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Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Sep. 30, 2013	Nov. 07, 2013
Document and Entity Information
Entity Registrant Name	EVOLUTION PETROLEUM CORP
Entity Central Index Key	0001006655
Document Type	10-Q
Document Period End Date	Sep. 30, 2013
Amendment Flag	false
Current Fiscal Year End Date	--06-30
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		28,599,669
Document Fiscal Year Focus	2014
Document Fiscal Period Focus	Q1

Consolidated Condensed Balance Sheets - USD ($)	Sep. 30, 2013	Jun. 30, 2013
Current assets
Cash and cash equivalents	$ 25,677,097	$ 24,928,585
Certificates of deposit	250,000	250,000
Receivables
Oil and natural gas sales	1,621,720	1,632,853
Income taxes	281,970	281,970
Joint interest partner	21,784	49,063
Other		918
Deferred tax asset	26,133	26,133
Prepaid expenses and other current assets	212,606	266,554
Total current assets	28,091,310	27,436,076
Property and equipment, net of depreciation, depletion, and amortization
Oil and natural gas properties - full-cost method of accounting, of which $4,161,816 and $4,112,704 at September 30, 2013 and June 30, 2013, respectively, were excluded from amortization	38,923,477	38,789,032
Other property and equipment	45,531	52,217
Total property and equipment	38,969,008	38,841,249
Advances to joint interest operating partner	46,364	26,059
Other assets	243,377	252,912
Total assets	67,350,059	66,556,296
Current liabilities
Accounts payable	279,566	642,018
Due to joint interest partner	100,347	127,081
Accrued compensation	392,474	1,385,494
Royalties payable	131,457	91,427
Income taxes payable	638,225	233,548
Other current liabilities	663,488	153,182
Total current liabilities	2,205,557	2,632,750
Long term liabilities
Deferred income taxes	8,491,364	8,418,969
Asset retirement obligations	201,416	615,551
Deferred rent	48,579	52,865
Total liabilities	10,946,916	11,720,135
Commitments and contingencies (Note 11)
Stockholders' equity
Common stock; par value $0.001; 100,000,000 shares authorized: issued 28,599,669 shares at September 30, 2013, and 29,410,858 at June 30, 2013; outstanding 28,599,669 shares and 28,608,969 shares as of September 30, 2013 and June 30, 2013, respectively	28,599	29,410
Additional paid-in capital	31,057,316	31,813,239
Retained earnings	25,316,911	24,013,035
Stockholders equity before treasury stock	56,403,143	55,856,001
Treasury stock, at cost, no shares and 801,889 shares as of September 30, 2013 and June 30, 2013, respectively		(1,019,840)
Total stockholders' equity	56,403,143	54,836,161
Total liabilities and stockholders' equity	67,350,059	66,556,296
Series A Cumulative Preferred Stock
Stockholders' equity
Preferred stock, par value $0.001; 5,000,000 shares authorized:8.5% Series A Cumulative Preferred Stock, 1,000,000 shares authorized, 317,319 shares issued and outstanding at September 30, 2013, and June 30, 2013 with a liquidation preference of $7,932,975 ($25.00 per share)	$ 317	$ 317

Consolidated Condensed Balance Sheets (Parenthetical) - USD ($)	3 Months Ended	12 Months Ended
	Sep. 30, 2013	Jun. 30, 2013
Oil and natural gas properties, excluded from amortization (in dollars)	$ 4,161,816	$ 4,112,704
Preferred stock, par value (in dollars per share)	$ 0.001	$ 0.001
Preferred stock, shares authorized	5,000,000	5,000,000
Common stock, par value (in dollars per share)	$ 0.001	$ 0.001
Common stock, shares authorized	100,000,000	100,000,000
Common stock, issued shares	28,599,669	29,410,858
Common stock, outstanding shares	28,599,669	28,608,969
Treasury stock, shares	0	801,889
Series A Cumulative Preferred Stock
Cumulative Preferred Stock (as a percent)	8.50%	8.50%
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	317,319	317,319
Preferred stock, shares outstanding	317,319	317,319
Preferred stock, total liquidation preference (in dollars)	$ 7,932,975	$ 7,932,975
Preferred stock, liquidation preference (in dollars per share)	$ 25.00	$ 25.00

Consolidated Condensed Statements of Operations - USD ($)

3 Months Ended

Sep. 30, 2013

Sep. 30, 2012

Revenues

Crude oil

$ 4,591,377

$ 4,005,422

Natural gas liquids

24,146

119,611

Natural gas

18,176

166,513

Total revenues

4,633,699

4,291,546

Operating Costs

Lease operating expenses

409,847

316,169

Production taxes

8,403

21,373

Depreciation, depletion and amortization

309,673

296,917

Accretion of discount on asset retirement obligations

12,928

21,107

General and administrative expenses

^[1]

1,928,951

1,705,424

Total operating costs

2,669,802

2,360,990

Income from operations

1,963,897

1,930,556

Other

Interest income

7,703

5,616

Interest (expense)

(16,513)

(16,428)

Other income (expense)

(8,810)

(10,812)

Income before income taxes

1,955,087

1,919,744

Income tax provision

482,636

760,218

Net Income

1,472,451

1,159,526

Dividends on Preferred Stock

168,575

Net income available to common shareholders

$ 1,303,876

$ 990,951

Basic (in dollars per share)

$ 0.05

$ 0.04

Diluted (in dollars per share)

$ 0.04

$ 0.03

Weighted average number of common shares

Basic (in shares)

28,607,320

27,938,297

Diluted (in shares)

32,211,265

31,763,488

[1]	General and administrative expenses for the three months ended September 30, 2013 and 2012 included non-cash stock-based compensation expense of $373,438 and $353,790, respectively.

Consolidated Condensed Statements of Operations (Parenthetical) - USD ($)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Consolidated Condensed Statements of Operations
General and administrative expenses, non-cash stock-based compensation expense	$ 373,438	$ 353,790

Consolidated Condensed Statements of Cash Flows - USD ($)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Cash flows from operating activities
Net Income	$ 1,472,451	$ 1,159,526
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation, depletion and amortization	319,885	307,129
Stock-based compensation	373,438	353,790
Accretion of discount on asset retirement obligations	12,928	21,107
Settlements of asset retirement obligations		(22,211)
Deferred income taxes	72,395	599,052
Deferred rent	(4,286)	(4,287)
Changes in operating assets and liabilities:
Receivables from oil and natural gas sales	11,133	(273,168)
Receivables from income taxes and other	918
Due to/from joint interest partner	(14,614)	(49,344)
Prepaid expenses and other current assets	53,948	56,630
Accounts payable and accrued expenses	(1,186,110)	(637,799)
Royalties payable	40,030	(51,810)
Income taxes payable	404,677	161,166
Net cash provided by operating activities	1,556,793	1,619,781
Cash flows from investing activities
Proceeds from asset sales	66,753
Acquisitions of oil and natural gas properties	(50,154)	(743,720)
Development of oil and natural gas properties	(544,060)	(1,868,892)
Advances to joint venture operating partner		(101,790)
Other assets	(1,913)	(14,684)
Net cash used in investing activities	(529,374)	(2,729,086)
Cash flows from financing activities
Preferred stock dividends paid	(168,575)	(168,575)
Purchases of treasury stock	(117,182)
Recovery of short swing profits	6,850
Deferred loan costs		(16,211)
Net cash used in financing activities	(278,907)	(184,786)
Net increase (decrease) in cash and cash equivalents	748,512	(1,294,091)
Cash and cash equivalents, beginning of period	24,928,585	14,428,548
Cash and cash equivalents, end of period	25,677,097	13,134,457
Non-cash transactions:
Change in accounts payable used to acquire oil and natural gas leasehold interests and develop oil and natural gas properties	(131,290)	124,372
Change in due to joint interest partner used to acquire oil and natural gas leasehold interests and develop oil and natural gas properties	(5,146)	(646,932)
Oil and natural gas properties incurred through recognition of asset retirement obligations	$ 45,172	$ 8,558

