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United States
Securities and Exchange Commission
 Washington, D.C. 20549
 Form 10-Q
  þ
    
    QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the quarterly period ended June 30, 2010
 o
    
    TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934
 For the transition period from  to
 Commission file number 333-150925-03
 ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
  Delaware
    
    26-2202544(State or other jurisdiction of
    
    (I.R.S. Employerincorporation or organization)
    
    Identification No.)Westpointe Corporate Center One1550 Coraopolis Heights Rd. 2nd FloorMoon Township, PA
    
    15108(Address of principal executive offices)
    
    (zip code)
 (412) 262-2830
 Yes þ No o
 Yes o No o
  Large accelerated filer o
    
    Accelerated filer o
    
    Non-accelerated filer o
    
    Smaller reporting company þ
 Yes o No þ




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##### 



ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
(A Delaware Limited Partnership)
INDEX TO QUARTERLY REPORT
ON FORM 10-Q
 PAGEPART I. FINANCIAL INFORMATIONItem 1: Financial StatementsBalance Sheets as of June 30, 2010 and December 31, 2009
    
    
    3Statements of Operations for the Three Months and Six Months ended June 30, 2010 and 2009
    
    
    4Statement of Changes in Partners Capital for the Six Months ended June 30, 2010
    
    
    5Statements of Cash Flows for the Six Months ended June 30, 2010 and 2009
    
    
    6Notes to Financial Statements
    
    
    7-17Item 2: Managements Discussion and Analysis of Financial Condition and Results of Operations
    
    
    17-21Item 4: Controls and Procedures
    
    
    21PART II. OTHER INFORMATIONItem 1: Legal Proceedings
    
    
    22Item 6: Exhibits
    
    
    22SIGNATURES
    
    
    23CERTIFICATIONSExhibit 31.1Exhibit 31.2Exhibit 32.1Exhibit 32.2
   2




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PART 1. FINANCIAL INFORMATION
 
 ITEM 1. FINANCIAL STATEMENTS
ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
 
 BALANCE SHEETS
 June 30,
    
    
    December 31,2010
    
    
    2009(Unaudited)ASSETSCurrent assets:Cash and cash equivalents
    
    $
    200
    
    
    $
    1,510,300Accounts receivable  affiliate
    
    
    5,752,200
    
    
    
    5,127,800Short-term hedge receivable due from affiliate
    
    
    4,619,500
    
    
    
    3,846,900Total current assets
    
    
    10,371,900
    
    
    
    10,485,000Oil and gas properties, net
    
    
    123,354,300
    
    
    
    130,386,300Long-term hedge receivable due from affiliate
    
    
    6,227,800
    
    
    
    3,386,700$
    139,954,000
    
    
    $
    144,258,000LIABILITIES AND PARTNERS CAPITALCurrent liabilities:Accrued liabilities
    
    $
    534,300
    
    
    $
    253,200Short-term hedge liability due to affiliate
    
    
    79,400
    
    
    
    47,000Total current liabilities
    
    
    613,700
    
    
    
    300,200Asset retirement obligation
    
    
    1,640,700
    
    
    
    1,592,900Long-term hedge liability due to affiliate
    
    
    1,851,100
    
    
    
    552,600Partners capital:Managing general partner
    
    
    13,556,000
    
    
    
    14,734,100Investors partners (20,152.50 units)
    
    
    114,458,400
    
    
    
    122,017,900Accumulated other comprehensive income
    
    
    7,834,100
    
    
    
    5,060,300Total partners capital
    
    
    135,848,500
    
    
    
    141,812,300$
    139,954,000
    
    
    $
    144,258,000
   3




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
 
 STATEMENTS OF OPERATIONS
 (Unaudited)
 Three Months Ended
    
    
    Six Months EndedJune 30,
    
    
    June 30,2010
    
    
    2009
    
    
    2010
    
    
    2009REVENUESNatural gas and oil
    
    $
    4,990,700
    
    
    $
    11,163,100
    
    
    $
    12,362,200
    
    
    $
    13,695,500Interest income
    
    
    300
    
    
    
