UNITED STATES BANKRUPTCY COURT DISTRICT OF DELAWARE In re: Pacific Energy Resources Ltd.

Debtor MONTHLY OPERATING REPORT CaseNo. 09-10795 Reporting Period: October 2010

Schedule of Cash Receipts and Disbursements Bank Reconciliation (or copies of debtors bank reconciliations) Schedule of Professional Fees Paid Copies of bank statements Cash disbursements journals Statement of Operations Balance Sheet Status of Postpetition Taxes Copies of IRS Form 6123 or payment receipt Copies of tax returns filed during reporting period Summary of Unpaid Posipetition Debts Listing of aged accounts payable Accounts Receivable Reconciliation and Aging Debtor Questionnaire

OR-i OR-la MOR-lb

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I I N/A N/A I I I N/A N/A I I

OR-2 MOR-3 OR-4

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MOR-4 OR-4 OR-S MOR-5

N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A

NIA N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A N/A

I declare under penalty of perjury (28 U.S.C. Section 1746) that this report and the attached documents are true and correct to the best of my knowledge and belief.

Signature of Debtor

Date

Signature of Joint Debtor

Date

Signature of Authorized

idual*

November 30, 2010 Date

Jennifer Kurilz Printed Name of Authorized Individual

Treasurer Title of Authorized Individual

*Authorized individual must be an officer, director or shareholder if debtor is a corporation; a partner ifdebtor is a partnership; a manager or member ifdeblor is a limited liability company.

MOle
(04/07)

In re: Ta c i fic Ei,ercy R e sources Ltd. Debtor

Ca.eNo, 09-10785 Reporting Period; October 2010

SCHEDULE OF CASH RECEIPTS AND DISBURSEMENTS

.,. Izzom
CASUB3GJP6Z1%

3 CJ Ai

C1I2AT

4357 048

243

254

I
-

I
-

I
.

1,404,413

1.1441

II
-

5763 102

II

976 034

CASH SALES LOANS AND ADVANCES TRANSFERS OTHER TOTAL RECEIPTS

500000 32,559 532.558

305

.
305

477 477

. -

112640,567

500,305

101,05399 39586604 12,505,810 255766280

33.035 533,340

)PATINGEXPENSES TRANSFERS TO LOCKBOX TRANSFERS TO PAYROLL AND FLEX TRANSFERS TO PEAO TRANSFERS TO OPERATING TRANSFERS TO SEGREGATED TRANSFERS TO TRANSITION TRANSFERS TO BETA OPERATING (A) 401(K) INTEREST PAYMENTS DEBT PAYMENTS "OTALDISBTJRSEMENTS 1

404,260

321

14

.
305

. 500,000

. 904.5651

. . . 321

14

. . -

. . - _ -

. . -

. - - - - . - -

404,594

135,379,041 7,808,878

305

1.732.977 4,219,321 12,607.618 8036,013

500,000

8,028,182 8,900,000 781,606 5,156,467

904899

70,700,699

RV

- nozz,
477

261,350782

NETCASHFLOW (1BCEIPTI1.EMDB9URSE1.I2)

(372,0071

(15

(14

(371.559)

4,415,497

CASH .END OFMONTH

3,985.041

228

240

1
.

1,404,803

1,144

5,391,543

5391,531

0.
904,899 261,350,782 (49.332,965) ___________-

"OTALDIS8URSEMENTS LESS: TRANSFERS TO DEBTOR U4POSSESSION ACCOUNTS PLUS: ESTATE DISBURSEMENTS MADE BY OUTSIDE SOURCES (i.e.from crow ccow1& TOTAL DISBURSEMENTS FOR CALCULATING U.S. TROJSTEE QUARTERLY FEES (A) Tmsfer to 9010 Operuthg comp.

- -

(500,305

FORMMOR.I (0407)

In cc: Pacific Enemy Resources Ltd. Debtor BANK RCONCILIATIONS Continuation Shec; for MOR-Z

Case NoQ9.1 0785 Reportina Period: October 2010

BANK BALANCE

4,040.353
-

228
-

240
-

. -

. -

1,404,890
-

1,144
-

5,446.855
-

1+) DEPOSITS IN TRANSIT

(-) OUTSTANDING CHECKS UNIDENTIFIED RECONCILING ITEM ADJUSTED BANK BALANCE 1

(55.312)
-

(55,312)
-

3.985.041
-

228
-

240
-

1,404,890
-

1 1144
-

5,391,543
-

Adjusted bank balance must equal balance per books

fOSS-f MOR-le (se07)

In re: Pacific Energy Resources

Ltd.

Debtor
SCHEDULE OF PROFESSIONAL FEES AND EXPENSES PAD)

Case No. 09-10785 Reporting Period: October 2010

1
I

____

Al
PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER PER

Nor, 55

202 146 2 500

, .