Consolidated Condensed Statement of Changes in Stockholders' Equity - 3 months ended Sep. 30, 2013 - USD ($)	Total	Preferred	Common Stock	Additional Paid-in Capital	Retained Earnings	Treasury Stock
Balance at Jun. 30, 2013	$ 54,836,161	$ 317	$ 29,410	$ 31,813,239	$ 24,013,035	$ (1,019,840)
Balance (in shares) at Jun. 30, 2013		317,319	28,608,969
Increase (Decrease) in Stockholders' Equity
Stock-based compensation	373,438			373,438
Exercise of stock warrants			$ 1	(1)
Exercise of stock warrants (in shares)			922
Purchases of treasury stock	(117,182)					(117,182)
Purchases of treasury stock (in shares)			(10,222)
Retirements of treasury stock			$ (812)	(1,136,210)		$ 1,137,022
Recovery of short swing profits	6,850			6,850
Net income	1,472,451				1,472,451
Preferred Stock dividends	(168,575)				(168,575)
Balance at Sep. 30, 2013	$ 56,403,143	$ 317	$ 28,599	$ 31,057,316	$ 25,316,911
Balance (in shares) at Sep. 30, 2013		317,319	28,599,669

Organization and Basis of Preparation	3 Months Ended
Organization and Basis of Preparation	Sep. 30, 2013
Organization and Basis of Preparation
Organization and Basis of Preparation	Note 1—Organization and Basis of Preparation *Nature of Operations.* Evolution Petroleum Corporation (“EPM”) and its subsidiaries (the “Company”, “we”, “our” or “us”), is an independent petroleum company headquartered in Houston, Texas and incorporated under the laws of the State of Nevada. We are engaged primarily in the acquisition, exploitation and development of properties for the production of crude oil and natural gas. We acquire properties with known oil and natural gas resources and exploit them through the application of conventional and specialized technology to increase production, ultimate recoveries, or both. *Interim Financial Statements.* The accompanying unaudited consolidated condensed financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) for interim financial information and with the appropriate rules and regulations of the Securities and Exchange Commission (“SEC”). Accordingly, certain information and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been condensed or omitted pursuant to such rules and regulations. All adjustments (consisting of normal recurring accruals) which are, in the opinion of management, necessary for a fair presentation of the financial position and results of operations for the interim periods presented have been included. The interim financial information and notes hereto should be read in conjunction with the Company’s 2013 Annual Report on Form 10-K for the fiscal year ended June 30, 2013, as filed with the SEC. The results of operations for interim periods are not necessarily indicative of results to be expected for a full fiscal year. *Principles of Consolidation and Reporting.* Our consolidated financial statements include the accounts of EPM and its wholly-owned subsidiaries: NGS Sub Corp and its wholly owned subsidiary, Tertiaire Resources Company, NGS Technologies, Inc., Evolution Operating Co., Inc. and Evolution Petroleum OK, Inc. All significant intercompany transactions have been eliminated in consolidation. The consolidated financial statements for the previous period may include certain reclassifications that were made to conform to the current presentation. Such reclassifications have no impact on previously reported loss or stockholders’ equity. *Use of Estimates.* The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of assets and liabilities at the dates of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Significant estimates include reserve quantities and estimated future cash flows associated with proved reserves, which significantly impact depletion expense and potential impairments of oil and natural gas properties, income taxes and the valuation of deferred tax assets, stock-based compensation and commitments and contingencies. We analyze our estimates based on historical experience and various other assumptions that we believe to be reasonable. While we believe that our estimates and assumptions used in preparation of the consolidated financial statements are appropriate, actual results could differ from those estimates. *Recent Accounting Pronouncements.* Income Taxes. In July 2013 the FASB has issued ASU No. 2013-11, Income Taxes (Topic 740): Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists. This ASU applies to all entities that have unrecognized tax benefits when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists at the reporting date. U.S. GAAP does not include explicit guidance on the financial statement presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss, or a tax credit carryforward exists. The amendments in this ASU state that an unrecognized tax benefit, or a portion of an unrecognized tax benefit, should be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, except as follows. To the extent a net operating loss carryforward, a similar tax loss, or a tax credit carryforward is not available at the reporting date under the tax law of the applicable jurisdiction to settle any additional income taxes that would result from the disallowance of a tax position or the tax law of the applicable jurisdiction does not require the entity to use, and the entity does not intend to use, the deferred tax asset for such purpose, the unrecognized tax benefit should be presented in the financial statements as a liability and should not be combined with deferred tax assets. The amendments in this ASU are effective for fiscal years, and interim periods within those years, beginning after December 15, 2013. The adoption of this guidance is not expected to have a material impact on our financial position, cash flows, or results of operations.

- Definition

The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.

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-Number 94-6
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+ Details

Property and Equipment

3 Months Ended

Sep. 30, 2013

Property and Equipment

Property and Equipment

Note 2 —Property and Equipment

As of September 30, 2013 and June 30, 2013 our oil and natural gas properties and other property and equipment consisted of the following:

	September 30, 2013			June 30, 2013
Oil and natural gas properties
Property costs subject to amortization	$	43,159,269		$	42,772,184
Less: Accumulated depreciation, depletion, and amortization	(8,397,608		)	(8,095,856		)
Unproved properties not subject to amortization	4,161,816			4,112,704
Oil and natural gas properties, net	$	38,923,477		$	38,789,032

Other property and equipment
Furniture, fixtures and office equipment, at cost	322,514			322,514
Less: Accumulated depreciation	(276,983		)	(270,297		)
Other property and equipment, net	$	45,531		$	52,217

An unproved property not subject to amortization consists of unevaluated acreage of $4.2 million and $4.1 million as of September 30, 2013 and June 30, 2013, respectively, for our properties in the Mississippi Lime in Oklahoma. Our evaluation of impairment of unproved properties occurs, at a minimum, on a quarterly basis. Based on this evaluation there were no impaired properties for the three months ended September 30, 2013 and 2012.

- Definition

The entire disclosure for long-lived, physical assets that are used in the normal conduct of business to produce goods and services and not intended for resale. Examples include land, buildings, machinery and equipment, and other types of furniture and equipment including, but not limited to, office equipment, furniture and fixtures, and computer equipment and software. This disclosure may include property plant and equipment accounting policies and methodology, a schedule of property, plant and equipment gross, additions, deletions, transfers and other changes, depreciation, depletion and amortization expense, net, accumulated depreciation, depletion and amortization expense and useful lives, income statement disclosures, assets held for sale and public utility disclosures.

