----

----

|                                                                                 |
|--------------------------------------------------------------------------------------|
| PDC 2003-B Limited Partnership(Exact name of registrant as specified in its charter) |

| West Virginia(State or other jurisdiction of incorporation or organization) | 55-0825013(I.R.S. Employer Identification No.) |
|-----------------------------------------------------------------------------|------------------------------------------------|

| 1775 Sherman Street, Suite 3000, Denver, Colorado 80203(Address of principal executive offices)     (Zip code) |
|-----------------------------------------------------------------------------------------------------------------------------------------|

| (303) 860-5800(Registrant’s telephone number, including area code) |
|--------------------------------------------------------------------------|

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

----

----

----

INDEX
|     |   |                                                                                        |   |   |
|----------|--------|---------------------------------------------------------------------------------------------|--------|--------|
|     |   |                                                                                        |   | Page   |
|     |   | PART I – FINANCIAL INFORMATION                                                        |   |   |
|     |   |                                                                                        |   |   |
|     |   | Note Regarding Forward-Looking Statements                                                   |   | 1      |
| Item 1.  |   | Financial Statements (unaudited)                                                            |   |   |
|     |   | Condensed Balance Sheets (unaudited)                                                        |   | 2      |
|     |   | Condensed Statements of Operations (unaudited)                                              |   | 3      |
|     |   | Condensed Statements of Cash Flows (unaudited)                                              |   | 4      |
|     |   | Notes to Unaudited Condensed Financial Statements                                           |   | 5      |
| Item 2.  |   | Management’s Discussion and Analysis of Financial Condition and Results of Operations |   | 11     |
| Item 3.  |   | Quantitative and Qualitative Disclosures About Market Risk                                  |   | 21     |
| Item 4.  |   | Controls and Procedures                                                                     |   | 21     |
|     |   |                                                                                        |   |   |
|     |   | PART II – OTHER INFORMATION                                                           |   |   |
|     |   |                                                                                        |   |   |
| Item 1.  |   | Legal Proceedings                                                                           |   | 22     |
| Item 1A. |   | Risk Factors                                                                                |   | 22     |
| Item 2.  |   | Unregistered Sales of Equity Securities and Use of Proceeds                                 |   | 22     |
| Item 3.  |   | Defaults Upon Senior Securities                                                             |   | 22     |
| Item 4.  |   | [Removed and Reserved]                                                                      |   | 22     |
| Item 5.  |   | Other Information                                                                           |   | 22     |
| Item 6.  |   | Exhibits                                                                                    |   | 23     |
|     |   |                                                                                        |   |   |
|     |   | SIGNATURES                                                                                  |   | 24     |

----

Index

NOTE REGARDING FORWARD-LOOKING STATEMENTS

|   | ● | changes in production volumes, worldwide demand, and commodity prices for natural gas and oil; |
|--------|---------|------------------------------------------------------------------------------------------------|

|   | ● | changes in estimates of proved reserves; |
|--------|---------|------------------------------------------|

|   | ● | declines in the values of the Partnership’s natural gas and oil properties resulting from impairments; |
|--------|---------|--------------------------------------------------------------------------------------------------------------|

|   | ● | the timing and extent of the Partnership’s success in further developing and producing the Partnership’s natural gas and oil reserves; |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ● | the Managing General Partner’s ability to acquire drilling rig services, supplies and services at reasonable prices; |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------|

|   | ● | risks incident to the refracturing and operation of natural gas and oil wells; |
|--------|---------|--------------------------------------------------------------------------------|

|   | ● | future production and refracturing costs; |
|--------|---------|-------------------------------------------|

|   | ● | the availability of Partnership future cash flows for investor distributions or funding of Well Refracturing Plan activities; |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------|

|   | ● | the availability of sufficient pipeline and other transportation facilities to carry Partnership production and the impact of these facilities on price; |
|--------|---------|----------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ● | the effect of existing and future laws, governmental regulations and the political and economic climate of the United States of America, or U.S.; |
|--------|---------|---------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ● | changes in environmental laws and the regulations and enforcement related to those laws; |
|--------|---------|------------------------------------------------------------------------------------------|

|   | ● | the identification of and severity of environmental events and governmental responses to the events; |
|--------|---------|------------------------------------------------------------------------------------------------------|

|   | ● | the effect of natural gas and oil derivatives activities; |
|--------|---------|-----------------------------------------------------------|

|   | ● | the availability of funding for the consideration payable by PDC and its wholly-owned subsidiary to consummate the prospective mergers under the Acquisition Plan, and the timing of consummating any such mergers if at all; |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ● | conditions in the capital markets; and |
|--------|---------|----------------------------------------|

|   | ● | losses possible from pending or future litigation. |
|--------|---------|----------------------------------------------------|

----

Index

PART I – FINANCIAL INFORMATION

| Item 1. | Financial Statements (unaudited) |
|---------|----------------------------------|