Andrews Kurth LLP Archon Group Ashby &Geddes Bingham McCutchen LLP Birch, Horton, Bittner and Cherot Budget Printing Deloitte Devlin Jensen ERM-West Hartig Rhodes Haynes & Boone Jensen Lunny Lazard Loeb & Loeb Margaret M. Otico - Notary Public Merrill Millstream Omni Management Group Pachuiski Pachuiski Pepper Hamilton Reed W. Fern! Rutan Rutan Schully Schully Schully

Feb-IC May-09 Nov-09 Oct-09 Dec-09 Mar-09 Jun-AugO9 Mar-Apr-09 May-09 Nov-CS Dec-09 June-10 Sept-Dec-09 Sep-Dec 2009 May-09 Dec-09 Dec-09 Se2-10 Jul-10 Dec09-FeblO, 04CM Dec09-FeblO, Aug10 Aug-09 Jul-10 Dec-09-FeblO, Q4CM,Aug-10 Jul-10 Dec09-Janl0, Q4 CM Feb-10

54,686 981,341 72,464 174,544 43 343 8,526 52 500 606,071 89,590 526,104
, ,

10,428 1,850 41,197 2,101 1,709 12,408 16,151 3,143 10,811 8,440 7,733 25 40 8,877 92,439 303,858 10,916 1,231 5.133

11,530 54,862 67,262 10,805 5 232 64,744 8.360 5.923

,

10606 10607 10613 10619 10608 10614 10604 10615 10616

10/12110 10112/10 10/20110 10120/10 10112/10 10/20/10 10/06/10 10/20/10 10/20/10

9,063 49,527 67,262 10,634 5,222 64,740 8,240 5,923 2124

37,997 20,987 203,269 2,467 165,509 5,335 2593,684 171 186.713 77.315 10 4 762,211 120 795,883

2,124

13,291

FORM M0R1b (04(07)

In re; Pacific Energy Resources Ltd. Debtor SCHEDULE OF PROFESSIONAL FEES AND EXPENSES PAID

Case No. 09-10785 Reporting Period: October 2010

ME
Skadden, Arps, Slate Steptoe & Johnson Steptoe & Johnson Stokes & Spiehier Tetra Tech US Trustee Warren H Smith Warren H Smith Windes Zolfo Cooper Nov Dec-09
-

J PER 9,770 43,372 PER PER PER PER 11 375 PER

,

2,184,961 10617 10/20110 10/27/101

53,875 30,039 3,712 604

Dec-09-Feb-10 June-Aug 2010 Jul-09 April-May-09 July-Sept 2010 Aug-10 DecO9-Feb-10 Sep-ID Feb-10, Mar-09 adj

9,770 43,033

339 776,580 17,900 8,910

10623

10625 10605 10618

10/27/10 10/06/10 10120110

11,375 4,244 10,859

91

167,850 151 180

,

1,509

4,335 PER 10,859 PER PER PER

16,000 2203,162

200,564

Total paid

$310,552

$302,016

$8,537

$13,183,925

$842,084

FORM MOR-ib (04/07)

In re: Pacific Energy Resources Ltd. Debtor

Case No. 09-10785 Reporting Period: October 2010 STATEMENT OF OPERATIONS

(Income Statement)

,.

AN

\"

P
-

Oil and gas production revenue Royalties Net Revenue

65,984,197 (20,320,358) 45,663,839

Note: The cumulative income statement above includes the Companys activity for the entire month of March 2009. The Company filed for Chapter II protection on March 9, 2009.

FORM MOR-2 (04/07)

In re: Pacific Energy Resources Ltd Debtor

Case No. 09-10785 Reporting Period. October 2010

BALANCE SBEET

CIA

M 1ma-11MO S aw 11 M (Umcslricted Cash and Equivalents LRestricted Cash and Cash Equivalents LACCOUQIS Receivable (Net) Inventories Prepaid Expenses LProfessional Retainers [Other Current Assets (See Attached Schedule) TOTAL CURRENT ASSETS
.......

12. 1

3.985,509 1,406,034 373214 410,941.175 416.705,933

S S

QQB1Y
-

Proved Properties Including Lease and Well Equipment In P roem Development Unproved Properties O ffi ce Equipment and Software Ve hic l es Other Equipment and Leasehold Improvements Less Accumulated Depreciation ITO TAL PROPERTY &EQUIPMENT \ O1T1E Cother Assets (See Attached Schedule)

S
$

68,243,089

ccounts Payable and Accrued Liabilities

Taxes Payable
ages Payable

N otes Payable -Dcbtor.in.possession financing

table to RiseEnergylSilverpoint

674,356 -

Se cured Debt / Adequate Protection Payments Professional Fees

ntercompany Payables AssetRetirementObligations AccruedInterest Other Liabilities TOTAL POSTPETITION LIABILITIES Secured Debt Priority Debt Unsecured Debt Intercompany Payables TOTAL PRE-PETITION LIABILITIES TOTAL LIABILITIES Share Capital ContributedSurplus Warrants Additional Paid In Capital Accumulated Other ComprehensiveLoss PartnersCapitalAccount Owners Equity Account Retained Earnings - Pre-Petilion Retained Earnings - Postpetition Adjustment to owner Equity (attach schedule) Posipeition Contributions (Distributions(Draws) (attachschedule) NET SHAREHOLDERS_EQUITY

14,191,868 $14,866,225 $7,782,153 92,190,809 $99,972,962 $114,839,186 -, 4 _+ S20,547 45,906,724 36,905,612 213.954.337 (l 37,I65,608 210,488,223 S370,109,836

TicTAtLflam ADoZRsr1tQurr .

