                                                              | ** ** | **2008** | ** ** | **2007** | ** ** |
|                                          |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| **Revenues:**                                 |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| Oil and natural  gas income                   | ** ** | **$**                                                                                  | 90,423     |                                                                                  | **$**      | 60,805 |   | **$** | 244,625 |   | **$** | 172,402 |   |
| **Total  revenues**                           | ** ** | **90,423**                                                                             | ** ** | **60,805**                                                                            | ** ** | **244,625** | ** ** | **172,402** | ** ** |
|                                          |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| **Costs  and expenses:**                      |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| Lease operating  expenses                     |       | 12,055                                                                                 |       | 10,756                                                                                |       | 36,016 |   | 34,977 |   |
| Production taxes                              |       | 6,266                                                                                  |       | 4,024                                                                                 |       | 15,936 |   | 10,702 |   |
| Depreciation,  depletion and amortization     |       | 15,822                                                                                 |       | 23,578                                                                                |       | 43,757 |   | 46,033 |   |
| Property  impairment                          |       | —                                                                                 |       | —                                                                                |       | — |   | 56,256 |   |
| Accretion of  asset retirement obligation     |       | 511                                                                                    |       | 1,645                                                                                 |       | 3,000 |   | 37,414 |   |
| General and  administrative                   |       | 13,133                                                                                 |       | 8,100                                                                                 |       | 68,181 |   | 61,931 |   |
| **Total  costs and expenses**                 | ** ** | **47,787**                                                                             | ** ** | **48,103**                                                                            | ** ** | **166,890** | ** ** | **247,313** | ** ** |
|                                          |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| **Income  (loss) from operations**            | ** ** | **42,636**                                                                             | ** ** | **12,702**                                                                            | ** ** | **77,735** | ** ** | **(74,911** | **)** |
|                                          |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| **Other  income:**                            |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| Interest income                               |       | 189                                                                                    |       | 252                                                                                   |       | 486 |   | 854 |   |
| **Total  other income**                       | ** ** | **189**                                                                                | ** ** | **252**                                                                               | ** ** | **486** | ** ** | **854** | ** ** |
|                                          |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| **Net  income (loss)**                        | ** ** | **$**                                                                                  | **42,825** | ** **                                                                            | **$**      | **12,954** | ** ** | **$** | **78,221** | ** ** | **$** | **(74,057** | **)** |
|                                          |       |                                                                                   |       |                                                                                  |       |   |   |   |   |
| Net income  (loss) per general partner unit   |       | $                                                                                      | —     |                                                                                  | $          | 60.30 |   | $ | 122.41 |   | $ | (111.99 | ) |
| Net income  (loss) per limited partner unit   |       | $                                                                                      | 96.81      |                                                                                  | $          | 60.30 |   | $ | 219.22 |   | $ | (111.99 | ) |
| Net (loss) per managing  general partner unit |       | $                                                                                      | (126.18    | )                                                                                     | $          | (626.74 | ) | $ | (1,035.04 | ) | $ | (833.63 | ) |

 

*See accompanying notes tocondensed financial statements.*

 

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**Reef Global Energy IV, L.P.**

**Condensed Statements of CashFlows**

** **
| ** **                                                                                           | ** ** | **For the nine months ended  September 30, (unaudited)** | ** **  |
|------------------------------------------------------------------------------------------------------|------------|----------------------------------------------------------------------------------------|-------------|
| ** **                                                                                           | ** ** | **2008**                                                                               | ** **  | **2007** | ** ** |
| ** **                                                                                           | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| **Operating  Activities**                                                                            |       |                                                                                   |        |   |   |
| Net income  (loss)                                                                                   | ** ** | **$**                                                                                  | 78,221      | ** ** | **$** | (74,057 | ) |
| Adjustments for  non-cash transactions:                                                              | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| Depreciation,  depletion and amortization                                                            |       | 43,757                                                                                 |        | 46,033 |   |
| Property  impairment                                                                                 |       | —                                                                                 |        | 56,256 |   |
| Accretion of  asset retirement obligation                                                            |       | 3,000                                                                                  |        | 37,414 |   |
| Adjustments to  reconcile net income (loss) to net cash provided by (used in) operating  activities: | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| Changes in  operating assets and liabilities:                                                        | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| Accounts  receivable from affiliates                                                                 |       | (12,801                                                                                | )           | (4,731 | ) |
| Accounts payable                                                                                     |       | 98                                                                                     |        | (197 | ) |
| Accounts payable  to affiliates                                                                      |       | (5,488                                                                                 | )           | (62,655 | ) |
| **Net  cash provided by (used in) operating activities**                                             | ** ** | **106,787**                                                                            | ** **  | **(1,937** | **)** |
| ** **                                                                                           | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| **Investing  Activities**                                                                            | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| Property  acquisition and development                                                                |       | (174,582                                                                               | )           | (75,279 | ) |
| Plugging and  abandonment costs paid from asset retirement obligation                                |       | (1,096                                                                                 | )           | — |   |
| **Net  cash used in investing activities**                                                           | ** ** | **(175,678**                                                                           | **)**       | **(75,279** | **)** |
| ** **                                                                                           | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| **Financing  Activities**                                                                            | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| Partner capital  contributions                                                                       |       | 162,364                                                                                |        | 81,266 |   |
| Partner  distributions                                                                               |       | (47,000                                                                                | )           | (9,950 | ) |
| **Net  cash provided by financing activities**                                                       | ** ** | **115,364**                                                                            | ** **  | **71,316** | ** ** |
| ** **                                                                                           | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| **Net  increase (decrease) in cash and cash equivalents**                                            | ** ** | **46,473**                                                                             | ** **  | **(5,900** | **)** |
| Cash and cash  equivalents at beginning of period                                                    |       | 75,764                                                                                 |        | 83,061 |   |
| **Cash  and cash equivalents at end of period**                                                      | ** ** | **$**                                                                                  | **122,237** | ** ** | **$** | **77,161** | ** ** |
| ** **                                                                                           | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| **Supplemental  disclosure of non-cash investing transactions:**                                     | ** ** | ** **                                                                             | ** **  | ** ** | ** ** |
| Property  additions and asset retirement obligation                                                  | ** ** | **$**                                                                                  | 410         | ** ** | **$** | — |   |
| Adjustment to  asset retirement obligation                                                           | ** ** | **$**                                                                                  | 11,418      | ** ** | **$** | — |   |
| **Supplemental  disclosure of non-cash financing transactions:**                                     | ** ** |                                                                                   | ** **  |   |   |
| Managing partner  contributions included in accounts receivable from affiliates                      | ** ** | **$**                                                                                  | 20,099      | ** ** | **$** | 23,652 |   |