    200
    
    
    
    600
    
    
    
    200Total revenues
    
    
    4,991,000
    
    
    
    11,163,300
    
    
    
    12,362,800
    
    
    
    13,695,700COSTS AND EXPENSESProduction
    
    
    1,971,800
    
    
    
    2,792,200
    
    
    
    4,530,500
    
    
    
    3,375,300Depletion
    
    
    2,664,000
    
    
    
    3,654,300
    
    
    
    7,176,900
    
    
    
    5,864,300Accretion of asset retirement obligation
    
    
    23,900
    
    
    
    22,000
    
    
    
    47,800
    
    
    
    40,600General and administrative
    
    
    78,200
    
    
    
    74,000
    
    
    
    158,800
    
    
    
    115,600Total expenses
    
    
    4,737,900
    
    
    
    6,542,500
    
    
    
    11,914,000
    
    
    
    9,395,800Net earnings
    
    $
    253,100
    
    
    $
    4,620,800
    
    
    $
    448,800
    
    
    $
    4,299,900Allocation of net earnings (loss):Managing general partner
    
    $
    644,700
    
    
    $
    2,162,300
    
    
    $
    1,631,300
    
    
    $
    2,485,200Limited partners
    
    $
    (391,600
    )
    
    $
    2,458,500
    
    
    $
    (1,182,500
    )
    
    $
    1,814,700Net earnings (loss) per limited partnership unit
    
    $
    (19
    )
    
    $
    122
    
    
    $
    (59
    )
    
    $
    90
   4




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
 
 STATEMENT OF CHANGES IN PARTNERS CAPITAL
 FOR THE SIX MONTHS ENDED
 June 30, 2010
 (Unaudited)
 AccumulatedManaging
    
    
    
    
    
    
    OtherGeneral
    
    
    Limited
    
    
    ComprehensivePartner
    
    
    Partners
    
    
    Income
    
    
    TotalBalance at January 1, 2010
    
    $
    14,734,100
    
    
    $
    122,017,900
    
    
    $
    5,060,300
    
    
    $
    141,812,300Participation in revenues and expenses:Net production revenues
    
    
    2,310,400
    
    
    
    5,521,300
    
    
    
    
    
    
    
    7,831,700Interest income
    
    
    200
    
    
    
    400
    
    
    
    
    
    
    
    600Depletion
    
    
    (618,400
    )
    
    
    (6,558,500
    )
    
    
    
    
    
    
    (7,176,900
    )Accretion of asset retirement obligation
    
    
    (14,100
    )
    
    
    (33,700
    )
    
    
    
    
    
    
    (47,800
    )General and administrative
    
    
    (46,800
    )
    
    
    (112,000
    )
    
    
    
    
    
    
    (158,800
    )Net earnings (loss)
    
    
    1,631,300
    
    
    
    (1,182,500
    )
    
    
    
    
    
    
    448,800Other comprehensive income
    
    
    
    
    
    
    
    
    
    
    2,773,800
    
    
    
    2,773,800Asset contributions
    
    
    144,900
    
    
    
    
    
    
    
    
    
    
    
    144,900Distribution to partners
    
    
    (2,954,300
    )
    
    
    (6,377,000
    )
    
    
    
    
    
    
    (9,331,300
    )Balance at June 30, 2010
    
    $
    13,556,000
    
    
    $
    114,458,400
    
    
    $
    7,834,100
    
    
    $
    135,848,500
   5




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
 
 STATEMENTS OF CASH FLOWS
 (Unaudited)
 Six Months EndedJune 30,2010
    
    
    2009Cash flows from operating activities:Net earnings
    
    $
    448,800
    
    
    $
    4,299,900Adjustments to reconcile net earnings to net cash provided by
operating activities:Depletion
    
    
    7,176,900
    
    
    
    5,864,300Non cash loss on derivative value
    
    
    491,000
    
    
    
    Accretion of asset retirement obligation
    
    
    47,800
    
    
    