+ References + Details

Joint Interest Agreement

3 Months Ended

Sep. 30, 2013

Joint Interest Agreement

Joint Interest Agreement

Note 3—Joint Interest Agreement

Effective April 17, 2012, a wholly owned subsidiary of the Company entered into definitive agreements with Orion Exploration Partners, LLC (“Orion”) to acquire and develop interests in oil and gas leases, associated surface rights and related assets located in the Mississippian Lime formation in Kay County in North Central Oklahoma. Our participation in this joint venture is reflected on our September 30, 2013 and June 30, 2013 balance sheets by the items below.

	September 30, 2013		June 30, 2013

Advances to joint interest operating partner	$	46,364	$	26,059
Due to joint interest partner	100,347		127,081

Asset Retirement Obligations

3 Months Ended

Sep. 30, 2013

Asset Retirement Obligations

Asset Retirement Obligations

Note 4—Asset Retirement Obligations

Our asset retirement obligations represent the estimated present value of the amount we will incur to plug, abandon and remediate our producing properties at the end of their productive lives in accordance with applicable laws. The following are reconciliations of the beginning and ending asset retirement obligation balances:

	September 30, 2013			June 30, 2013

Asset retirement obligations — beginning of period	$	615,551		$	968,677
Liabilities sold	—			(439,927		)
Liabilities incurred	—			60,143
Liabilities settled	—			(51,086		)
Accretion of discount	12,928			72,312
Revision of previous estimates	45,172			5,432
Asset retirement obligations due within one year included in “Other current liabilities”	(472,235		)	—
Asset retirement obligations — end of period	$	201,416		$	615,551

Stockholders' Equity	3 Months Ended
Stockholders' Equity	Sep. 30, 2013
Stockholders' Equity
Stockholders' Equity	Note 5 — Stockholders’ Equity *Common Stock* During July 2013 the Company retired 801,889 shares of treasury stock thereby reducing the number of common shares issued and not outstanding. In July 2013 we issued Laird Cagan, a Director of the Company, 922 shares of common stock through a cashless exercise of placement warrant. The placement warrant, which was issued to Mr. Cagan on June 22, 2006 in connection with a financing transaction, gave him the right to purchase 1,165 shares of common stock with an exercise price of $2.25 per share. During August and September 2013, the Company received a total of 10,222 shares of common stock from certain officers and employees of the Company to pay for their payroll tax liabilities arising from recent vestings of restricted stock. The weighted average acquisition cost of $11.46 per share reflects the market price of the Company’s shares at the date vested. The 10,222 treasury shares were then retired. *Recovery of Stockholder Short Swing Profit* In September 2013, an executive officer of the Company paid $6,850 to the Company, representing the disgorgement of short swing profits under Section 16(b) under the Exchange Act. The amount was recorded as additional paid-in capital. *Series A Cumulative Perpetual Preferred Stock* At September 30, 2013, there were 317,319 shares of the Company’s 8.5% Series A Cumulative (perpetual) Preferred Stock outstanding. The Series A Cumulative Preferred Stock has a liquidation preference of $25.00 per share and cannot be converted into our common stock. There are no sinking fund or redemption rights available to holders thereof. Optional redemption can only be made by us on or after July 1, 2014 for the stated liquidation value of $25.00 per share plus accrued dividends, or earlier by an acquirer under a change of control at a redemption price of $25.25 per share. With respect to dividend rights and rights upon our liquidation, winding-up or dissolution, the Series A Preferred Stock ranks senior to our common shareholders, but subordinate to any of our existing and future debt. Dividends on the Series A Cumulative Preferred Stock accrue and accumulate at a fixed rate of 8.5% per annum on the $25.00 per share liquidation preference, payable monthly at $0.177083 per share, as, if and when declared by our Board of Directors. During the three months ended September 30, 2013 and 2012, we paid dividends of $168,575 and $168,575, respectively, to holders of our Series A Preferred Stock.

- Definition

The entire disclosure for shareholders' equity, comprised of portions attributable to the parent entity and noncontrolling interest, if any, including other comprehensive income (as applicable). Including, but not limited to: (1) balances of common stock, preferred stock, additional paid-in capital, other capital and retained earnings; (2) accumulated balance for each classification of other comprehensive income and total amount of comprehensive income; (3) amount and nature of changes in separate accounts, including the number of shares authorized and outstanding, number of shares issued upon exercise and conversion, and for other comprehensive income, the adjustments for reclassifications to net income; (4) rights and privileges of each class of stock authorized; (5) basis of treasury stock, if other than cost, and amounts paid and accounting treatment for treasury stock purchased significantly in excess of market; (6) dividends paid or payable per share and in the aggregate for each class of stock for each period presented; (7) dividend restrictions and accumulated preferred dividends in arrears (in aggregate and per share amount); (8) retained earnings appropriations or restrictions, such as dividend restrictions; (9) impact of change in accounting principle, initial adoption of new accounting principle and correction of an error in previously issued financial statements; (10) shares held in trust for Employee Stock Ownership Plan (ESOP); (11) deferred compensation related to issuance of capital stock; (12) note received for issuance of stock; (13) unamortized discount on shares; (14) description, terms, and number of warrants or rights outstanding; (15) shares under subscription and subscription receivables, effective date of new retained earnings after quasi-reorganization and deficit eliminated by quasi-reorganization and, for a period of at least ten years after the effective date, the point in time from which the new retained dates; and (16) retroactive effective of subsequent change in capital structure.

+ References

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-Publisher FASB
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-Name Accounting Standards Codification
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-Section 50
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-Name Accounting Standards Codification
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-Section S99
-Paragraph 1
-Subparagraph (SX 210.3-04)
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Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Preferred Stock
-URI http://asc.fasb.org/extlink&oid=6521494

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Publisher FASB
-Name Accounting Standards Codification
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-URI http://asc.fasb.org/extlink&oid=6928386&loc=d3e21564-112644

Reference 14: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 43
-Section B
-Paragraph 7, 11A
-Chapter 1
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 15: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Principles Board Opinion (APB)
-Number 12
-Paragraph 10
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 16: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 17: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph d
-Article 4

Reference 18: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 02
-Paragraph 29, 30, 31
-Article 5

Reference 19: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section E

Reference 20: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Article 4

Reference 21: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 4
-Section C

Reference 22: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 129
-Paragraph 2, 3, 4, 5, 6, 7, 8
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 23: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 04
-Article 3

+ Details

Stock-Based Incentive Plan

3 Months Ended

Sep. 30, 2013

Stock-Based Incentive Plan

Stock-Based Incentive Plan

Note 6—Stock-Based Incentive Plan

We may grant option awards to purchase common stock (the “Stock Options”), restricted common stock awards (“Restricted Stock”), and unrestricted fully vested common stock, to employees, directors, and consultants of the Company and its subsidiaries under the Natural Gas Systems Inc. 2003 Stock Plan (the “2003 Stock Plan”) and the Evolution Petroleum Corporation Amended and Restated 2004 Stock Plan (the “2004 Stock Plan” or together, the “EPM Stock Plans”). Option awards for the purchase of 600,000 shares of common stock were issued under the 2003 Stock Plan. The 2004 Stock Plan authorized the issuance of 6,500,000 shares of common stock. No shares are available for grant under the 2003 Stock Plan and 800,914 shares remain available for grant under the 2004 Stock Plan as of September 30, 2013.