 

*See accompanying notes tocondensed financial statements.*

 

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**ReefGlobal Energy IV, L.P.**

**Notes to Condensed Financial Statements(unaudited)**

**September 30,2008**

** **

**1. Organization and Basis ofPresentation**

** **

The financial statementsof Reef Global Energy IV, L.P. (the “Partnership”) have been prepared pursuantto the rules and regulations of the Securities and Exchange Commission(the “SEC”). Certain information and footnote disclosure normally included inannual financial statements prepared in accordance with accounting principlesgenerally accepted in the United States have been condensed or omitted pursuantto those rules and regulations. We have recorded all transactions andadjustments necessary to fairly present the financial statements included inthis Quarterly Report on Form 10-Q (this “Quarterly Report”). Theadjustments are normal and recurring. The following notes describe only thematerial changes in accounting policies, account details, or financialstatement notes during the first nine months of 2008. Therefore, please readthese condensed financial statements and notes to condensed financialstatements together with the audited financial statements and notes tofinancial statements contained in the Partnership’s Annual Report on Form 10-Kfor the period ended December 31, 2007 (the “Annual Report”).

 

Pursuant to thePartnership Agreement of the partnership, all general partner units held byinvestors other than the managing general partner were converted into limitedpartner units. This conversion of general partner units into limited partnerunits occurred during the 3rd quarter of 2008. The additionalgeneral partner equity at June 30, 2008 was transferred to limited partnerequity, and all income and expense items during the third quarter have beenallocated between the managing general partner and the limited partners.

 

**2. Summary of Accounting Policies**

** **

**Oil and Natural Gas Properties**

** **

The Partnership followsthe full cost method of accounting for crude oil and natural gas properties.Under this method, all direct costs and certain indirect costs associated withacquisition of properties and successful as well as unsuccessful explorationand development activities are capitalized. Depreciation, depletion, and amortizationof capitalized crude oil and natural gas properties are based on theunit-of-production method using estimated proved reserves. For these purposes,proved natural gas reserves are converted to equivalent barrels of crude oil ata rate of 6 Mcf to 1 Bbl. Net capitalized costs of crude oil and natural gasproperties, as adjusted for asset retirement obligations, are limited to thelower of unamortized cost or the cost ceiling, defined as the sum of thepresent value of estimated future net revenues from proved reserves based onprices in effect at the end of the period held constant and discounted at 10percent. Pursuant to full cost accounting rules, the Partnership performs aceiling test quarterly as of the balance sheet date on its proved oil and naturalgas properties. Excess capitalized costs are charged to property impairmentexpense. No gain or loss is recognized upon sale or disposition of crude oiland natural gas properties, unless such a sale would significantly alter therate of depletion and amortization. During the three and nine month periodsended September 30, 2008, the Partnership recognized no propertyimpairment expense.

 

**Asset Retirement Obligations**

** **

The Partnership accounts for its asset retirement obligations inaccordance with Statement of Financial Accounting Standards (“SFAS”) No. 143,“Accounting for Asset Retirement Obligations” (“SFAS No. 143”). Assetretirement costs and liabilities associated with future site restoration andabandonment of long-lived assets are initially measured at fair value whichapproximates the cost a third party would incur in performing the tasksnecessary to retire such assets. The fair value is recognized in the financialstatements as the present value of expected future cash expenditures for site restorationand abandonment. Subsequent to the initial measurement, the effect of thepassage of time on the liability of the net asset retirement obligation(accretion expense) and the amortization of the asset retirement cost arerecognized in the results of operations.

 

Thefollowing table summarizes the Partnership’s asset retirement obligation forthe nine months ended September 30, 2008 and the year ended December 31,2007.

