SECURITIES
AND EXCHANGE COMMISSION
WASHINGTON,
DC 20549
FORM
8-K
CURRENT
REPORT
PURSUANT
TO SECTION 13 OR 15(d) OF THE
SECURITIES
EXCHANGE ACT OF 1934
February
15, 2008
Date
of report (Date of earliest event reported)
Petroleum Development Corporation
Exact
Name of Registrant as Specified in Charter
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Nevada
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0-7246
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95-2636730
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State
or Other Jurisdiction
of
Incorporation
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Commission
File
Number
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IRS
Employer
Identification
Number
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120
Genesis Boulevard, Bridgeport, WV 26330
Address
of Principal Executive Offices
304-842-3597
Registrant's
telephone number, including area code
Check the
appropriate box below if the Form 8-K filing is intended to simultaneously
satisfy the filing
obligation
of the registrant under any of the following provisions (see General Instruction
A.2. below):
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[
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Written
communications pursuant to Rule 425 under Securities Act (17 CFR
230.425)
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[
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Soliciting
material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
240.14a-12)
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[
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Pre-commencement
communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR
240.14d-2(b))
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[
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Pre-commencement
communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR
240.13e-4(c))
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No
Change
Former
Name or Former Address, if Changed Since Last Report
Item
8.01. Other
Events
Petroleum
Development Corporation reported that they have reset and added to
previously published natural gas commodity derivative positions to protect
against possible price instability in future periods.
For the
period from April 2008 through October 2008 the Company replaced the collars
that it previously set with fixed-price swaps. A Nymex based swap of
$8.33/Mmbtu replaced a $6.50/Mmbtu floor and a $10.80/Mmbtu call
for approximately 34% of production in the Appalachian and Michigan
basins. A Nymex based swap of $8.58/Mmbtu replaced a $7.00/Mmbtu
floor and a $13.00/Mmbtu call for another 34% of production in the
Appalachian and Michigan basins. A Panhandle Eastern (PEPL) based
swap of $7.45/Mmbtu replaced a $5.50/Mmbtu floor and a $9.85/Mmbtu call and a
$6.00/Mmbtu floor and a $11.25/Mmbtu call for approximately 45% of
production in the NECO basin. A Colorado Interstate (CIG) based swap
of $7.05/Mmbtu replaced a $5.50/Mmbtu floor and a $10.35/Mmbtu call
for approximately 45% of production in the Piceance and Wattenberg
basins.
For the
period from November 2008 through March 2009 the Company entered into collars
for 20% of the production and swaps for 20% of the production from each of the
following basins: Appalachian, Michigan, NECO, Piceance and
Wattenberg. For the Appalachian and Michigan basins, the Company set
a Nymex based participating collar with an $8.40/Mmbtu floor and a $13.05/Mmbtu
call along with a Nymex based swap of $9.615/Mmbtu. For the NECO
basin, the Company set a PEPL based collar with a $7.25/Mmbtu floor and a
$10.05/Mmbtu call along with a PEPL based swap of $8.44/Mmbtu. For
the Piceance and Wattenberg basins, the Company set a CIG based collar with a
$7.00/Mmbtu floor and a $9.70/Mmbtu call along with a CIG based swap of
$8.18/Mmbtu.
For the
three year period from March 2008 through February 2011 the Company entered into
a Nymex based swap at $8.62/Mmbtu for approximately 74% of production from the
recent Appalachian acquisition of the Castle Gas Company.
The
positions in effect on the Company’s share of production by area are shown in
the attached press release dated February 15, 2008 as Exhibit 99.1.
EXHIBIT
INDEX
Item
9.01. Financial Statements and Exhibits.
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(d)
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Exhibits
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Exhibit
Number: 99.1
Press Release dated February 15,
2008.
SIGNATURES
Pursuant
to the requirements of the Securities Exchange Act of 1934, the registrant has
duly caused this report to be signed on its behalf by the undersigned hereunto
duly authorized.
PETROLEUM
DEVELOPMENT CORPORATION
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Date:
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February
19, 2008
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By:
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/s/
Richard W. McCullough
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Richard
W. McCullough
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Vice
Chairman and Chief Financial
Officer
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