We have also granted common stock warrants, as authorized by the Board of Directors, to employees in lieu of cash bonuses or as incentive awards to reward previous service or provide incentives to individuals to acquire a proprietary interest in the Company’s success and to remain in the service of the Company (the “Incentive Warrants”). These Incentive Warrants have similar characteristics of the Stock Options. A total of 1,037,500 Incentive Warrants have been issued, with Board of Directors approval, outside of the EPM Stock Plans. We have not issued Incentive Warrants since the listing of our shares on the NYSE MKT (formerly, the American Stock Exchange) in July 2006.

Stock Options and Incentive Warrants

Stock-based compensation expense related to Stock Options and Incentive Warrants for the three months ended September 30, 2013 and the corresponding prior year period was $0 and $26,274, respectively.

No Stock Options or Incentive Warrants have been granted since August 2008.

The following summary presents information regarding outstanding Stock Options and Incentive Warrants as of September 30, 2013, and the changes during the fiscal year:

	Number of Stock Options and Incentive Warrants	Weighted Average Exercise Price		Aggregate Intrinsic Value (1)		Weighted Average Remaining Contractual Term (in years)

Stock Options and Incentive Warrants outstanding at July 1, 2013	4,822,820	$	1.99

Granted	—	—
Exercised	—	—
Cancelled or forfeited	—	—
Expired	—	—

Stock Options and Incentive Warrants outstanding at September 30, 2013	4,822,820	$	1.99	$	44,708,877	2.4

Vested or expected to vest at September 30, 2013	4,822,820	$	1.99	$	44,708,877	2.4

Exercisable at September 30, 2013	4,822,820	$	1.99	$	44,708,877	2.4

(1) Based upon the difference between the market price of our common stock on the last trading date of the period ($11.26 as of September 30, 2013) and the Stock Option or Incentive Warrant exercise price of in-the-money Stock Options and Incentive Warrants.

During the three months ended September 30, 2012 there were 18,922 Stock Options and Incentive Warrants that vested with a total grant date fair value of $46,359 and no unvested Stock Options and Incentive Warrants remained.

As of August 31, 2012 all compensation costs attributable to Stock Options and Incentive Warrants had been recognized.

Restricted Stock

Stock-based compensation expense related to Restricted Stock grants for the three months ended September 30, 2013 and 2012 was $373,438 and $327,516, respectively.

The following table sets forth the Restricted Stock transactions for the three months ended September 30, 2013:

	Number of Restricted Shares		Weighted Average Grant-Date Fair Value

Unvested at July 1, 2013	386,599		$	6.65

Granted	—		—

Vested	(61,345	)	5.01

Forfeited	—		—

Unvested at September 30, 2013	325,254		$	6.96

At September 30, 2013, unrecognized stock compensation expense related to Restricted Stock grants totaled $1,905,882. Such unrecognized expense will be recognized over a weighted average period of 2.1 years.

- Definition

The entire disclosure for compensation-related costs for equity-based compensation, which may include disclosure of policies, compensation plan details, allocation of equity compensation, incentive distributions, equity-based arrangements to obtain goods and services, deferred compensation arrangements, employee stock ownership plan details and employee stock purchase plan details.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 505
-SubTopic 50
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6406099&loc=d3e25284-112666

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 718
-SubTopic 40
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-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6418621&loc=d3e17540-113929

Reference 3: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
-Topic 718
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-Section 50
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Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Staff Accounting Bulletin (SAB)
-Number Topic 14

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 123R
-Paragraph 64, 65, A240
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Statement of Position (SOP)
-Number 93-6
-Paragraph 53
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Fair Value Measurement	3 Months Ended
Fair Value Measurement	Sep. 30, 2013
Fair Value Measurement
Fair Value Measurement	Note 7—Fair Value Measurement Accounting guidelines for measuring fair value establish a three-level valuation hierarchy for disclosure of fair value measurements. The valuation hierarchy categorizes assets and liabilities measured at fair value into one of three different levels depending on the observability of the inputs employed in the measurement. The three levels are defined as follows: Level 1 — Observable inputs such as quoted prices in active markets at the measurement date for identical, unrestricted assets or liabilities. Level 2 — Other inputs that are observable directly or indirectly such as quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. Level 3 — Unobservable inputs for which there is little or no market data and which the Company makes its own assumptions about how market participants would price the assets and liabilities. Fair Value of Financial Instruments. The Company’s other financial instruments consist of cash and cash equivalents, certificates of deposit, receivables and payables. The carrying amounts of cash and cash equivalents, receivables and payables approximate fair value due to the highly liquid or short-term nature of these instruments. Other Fair Value Measurements. The initial measurement of asset retirement obligations at fair value is calculated using discounted future cash flows of internally estimated costs. Significant Level 3 inputs used in the calculation of asset retirement obligations include the costs of plugging and abandoning wells, surface restoration and reserve lives. Subsequent to initial recognition, revisions to estimated asset retirement obligations are made when changes occur for input values, which the Company reviews quarterly.

- Definition

The entire disclosure for the fair value of financial instruments (as defined), including financial assets and financial liabilities (collectively, as defined), and the measurements of those instruments as well as disclosures related to the fair value of non-financial assets and liabilities. Such disclosures about the financial instruments, assets, and liabilities would include: (1) the fair value of the required items together with their carrying amounts (as appropriate); (2) for items for which it is not practicable to estimate fair value, disclosure would include: (a) information pertinent to estimating fair value (including, carrying amount, effective interest rate, and maturity, and (b) the reasons why it is not practicable to estimate fair value; (3) significant concentrations of credit risk including: (a) information about the activity, region, or economic characteristics identifying a concentration, (b) the maximum amount of loss the entity is exposed to based on the gross fair value of the related item, (c) policy for requiring collateral or other security and information as to accessing such collateral or security, and (d) the nature and brief description of such collateral or security; (4) quantitative information about market risks and how such risks are managed; (5) for items measured on both a recurring and nonrecurring basis information regarding the inputs used to develop the fair value measurement; and (6) for items presented in the financial statement for which fair value measurement is elected: (a) information necessary to understand the reasons for the election, (b) discussion of the effect of fair value changes on earnings, (c) a description of [similar groups] items for which the election is made and the relation thereof to the balance sheet, the aggregate carrying value of items included in the balance sheet that are not eligible for the election; (7) all other required (as defined) and desired information.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 820
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=7578670&loc=d3e19207-110258