Condensed Balance Sheets

|                                                               |   |               |       |   |                   |   |
|--------------------------------------------------------------------|--------|--------------------|------------|--------|------------------------|--------|
|                                                               |   | March 31,2010 |       |   | December 31,2009* |   |
| Assets                                                             |   |               |       |   |                   |   |
|                                                               |   |               |       |   |                   |   |
| Current assets:                                                    |   |               |       |   |                   |   |
| Cash and cash equivalents                                          |   | $                  | 57,512     |   |                   | $      | 57,505 |   |
| Accounts receivable                                                |   |               | 128,987    |   |                   |   | 158,083 |   |
| Oil inventory                                                      |   |               | 13,329     |   |                   |   | 15,343 |   |
| Due from Managing General Partner-derivatives                      |   |               | 232,820    |   |                   |   | 204,247 |   |
| Total current assets                                               |   |               | 432,648    |   |                   |   | 435,178 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Natural gas and oil properties, successful efforts method, at cost |   |               | 14,130,365 |   |                   |   | 14,129,625 |   |
| Less: Accumulated depreciation, depletion and amortization         |   |               | (8,025,027 | )      |                   |   | (7,852,403 | ) |
| Oil and gas properties, net                                        |   |               | 6,105,338  |   |                   |   | 6,277,222 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Due from Managing General Partner-derivatives                      |   |               | 401,997    |   |                   |   | 161,426 |   |
| Other assets                                                       |   |               | 39,494     |   |                   |   | 36,152 |   |
| Total noncurrent assets                                            |   |               | 6,546,829  |   |                   |   | 6,474,800 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Total Assets                                                       |   | $                  | 6,979,477  |   |                   | $      | 6,909,978 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Liabilities and Partners’ Equity                             |   |               |       |   |                   |   |   |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Current liabilities:                                               |   |               |       |   |                   |   |   |   |
| Accounts payable and accrued expenses                              |   | $                  | 12,668     |   |                   | $      | 12,568 |   |
| Due to Managing General Partner-derivatives                        |   |               | 195,280    |   |                   |   | 164,260 |   |
| Due to Managing General Partner-other, net                         |   |               | 890        |   |                   |   | 98,610 |   |
| Total current liabilities                                          |   |               | 208,838    |   |                   |   | 275,438 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Due to Managing General Partner-derivatives                        |   |               | 510,587    |   |                   |   | 482,463 |   |
| Asset retirement obligations                                       |   |               | 219,900    |   |                   |   | 216,681 |   |
| Total liabilities                                                  |   |               | 939,325    |   |                   |   | 974,582 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Commitments and contingent liabilities                             |   |               |       |   |                   |   |   |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Partners’ equity:                                            |   |               |       |   |                   |   |   |   |
| Managing General Partner                                           |   |               | 1,210,727  |   |                   |   | 1,189,777 |   |
| Limited Partners - 867.33 units issued and outstanding             |   |               | 4,829,425  |   |                   |   | 4,745,619 |   |
| Total Partners’ equity                                       |   |               | 6,040,152  |   |                   |   | 5,935,396 |   |
|                                                               |   |               |       |   |                   |   |   |   |
| Total Liabilities and Partners’ Equity                       |   | $                  | 6,979,477  |   |                   | $      | 6,909,978 |   |

----

----

Index

Condensed Statements of Operations

|                                                         |   |                              |    |   |   |   |
|--------------------------------------------------------------|--------|-----------------------------------|---------|--------|--------|--------|
|                                                         |   | Three months ended March 31, |    |
|                                                         |   | 2010                              |    |   | 2009   |   |
| Revenues:                                                    |   |                              |    |   |   |   |
| Natural gas and oil sales                                    |   | $                                 | 366,034 |   |   | $      | 239,736 |   |
| Commodity price risk management gain, net                    |   |                              | 367,050 |   |   |   | 9,099 |   |
| Total revenues                                               |   |                              | 733,084 |   |   |   | 248,835 |   |
|                                                         |   |                              |    |   |   |   |   |   |
| Operating costs and expenses:                                |   |                              |    |   |   |   |   |   |
| Natural gas and oil production costs                         |   |                              | 99,246  |   |   |   | 121,038 |   |
| Direct costs - general and administrative                    |   |                              | 72,565  |   |   |   | 17,840 |   |
| Depreciation, depletion and amortization                     |   |                              | 172,624 |   |   |   | 260,980 |   |
| Accretion of asset retirement obligations                    |   |                              | 3,219   |   |   |   | 2,231 |   |
| Total operating costs and expenses                           |   |                              | 347,654 |   |   |   | 402,089 |   |
|                                                         |   |                              |    |   |   |   |   |   |
| Income (loss) from operations                                |   |                              | 385,430 |   |   |   | (153,254 | ) |
|                                                         |   |                              |    |   |   |   |   |   |
| Interest income                                              |   |                              | 7       |   |   |   | 7,934 |   |
|                                                         |   |                              |    |   |   |   |   |   |
| Net income (loss)                                            |   | $                                 | 385,437 |   |   | $      | (145,320 | ) |
|                                                         |   |                              |    |   |   |   |   |   |
| Net income (loss) allocated to partners                      |   | $                                 | 385,437 |   |   | $      | (145,320 | ) |
| Less: Managing General Partner interest in net income (loss) |   |                              | 77,087  |   |   |   | (29,064 | ) |
| Net income (loss) allocated to Investor Partners             |   | $                                 | 308,350 |   |   | $      | (116,256 | ) |
|                                                         |   |                              |    |   |   |   |   |   |
| Net income (loss) per Investor Partner unit                  |   | $                                 | 356     |   |   | $      | (134 | ) |
|                                                         |   |                              |    |   |   |   |   |   |
| Investor Partner units outstanding                           |   |                              | 867.33  |   |   |   | 867.33 |   |