    40,600Decrease in accounts receivable-affiliate
    
    
    (624,400
    )
    
    
    (7,398,700
    )Increase in accrued liabilities
    
    
    281,100
    
    
    
    11,700Net cash provided by operating activities
    
    
    7,821,200
    
    
    
    2,817,800Cash flows from investing activities:Oil and gas well drilling contract paid to MGP
    
    
    
    
    
    
    (45,492,800
    )Net cash used in financing activities
    
    
    
    
    
    
    (45,492,800
    )Cash flows from financing activities:Partners capital contribution
    
    
    
    
    
    
    24,653,200Distributions to partners
    
    
    (9,331,300
    )
    
    
    Net cash (used in) provided by financing activities
    
    
    (9,331,300
    )
    
    
    24,653,200Net decrease in cash and cash equivalents
    
    
    (1,510,100
    )
    
    
    (18,021,800
    )Cash and cash equivalents at beginning of period
    
    
    1,510,300
    
    
    
    20,839,700Cash and cash equivalents at end of period
    
    $
    200
    
    
    $
    2,817,900Supplemental Schedule of non-cash investing and financing activities:Assets contributed by managing general partner:Tangible drilling costs
    
    $
    144,900
    
    
    $
    13,440,200Lease costs
    
    
    
    
    
    
    1,355,800Syndication and offering costs
    
    
    
    
    
    
    1,693,800$
    144,900
    
    
    $
    16,489,800Asset retirement obligation
    
    $
    
    
    
    $
    512,400
   6




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
 
 NOTES TO FINANCIAL STATEMENTS
 June 30, 2010
 (Unaudited)
 NOTE 1  BASIS OF PRESENTATION
   NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
 Use of Estimates
   Fair Value of Financial Instruments
   7




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Oil and Gas Properties
    Impairment of Long-Lived Assets
     8




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Impairment of Long-Lived Assets (Continued)
  Working Interest
  Revenue Recognition
    9




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Comprehensive Income (Loss)
  Three Months Ended
    
    
    Six Months EndedJune 30,
    
    
    June 30,2010
    
    
    2009
    
    
    2010
    
    
    2009Net earnings
    
    $
    253,100
    
    
    $
    4,620,800
    
    
    $
    448,800
    
    
    $
    4,299,900Other comprehensive income (loss):Unrealized holding gain (loss) on
hedging contracts
    
    
    (652,800
    )
    
    
    338,700
    
    
    
    5,407,600
    
    
    
    7,514,000Less: reclassification adjustment
for gains realized in net earnings
    
    
    (1,194,100
    )
    
    
    (2,485,200
    )
    
    
    (2,633,800
    )
    
    
    (2,704,200
    )Total other comprehensive income (loss)
    
    
    (1,846,900
    )
    
    
    (2,146,500
    )
    
    
    2,773,800
    
    
    
    4,809,800Comprehensive income (loss)
    
    $
    (1,593,800
    )
    
    $
    2,474,300
    
    
    $
    3,222,600
    
    
    $
    9,109,700
 Recently Adopted Accounting Standards
     10




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 2  SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Continued)
 Recently Issued Accounting Standards
  NOTE 3  OIL AND GAS PROPERTIES
  June 30,
    
    
    December 31,2010
    
    
    2009Natural gas and oil properties:Proved properties:Leasehold interests
    
    $
    2,774,100
    
    
    $
    2,785,500Wells and related equipment
    
    
    220,804,200
    
    
    
    221,106,500223,578,300
    
    
    
    223,892,000Accumulated depletion
    
    
    (100,224,000
    )
    
    
    (93,505,700
    )$
    123,354,300
    
    
    $
    130,386,300
 NOTE 4  ASSET RETIREMENT OBLIGATIONS
    11




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 4  ASSET RETIREMENT OBLIGATIONS (Continued)
  Three Months Ended
    
    
    Six Months EndedJune 30,
    
    
    June 30,2010
    
    
    2009
    
    
    2010
    
    
    2009Asset retirement obligation at beginning of
period
    
    $
    1,616,800
    
    
    $
    1,540,000
    
    
    $
    1,592,900
    
    
    $
    957,000Liabilities incurred from drilling wells
    
    
    