 

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| ** **                                                  | ** ** | **Nine months ended  September 30, 2008** | ** ** | **Year ended  December 31, 2007** | ** ** |
|-------------------------------------------------------------|------------|---------------------------------------------------------------|------------|--------------------------------------------------|------------|
| Beginning asset  retirement obligation                      | ** ** | **$**                                                         | 137,757    |                                             | $          | 94,718 |   |
| Additions  related to new properties                        |       | 410                                                           |       | —                                           |       |
| Accretion  expense                                          |       | 3,000                                                         |       | 43,039                                           |       |
| Retirement  related to property abandonment and restoration |       | (12,514                                                       | )          | —                                           |       |
| Ending asset  retirement obligation                         | ** ** | **$**                                                         | 128,653    |                                             | $          | 137,757 |   |

** **

**3. Transactions with Affiliates**

** **

The Partnership has noemployees. Reef Exploration, L.P. (“RELP”), an affiliate of Reef Oil &Gas Partners, L.P. (“Reef”), the managing general partner, employs a staffincluding geologists, petroleum engineers, landmen and accounting personnel whoadminister all of the Partnership’s operations. The Partnership reimburses RELPfor technical and administrative services at cost. During the nine monthperiods ended September 30, 2008 and 2007, the Partnership incurredtechnical services and administrative costs totaling $29,257 and $5,738,respectively. Of these amounts, $9,787 and ($1,558) represent technicalservices costs capitalized as project costs, and $19,470 and $7,296 representadministrative costs included as general and administrative expenses.

 

Reef contributes 1% ofall leasehold, drilling, and completion costs when incurred. During the ninemonths ended September 30, 2008, this 1% obligation totaled $11. Reef alsopurchased 5.01% of the Partnership units and pays 5.01% of the 99% of thesecosts paid by the unit holders (4.96%). In addition, Reef agreed to reimbursethe Partnership 100% of the costs for the workover of a Partnership well whichoccurred during the first quarter of 2008, and 100% of the costs of drillingand completing a well in Terrebonne Parish, Louisiana. During the nine monthsended September 30, 2008, this obligation totaled $183,204. At September 30,2008 and December 31, 2007, Reef owed the Partnership $20,099 and $0 inconnection with these obligations.

 

RELP processes jointinterest billings and revenues on behalf of the Partnership. At September 30,2008, RELP owed the Partnership $12,801 for net revenues processed in excess ofjoint interest and technical and administrative services charges. At December 31,2007, the Partnership owed RELP $5,488 for joint interest charges and technicaland administrative services charges processed in excess of net revenues. Inaddition, the Partnership owed Reef $752 for reimbursement of an overpaymentmade by Reef in connection with Reef’s obligation to pay 1% of all leasehold,drilling, and completion costs incurred by the Partnership.

 

**4.Partnership Equity**

** **

Information regarding thenumber of units outstanding and the net income (loss) per type of Partnershipunit for the three and nine month periods ended September 30, 2008 isdetailed below. During the 3rd quarter of 2008 all general partnerunits were converted to limited partner units.

 

For the three monthsended September 30, 2008

 
| **Type of Unit**      | ** ** | **Number of  Units** | ** ** | **Net income  (loss)** | ** ** | **Net income  (loss) per  unit** | ** ** |
|---------------------------------|------------|---------------------------|------------|-----------------------------|------------|--------------------------------------------|------------|
| Managing general  partner units |       | 25.028                    |       | $                           | (3,158     | )                                          | $          | (126.18 | ) |
| Limited partner  units **       |       | 474.972                   |       | 45,983                      |       | $                                          | 96.81      |   |
| Total                           |       | 500.000                   |       | $                           | 42,825     |                                       |       |   |

 

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For the nine months endedSeptember 30, 2008

 
| **Type of Unit**      | ** ** | **Number of  Units** | ** ** | **Net income  (loss)** | ** ** | **Net income  (loss) per  unit** | ** ** |
|---------------------------------|------------|---------------------------|------------|-----------------------------|------------|--------------------------------------------|------------|
| Managing general  partner units |       | 25.028                    |       | $                           | (22,747    | )                                          | $          | (908.86 | ) |
| General partner  units *        |       | —                    |       | 15,302                      |       | $                                          | 122.41     |   |
| Limited partner  units **       |       | 474.972                   |       | 88,824                      |       | $                                          | 219.22     |   |
| Total                           |       | 500.000                   |       | $                           | 35,396     |                                       |       |   |

 

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*      Represents income earned by the 125.000 generalpartner units through June 30, 2008

 

**   There were 349.972 limited partner units and $42,841of income allocated to limited partners through June 30, 2008. During the3rd quarter, after conversion of the 125.000 general partner unitsto limited partner units, there were 474.972 limited partner units and $45,983of income.

 

**Item 2.  Management’s Discussion and Analysis ofFinancial Condition and Results of Operations.**

** **

The following is a discussion of the Partnership’s financialposition, results of operations, liquidity and capital resources. Thisdiscussion should be read in conjunction with our financial statements and therelated notes thereto, included in the Annual Report.

 

This Quarterly Reportcontains forward-looking statements that involve risks and uncertainties. Youshould exercise extreme caution with respect to all forward-looking statementsmade in this Quarterly Report.  Specifically, the following statements areforward-looking:

 

·              statements regarding the state of the oil and gasindustry and the opportunity to profit within the oil and gas industry,competition, pricing, level of production, or the regulations that may affectthe Partnership;

 

·              statements regarding the plans and objectives of Reeffor future operations, including, without limitation, the uses of Partnershipfunds and the size and nature of the costs the Partnership expects to incur andpeople and services the Partnership may employ;

 

·              any statements using the words “anticipate,” “believe,”“estimate,” “expect” and similar such phrases or words; and

 

·              any statements of other than historical fact.