----

Index

Condensed Statements of Cash Flows

|                                                                                     |   | Three months ended March 31, |     |
|------------------------------------------------------------------------------------------|--------|-----------------------------------|----------|
|                                                                                     |   | 2010                              |     |   | 2009 |   |
| Cash flows from operating activities:                                                    |   |                              |     |   |   |   |
| Net income (loss)                                                                        |   | $                                 | 385,437  |   |   | $ | (145,320 | ) |
| Adjustments to reconcile net income (loss) to net cash provided by operating activities: |   |                              |     |   |   |   |   |   |
| Depreciation, depletion and amortization                                                 |   |                              | 172,624  |   |   |   | 260,980 |   |
| Accretion of asset retirement obligations                                                |   |                              | 3,219    |   |   |   | 2,231 |   |
| Unrealized (gain) loss on derivative transactions                                        |   |                              | (210,000 | ) |   |   | 314,822 |   |
| Changes in operating assets and liabilities:                                             |   |                              |     |   |   |   |   |   |
| Decrease in accounts receivable                                                          |   |                              | 29,096   |   |   |   | 62,482 |   |
| Decrease in oil inventory                                                                |   |                              | 2,014    |   |   |   | 4,834 |   |
| Increase in other assets                                                                 |   |                              | (3,342   | ) |   |   | (3,504 | ) |
| Increase (decrease) in accounts payable and accrued expenses                             |   |                              | 100      |   |   |   | (10,980 | ) |
| Decrease in due from Managing General Partner - other, net                               |   |                              | -        |   |   |   | 80,695 |   |
| Decrease in due to Managing General Partner - other, net                                 |   |                              | (97,720  | )  |   |   | - |   |
| Net cash provided by operating activities                                                |   |                              | 281,428  |   |   |   | 566,240 |   |
|                                                                                     |   |                              |     |   |   |   |   |   |
| Cash flows from investing activities:                                                    |   |                              |     |   |   |   |   |   |
| Capital expenditures for oil and gas properties                                          |   |                              | (740     | ) |   |   | (15,472 | ) |
| Net cash used in investing activities                                                    |   |                              | (740     | ) |   |   | (15,472 | ) |
|                                                                                     |   |                              |     |   |   |   |   |   |
| Cash flows from financing activities:                                                    |   |                              |     |   |   |   |   |   |
| Distributions to Partners                                                                |   |                              | (280,681 | ) |   |   | (550,087 | ) |
| Net cash used in financing activities                                                    |   |                              | (280,681 | ) |   |   | (550,087 | ) |
|                                                                                     |   |                              |     |   |   |   |   |   |
| Net increase in cash and cash equivalents                                                |   |                              | 7        |   |   |   | 681 |   |
| Cash and cash equivalents, beginning of period                                           |   |                              | 57,505   |   |   |   | 56,772 |   |
| Cash and cash equivalents, end of period                                                 |   | $                                 | 57,512   |   |   | $ | 57,453 |   |

----

Index

NOTES

----

Index

----

Index

|                                                                                            |   |                |     |   |                  |   |
|-------------------------------------------------------------------------------------------------|--------|---------------------|----------|--------|-----------------------|--------|
|                                                                                            |   | March 31, 2010 |     |   | December 31,2009 |   |
|                                                                                            |   |                |     |   |                  |   |
| Natural gas and oil sales revenues collected from the Partnership’s third-party customers |   | $                   | 123,852  |   |                  | $      | 106,460 |   |
| Commodity price risk management, realized gains                                                 |   |                | 110,182  |   |                  |   | 132,191 |   |
| Other (1)                                                                                       |   |                | (234,924 | )      |                  |   | (337,261 | ) |
| Total Due to Managing General Partner-other, net                                                |   | $                   | (890     | )      |                  | $      | (98,610 | ) |

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

|                                       |                              |   |   |   |   |   |
|--------------------------------------------|-----------------------------------|--------|--------|--------|--------|--------|
|                                       | Three months ended March 31, |   |
|                                       | 2010                              |   | 2009   |   |
|                                       |                              |   |   |   |   |   |
| Well operations and maintenance            |                              | $      | 86,024 |   |   | $      | 98,015 |   |
| Gathering, compression and processing fees |                              |   | 9,313  |   |   |   | 8,376 |   |
| Direct costs - general and administrative  |                              |   | 72,565 |   |   |   | 17,840 |   |
| Cash distributions*                        |                              |   | 64,260 |   |   |   | 118,439 |   |