    
    
    
    
    
    
    
    
    
    
    
    512,400Revisions of estimates
    
    
    
    
    
    
    (52,000
    )
    
    
    
    
    
    
    Accretion expense
    
    
    23,900
    
    
    
    22,000
    
    
    
    47,800
    
    
    
    40,600Asset retirement obligation at end of period
    
    $
    1,640,700
    
    
    $
    1,510,000
    
    
    $
    1,640,700
    
    
    $
    1,510,000
 NOTE 5  DERIVATIVE INSTRUMENTS
    12




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 5  DERIVATIVE INSTRUMENTS (Continued)
   Fair Value of Derivative Instruments:
 Asset Derivatives
    
    
    Liability DerivativesDerivatives in
    
    
    
    Fair Value
    
    
    
    
    Fair ValueCash Flow
    
    Balance Sheet
    
    June 30,
    
    
    December 31,
    
    
    Balance Sheet
    
    June 30,
    
    
    December 31,Hedging Relationships
    
    Location
    
    2010
    
    
    2009
    
    
    Location
    
    2010
    
    
    2009Commodity contracts:
    
    Current assets
    
    $
    4,619,500
    
    
    $
    3,846,900
    
    
    Current liabilities
    
    $
    (79,400
    )
    
    $
    (47,000
    )Long-term assets
    
    
    6,227,800
    
    
    
    3,386,700
    
    
    Long-term liabilities
    
    
    (1,851,100
    )
    
    
    (552,600
    )Total derivatives
    
    
    
    $
    10,847,300
    
    
    $
    7,233,600
    
    
    
    
    $
    (1,930,500
    )
    
    $
    (599,600
    )
 Effects of Derivative Instruments on Statements of Operations:
 (Loss)/Gain
    
    
    
    
    GainRecognized in OCI on Derivative
    
    
    
    
    Reclassified from OCI into Income(Effective Portion)
    
    
    Location of Gain/(Loss)
    
    (Effective Portion)Derivatives in
    
    Three Months Ended
    
    
    Reclassified from Accumulated
    
    Three Months EndedCash Flow
    
    June 30,
    
    
    June 30,
    
    
    OCI into Income
    
    June 30,
    
    
    June 30,Hedging Relationship
    
    2010
    
    
    2009
    
    
    (Effective Portion)
    
    2010
    
    
    2009Commodity contracts
    
    $
    (652,800
    )
    
    $
    338,700
    
    
    Natural gas and oil revenue
    
    $
    1,194,100
    
    
    $
    2,485,200
 Gain
    
    
    
    
    GainRecognized in OCI on Derivative
    
    
    
    
    Reclassified from OCI into Income(Effective Portion)
    
    
    Location of Gain/(Loss)
    
    (Effective Portion)Derivatives in
    
    Six Months Ended
    
    
    Reclassified from Accumulated
    
    Six Months EndedCash Flow
    
    June 30,
    
    
    June 30,
    
    
    OCI into Income
    
    June 30,
    
    
    June 30,Hedging Relationship
    
    2010
    
    
    2009
    
    
    (Effective Portion)
    
    2010
    
    
    2009Commodity contracts
    
    $
    5,407,600
    
    
    $
    7,514,000
    
    
    Natural gas and oil revenue
    
    $
    2,633,800
    
    
    $
    2,704,200
   13




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE
5  DERIVATIVE INSTRUMENTS (Continued)
 Natural Gas Fixed Price Swaps
 Production
    
    
    
    
    
    AveragePeriod Ending
    
    Volumes
    
    
    Fixed Price
    
    
    Fair ValueDecember 31,
    
    (MMbtu)(1)
    
    
    (per MMbtu)(1)
    
    
    Asset(2)2010
    
    
    1,054,200
    
    
    $
    7.245
    
    
    $
    2,559,8002011
    
    
    1,394,500
    
    
    