-ii

48494922

maui uioe-a

In re: Pacific Energy Resources Ltd. Debtor

Case No. 09-10785 Reporting Period: October 2010

BALANCE SHEET - continuation sheet

Intercompany Receivables Derivative Assets Advances Other Receivables Total Other Current Assets
j4p-

410,941,175
-

$
t4-f

410,941,175
rjL2
f
?

Performance Bonds Investments-Abandonment Investments-CAC Investments-San Pedro Investments-PEAH Total Other Assets

6,125,000
$

62,118,089 68,243,089

FORM MOR-3 COMM (04/01)

In re: Pacific Energy Resources Ltd. Debtor

Case No. 09-10785 Reporting Period: October 2010

STATUS OF POSTPETITION TAXES

Withholding
FICA-Employee FICA-Employer Unemployment Income Total Federal Taxes Withholding Sales Excise Unemployment Franchise Taxes Personal Property Total State and Local Total Taxes

See Attestation of Regard Postpetilion Taxes

SUMMARY OF UNPAID POSTPETITION DEBTS

Accounts Payable Accrued Royalties Accrued Operating Expenses Accrued ORRIs Total Postpetition Debts

35,461
-

18.194
-

168,413
-

222,068
-

167,583
-

159,301
-

108.773
-

16,630
-

452,288
-

167,583

194,762

126,967

185,044

674,356

FORM MOR4 (04/07)

In re: Pacific Energy Resources Ltd. Debtor

Case No. 09-10785 Reporting Period: October 2010

ACCOUNTS RECEIVABLE RECONCILIATION AND AGING

cothReeivab1eAin.
0-3O days old 31-6o days old 61- 90 days old 91+ days old Total Accounts Receivable Amount considered uncollectible (Bad Debt) Accounts Receivable (Net)
-

DEBTOR QUESTIONNAIRE iMiis )e tompletcd each mojith

r -

I. Have any assets been sold or transferred outside the normal course of business this reporting period? If yes, provide an explanation below.

No

Sale completed December 2009 per court docket 91239.

2. Have any fluids been disbursed from any account other than a debtor in possession account this reporting period? If yes, provide an explanation below. Closed the abandonment liability account ($500,000) & transferred monies to asset purchaser (Rise Energy) per PSA. 3. Have all postpetition tax returns been timely filed? If no, provide an explanation below. 4. Are workers compensation, general liability and other necessary insurance coverages in effect? If no, provide an explanation below Note: We carry only fiduciary liability insurance. Company has no employees. Workers comp not requred. S. Has any bank account been opened during the reporting period? If yes, provide documentation identifying the opened account(s). If an investment account has been opened provide the required documentation pursuant to the Delaware Local Rule 4001-3.

Yes

Yes Yes

No

FORM MOR-5 (04107)

PACIFIC ENERGY

November 30, 2010

Office of the United States Trustee

Subject: Attestation of Regard Postpetition Taxes The debtor, Pacific Energy Resources Ltd., hereby submits this attestation regarding postpetition taxes.

All postpetition taxes for the debtor, which are not subject to dispute or reconciliation, are current. There are no material tax disputes or reconciliations.

ferKur

Treasurer

State of California County of Los Angeles

J&/NIFE1

Subscribed and sworn to (or affirmed) before me on this 30th day of November, 2010 by ROIT proved to me on the basis of satisfactory evidence to be the person(s) who appeared before me.

Gi( Ropp, Notary P

My commission expires

CGAILROP OMMISSION #1757533 Notary Public - California LOS ANGELES

myc

coutiry

ElPires MY 16.

Pacific Energy Resources Ltd, 111 West Ocean Blvd., Suite 1240 Long Beach, CA 90802, Ph: 562-628-1526 Fax: 562-628-1536

9
November 30, 2010 Office of the United States Trustee

PACIFIC ENERGY

Subject: Attestation Re g ard Bank Account Reconciliations The debtor, Pacific Enemy Resources Ltd., hereby submits this attestation regarding bank account reconciliations in lieu of providing copies of bank statements and copies of all account reconciliations. The debtor has, on a timely basis, performed all bank account reconciliation in the ordinary course of its business. Copies of bank account statements and reconciliations are available for inspection upon request by the United States Trustees Office.

JKuri,Tr asurer

State of California County of Los Angeles Subscribed and sworn to (or affirmed) before me on this 30th day of November. 2010 by .JE//ilI/FEIc. KCJIL /T2. , proved to me on the basis of satisfactory evidence to be the person(s) who appeared before me.

Gail
GAIL ROPP COMMISSION At 1757533 Notary Public. California LOS ANGELES COUNTY
My Comm. Expires July 16, 201t

My commission expires

Pacific Energy Resources Ltd, 111 West Ocean Blvd, Suite 1240 Long Beach, CA 90802, Ph: 562-628-1526 Fax: 562-628-1536