----

Index

|                                  |   |                                           |    |   |                                           |   |     |   |   |
|---------------------------------------|--------|------------------------------------------------|---------|--------|------------------------------------------------|--------|----------|--------|--------|
|                                  |   | Quoted Prices in Active Markets (Level 1) |    |   | Significant Unobservable Inputs (Level 3) |   |     | Total  |   |
|                                  |   |                                           |    |   |                                           |   |     |   |   |
| As of December 31, 2009               |   |                                           |    |   |                                           |   |     |   |   |
| Assets:                               |   |                                           |    |   |                                           |   |     |   |   |
| Commodity based derivatives           |   | $                                              | 163,840 |   |                                           | $      | 201,833  |   |   | $ | 365,673 |   |
| Total assets                          |   |                                           | 163,840 |   |                                           |   | 201,833  |   |   |   | 365,673 |   |
|                                  |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Liabilities:                          |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Commodity based derivatives           |   |                                           | (11,426 | )      |                                           |   | (49,433  | )      |   |   | (60,859 | ) |
| Basis protection derivative contracts |   |                                           | — |   |                                           |   | (585,864 | )      |   |   | (585,864 | ) |
| Total liabilities                     |   |                                           | (11,426 | )      |                                           |   | (635,297 | )      |   |   | (646,723 | ) |
|                                  |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Net asset (liability)                 |   | $                                              | 152,414 |   |                                           | $      | (433,464 | )      |   | $ | (281,050 | ) |
|                                  |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| As of March 31, 2010                  |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Assets:                               |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Commodity based derivatives           |   | $                                              | 566,239 |   |                                           | $      | 68,578   |   |   | $ | 634,817 |   |
| Total assets                          |   |                                           | 566,239 |   |                                           |   | 68,578   |   |   |   | 634,817 |   |
|                                  |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Liabilities:                          |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Commodity based derivatives           |   |                                           | — |   |                                           |   | (47,524  | )      |   |   | (47,524 | ) |
| Basis protection derivative contracts |   |                                           | — |   |                                           |   | (658,343 | )      |   |   | (658,343 | ) |
| Total liabilities                     |   |                                           | — |   |                                           |   | (705,867 | )      |   |   | (705,867 | ) |
|                                  |   |                                           |    |   |                                           |   |     |   |   |   |   |   |
| Net asset (liability)                 |   | $                                              | 566,239 |   |                                           | $      | (637,289 | )      |   | $ | (71,050 | ) |

|                                                                                                                                                |   |                                  |     |   |
|-----------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------------------|----------|--------|
|                                                                                                                                                |   | Three months endedMarch 31, 2010 |     |
| Fair value, net liability, as of December 31, 2009                                                                                                  |   | $                                     | (433,464 | )      |
| Changes in fair value included in statement of operations line item:                                                                                |   |                                  |     |   |
| Commodity price risk management, net                                                                                                                |   |                                  | (46,775  | )      |
| Settlements                                                                                                                                         |   |                                  | (157,050 | )      |
| Fair value, net liability, as of March 31, 2010                                                                                                     |   | $                                     | (637,289 | )      |
|                                                                                                                                                |   |                                  |     |   |
| Change in unrealized gains (losses) relating to assets (liabilities) still held as of March 31, 2010 included in statement of operations line item: |   |                                  |     |   |
| Commodity price risk management, net                                                                                                                |   | $                                     | (62,204  | )      |

----

Index

|                                                |                       |                    |                                          |                |   |     |                   |   |   |
|-----------------------------------------------------|----------------------------|-------------------------|-----------------------------------------------|---------------------|--------|----------|------------------------|--------|--------|
|                                                |                       |                    |                                          | Fair Value          |   |
| Derivative instruments not designated as hedge (1): |                       | Balance Sheet Line Item |                                          | March 31, 2010 |   |     | December 31, 2009 |   |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |
| Derivative Assets:                                  | Current                    |                    |                                          |                |   |     |                   |   |   |
|                                                | Commodity contracts        |                    | Due from Managing General Partner-derivatives |                | $      | 232,820  |                   |   | $      | 204,247 |   |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Non Current                |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Commodity contracts        |                    | Due from Managing General Partner-derivatives |                |   | 401,997  |                   |   |   | 161,426 |   |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
| Total Derivative Assets                             |                       |                    |                                          |                | $      | 634,817  |                   |   | $      | 365,673 |   |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
| Derivative Liabilities:                             | Current                    |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Commodity contracts        |                    | Due to Managing General Partner-derivatives   |                | $      | (11,203  | )                      |   | $      | (11,745 | ) |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Basis protection contracts |                    | Due to Managing General Partner-derivatives   |                |   | (184,077 | )                      |   |   | (152,515 | ) |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Non Current                |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Commodity contracts        |                    | Due to Managing General Partner-derivatives   |                |   | (36,321  | )                      |   |   | (49,114 | ) |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
|                                                | Basis protection contracts |                    | Due to Managing General Partner-derivatives   |                |   | (474,266 | )                      |   |   | (433,349 | ) |
|                                                |                       |                    |                                          |                |   |     |                   |   |   |   |   |
| Total Derivative Liabilities                        |                       |                    |                                          |                | $      | (705,867 | )                      |   | $      | (646,723 | ) |

|   | (1) | As of March 31, 2010 and December 31, 2009, none of the Partnership’s derivative instruments were designated as hedges. |
|--------|-----|-------------------------------------------------------------------------------------------------------------------------------|