    6.850
    
    
    
    2,124,8002012
    
    
    1,053,800
    
    
    
    7.165
    
    
    
    1,534,8002013
    
    
    652,500
    
    
    
    7.022
    
    
    
    719,4002014
    
    
    
    
    
    
    
    
    
    
    $
    6,938,800
 Natural Gas Costless Collars
 Production
    
    
    
    
    
    
    
    AveragePeriod Ending
    
    Option
    
    Volumes
    
    
    Floor & Cap
    
    
    Fair ValueDecember 31,
    
    Type
    
    (MMbtu)(1)
    
    
    (per MMbtu)(1)
    
    
    Asset (Liability)(2)2010
    
    Puts purchased
    
    
    136,600
    
    
    $
    6.170
    
    
    $
    245,3002010
    
    Calls sold
    
    
    136,600
    
    
    
    7.373
    
    
    
    (18,300
    )2011
    
    Puts purchased
    
    
    705,700
    
    
    
    6.443
    
    
    
    1,144,7002011
    
    Calls sold
    
    
    705,700
    
    
    
    7.554
    
    
    
    (204,700
    )2012
    
    Puts purchased
    
    
    585,800
    
    
    
    6.024
    
    
    
    876,7002012
    
    Calls sold
    
    
    585,800
    
    
    
    7.192
    
    
    
    (480,500
    )2013
    
    Puts purchased
    
    
    677,900
    
    
    
    6.020
    
    
    
    1,141,4002013
    
    Calls sold
    
    
    677,900
    
    
    
    7.183
    
    
    
    (815,600
    )2014
    
    Puts purchased
    
    
    241,500
    
    
    
    5.862
    
    
    
    406,0002014
    
    Calls sold
    
    
    241,500
    
    
    
    6.963
    
    
    
    (380,100
    )$
    1,914,900
 Crude Oil Fixed Price Swaps
 Production
    
    
    
    
    
    AveragePeriod Ending
    
    Volumes
    
    
    Fixed Price
    
    
    Fair ValueDecember 31,
    
    (Bbl)(1)
    
    
    (per Bbl)(1)
    
    
    Asset(3)2010
    
    
    1,100
    
    
    $
    97.123
    
    
    $
    21,7002011
    
    
    1,600
    
    
    
    88.304
    
    
    
    14,3002012
    
    
    1,200
    
    
    
    87.901
    
    
    
    8,1002013
    
    
    300
    
    
    
    88.211
    
    
    
    2,1002014
    
    
    
    
    
    
    
    
    
    
    $
    46,200
  14




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE
5  DERIVATIVE INSTRUMENTS (Continued)
 Crude Oil Costless Collars
 Production
    
    
    
    
    
    
    
    AveragePeriod Ending
    
    Option
    
    Volumes
    
    
    Floor & Cap
    
    
    Fair ValueDecember 31,
    
    Type
    
    (Bbl)(1)
    
    
    (per Bbl)(1)
    
    
    Asset (Liability)(3)2010
    
    Puts purchased
    
    
    700
    
    
    $
    85.000
    
    
    $
    6,6502010
    
    Calls sold
    
    
    700
    
    
    
    112.350
    
    
    
    (50
    )2011
    
    Puts purchased
    
    
    1,000
    
    
    
    77.381
    
    
    
    10,1002011
    
    Calls sold
    
    
    1,000
    
    
    
    101.642
    
    
    
    (4,500
    )2012
    
    Puts purchased
    
    
    800
    
    
    
    76.756
    
    
    
    9,5002012
    
    Calls sold
    
    
    800
    
    
    
    102.181
    
    
    
    (5,800
    )2013
    
    Puts purchased
    
    
    200
    
    
    
    76.757
    
    
    
    2,9002013
    
    Calls sold
    
    
    200
    
    
    
    103.103
    
    
    
    (1,900
    )2014
    
    Puts purchased
    
    
    
    
    
    
    
    
    
    
    2014
    
    Calls sold
    
    
    
    
    
    
    
    
    