 

Reef believes that it isimportant to communicate its future expectations to the partners. Forward-looking statements reflect the current view of management with respectto future events and are subject to numerous risks, uncertainties andassumptions, including, without limitation, the factors listed in thesection captioned “RISK FACTORS” contained in the Reef Global VenturesDrilling Program’s (the “Program”) prospectus dated January 10, 2002 andprospectus supplement dated September 21, 2004. Although Reef believesthat the expectations reflected in such forward-looking statements arereasonable, Reef can give no assurance that such expectations will prove tohave been correct.  Should any one or more of these or other risks oruncertainties materialize or should any underlying assumptions prove incorrect,actual results are likely to vary materially from those described herein. There can be no assurance that the projected results will occur, that thesejudgments or assumptions will prove correct or that unforeseen developmentswill not occur.

 

Reef does not intend toupdate its forward-looking statements. All subsequent written and oralforward-looking statements attributable to Reef or persons acting on its behalfare expressly qualified in their entirety by the applicable cautionary statements.

 

Reef, as managing generalpartner, initially received a 10% interest in the Partnership as compensationfor forming the Partnership, and also received a 1% interest in the Partnershipas a result of paying 1% of all leasehold, drilling and completion costs. This11% interest was not represented by Partnership units. In addition,Reef purchased 5.01% of the Partnership units and, therefore, held 5.01% of the89% interest in the Partnership (4.46%) held by the unit holders. Effective August 1,2006, Reef reduced the interest it received as compensation for forming thePartnership from 10% to 5%, and effective November 1, 2006 it reduced thisinterest from 5% to 0%. Therefore, effective November 1, 2006, Reef holdsa 1% interest in the Partnership as a result of paying 1% of all leasehold,drilling and completion costs. This 1% interest is not represented byPartnership units. Effective November 1, 2006 Reef holds 5.01% of the 99%interest in the Partnership (4.96%) held by the unit holders.

 

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**Overview**

** **

Reef Global Energy IV,L.P. is a Nevada limited partnership formed to acquire, explore, develop, andproduce crude oil, natural gas, and natural gas liquids for the benefit of itsinvestor partners. The Partnership’s primary purposes are to generate revenuesfrom the production of crude oil and natural gas, distribute cash flow toinvestors, and provide tax benefits to investors. The Partnership purchasedworking interests in eight developmental prospects located in Live Oak (2prospects) and Nueces County, Texas and Jefferson, St. Charles, Cameron, andAcadia (2 prospects) Parish, Louisiana and participated in the drilling ofeight developmental wells on those prospects. The Partnership purchased workinginterests in five exploratory prospects located in Galveston (2 prospects)County, Texas, Jefferson and Plaquemines Parish, Louisiana, and in UnitedStates coastal waters in the Gulf of Mexico, and participated in the drillingof five exploratory wells on those prospects. A “prospect” is generally defined as a contiguous oil and gas leaseholdestate, or lesser interest in a leasehold estate, upon which drillingoperations may be conducted. A prospect may be characterized as “exploratory”or “developmental” based upon the type of well to be drilled on the prospect. Adevelopment well is a well drilled within a proved area of an oil or gasreservoir to the depth of a stratigraphic horizon known to be productive.Generally an exploratory is any well that is not a development well, includingwells drilled to find and produce oil or gas in an unproven area, wells drilledto find a new reservoir in a field previously found to be productive of oil orgas, or wells drilled to extend a known reservoir. The Partnership alsopurchased a royalty interest in a field in Louisiana with three productivewells, one of which is still producing as of the date of this report. Drillingoperations on these thirteen prospects were completed during February 2006.Six developmental wells were successful, of which two are still productive, andtwo developmental wells were unsuccessful. One exploratory well was successfuland is still productive, and four exploratory wells were unsuccessful. In thisQuarterly Report, we use the term “successful” to refer to wells that aredrilled, tested, and either capable of or actually producing in commercialquantities. We use the tern “unsuccessful” to refer to wells that do not meetone or more of these criteria. The Partnership incurred $8,035,610 of propertyimpairment associated with drilling operations during 2005, 2006, and 2007, andcash flows from successful wells have not been sufficient to provide significantreturns to investor partners.

 

The managing generalpartner has reduced its interest in the Partnership as indicated above, and, inaddition, agreed to fund 100% of the cost of two projects. In August 2006the managing general partner agreed to pay 100% of the costs for a workinginterest in a developmental well located in Terrebonne Parish, Louisiana. Thewell completed drilling operations in May 2007 and was unsuccessful,however, after reviewing the well logs and other geologic data, the wellborewas re-entered during the fourth quarter of 2007 and successfully sidetracked.Drilling operations were finished during February 2008, and the well beganproducing in commercial quantities on May 2, 2008. Reef paid 100% of thecosts associated with the drilling of the unsuccessful well and the subsequentdrilling of the successful sidetrack of this well. Reef also agreed to pay 100%of the cost of a workover attempt performed during February 2008 on one ofthe Partnership’s developmental wells that had ceased production as a result ofhigh water volumes associated with the natural gas production from the well.This workover was unsuccessful in its attempt to shut-off the water production,and the well will be plugged and abandoned.