|                                            |   |                                                                             |     |   |                                                 |   |    |   |   |   |                                                                             |   |   |                                                          |     |   |   |   |
|-------------------------------------------------|--------|----------------------------------------------------------------------------------|----------|--------|------------------------------------------------------|--------|---------|--------|--------|--------|----------------------------------------------------------------------------------|--------|--------|---------------------------------------------------------------|----------|--------|--------|--------|
|                                            |   | Three months ended March 31,                                                |     |
|                                            |   | 2010                                                                             |     |   | 2009                                                 |   |
|                                            |   |                                                                             |     |   |                                                 |   |    |   |   |   |                                                                             |   |   |
| Statement of operations line item               |   | Reclassification of Realized Gains (Losses) Included in Prior Periods Unrealized |     |   | Realized and Unrealized Gains For the Current Period |   |    | Total  |   |   | Reclassification of Realized Gains (Losses) Included in Prior Periods Unrealized |   |   | Realized and Unrealized Gains (Losses) For the Current Period |     |   | Total  |   |
|                                            |   |                                                                             |     |   |                                                 |   |    |   |   |   |                                                                             |   |   |                                                          |     |   |   |   |
| Commodity price risk management, net            |   |                                                                             |     |   |                                                 |   |    |   |   |   |                                                                             |   |   |                                                          |     |   |   |   |
| Realized gains                                  |   | $                                                                                | 145,222  |   |                                                 | $      | 11,828  |   |   | $      | 157,050                                                                          |   |   | $                                                             | 269,186  |   |   | $      | 54,735 |   |   | $ | 323,921 |   |
| Unrealized (losses) gains                       |   |                                                                             | (145,222 | )      |                                                 |   | 355,222 |   |   |   | 210,000                                                                          |   |   |                                                          | (269,186 | )      |   |   | (45,636 | ) |   |   | (314,822 | ) |
| Total commodity price risk management gain, net |   | $                                                                                | —  |   |                                                 | $      | 367,050 |   |   | $      | 367,050                                                                          |   |   | $                                                             | —  |   |   | $      | 9,099 |   |   | $ | 9,099 |   |

----

Index

----

Index

| Item 2.  | Management’sDiscussion and Analysis of Financial Condition and Results of Operations |
|---------------|--------------------------------------------------------------------------------------------|

----

Index

----

Index

----

Index

|                                                           |   |                              |    |   |   |   |    |   |   |
|----------------------------------------------------------------|--------|-----------------------------------|---------|--------|--------|--------|---------|--------|--------|
|                                                           |   | Three months ended March 31, |    |
|                                                           |   | 2010                              |    |   | 2009   |   |    | Change |   |
| Number of producing wells (end of period)                      |   |                              | 25      |   |   |   | 26      |   |   |   | -4 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Production: (1)                                                |   |                              |    |   |   |   |    |   |   |   |   |   |
| Natural gas (Mcf)                                              |   |                              | 40,193  |   |   |   | 50,826  |   |   |   | -21 | % |
| Oil (Bbl)                                                      |   |                              | 2,138   |   |   |   | 2,185   |   |   |   | -2 | % |
| Natural gas equivalents (Mcfe) (2)                             |   |                              | 53,021  |   |   |   | 63,936  |   |   |   | -17 | % |
| Mcfe per day                                                   |   |                              | 589     |   |   |   | 710     |   |   |   |   |   |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Natural Gas and Oil Sales                                      |   |                              |    |   |   |   |    |   |   |   |   |   |
| Natural gas                                                    |   | $                                 | 210,628 |   |   | $      | 161,695 |   |   |   | 30 | % |
| Oil                                                            |   |                              | 155,406 |   |   |   | 78,041  |   |   |   | 99 | % |
| Total natural gas and oil sales                                |   | $                                 | 366,034 |   |   | $      | 239,736 |   |   |   | 53 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Realized Gain on Derivatives, net                              |   |                              |    |   |   |   |    |   |   |   |   |   |
| Natural gas                                                    |   | $                                 | 133,191 |   |   | $      | 235,898 |   |   |   | -44 | % |
| Oil                                                            |   |                              | 23,859  |   |   |   | 88,023  |   |   |   | -73 | % |
| Total realized gain on derivatives, net                        |   | $                                 | 157,050 |   |   | $      | 323,921 |   |   |   | -52 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Average Selling Price (excluding realized gain on derivatives) |   |                              |    |   |   |   |    |   |   |   |   |   |
| Natural gas (per Mcf)                                          |   | $                                 | 5.24    |   |   | $      | 3.18    |   |   |   | 65 | % |
| Oil (per Bbl)                                                  |   |                              | 72.69   |   |   |   | 35.72   |   |   |   | 104 | % |
| Natural gas equivalents (per Mcfe)                             |   |                              | 6.90    |   |   |   | 3.75    |   |   |   | 84 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Average Selling Price (including realized gain on derivatives) |   |                              |    |   |   |   |    |   |   |   |   |   |
| Natural gas (per Mcf)                                          |   | $                                 | 8.55    |   |   | $      | 7.82    |   |   |   | 9 | % |
| Oil (per Bbl)                                                  |   |                              | 83.85   |   |   |   | 76.00   |   |   |   | 10 | % |
| Natural gas equivalents (per Mcfe)                             |   |                              | 9.87    |   |   |   | 8.82    |   |   |   | 12 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Average Lifting Cost (per Mcfe) (3)                            |   | $                                 | 1.87    |   |   | $      | 1.89    |   |   |   | -1 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Operating costs and expenses:                                  |   |                              |    |   |   |   |    |   |   |   |   |   |
| Direct costs - general and administrative                      |   | $                                 | 72,565  |   |   | $      | 17,840  |   |   |   |   | *  |
| Depreciation, depletion and amortization                       |   | $                                 | 172,624 |   |   | $      | 260,980 |   |   |   | -34 | % |
|                                                           |   |                              |    |   |   |   |    |   |   |   |   |   |
| Cash distributions                                             |   | $                                 | 280,681 |   |   | $      | 550,087 |   |   |   | -49 | % |