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Section 50
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Reference 3: http://www.xbrl.org/2003/role/presentationRef
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Reference 4: http://www.xbrl.org/2003/role/presentationRef
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Reference 5: http://www.xbrl.org/2003/role/presentationRef
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Reference 6: http://www.xbrl.org/2003/role/presentationRef
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-Name Accounting Standards Codification
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-Paragraph 10
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Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15B
-Subparagraph a, b
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 133
-Paragraph 44A, 44B
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 9: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 159
-Paragraph 17-22, 27, 28
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 10: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15A
-Subparagraph a-d
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 11: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 15C, 15D
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 12: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 157
-Paragraph 32, 33, 34
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 13: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 107
-Paragraph 3, 10, 14, 15
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Income Taxes	3 Months Ended
Income Taxes	Sep. 30, 2013
Income Taxes
Income Taxes	Note 8 —Income Taxes We file a consolidated federal income tax return in the United States and various combined and separate filings in several state and local jurisdictions. There were no unrecognized tax benefits nor any accrued interest or penalties associated with unrecognized tax benefits during the three months ended September 30, 2013. We believe that we have appropriate support for the income tax positions taken and to be taken on the Company’s tax returns and that the accruals for tax liabilities are adequate for all open years based on our assessment of many factors including past experience and interpretations of tax law applied to the facts of each matter. The Company’s federal and state income tax returns are open to audit under the statute of limitations for the years ending June 30, 2009 through June 30, 2012. The Company recognized income tax expense of $482,636 and $760,218 for the three months ended September 30, 2013 and 2012, respectively, with corresponding effective rates of 24.7% and 39.6%. Our effective tax rate for any period may differ from the statutory federal rate due to (i) our state income tax liability in Louisiana, (ii) stock-based compensation expense related to qualified incentive stock option awards (“ISO awards”), both of which create a permanent tax difference for financial reporting, as these types of awards, if certain conditions are met, are not deductible for federal tax purposes, and (iii) statutory percentage depletion, which may create a permanent tax difference for financial reporting. Our estimated annual income tax rate used to determine income tax expense for the three months ended September 30, 2013 includes the utilization of statutory depletion deductions carried over from previous years resulting in a higher than normal rate benefit from depletion in excess of basis.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

+ Details

Net Income Per Share

3 Months Ended

Sep. 30, 2013

Net Income Per Share

Net Income Per Share

Note 9 —Net Income Per Share

The following table sets forth the computation of basic and diluted income per share:

	Three Months Ended September 30
	2013		2012
Numerator
Net income available to common shareholders	$	1,303,876	$	990,951

Denominator

Weighted average number of common shares — Basic	28,607,320		27,938,297

Effect of dilutive securities:
Common stock warrants issued in connection with equity and financing transactions	—		852

Stock Options and Incentive Warrants	3,603,945		3,824,339

Total weighted average dilutive securities	3,603,945		3,825,191

Weighted average number of common shares and dilutive potential common shares used in diluted EPS	32,211,265		31,763,488

Net income per common share — Basic	$	0.05	$	0.04
Net income per common share — Diluted	$	0.04	$	0.03

Outstanding potentially dilutive securities as of September 30, 2013 were as follows:

Outstanding Potential Dilutive Securities	Weighted Average Exercise Price		Outstanding at September 30, 2013

Common stock warrants issued in connection with equity and financing transactions	$	—	—
Stock Options and Incentive Warrants	$	1.99	4,822,820
Total	$	1.99	4,822,820

Outstanding potentially dilutive securities as of September 30, 2012 were as follows:

Outstanding Potential Dilutive Securities	Weighted Average Exercise Price		Outstanding at September 30, 2012

Common stock warrants issued in connection with equity and financing transactions	$	2.25	1,165
Stock Options and Incentive Warrants	$	1.82	5,342,820
Total	$	1.82	5,343,985

Unsecured Revolving Credit Agreement	3 Months Ended
Unsecured Revolving Credit Agreement	Sep. 30, 2013
Unsecured Revolving Credit Agreement
Unsecured Revolving Credit Agreement	Note 10 - Unsecured Revolving Credit Agreement On February 29, 2012, Evolution Petroleum Corporation entered into a Credit Agreement (the “Credit Agreement”) with Texas Capital Bank, N.A. (the “Lender”). The Credit Agreement provides the Company with a revolving credit facility (the “facility”) in an amount up to $50,000,000 with availability governed by an Initial Borrowing Base of $5,000,000. A portion of the facility not in excess of $1,000,000 is available for the issuance of letters of credit. The facility is unsecured and has a four year term. The Company’s subsidiaries guaranteed the Company’s obligations under the facility. The proceeds of any loans under the facility are to be used by the Company for the acquisition and development of Oil and Gas Properties (as defined in the facility), the issuance of letters of credit, and for working capital and general corporate purposes. Semi-annually, the Borrowing Base and a Monthly Reduction Amount are re-determined from reserve reports. Requests by the Company to increase the $5,000,000 initial amount are subject to the Lender’s credit approval process, and are also limited to 25% of the value Oil and Gas Properties. At the Company’s option, borrowings under the facility bear interest at a rate of either (i) an adjusted LIBOR rate (LIBOR rate divided by the remainder of 1 less the Lender’s Regulation D reserve requirement), or (ii) an adjusted Base Rate equal to the greater of the Lender’s prime rate or the sum of 0.50% and the Federal Funds Rate. A maximum of three LIBOR based loans can be outstanding at any time. Allowed loan interest periods are one, two, three and six months. LIBOR interest is payable at the end of the interest period except for six-month loans for which accrued interest is payable at three months and at end of term. Base Rate interest is payable monthly. Letters of credit bear fees reflecting 3.5% per annum rate applied to their principal amounts and are due when transacted. Their maximum term is one year. A commitment fee of 0.50% per annum accrues on unutilized availability and is payable quarterly. The Company is responsible for certain administrative expenses of the Lender over the life of the Credit Agreement as well as for compensating the Lender $50,000 for incurred loan costs upon closing. The Credit Agreement also contains financial covenants including a requirement that the Company maintain a current ratio of not less than 1.5 to 1; a ratio of total funded Indebtedness to EBITDA of not more than 2.5 to 1, and a ratio of EBITDA to interest expense of not less than 3 to 1. The agreement specifies certain customary covenants, including restrictions on the Company and its subsidiaries from pledging their assets, incurring defined Indebtedness outside of the facility other that permitted indebtedness, and it restricts certain asset sales. Payments of dividends for the Series A Preferred are only restricted by the EBITDA to interest coverage ratio, wherein Series A dividends are a 1X deduction from EBITDA (as opposed to a 3:1 requirement if dividends were treated as interest expense). The Credit Agreement contains customary events of default. If an event of default occurs and is continuing, the Lender may declare all amounts outstanding under the Credit Agreement to be immediately due and payable. As of September 30, 2013, the Company had no borrowings and no outstanding letters of credit issued under the facility, resulting in an available borrowing base capacity of $5,000,000. The Company was in compliance with all the covenants of the Credit Agreement. In connection with this agreement the Company incurred $179,468 of debt issuance costs, which have been capitalized in Other Assets and are being amortized on a straight-line basis over the term of the agreement.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References + Details

Commitments and Contingencies

3 Months Ended

Sep. 30, 2013

Commitments and Contingencies

Commitments and Contingencies

Note 11 — Commitments and Contingencies

We are subject to various claims and contingencies in the normal course of business. In addition, from time to time, we receive communications from government or regulatory agencies concerning investigations or allegations of noncompliance with laws or regulations in jurisdiction in which we operate. We disclose such matters if we believe it is reasonably possible that a future event or events will confirm a loss through impairment of an asset or the incurrence of a liability. We accrue a loss if we believe it is probable that a future event or events will confirm a loss and we can reasonably estimate such loss and we do not accrue future legal costs related to that loss. Furthermore, we will disclose any matter that is unasserted if we consider it probable that a claim will be asserted and there is a reasonable possibility that the outcome will be unfavorable. We expense legal defense costs as they are incurred. For legal proceedings, see “Part II, Item 1. Legal Proceedings.”