    
    $
    16,900Total Net Asset
    
    
    $
    8,916,800
 
 (1)
    
    MMBTU represents million British Thermal Units. Bbl represents barrels.(2)
    
    Fair value based on forward NYMEX natural gas prices, as applicable.(3)
    
    Fair value based on forward WTI crude oil prices, as applicable. NOTE 6  FAIR VALUE OF FINANCIAL INSTRUMENTS
  Level
1
 Level
2 
 Level
3 
  15




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 6  FAIR VALUE OF FINANCIAL INSTRUMENTS (Continued)
 Assets and Liabilities Measured at Fair Value on a Recurring Basis
  Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis
  NOTE 7  CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS
  
    
    Administrative costs which are included in general and administrative expenses in the
Partnerships statements of operations are payable at $75 per well per month.
Administrative costs incurred for the three and six months ended June 30, 2010 were
$37,700 and $74,400, respectively. Administrative costs incurred for the three and six
months ended June 30, 2009 were $24,800 and $32,700, respectively.
 
    
    Monthly well supervision fees which are included in production expenses in the
Partnerships statements of operations are payable at $975 per well per month for
Marcellus wells and $1,500, for New Albany and Indiana Wells. For all other wells, a fee
of $392 is charged per will per month for operating and maintaining the wells. Well
supervision fees incurred for the three and six months ended June 30, 2010 were $312,100
and $615,700, respectively. Supervision fees incurred for the three and six months ended
June 30, 2009 were $203,200 and $257,900, respectively.
 
    
    Transportation fees which are included in production expenses in the Partnerships
statements of operations are generally payable at 13% of the natural gas sales price.
Transportation fees incurred for the three and six months ended June 30, 2010 were
$517,500 and $1,303,700, respectively. Transportation fees incurred for the three and
six months ended June 30, 2009 were $1,408,500 and $1,739,800, respectively.
 
    
    Assets contributed from the MGP which are disclosed on the Partnerships statements
of cash flows as a non-cash activity for the six months ended June 30, 2010 and 2009
were $144,900 and $16,489,800, respectively.
  16




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ATLAS RESOURCES PUBLIC 18-2008 (A) L.P.
NOTES TO FINANCIAL STATEMENTS (Continued)
June 30, 2010
(Unaudited)
 NOTE 7  CERTAIN RELATIONSHIPS AND RELATED PARTY TRANSACTIONS (Continued)
  Subordination by Managing General Partner
  NOTE 8  COMMITMENTS AND CONTINGENCIES
 Legal Proceedings
   
 ITEM 2.
    
    MANAGEMENTS DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS (UNAUDITED)
 Forward-Looking Statements
 When used in this Form 10-Q , the words believes, anticipates, expects and similar
expressions are intended to identify forward-looking statements. There are risks and uncertainties
that could cause actual results to differ materially from the results stated or implied in this
document. Readers are cautioned not to place undue reliance on these forward-looking statements,
which speak only as of the date hereof. We undertake no obligation to publicly release the results
of any revisions to forward-looking statements which we may make to reflect events or circumstances
after the date of this Form 10-Q or to reflect the occurrence of unanticipated events.
 BUSINESS OVERVIEW
   17




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Results of Operations
  Three Months Ended
    
    
    Six Months EndedJune 30,
    
    
    June 30,2010
    
    
    2009
    
    
    2010
    
    
    2009Production revenues (in thousands):Gas
    
    $
    4,624
    
    
    $
    11,028
    
    
    $
    11,430
    
    
    $
    13,560Oil
    
    
    185
    
    
    
    135
    
    
    
    616
    
    
    
    135Liquid
    
    
    182
    
    
    
    
    
    
    
    316
    
    
    
    Total
    
    $
    4,991
    
    
    $
    11,163
    
    
    $
    12,362
    
    
    $
    13,695Production volumes:Gas (mcf/day) (1)
    
    
    7,591
    
    
    
    18,766
    
    
    
    10,054
    
    
    
    11,420Oil (bbls/day) (1)
    
    
    33
    
    
    
    29
    
    
    