----

|   | (1) | Production is determined by multiplying the gross production volume of properties in which the Partnership has an interest by the percentage of the leasehold or other property interest the Partnership owns. |
|--------|-----|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (2) | A ratio of energy content of natural gas and oil (six Mcf of natural gas equals one Bbl of oil) was used to obtain a conversion factor to convert oil production into equivalent Mcf of natural gas. |
|--------|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | (3) | Lifting costs represent natural gas and oil operating expenses, which include production taxes. |
|--------|-----|-------------------------------------------------------------------------------------------------|

----

Index

|   | ● | Bbl – One barrel or 42 U.S. gallons liquid volume |
|--------|---------|---------------------------------------------------------|

|   | ● | MBbl – One thousand barrels |
|--------|---------|-----------------------------------|

|   | ● | Mcf – One thousand cubic feet |
|--------|---------|-------------------------------------|

|   | ● | MMcf – One million cubic feet |
|--------|---------|-------------------------------------|

|   | ● | Mcfe – One thousand cubic feet of natural gas equivalents |
|--------|---------|-----------------------------------------------------------------|

|   | ● | MMcfe – One million cubic feet of natural gas equivalents |
|--------|---------|-----------------------------------------------------------------|

|   | ● | MMbtu – One million British Thermal Units |
|--------|---------|-------------------------------------------------|

----

Index

|                                                                          |   |                              |     |   |   |   |
|-------------------------------------------------------------------------------|--------|-----------------------------------|----------|--------|--------|--------|
|                                                                          |   | Three months ended March 31, |     |
|                                                                          |   | 2010                              |     |   | 2009   |   |
| Commodity price risk management, net                                          |   |                              |     |   |   |   |
| Realized gain                                                                 |   |                              |     |   |   |   |   |   |
| Oil                                                                           |   | $                                 | 23,859   |   |   | $      | 88,023 |   |
| Natural Gas                                                                   |   |                              | 133,191  |   |   |   | 235,898 |   |
| Total realized gain, net                                                      |   |                              | 157,050  |   |   |   | 323,921 |   |
|                                                                          |   |                              |     |   |   |   |   |   |
| Unrealized gain (loss)                                                        |   |                              |     |   |   |   |   |   |
| Reclassification of realized (gain) loss included in prior periods unrealized |   |                              | (145,222 | )      |   |   | (269,186 | ) |
| Unrealized gain (loss) for the period                                         |   |                              | 355,222  |   |   |   | (45,636 | ) |
| Total unrealized gain (loss), net                                             |   |                              | 210,000  |   |   |   | (314,822 | ) |
| Commodity price risk management gain, net                                     |   | $                                 | 367,050  |   |   | $      | 9,099 |   |