Lease Commitments. We have a non-cancelable operating lease for office space that expires on August 1, 2016. Future minimum lease commitments as of September 30, 2013 under this operating lease are as follows:

For the twelve months ended September 30,
2014	$	159,011
2015	159,011
2016	132,509
Total	$	450,531

Rent expense for the three months ended September 30, 2013 and 2012 was $41,918 and $36,808, respectively.

Employment Contracts. We have employment agreements with the Company’s three named officers. The employment contracts provide for a severance package for termination by the Company for any reason other than cause or permanent disability, or in the event of a constructive termination, that includes payment of base pay and certain medical and disability benefits from six months to a year after termination. The total contingent obligation under the employment contracts as of September 30, 2013 is approximately $692,000.

Delhi Payout. We are presently in a dispute with the Delhi Field Operator concerning charges arising from the environmental event that began in June 2013. We believe the Operator has indemnified us for such events, with the effect that payout should not be delayed. To date, the operator has not agreed. Accordingly, we are evaluating our alternatives.

- Definition

The entire disclosure for commitments and contingencies.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 825
-SubTopic 20
-Section 50
-Paragraph 1
-URI http://asc.fasb.org/extlink&oid=6449706&loc=d3e16207-108621

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
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-Section 50
-Paragraph 8
-URI http://asc.fasb.org/extlink&oid=6398077&loc=d3e12565-110249

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 450
-SubTopic 20
-Section 50
-Paragraph 4
-URI http://asc.fasb.org/extlink&oid=6952336&loc=d3e14435-108349

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 210
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.5-02.25)
-URI http://asc.fasb.org/extlink&oid=6877327&loc=d3e13212-122682

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 440
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6394976&loc=d3e25287-109308

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name FASB Interpretation (FIN)
-Number 14
-Paragraph 3
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 5
-Paragraph 9, 10, 11, 12
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Subsequent Events - Restructuring	3 Months Ended
Subsequent Events - Restructuring	Sep. 30, 2013
Subsequent Events - Restructuring
Subsequent Events - Restructuring	Note 12 — Subsequent Event — Restructuring During the second quarter of fiscal 2014, the Company undertook an initiative refocusing its business to GARP® development that will result in adjustment of its workforce towards a lesser emphasis on engineering and greater emphasis on sales and marketing. Accordingly, the Company expects to accrue a restructuring charge in the second quarter ended December 31, 2013 based on agreements with terminated employees covering salary and benefit continuation in exchange for non-compete clauses that are yet to be determined.

Property and Equipment (Tables)

3 Months Ended

Sep. 30, 2013

Property and Equipment

Schedule of oil and natural gas properties and other property and equipment

	September 30, 2013			June 30, 2013
Oil and natural gas properties
Property costs subject to amortization	$	43,159,269		$	42,772,184
Less: Accumulated depreciation, depletion, and amortization	(8,397,608		)	(8,095,856		)
Unproved properties not subject to amortization	4,161,816			4,112,704
Oil and natural gas properties, net	$	38,923,477		$	38,789,032

Other property and equipment
Furniture, fixtures and office equipment, at cost	322,514			322,514
Less: Accumulated depreciation	(276,983		)	(270,297		)
Other property and equipment, net	$	45,531		$	52,217

Joint Interest Agreement (Tables)

3 Months Ended

Sep. 30, 2013

Joint Interest Agreement

Schedule of amounts pertaining to participation in joint venture

	September 30, 2013		June 30, 2013

Advances to joint interest operating partner	$	46,364	$	26,059
Due to joint interest partner	100,347		127,081

Asset Retirement Obligations (Tables)

3 Months Ended

Sep. 30, 2013

Asset Retirement Obligations

Schedule of reconciliations of the beginning and ending asset retirement obligation balances

	September 30, 2013			June 30, 2013

Asset retirement obligations — beginning of period	$	615,551		$	968,677
Liabilities sold	—			(439,927		)
Liabilities incurred	—			60,143
Liabilities settled	—			(51,086		)
Accretion of discount	12,928			72,312
Revision of previous estimates	45,172			5,432
Asset retirement obligations due within one year included in “Other current liabilities”	(472,235		)	—
Asset retirement obligations — end of period	$	201,416		$	615,551

Stock-Based Incentive Plan (Tables)

3 Months Ended

Sep. 30, 2013

Stock-Based Incentive Plan

Summary of information regarding outstanding Stock Options and Incentive Warrants and the changes during the fiscal year

	Number of Stock Options and Incentive Warrants	Weighted Average Exercise Price		Aggregate Intrinsic Value (1)		Weighted Average Remaining Contractual Term (in years)

Stock Options and Incentive Warrants outstanding at July 1, 2013	4,822,820	$	1.99

Granted	—	—
Exercised	—	—
Cancelled or forfeited	—	—
Expired	—	—

Stock Options and Incentive Warrants outstanding at September 30, 2013	4,822,820	$	1.99	$	44,708,877	2.4

Vested or expected to vest at September 30, 2013	4,822,820	$	1.99	$	44,708,877	2.4

Exercisable at September 30, 2013	4,822,820	$	1.99	$	44,708,877	2.4

Schedule of Restricted Stock transactions

	Number of Restricted Shares		Weighted Average Grant-Date Fair Value

Unvested at July 1, 2013	386,599		$	6.65

Granted	—		—

Vested	(61,345	)	5.01

Forfeited	—		—

Unvested at September 30, 2013	325,254		$	6.96

Net Income Per Share (Tables)

3 Months Ended

Sep. 30, 2013

Net Income Per Share

Schedule of computation of basic and diluted income per share

	Three Months Ended September 30
	2013		2012
Numerator
Net income available to common shareholders	$	1,303,876	$	990,951

Denominator

Weighted average number of common shares — Basic	28,607,320		27,938,297

Effect of dilutive securities:
Common stock warrants issued in connection with equity and financing transactions	—		852

Stock Options and Incentive Warrants	3,603,945		3,824,339

Total weighted average dilutive securities	3,603,945		3,825,191

Weighted average number of common shares and dilutive potential common shares used in diluted EPS	32,211,265		31,763,488

Net income per common share — Basic	$	0.05	$	0.04
Net income per common share — Diluted	$	0.04	$	0.03

Schedule of outstanding potentially dilutive securities

Outstanding Potential Dilutive Securities	Weighted Average Exercise Price		Outstanding at September 30, 2013

Common stock warrants issued in connection with equity and financing transactions	$	—	—
Stock Options and Incentive Warrants	$	1.99	4,822,820
Total	$	1.99	4,822,820

Outstanding Potential Dilutive Securities	Weighted Average Exercise Price		Outstanding at September 30, 2012

Common stock warrants issued in connection with equity and financing transactions	$	2.25	1,165
Stock Options and Incentive Warrants	$	1.82	5,342,820
Total	$	1.82	5,343,985

Commitments and Contingencies (Tables)

3 Months Ended

Sep. 30, 2013

Commitments and Contingencies

Schedule of future minimum lease commitments under the operating lease

For the twelve months ended September 30,
2014	$	159,011
2015	159,011
2016	132,509
Total	$	450,531