 

The Partnership has noplans for additional drilling activities. The Partnership does not operate inany other business segment, and operates solely in the United States. Note 1 tothe audited financial statements included in the Partnership’s Annual Reportincluded a section regarding the ability of the Partnership to continue as agoing concern, due to recurring losses from operations. The managing generalpartner continues to consider several options for the Partnership, includingthe possible sale of marketable assets. The final Partnership well beganproducing on May 2, 2008. The well operator slowly increased productionlevels during the first 30-60 days of operation. During July and August 2008,the well generated net cash flow to the Partnership of approximately $15,000per month. The well was shut-in during September 2008 as a result ofHurricanes Gustav and Ike. Despite the recent downward movement in crude oiland natural gas prices, management expects that the addition of this well willprovide the Partnership with net income and positive cash flow for 2008.

 

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The table belowsummarizes Partnership drilling expenditures as of September 30, 2008 byclassification of well. Drilling, completion, and facilities costs include$86,620 capitalized as asset retirement cost.

 
| ** **                     | ** ** | **Leasehold  Costs** | ** ** | **Drilling,  Completion,  and Facilities  Costs** | ** ** | **Total Costs** | ** ** |
|--------------------------------|------------|----------------------|------------|--------------------------------------------------------|------------|----------------------|------------|
| Developmental  wells           |       | $                    | 464,921    |                                                   | $          | 4,701,392            |       | $ | 5,166,313 |   |
| Exploratory  wells             |       | 139,396              |       | 2,901,791                                              |       | 3,041,187            |       |
| Purchase of  royalty interests |       | 523,554              |       | —                                                 |       | 523,554              |       |
| Total                          |       | $                    | 1,127,871  |                                                   | $          | 7,583,873            |       | $ | 8,731,054 |   |

** **

**CriticalAccounting Policies**

** **

There have been no changes from the Critical Accounting Policiesdescribed in the Annual Report.

 

**Liquidity and Capital Resources**

** **

The Partnership wasfunded with initial capital contributions totaling $9,924,916. Reef purchased25.028 limited partner units, or 5.01% of the total units sold, for $425,475.Investor partners purchased 125.000 units of general partner interest and349.972 units of limited partner interest for $9,499,441. The Partnership held$68,585 of interest earned during 2004 and 2005 for use in drilling operations.As of September 30, 2008, Reef has also contributed or accrued $263,937 inconnection with its obligation to pay 1% of all leasehold, drilling, andcompletion costs, and to reimburse the Partnership for 100% of the drilling andsidetracking costs of a well in Louisiana for which Reef is paying 100% of thecosts. Organization and offering costs totaled $1,424,916, leaving capitalcontributions of $8,832,522 available for drilling operations andpre-production administrative costs. The Partnership expended$8,644,434 on drilling operations and the purchase of royalty interests, and$112,843 on pre-production administrative costs in connection with the thirteenwells and the royalty purchase described above, and the well for which Reefpaid 100% of the cost. Drilling operations were completed in February 2006on the thirteen wells drilled with the capital raised by the Partnership, anddrilling operations were completed in February 2008 on the additional welland sidetrack for which Reef paid 100% of the costs.

 

During this quarter,production operations were impacted by Hurricanes Gustav and Ike (see below).The Partnership’s drilling program is complete, and, as a result, no new wellsbegan production operations during this quarter. No Partnership wells ceasedproduction during the quarter. The Partnership currently has five productivewells.

 

The Partnership hasworking capital of $154,954 at September 30, 2008. Subsequent to expendingthe initial available partner capital contributions on drilling and completionof wells and related facilities, the Partnership has minimal working capital,primarily consisting of cash and accounts receivable from RELP related to oiland gas sales processed by RELP, which the Partnership uses to pay monthly cashdistributions to investors.

** **

**Results of Operations**

** **

The following is acomparative discussion of the results of operations for the periods indicated.It should be read in conjunction with the condensed financial statements andthe related notes to the condensed financial statements included in thisQuarterly Report.

 

The following tableprovides information about sales volumes and oil and natural gas prices for theperiods indicated.

 
| ** **                      | ** ** | **For the three months  ended September 30** | ** ** | **For the nine months  ended September 30** | ** ** |
|---------------------------------|------------|-----------------------------------------------------------------------|------------|----------------------------------------------------------------------|------------|
| ** **                      | ** ** | **2008**                                                              | ** ** | **2007**                                                             | ** ** | **2008** | ** ** | **2007** | ** ** |
| Sales volumes:                  |       |                                                                  |       |                                                                 |       |   |   |   |   |
| Oil (Barrels)                   |       | 334                                                                   |       | 224                                                                  |       | 859 |   | 579 |   |
| Natural gas  (Mcf)              |       | 4,280                                                                 |       | 6,264                                                                |       | 13,068 |   | 17,481 |   |
|                            |       |                                                                  |       |                                                                 |       |   |   |   |   |
| Average sales  prices received: |       |                                                                  |       |                                                                 |       |   |   |   |   |
| Oil (Barrels)                   |       | $                                                                     | 116.28     |                                                                 | $          | 72.33 |   | $ | 114.04 |   | $ | 64.75 |   |
| Natural gas  (Mcf)              |       | $                                                                     | 12.04      |                                                                 | $          | 7.12 |   | $ | 11.22 |   | $ | 7.72 |   |

 

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The Partnership had fiveproductive wells during the third quarter of 2008 and 2007. During the thirdquarter of 2007, the State Tract 284 #1 well, after undergoing a successfulworkover in June 2007, accounted for approximately 70.0% of the oilvolumes and 66.9% of the gas volume produced during the third quarter of 2007.Four other wells, one of which ceased production in January 2008,accounted for the remainder of the volume. During the third quarter of 2008, the State Tract 284 #1 well and thenew ROB L RA SUA CL&F #1 well (the “Gumbo II” well), which began productionin May 2008, accounted for approximately 96.0% of oil production volumesand 78.9% of gas production volumes. Production volumes during the thirdquarter were impacted by Hurricanes Gustav and Ike. The State Tract 284 #1 well(Nueces County, Texas) was shut in for 5 days for Hurricane Ike. The Gumbo IIwell (Terrebonne parish, Louisiana) was shut in for 30 days because ofHurricanes Gustav and Ike. Damage to the gas plant accepting deliveries of thegas from the Gumbo II well caused the operator of the well to expend funds inorder to re-route the gas production to a different plant in order to avoid anextended shut in period.