----

Index

|                      |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |
|---------------------------|--------|----------------|---------|--------|-------------------|--------|---------|----------------------------|--------|--------|------------------|--------|--------|----------|---------|--------|------------------|--------|---------|----------------|--------|--------|---------|--------|
|                      |   | Collars        |    |   | Fixed-Price Swaps |   |    | CIG Basis Protection Swaps |   |   |             |   |
|                      |   |           |    |   | Weighted Average  |   |    | Quantity                   |   |   | Weighted Average |   |   |     |    |   | Weighted Average |   |    | Fair Value at  |   |
| Commodity/                |   | Quantity       |    |   | Contract Price    |   |    | (Gas-Mmbtu(1)              |   |   | Contract         |   |   | Quantity |    |   | Contract         |   |    | March 31, |   |
| Index                     |   | (Gas-Mmbtu(1)) |    |   | Floors            |   |    | Ceilings                   |   |   | Oil-Bbls)        |   |   | Price    |    |   | (Gas-Mmbtu(1))   |   |    | Price          |   |   | 2010(2) |   |
|                      |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |
| Natural Gas               |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |
| CIG                       |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |
| 10/01 - 12/31/2010        |   |           | 11,818  |   |              | $      | 4.75    |                       |   | $      | 9.45             |   |   |     | — |   |             | $      | — |           |   |   | — |   |   | $ | — |   |   | $ | 7,673 |   |
| 01/01 - 03/31/2011        |   |           | 17,727  |   |              |   | 4.75    |                       |   |   | 9.45             |   |   |     | — |   |             |   | — |           |   |   | — |   |   |   | — |   |   |   | 8,410 |   |
|                      |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   |   |   |   |
| NYMEX                     |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   |   |   |   |
| 04/01 - 06/30/2010        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 38,475  |   |             |   | 5.55    |           |   |   | 40,196  |   |   |   | (1.88 | ) |   |   | 3,376 |   |
| 07/01 - 09/30/2010        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 36,932  |   |             |   | 5.56    |           |   |   | 39,280  |   |   |   | (1.88 | ) |   |   | (7,302 | ) |
| 10/01 - 12/31/2010        |   |           | 3,181   |   |              |   | 5.75    |                       |   |   | 8.30             |   |   |     | 22,242  |   |             |   | 6.15    |           |   |   | 26,387  |   |   |   | (1.88 | ) |   |   | (969 | ) |
| 01/01 - 03/31/2011        |   |           | 4,340   |   |              |   | 5.75    |                       |   |   | 8.30             |   |   |     | 13,813  |   |             |   | 6.84    |           |   |   | 18,153  |   |   |   | (1.88 | ) |   |   | (3,333 | ) |
| 04/01 - 12/31/2011        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 103,976 |   |             |   | 6.77    |           |   |   | 103,976 |   |   |   | (1.88 | ) |   |   | (1,643 | ) |
| 2012-2013                 |   |           | 6,617   |   |              |   | 6.00    |                       |   |   | 8.27             |   |   |     | 235,332 |   |             |   | 7.05    |           |   |   | 241,948 |   |   |   | (1.88 | ) |   |   | (70,627 | ) |
| Total Natural Gas         |   |           | 43,683  |   |              |   |    |                       |   |   |             |   |   |     | 450,770 |   |             |   |    |           |   |   | 469,940 |   |   |   |   |   |   |   | (64,415 | ) |
|                      |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   |   |   |   |
| Oil                       |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   |   |   |   |
| NYMEX                     |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   |   |   |   |
| 04/01 - 06/30/2010        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 1,700   |   |             |   | 92.96   |           |   |   | — |   |   |   | — |   |   |   | 14,694 |   |
| 07/01 - 09/30/2010        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 1,720   |   |             |   | 92.96   |           |   |   | — |   |   |   | — |   |   |   | 13,501 |   |
| 10/01 - 12/31/2010        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 1,720   |   |             |   | 92.96   |           |   |   | — |   |   |   | — |   |   |   | 12,694 |   |
| 01/01 - 03/31/2011        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 782     |   |             |   | 70.75   |           |   |   | — |   |   |   | — |   |   |   | (11,204 | ) |
| 04/01 - 12/31/2011        |   |           | — |   |              |   | — |                       |   |   | —          |   |   |     | 2,476   |   |             |   | 70.75   |           |   |   | — |   |   |   | — |   |   |   | (36,320 | ) |
| Total Oil                 |   |           | — |   |              |   |    |                       |   |   |             |   |   |     | 8,398   |   |             |   |    |           |   |   | — |   |   |   |   |   |   |   | (6,635 | ) |
|                      |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   |   |   |   |
| Total Natural Gas and Oil |   |           |    |   |              |   |    |                       |   |   |             |   |   |     |    |   |             |   |    |           |   |   |    |   |   |   |   |   |   | $ | (71,050 | ) |

|   | (1) | A standard unit of measure for natural gas (one MMbtu equals one Mcf). |
|--------|-----|------------------------------------------------------------------------|

|   | (2) | Approximately 11% of the fair value of the Partnership’s derivative assets and all of the Partnership’s derivative liabilities were measured using significant unobservable inputs (Level 3), see Note 4, Fair Value Measurements, to the accompanying unaudited condensed financial statements included in this report. |
|--------|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Index

----

Index

|   | ● | Natural gas and oil receivables remained substantially unchanged at $0.3 million as of March 31, 2010 and December 31, 2009, respectively. |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------|

|   | ● | Realized derivative gains receivables remained substantially unchanged at $0.1 million as of March 31, 2010 and December 31, 2009, respectively. |
|--------|---------|--------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ● | Due to the Managing General Partner-other payable, excluding natural gas and oil sales received from third parties and realized derivative gains, decreased by approximately$0.1 million as of March 31, 2010, compared to December 31, 2009. |
|--------|---------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Index

|                         |   |                                   |    |   |                            |   |    |                |   |
|------------------------------|--------|----------------------------------------|---------|--------|---------------------------------|--------|---------|---------------------|--------|
| Quarter ended March 31, |   | Managing General Partner Distributions |    |   | Investor Partners Distributions |   |    | Total Distributions |   |
|                         |   |                                   |    |   |                            |   |    |                |   |
| 2010                         |   | $                                      | 56,137  |   |                            | $      | 224,544 |                |   | $ | 280,681 |   |
|                         |   |                                   |    |   |                            |   |    |                |   |   |   |   |
| 2009                         |   | $                                      | 110,017 |   |                            | $      | 440,070 |                |   | $ | 550,087 |   |

|   | ● | An increase in direct costs – general and administrative of approximately $0.1 million; |
|--------|---------|-----------------------------------------------------------------------------------------------|

|   | ● | A decrease in commodity price risk management realized gains receipts of approximately $0.1 million or 32%; and |
|--------|---------|-----------------------------------------------------------------------------------------------------------------|

|   | ● | An increase in Due to Managing General Partner-other, net, payments of $0.1 million, excluding natural gas and oil sales received from third parties and realized derivative gains. |
|--------|---------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

Index

| Item 3.  | Quantitative and Qualitative Disclosures About Market Risk |
|---------------|------------------------------------------------------------|

| Item 4.  | Controls and Procedures |
|---------------|-------------------------|