Property and Equipment (Details) - USD ($)	Sep. 30, 2013	Jun. 30, 2013	Sep. 30, 2012
Property and Equipment
Total property and equipment	$ 38,969,008	$ 38,841,249
Oil and natural gas properties
Property costs subject to amortization	43,159,269	42,772,184
Less: Accumulated depreciation, depletion, and amortization	(8,397,608)	(8,095,856)
Unproved properties not subject to amortization	4,161,816	4,112,704
Other property and equipment
Furniture, fixtures and office equipment, at cost	322,514	322,514
Less: Accumulated depreciation	(276,983)	(270,297)
Mississippi Lime - unevaluated acreage
Oil and natural gas properties
Unproved properties not subject to amortization	4,200,000	4,100,000
Oil and natural gas properties
Property and Equipment
Total property and equipment	38,923,477	38,789,032
Other property and equipment
Impaired unproved properties	0		$ 0
Other Property and Equipment
Property and Equipment
Total property and equipment	$ 45,531	$ 52,217

Joint Interest Agreement (Details) - USD ($)	Sep. 30, 2013	Jun. 30, 2013
Participation in joint venture
Advances to joint interest operating partner	$ 46,364	$ 26,059
Due to joint interest partner	100,347	127,081
Joint interest arrangement \| Orion Exploration Partners, LLC \| Kay County in North Central Oklahoma
Participation in joint venture
Advances to joint interest operating partner	46,364	26,059
Due to joint interest partner	$ 100,347	$ 127,081

- Definition

Amount of payable due to an entity that is affiliated with the reporting entity by means of direct or indirect ownership. Used to reflect the current portion of the liabilities (due within one year or within the normal operating cycle if longer).

+ References + Details

Asset Retirement Obligations (Details) - USD ($)	3 Months Ended		12 Months Ended
Asset Retirement Obligations (Details) - USD ($)	Sep. 30, 2013	Sep. 30, 2012	Jun. 30, 2013
Reconciliation of the beginning and ending asset retirement obligation
Asset retirement obligations - beginning of period	$ 615,551	$ 968,677	$ 968,677
Liabilities sold			(439,927)
Liabilities incurred			60,143
Liabilities settled			(51,086)
Accretion of discount	12,928	$ 21,107	72,312
Revisions to previous estimates	45,172		5,432
Asset retirement obligations due within one year included in Other current liabilities	(472,235)
Asset retirement obligations - end of period	$ 201,416		$ 615,551

Stockholders' Equity (Details)	1 Months Ended			2 Months Ended
Stockholders' Equity (Details)	Sep. 30, 2013 USD ($) $ / shares shares	Aug. 31, 2013 $ / shares shares	Jul. 31, 2013 shares	Sep. 30, 2013 $ / shares shares	Jun. 22, 2006 $ / shares shares
Treasury stock retired (in shares)			801,889
Recovery of Stockholder Short Swing Profit
Recovery of short swing profits \| $	$ 6,850
Common stock
Share acquisition cost (in dollars per share) \| $ / shares	$ 11.26			$ 11.26
Laird Q. Cagan
Right to purchase number of shares of common stock against warrants					1,165
Exercise price of warrants (in dollars per share) \| $ / shares					2.25
Laird Q. Cagan \| Common stock
Number of shares of common stock issued through a net cashless exercise of a placement warrant			922
Officers and employees \| Common stock
Treasury stock retired (in shares)	10,222	10,222		10,222
Shares acquired from related party	10,222	10,222
Officers and employees \| Common stock \| Weighted average
Share acquisition cost (in dollars per share) \| $ / shares	$ 11.46	$ 11.46		$ 11.46

Stockholders' Equity (Details 2) - USD ($)	3 Months Ended		12 Months Ended
Stockholders' Equity (Details 2) - USD ($)	Sep. 30, 2013	Sep. 30, 2012	Jun. 30, 2013
Series A Cumulative Perpetual Preferred Stock
Preferred stock dividends paid	$ 168,575	$ 168,575
Series A cumulative perpetual preferred stock
Series A Cumulative Perpetual Preferred Stock
Number of shares sold of series A cumulative perpetual preferred stock	317,319
Preferred stock dividend rate (as a percent)	8.50%		8.50%
Preferred stock, liquidation preference (in dollars per share)	$ 25.00		$ 25.00
Amount of sinking fund available to stockholders	$ 0
Redemption price per share (in dollars per share)	$ 25.25
Dividend payable monthly on preferred stock (in dollars per share)	$ 0.177083
Preferred stock dividends paid	$ 168,575	$ 168,575

- Definition

The per share liquidation preference (or restrictions) of nonredeemable preferred stock (or preferred stock redeemable solely at the option of the issuer) that has a preference in involuntary liquidation considerably in excess of the par or stated value of the shares. The liquidation preference is the difference between the preference in liquidation and the par or stated values of the share.

+ References + Details

- Definition

The price per share at which the preferred stock of an entity that has priority over common stock in the distribution of dividends and in the event of liquidation of the entity is redeemed or may be called at. The redemption features of this preferred stock are solely within the control of the issuer.

+ References + Details

Stock-Based Incentive Plan (Details) - USD ($)	3 Months Ended		62 Months Ended	121 Months Ended
Stock-Based Incentive Plan (Details) - USD ($)	Sep. 30, 2013	Sep. 30, 2012	Sep. 30, 2013	Sep. 30, 2013
Stock Options and Incentive Warrants
Stock-Based Incentive Plan
Stock-based compensation expense	$ 0	$ 26,274
Granted (in shares)			0
2003 Stock Plan
Stock-Based Incentive Plan
Number of shares remaining available for grant under plan	0		0	0
2003 Stock Plan \| Stock Options and Incentive Warrants
Stock-Based Incentive Plan
Number of shares granted under the Plan				600,000
2004 Stock Plan
Stock-Based Incentive Plan
Number of shares of common stock authorized for issuance under plan	6,500,000		6,500,000	6,500,000
Number of shares remaining available for grant under plan	800,914		800,914	800,914
Board of Directors Authorized, Outside of EMP Stock Plans \| Incentive Warrants
Stock-Based Incentive Plan
Number of Incentive Warrants issued (in shares)	1,037,500		1,037,500	1,037,500

Stock-Based Incentive Plan (Details 2)	3 Months Ended
Stock-Based Incentive Plan (Details 2)	Sep. 30, 2013 USD ($) $ / shares shares
Common stock
Additional disclosures of Stock Options and Incentive Warrants
Market price of common stock on the last trading date of the period (in dollars per share)	$ 11.26
Stock Options and Incentive Warrants
Number of Stock Options and Incentive Warrants
Stock Options and Incentive Warrants outstanding at the beginning of the period (in shares) \| shares	4,822,820
Stock Options and Incentive Warrants outstanding at the end of the period (in shares) \| shares	4,822,820
Vested or expected to vest at the end of the period (in shares) \| shares	4,822,820
Exercisable at the end of the period (in shares) \| shares	4,822,820
Weighted Average Exercise Price
Stock Options and Incentive Warrants outstanding at the beginning of the period (in dollars per share)	$ 1.99
Stock Options and Incentive Warrants outstanding at the end of the period (in dollars per share)	1.99
Exercisable at the end of the period (in dollars per share)	1.99
Vested or expected to vest at the end of the period (in dollars per share)	$ 1.99
Aggregate Intrinsic Value
Stock Options and Incentive Warrants outstanding at the end of the period \| $	$ 44,708,877
Vested or expected to vest at the end of the period \| $	44,708,877
Exercisable at the end of the period (in dollars) \| $	$ 44,708,877
Weighted Average Remaining Contractual Term (in years)
Stock Options and Incentive Warrants outstanding at the end of the period	2 years 4 months 24 days
Vested or expected to vest at the end of the period	2 years 4 months 24 days
Exercisable at the end of the period	2 years 4 months 24 days