 

Net proved oil andnatural gas reserves of the Partnership at September 30, 2008 and 2007 aredetailed below. Net proved oil and natural gas reserves at September 30,2008 and 2007 include only those quantities that we expect to recovercommercially using current prices, costs, existing regulatory practices, andtechnology as of the date indicated. Therefore, any changes in future prices,costs, regulations, technology or other unforeseen factors could materiallyincrease or decrease the proved reserve estimates. No additional developmentcosts are required to recover these proved reserves at September 30, 2008.At September 30, 2008, all of the Partnership’s proved reserves areclassified as proved producing reserves. All of the Partnership’s reserves arelocated in the United States.

 
| **Net proved reserves** | ** ** | **Oil (BBL)** | ** ** | **Gas (MCF)** |
|-----------------------------------|------------|--------------------|------------|--------------------|
| September 30, 2008           |       | 3,926              |       | 72,916             |
| September 30, 2007           |       | 2,237              |       | 53,673             |

 

**Three months ended September 30,2008 compared to the three months ended September 30, 2007**

 

The Partnership had netincome of $42,825 for the three month period ended September 30, 2008,compared to net income of $12,954 for the three month period ended September 30,2007.

 

Equivalent barrels of oil(EBO) sold (based upon a conversion of 6 Mcf to 1 Bbl) were 1,268 EBO duringthe three months ended September 30, 2007 as compared to 1,047 EBO duringthe three months ended September 30, 2008. A portion of the decline is theresult of natural production decline rates, however, the Partnership lost 30days of production from the Gumbo II well and five days of production from theState Tract 284 #1 well as a result of shutting in these wells for HurricanesGustav and Ike. The Partnership lost approximately 250 EBO of sales volumes asa result of the State Tract 284 #1 well and the Gumbo II well being shut induring the third quarter of 2008 for 5 and 30 days, respectively, as a resultof Hurricanes Gustav and Ike. The Gumbo II well began production operations in May 2008,and did not produce during the third quarter of 2007.

 

While EBO volumes soldfor the third quarter of 2008 dropped by 17.4% compared to 2007, oil and gasrevenues increased to $90,423 during the third quarter of 2008 from $75,061during the third quarter of 2007, an increase of 20.5%. As shown in the tableabove, crude oil and natural gas prices increased by 60.8% and 69.1%,respectively, during the third quarter of 2008 compared to the correspondingquarter in 2007.

 

Overall costs andexpenses incurred by the Partnership during the third quarter of 2008 were$47,787, compared to $48,103 during the third quarter of 2007. Effective April 1,2008, Reef increased overhead charges to the Partnership in order to recoverthe actual overhead costs allocable to the Partnership. Not all allocablegeneral and administrative expenses were charged to the Partnership in 2007.Beginning April 1, 2008, Reef implemented a new method for allocatingoverhead that takes actual overhead and allocates it based on the summation ofrevenues, expenses and capital costs consistent with the prior year’s method ofsupplying percentages. The administrative overhead charged to the Partnershipduring the third quarter of 2008 was $7,909, compared to $1,890 charged duringthe third quarter of 2007. The increase in general and administrative chargeswas offset by a decrease in depletion expense, which was $15,822 during thethird quarter of 2008 compared to $23,578 during the third quarter of 2007. Thedecrease in depletion is the result of the increase in crude oil and naturalgas reserves (see above table), resulting from higher sales prices and the newGumbo II well, which began production operations in May 2008.

 

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**Nine months ended September 30,2008 compared to the nine months ended September 30, 2007**

 

The Partnership has netincome of $78,221 for the nine month period ended September 30, 2008,compared to a net loss of $74,057 for the nine month period ended June 30,2007.

 

Equivalent barrels of oil(EBO) sold (based upon a conversion of 6 Mcf to 1 Bbl) were 3,493 EBO duringthe nine months ended September 30, 2007 as compared to 3,037 EBO duringthe nine months ended September 30, 2008. This decline is the result ofnatural production decline rates, as well as the loss of production from theMermentau Minerals #1 and JM Watson #1 wells. The Mermentau Minerals #1 wellceased producing in June 2007, and the JM Watson #1 well ceased producingin January 2008. These two wells had sales of 814 EBO during the firstnine months of 2007 and only 32 EBO of sales during the first nine months of2008. The Gumbo II well, which began production operations May 2, 2008,added 592 EBO sales during the nine month period ended September 30, 2008.The Partnership lost approximately 250 EBO of sales volumes as a result of theState Tract 284 #1 well and the Gumbo II well being shut in during the thirdquarter of 2008 for 5 and 30 days, respectively, as a result of HurricanesGustav and Ike.