    60
    
    
    
    14Liquid (bbl/day) (1)
    
    
    42
    
    
    
    
    
    
    
    36
    
    
    
    Total (mcfe/day) (1)
    
    
    8,041
    
    
    
    18,940
    
    
    
    10,630
    
    
    
    11,504Average sales prices: (2)Gas (per mcf) (1) (3)
    
    $
    7.05
    
    
    $
    6.46
    
    
    $
    6.55
    
    
    $
    6.56Oil (per bbl) (1) (4)
    
    $
    61.92
    
    
    $
    52.17
    
    
    $
    56.95
    
    
    $
    52.17Liquid (per bbl) (1)
    
    $
    47.94
    
    
    $
    
    
    
    $
    48.36
    
    
    $
    Average production costs:As a percent of revenues
    
    
    40
    %
    
    
    25
    %
    
    
    37
    %
    
    
    25
    %Per mcfe (1)
    
    $
    2.78
    
    
    $
    1.61
    
    
    $
    2.40
    
    
    $
    1.61Depletion per mcfe
    
    $
    3.76
    
    
    $
    2.10
    
    
    $
    3.81
    
    
    $
    2.80
 (1)
    
    Mcf represents thousand cubic feet, mcfe represents thousand cubic feet
equivalent, and bbls represents barrels. Bbls are converted to mcfe using the ratio
of six mcfs to one bbl. Liquid gallons are converted into bbls by a ratio of 42 gallons
per bbl.(2)
    
    Average sales prices represent accrual basis pricing after reversing the effect
of previously recognized gains resulting from prior period impairment charges.(3)
    
    Average gas prices are calculated by including in total revenue derivative gains
previously recognized into income and dividing by the total volume for the period.
Previously recognized derivative gains were $248,800 and $486,900 for the three and six
months ended June 30, 2010, respectively. The derivative gains are included in other
comprehensive income and resulted from prior period impairment charges.(4)
    
    Average oil prices are calculated by including in total revenue derivative gains
previously recognized into income and dividing by the total volume for the period.
Previously recognized derivative gains were $2,100 and $4,100 for the three and six
months ended June 30, 2010, respectively. The derivative gains are included in other
comprehensive income and resulted from prior period impairment charges.  18




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Natural Gas Revenues.
  Oil Revenues.
  Natural Gas Liquids Revenue
 Expenses.
    19




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Liquidity and Capital Resources
      Subordination by Managing General Partner
  CRITICAL ACCOUNTING POLICIES AND ESTIMATES
   20




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Fair Value of Financial Instruments
  Level
1 
 Level
2 
 Level
3 
   
 ITEM 4. CONTROLS AND PROCEDURES
     21




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PART II OTHER INFORMATION
 
 ITEM 1. LEGAL PROCEEDINGS
   
 ITEM 6. EXHIBITS
 
 EXHIBIT INDEX
 Exhibit No.
    
    Description4.0
    
    
    Amended and Restated Certificate and Agreement of Limited Partnership for Public 18-2008 (A) L.P. (1)10.1
    
    
    Drilling and Operating Agreement for Atlas America Public 18-2008 (A) L.P. (1)31.1
    
    
    Rule 13a-14(a)/15d-14(a) Certification.31.2
    
    
    Rule 13a-14(a)/15d-14(a) Certification.32.1
    
    
    Section 1350 Certification.32.2
    
    
    Section 1350 Certification.
 
 (1)
    
    Filed on October 15, 2008 in the Form S-1A Registration Statement dated October 15, 2008, File No. 333-150925-03  22




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SIGNATURES
  Atlas Resources Public 18-2008 (A) L.P.Atlas Resources, LLC, Managing General PartnerDate: August 16, 2010
    
    By:
    
    /s/ FREDDIE M. KOTEKFreddie M. Kotek,Chairman of the Board of Directors,Chief Executive Officer and PresidentDate: August 16, 2010
    
    By:
    
    /s/ MATTHEW A. JONESMatthew A. Jones,Chief Financial Officer
  23