Stock-Based Incentive Plan (Details 3) - Stock Options and Incentive Warrants	3 Months Ended
	Sep. 30, 2012 USD ($) shares
Additional disclosures of Stock Options and Incentive Warrants
Vested (in shares)	18,922
Total fair value of awards vested \| $	$ 46,359
Unvested at the end of the period (in shares)	0

Stock-Based Incentive Plan (Details 4) - Restricted Stock - USD ($)	3 Months Ended
	Sep. 30, 2013	Sep. 30, 2012
Stock-Based Incentive Plan
Stock-based compensation expense	$ 373,438	$ 327,516
Number of Restricted Shares
Unvested at the beginning of the period (in shares)	386,599
Vested (in shares)	(61,345)
Unvested at the end of the period (in shares)	325,254
Weighted Average Grant-Date Fair Value
Unvested at the beginning of the period (in dollars per share)	$ 6.65
Vested (in dollars per share)	5.01
Unvested at the end of the period (in dollars per share)	$ 6.96
Additional disclosures of restricted stock
Unrecognized stock compensation expense related to Restricted Stock grants	$ 1,905,882
Weighted average remaining service period over which unrecognized compensation cost is expected to be recognized	2 years 1 month 6 days

Income Taxes (Details) - USD ($)	3 Months Ended
Income Taxes (Details) - USD ($)	Sep. 30, 2013	Sep. 30, 2012
Income Taxes
Unrecognized tax benefits	$ 0
Income tax expense	$ 482,636	$ 760,218
Income tax expense, effective rates (as a percent)	24.70%	39.60%

Net Income Per Share (Details) - USD ($)	3 Months Ended
Net Income Per Share (Details) - USD ($)	Sep. 30, 2013	Sep. 30, 2012
Numerator
Net income available to common shareholders	$ 1,303,876	$ 990,951
Denominator
Weighted average number of common shares - Basic	28,607,320	27,938,297
Effect of dilutive securities:
Common stock warrants issued in connection with equity and financing transactions (in shares)		852
Stock Options and Incentive Warrants (in shares)	3,603,945	3,824,339
Total weighted average dilutive securities (in shares)	3,603,945	3,825,191
Weighted average number of common shares and dilutive potential common shares used in diluted EPS	32,211,265	31,763,488
Net income per common share - Basic (in dollars per share)	$ 0.05	$ 0.04
Net income per common share - Diluted (in dollars per share)	$ 0.04	$ 0.03

Net Income Per Share (Details 2) - $ / shares	3 Months Ended
Net Income Per Share (Details 2) - $ / shares	Sep. 30, 2013	Sep. 30, 2012
Outstanding Potential Dilutive Securities
Weighted Average Exercise Price (in dollars per share)	$ 1.99	$ 1.82
Balance at the end of the period (in shares)	4,822,820	5,343,985
Common stock warrants issued in connection with equity and financing transactions
Outstanding Potential Dilutive Securities
Weighted Average Exercise Price (in dollars per share)		$ 2.25
Balance at the end of the period (in shares)		1,165
Stock Options and Incentive Warrants
Outstanding Potential Dilutive Securities
Weighted Average Exercise Price (in dollars per share)	$ 1.99	$ 1.82
Balance at the end of the period (in shares)	4,822,820	5,342,820

- Definition

Securities (including those issuable pursuant to contingent stock agreements) that could potentially dilute basic earnings per share (EPS) or earnings per unit (EPU) in the future that were not included in the computation of diluted EPS or EPU because to do so would increase EPS or EPU amounts or decrease loss per share or unit amounts for the period presented.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Antidilution
-URI http://asc.fasb.org/extlink&oid=6505113

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Diluted Earnings Per Share
-URI http://asc.fasb.org/extlink&oid=6510752

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Glossary Contingent Stock Agreement
-URI http://asc.fasb.org/extlink&oid=6508534

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 260
-SubTopic 10
-Section 50
-Paragraph 1
-Subparagraph (c)
-URI http://asc.fasb.org/extlink&oid=6371337&loc=d3e3550-109257

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 128
-Paragraph 40
-Subparagraph c
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 128
-Paragraph 13, 14
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Emerging Issues Task Force (EITF)
-Number 07-4
-Paragraph 4
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 128
-Paragraph 171
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

+ Details

Unsecured Revolving Credit Agreement (Details)	1 Months Ended	3 Months Ended
Unsecured Revolving Credit Agreement (Details)	Feb. 29, 2012 USD ($)	Sep. 30, 2013 USD ($) item
Revolving credit facility
Unsecured Revolving Credit Agreement
Maximum amount available under revolving credit facility	$ 50,000,000
Initial borrowing base	5,000,000	$ 5,000,000
Term of revolving credit facility		4 years
Value of oil and gas properties subject (as a percent)		25.00%
Margin added to variable interest rate basis (as a percent)		0.50%
Outstanding borrowings		$ 0
Loan costs to be compensated to lender over the life of the Credit Agreement	50,000
Debt issuance costs	179,468
Revolving credit facility \| Maximum
Unsecured Revolving Credit Agreement
Current ratio		1.5
Total funded indebtedness to EBITDA ratio		2.5
EBITDA to interest expense ratio		3
Revolving credit facility \| LIBOR
Unsecured Revolving Credit Agreement
Variable interest rate basis		Adjusted LIBOR
Amount to be reduced by Lender's Regulation D reserve requirement \| item		1
Interest period one		1 month
Interest period two		2 months
Interest period three		3 months
Interest period four		6 months
Term for payment of interest		3 months
Revolving credit facility \| LIBOR \| Maximum
Unsecured Revolving Credit Agreement
Number of loans that can be outstanding at any time \| item		3
Revolving credit facility \| Prime rate
Unsecured Revolving Credit Agreement
Variable interest rate basis		Lender's prime rate
Revolving credit facility \| Federal funds rate
Unsecured Revolving Credit Agreement
Variable interest rate basis		Federal Fund Rate
Commitment fee accruing on unutilized availability (as a percent)		0.50%
Letter of credit
Unsecured Revolving Credit Agreement
Maximum amount available under revolving credit facility	$ 1,000,000
Letter of credit fees rate applied to principal amounts (as a percent)		3.50%
Outstanding borrowings		$ 0
Letter of credit \| Maximum
Unsecured Revolving Credit Agreement
Term of revolving credit facility		1 year

Commitments and Contingencies (Details)	3 Months Ended
Commitments and Contingencies (Details)	Sep. 30, 2013 USD ($) item	Sep. 30, 2012 USD ($)
Lease Commitments
2014	$ 159,011
2015	159,011
2016	132,509
Total	450,531
Rent expense	$ 41,918	$ 36,808
Employment Contracts
Commitments and Contingencies
Number of senior executives in employment agreements \| item	3
Total contingent obligation	$ 692,000
Employment Contracts \| Low end of the range
Commitments and Contingencies
Period of benefits to employees after termination	6 months
Employment Contracts \| High end of the range
Commitments and Contingencies
Period of benefits to employees after termination	1 year