 

The increases in crudeoil and natural gas prices during the second and third quarters of 2008 are theprimary factor for the increase in revenues from $172,402 for the nine monthperiod ended September 30, 2007 to $244,625 for the nine month periodended September 30, 2008. While EBO volumes sold for the first nine monthsof 2008 are 13.1% less than the comparable period in 2007,  the average crude oil and natural gas pricesreceived increased by 76.1% and 45.3%, respectively, during the first ninemonths of 2008 compared to the corresponding period in 2007.

 

During 2007, thePartnership took an impairment charge of $56,256 because oil and gas reserveestimates were reduced on producing properties where production levels were notmeeting prior expectations. There is no impairment charge for 2008, basedprimarily upon the discovery of new reserves associated with the Partnership’sworking interest in the well drilled on its Gumbo II prospect in TerrebonneParish, Louisiana, and upon increased sales prices.

 

This difference of$72,223 more in crude oil and natural gas sales revenues during the first ninemonths of 2008, combined with a difference of $56,256 in impairment expenseduring the same period, results in a total effect on net income of $128,479,which accounts for 84.4% of the total difference of $152,278 between the netloss at September 30, 2007 of ($74,057) and the net income of $78,221 at September 30,2008.

 

Effective April 1,2008, Reef increased overhead charges to the Partnership in order to recoverthe actual overhead costs allocable to the Partnership. Not all allocablegeneral and administrative expenses were charged to the Partnership in 2007.Beginning April 1, 2008, Reef implemented a new method for allocatingoverhead that takes actual overhead and allocates it based on the summation ofrevenues, expenses and capital costs consistent with the prior year’s method ofsupplying percentages. The administrative overhead charged to the Partnershipduring the nine months ended September 30 2008 was $19,470, compared to$7,295 charged during the nine month period ended September 30, 2007.

 

Recently there have beensignificant downward movements in the prices of crude oil and natural gas.While the Partnership expects fourth quarter EBO sales volumes to exceed thirdquarter levels, based upon the assumption that there will not be shut in wellsduring the fourth quarter, it is expected that oil and gas sales revenues willdrop significantly. The decrease in economic crude oil and natural gas reservesresulting from these significant price declines could cause additional propertyimpairment during the fourth quarter and result in a net loss for thePartnership in the fourth quarter.

 

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**Item 3.    Quantitative and Qualitative DisclosuresAbout Market Risk.**

 

Not Applicable

 

**Item 4T.Controls and Procedures**

 

**Evaluation of Disclosure Controls and Procedures**

 

As the managing general partner of the Partnership, Reef maintains asystem of controls and procedures designed to provide reasonable assurance asto the reliability of the financial statements and other disclosures includedin this report, as well as to safeguard assets from unauthorized use ordisposition. The Partnership, under the supervision and with participation ofits management, including the principal executive officer and principalfinancial officer, evaluated the effectiveness of its “disclosure controls andprocedures” as such term is defined in Rule 13a-15(e) under theSecurities Exchange Act of 1934, as amended (the “Exchange Act”), as of the endof the period covered by this Quarterly Report. Based on that evaluation,  the principal executive officer and principalfinancial officer have concluded that the Partnership’s disclosure controls andprocedures are effective to ensure that information required to be disclosed bythe Partnership in reports that it files or submits under the Exchange Act isrecorded, processed, summarized, and reported within the time periods specifiedin Securities and Exchange Commission rules and forms, and includescontrols and procedures designed to ensure that information required to bedisclosed by us in such reports is accumulated and communicated to ourmanagement, including the principal executive officer and principal financialofficer, as appropriate to allow timely decisions regarding financialdisclosure.

 

**Changes inInternal Controls**

 

Therehave not been any changes in the Partnership’s internal controls over financialreporting during the fiscal quarter ended September 30, 2008 that havematerially affected, or are reasonably likely to materially affect, the Partnership’sinternal control over financial reporting.

 

**PART II – OTHER INFORMATION**

 

**Item1.  Legal Proceedings**

 

None

 

**Item 2. Unregistered Sales of Equity Securities and Use of Proceeds**

 

**Use of Proceeds**

 

In connection with theRegistration Statement filed on Form S-1 (No. 333-93399) and declaredeffective May 31, 2001, Reef filed a post-effective amendment to theRegistration Statement on behalf of the Program on September 14, 2001. On January 10,2002 Reef filed a final prospectus and commenced the offering of units in theProgram. All sales of Partnership units were made through the Program’sdealer-manager, Reef Securities, Inc., and a number of soliciting dealers.The Program filed a prospectus supplement describing the Partnership on September 21,2004 and commenced offering units. Under the terms of the offering, a minimumof 50 Partnership units at a price of $20,000 per unit were required to be soldin order to form the Partnership. Upon meeting this requirement, thePartnership was formed on November 10, 2004.

 

The Partnershipregistered a total of 375 units of limited partner interests and 125 units ofgeneral partner interests. The aggregate offering amount registered was$10,000,000. The offering period ended on December 2, 2004, at which timeall 500 allowable units had been sold. The Partnership sold 374.972 units toinvestor partners, consisting of 349.972 units of limited partner interest and125.000 units of additional general partner interest. Reef purchased 25.028limited partner units, equaling 5.01% of the total Partnership units sold.Total offering proceeds were $9,924,916. All units except those purchased byReef paid a 15% management fee to Reef to pay for the Partnership organizationand offering costs, including sales commissions. These costs totaled$1,424,916, leaving net offering proceeds of $8,500,000.

