INCENTIVE COMPENSATION PLAN

12 Months Ended

Sep. 30, 2011

INCENTIVE COMPENSATION PLAN

INCENTIVE COMPENSATION PLAN

7.         INCENTIVE COMPENSATION PLAN

Barnwell established an incentive compensation plan in fiscal 2002 to compensate certain Canadian oil and natural gas segment personnel.  The value of the plan is directly related to our oil and natural gas segment’s net income and the value of our oil and natural gas reserves discovered for projects developed by such personnel.  Barnwell recognized $41,000 and $96,000 of costs pursuant to this plan in fiscal 2011 and 2010, respectively.  Amounts accrued under this plan totaled $681,000 and $648,000 as of September 30, 2011 and 2010, respectively, and are reported under the caption “Accrued compensation” on the Consolidated Balance Sheets.