----

Index

PART II – OTHER INFORMATION

| Item 1.  | Legal Proceedings |
|---------------|-------------------|

| Item 1A.  | Risk Factors |
|---------------------|--------------|

| Item 2.  | Unregistered Sales of Equity Securities and Use of Proceeds |
|---------------|-------------------------------------------------------------|

|                                                    |   |                              |    |   |                        |   |
|---------------------------------------------------------|--------|-----------------------------------|---------|--------|-----------------------------|--------|
| Period                                                  |   | Total Number of Units Repurchased |    |   | Average Price Paid per Unit |   |
|                                                    |   |                              |    |   |                        |   |
| January 1–31, 2010                                |   |                              | 0.25    |   |                        | $      | 5,600 |   |
| February 1–28, 2010                               |   |                              | — |   |                        |   | — |   |
| March 1–31, 2010                                  |   |                              | — |   |                        |   | — |   |
| Total first quarter Unit Repurchase Program repurchases |   |                              | 0.25    |   |                        |   |   |   |

| Item 3.  | Defaults Upon Senior Securities |
|---------------|---------------------------------|

| Item 4.  | [Removed and Reserved] |
|---------------|------------------------|

| Item 5.  | Other Information |
|---------------|-------------------|

----

Index

| Item 6. |         Exhibits |
|---------|----------------------------------------------------------|

|           |   |                                                                                                                                                                                                                                                                                      |   | Incorporated by Reference |   |            |
|----------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|--------|---------------------------|--------|-----------------|
| Exhibit Number |   | Exhibit Description                                                                                                                                                                                                                                                                       |   | Form                      |   | SEC File Number |   | Exhibit |   | Filing Date |   | Filed Herewith |
| 3.1            |   | Limited Partnership Agreement.                                                                                                                                                                                                                                                            |   | 10-K                      |   | 000-50616       |   | 3.1 |   | 02/12/2010 |   |   |
|           |   |                                                                                                                                                                                                                                                                                      |   |                      |   |            |   |   |   |   |   |   |
| 3.2            |   | Certificate of limited partnership which reflects the organization of the Partnership under West Virginia law.                                                                                                                                                                            |   | 10-K                      |   | 000-50616       |   | 3.2 |   | 02/12/2010 |   |   |
|           |   |                                                                                                                                                                                                                                                                                      |   |                      |   |            |   |   |   |   |   |   |
| 10.1           |   | Drilling and operating agreement between the Partnership and Petroleum Development Corporation (dba PDC Energy), as Managing General Partner.                                                                                                                                             |   | 10-K                      |   | 000-50616       |   | 10.1 |   | 02/12/2010 |   |   |
|           |   |                                                                                                                                                                                                                                                                                      |   |                      |   |            |   |   |   |   |   |   |
| 31.1           |   | Certification by Chief Executive Officer of Petroleum Development Corporation (dba PDC Energy), the Managing General Partner of the Partnership, pursuant to Rule 13a-14(a)/15d-14(c) of the Exchange Act Rules, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.    |   |                      |   |            |   |   |   |   |   | X |
|           |   |                                                                                                                                                                                                                                                                                      |   |                      |   |            |   |   |   |   |   |   |
| 31.2           |   | Certification by Chief Financial Officer of Petroleum Development Corporation (dba PDC Energy), the Managing General Partner of the Partnership, pursuant to Rule 13a-14(a)/15d-14(c) of the Exchange Act Rules, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.    |   |                      |   |            |   |   |   |   |   | X |
|           |   |                                                                                                                                                                                                                                                                                      |   |                      |   |            |   |   |   |   |   |   |
| 32.1           |   | Certifications by Chief Executive Officer and Chief Financial Officer of Petroleum Development Corporation (dba PDC Energy), the Managing General Partner of the Partnership, pursuant to Title 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of Sarbanes-Oxley Act of 2002. |   |                      |   |            |   |   |   |   |   | X |

----

Index

SIGNATURES

| Signature                 |   | Title                                              |   | Date              |
|---------------------------|--------|----------------------------------------------------|--------|-------------------|
|                      |   |                                               |   |              |
| /s/ Richard W. McCullough |   | Chairman and Chief Executive Officer               |   | December 15, 2010 |
| Richard W. McCullough     |   | Petroleum Development Corporation (dba PDC Energy) |   |              |
|                      |   | Managing General Partner of the Registrant         |   |              |
|                      |   | (Principal executive officer)                      |   |              |
|                      |   |                                               |   |              |
| /s/ Gysle R. Shellum      |   | Chief Financial Officer                            |   | December 15, 2010 |
| Gysle R. Shellum          |   | Petroleum Development Corporation (dba PDC Energy) |   |              |
|                      |   | Managing General Partner of the Registrant         |   |              |
|                      |   | (Principal financial officer)                      |   |              |
|                      |   |                                               |   |              |
| /s/ R. Scott Meyers       |   | Chief Accounting Officer                           |   | December 15, 2010 |
| R. Scott Meyers           |   | Petroleum Development Corporation (dba PDC Energy) |   |              |
|                      |   | Managing General Partner of the Registrant         |   |              |
|                      |   | (Principal accounting officer)                     |   |              |

----