 

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In addition, thePartnership kept $68,585 of interest income generated by the Partnership and$263,937 of additional capital contributions from Reef in connection with itsobligation to pay 1% of all leasehold, drilling and completion costs, and toreimburse the Partnership for 100% of the drilling costs of a well in Louisianafor which Reef is paying 100% of the costs, leaving a total of $8,832,522available for Partnership oil and gas operations. As of September 30, 2008the Partnership had expended $8,644,434 on drilling operations and the purchaseof royalty interests, and $112,843 on general and administrative expenses.

 

**Item 3. Default Upon Senior Securities**

 

None

 

**Item 4. Submission of Matters to a Vote of Security Holders**

 

None

 

**Item 5. Other Information**

 

None

 

**Item 6. Exhibits**

 
| ** ** | ** ** | **Exhibits** | ** ** | ** **                                                                                                                                                                                                                                                                                                           |
|------------|------------|--------------|------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|       |       |         |       |                                                                                                                                                                                                                                                                                                                 |
|       |       | 3.1(i)(a)    |       | Certificate of  Amendment to the Certificate of Limited Partnership of Reef Global Energy IV,  L.P. dated August 27, 2008 (incorporated by reference to  Exhibit 3.1(i)(a) to the Current Report on Form 8-K, SEC File  No. 333-93399-04, as filed with the SEC on September 3, 2008). |
|       |       |         |       |                                                                                                                                                                                                                                                                                                                 |
|       |       | 3.1(i)(b)    |       | Certificate of  Amendment to the Certificate of Limited Partnership of Reef Global Energy IV,  L.P. dated August 28, 2008 (incorporated by reference to  Exhibit 3.1(i)(b) to the Current Report on Form 8-K, SEC File  No. 333-93399-04, as filed with the SEC on September 3, 2008). |
|       |       |         |       |                                                                                                                                                                                                                                                                                                                 |
|       |       | 31.1*        |       | Certification of  Principal Executive Officer pursuant to Section 302 of the  Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                       |
|       |       |         |       |                                                                                                                                                                                                                                                                                                                 |
|       |       | 31.2*        |       | Certification of  Principal Financial Officer pursuant to Section 302 of the  Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                       |
|       |       |         |       |                                                                                                                                                                                                                                                                                                                 |
|       |       | 32.1*        |       | Certification of the  Principal Executive Officer pursuant to Section 906 of the  Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                   |
|       |       |         |       |                                                                                                                                                                                                                                                                                                                 |
|       |       | 32.2*        |       | Certification of the  Principal Financial Officer pursuant to Section 906 of the  Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                   |

 

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*  Filed herewith

 

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**SIGNATURES**

 

Pursuant to therequirements of the Securities Exchange Act of 1934, the registrant has dulycaused this report to be signed on its behalf by the undersigned, thereuntoduly authorized.

 
|       | REEF GLOBAL ENERGY IV,  L.P. |
|------------|------------------------------|
|       |                         |   |
|       |                         | By: | Reef Oil & Gas  Partners, L.P. |
|       |                         |   | Managing General  Partner |
|       |                         |   |   |
|       |                         | By: | Reef Oil & Gas  Partners, GP, LLC |
|       |                         |   |   |
|       |                         |   |   |
| Dated:     | November 14, 2008       | By: | /s/ Michael J. Mauceli |
| ** ** | ** **                   | ** ** | **Michael J. Mauceli** |
|       |                         |   | Manager and Member |
|       |                         |   | (p*rincipal  executive officer)* |
|       |                         |   |   |
|       |                         |   |   |
| Dated:     | November 14, 2008       | By: | /s/ David M. Tierney |
| ** ** | ** **                   | ** ** | **David M. Tierney** |
|       |                         |   | Chief Accounting  Officer – Public Partnerships |
|       |                         |   | Reef Exploration, L.P. |
|       |                         |   | (p*rincipal  financial and accounting officer)* |

 

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**EXHIBIT INDEX**

 
| **Exhibits** | ** ** | ** ** |
|--------------|------------|------------|
|         |       |       |   |   |
|         |       | 3.1(i)(a)  |   | Certificate of  Amendment to the Certificate of Limited Partnership of Reef Global Energy IV,  L.P. dated August 27, 2008 (incorporated by reference to  Exhibit 3.1(i)(a) to the Current Report on Form 8-K, SEC File  No. 333-93399-04, as filed with the SEC on September 3, 2008). |
|         |       |       |   |   |
|         |       | 3.1(i)(b)  |   | Certificate of  Amendment to the Certificate of Limited Partnership of Reef Global Energy IV,  L.P. dated August 28, 2008 (incorporated by reference to  Exhibit 3.1(i)(b) to the Current Report on Form 8-K, SEC File  No. 333-93399-04, as filed with the SEC on September 3, 2008). |
|         |       |       |   |   |
|         |       | 31.1*      |   | Certification of  Principal Executive Officer pursuant to Section 302 of the  Sarbanes-Oxley Act of 2002. |
|         |       |       |   |   |
|         |       | 31.2*      |   | Certification of  Principal Financial Officer pursuant to Section 302 of the  Sarbanes-Oxley Act of 2002. |
|         |       |       |   |   |
|         |       | 32.1*      |   | Certification of the  Principal Executive Officer pursuant to Section 906 of the  Sarbanes-Oxley Act of 2002. |
|         |       |       |   |   |
|         |       | 32.2*      |   | Certification of the  Principal Financial Officer pursuant to Section 906 of the  Sarbanes-Oxley Act of 2002. |

 

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*  Filed herewith

 

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