10-Q/A

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

WASHINGTON, D.C. 20549

FORM 10-Q/A

x QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

FOR THE QUARTER ENDED JUNE 30, 2011

or

¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE

SECURITIES EXCHANGE ACT OF 1934

FOR THE TRANSITION PERIOD FROM           TO

Commission File Number 000-08187

NEW CONCEPT ENERGY, INC.

(Exact Name of Registrant as Specified in Its Charter)

Nevada		75-2399477
(State or Other Jurisdiction of Incorporation or Organization)		(I.R.S. Employer Identification No.)
1800 Valley View Lane Suite 300 Dallas, Texas
	(Address of principal executive offices)
	75234
	(Zip Code)
	(972) 407-8400
	(Registrant’s telephone number, including area code)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.

Yes: R No: £

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (§232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).

Yes: £   No £

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or smaller reporting company.  See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

	Large accelerated filer £	Accelerated filer £
	Non-accelerated filer £	Smaller reporting company R
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).			Yes: £No: R

Indicate the number of shares outstanding of each of the issuer’s classes of Common Stock, as of the latest practicable date.

Common Stock, $.01 par value	1,946,935 shares
(Class)	(Outstanding at August 12, 2011)

EXPLANATORY NOTE

The purpose of this Amendment No. 1 to New Concept Energy, Inc.'s Quarterly Report on Form 10-Q for the quarter ended June 30, 2011, filed with the Securities and Exchange Commission on August 12, 2011, is solely to furnish Exhibit 101 to the Form 10-Q and make conforming changes to Item 6. Exhibits.  Exhibit 101 provides the financial statements and related notes from the Form 10-Q formatted in XBRL (eXtensible Business Reporting Language). No other substantive changes have been made to the Form 10-Q. This Amendment does not reflect events that may have occurred subsequent to the original filing date.

Item 6.  Exhibits

The following exhibits are filed herewith or incorporated by reference as indicated below.

Exhibit Designation	Exhibit Description
3.1	Articles of Incorporation of Medical Resource Companies of America (incorporated by reference to Exhibit 3.1 to Registrant’s Form S-4 Registration Statement No. 333-55968 dated December 21, 1992)
3.2	Amendment to the Articles of Incorporation of Medical Resource Companies of America (incorporated by reference to Exhibit 3.5 to Registrant’s Form 8-K dated April 1, 1993)
3.3	Restated Articles of Incorporation of Greenbriar Corporation (incorporated by reference to Exhibit 3.1.1 to Registrant’s Form 10-K dated December 31, 1995)
3.4	Amendment to the Articles of Incorporation of Medical Resource Companies of America (incorporated by reference to Exhibit to Registrant’s PRES 14-C dated February 27, 1996)
3.5	Bylaws of Registrant (incorporated by reference to Exhibit 3.2 to Registrant’s Form S-4 Registration Statement No. 333-55968 dated December 21, 1992)
3.6	Amendment to Section 3.1 of Bylaws of Registrant adopted October 9, 2003 (incorporated by reference to Exhibit 3.2.1 to Registrant’s Form S-4 Registration Statement No. 333-55968 dated December 21, 1992)
3.7	Certificate of Decrease in Authorized and Issued Shares effective November 30, 2001 (incorporated by reference to Exhibit 2.1.7 to Registrant’s Form 10-K dated December 31, 2002)
3.8	Certificate of Designations, Preferences and Rights of Preferred Stock dated May 7, 1993 relating to Registrant’s Series B Preferred Stock (incorporated by reference to Exhibit 4.1.2 to Registrant’s Form S-3 Registration Statement No. 333-64840 dated June 22, 1993)
3.9	Certificate of Voting Powers, Designations, Preferences and Rights of Registrant’s Series F Senior Convertible Preferred Stock dated December 31, 1997 (incorporated by reference to Exhibit 2.2.2 of Registrant’s Form 10-KSB for the fiscal year ended December 31, 1997)
3.10	Certificate of Voting Powers, Designations, Preferences and Rights of Registrant’s Series G Senior Non-Voting Convertible Preferred Stock dated December 31, 1997 (incorporated by reference to Exhibit 2.2.3 of Registrant’s Form 10-KSB for the fiscal year ended December 31, 1997)
3.11	Certificate of Designations dated October 12, 2004 as filed with the Secretary of State of Nevada on October 13, 2004 (incorporated by reference to Exhibit 3.4 of Registrant’s Current Report on Form 8-K for event occurring October 12, 2004)
3.12	Certificate of Amendment to Articles of Incorporation effective February 8, 2005 (incorporated by reference to Exhibit 3.5 of Registrant’s Current Report on Form 8-K for event occurring February 8, 2005)
3.13	Certificate of Amendment to Articles of Incorporation effective March 21, 2007 (incorporated by reference to Exhibit 3.13 of Registrant’s Current Report on Form 8-K for event occurring March 21, 2005)
31.1	Certification pursuant to Rule 13a-14 and 15d-14 under the Securities Exchange Act of 1934, as amended, of Principal Executive Officer and Chief Financial Officer (incorporated by reference to Exhibit 31.1 of the Quarterly Report on Form 10-Q filed with the Commission on August 12, 2011).
32.1	Certification of Principal Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. §1350 (incorporated by reference to Exhibit 32.1 of the Quarterly Report on Form 10-Q filed with the Commission on August 12, 2011).
101	Interactive data files pursuant to Rule 405 of Regulation S-T.

Signatures

Pursuant to the requirements of the Securities and Exchange Act of 1934, Registrant has duly caused this Report to be signed on its behalf by the undersigned, thereunto duly authorized.

	New Concept Energy, Inc.
Date: September 12, 2011	By:	/s/ Gene Bertcher
		Gene S. Bertcher, Principal Executive
		Officer, President and Chief Financial
		Officer

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CONSOLIDATED BALANCE SHEET PARENTHETICALS In Thousands	Jun. 30, 2011	Dec. 31, 2010
Common stock, shares authorized	100,000,000	100,000,000
Common stock, shares issued	1,946,935	1,946,935
Common stock, shares outstanding	1,946,935	1,946,935

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CONSOLIDATED STATEMENTS OF OPERATION (USD $) In Thousands, except Share data	3 Months Ended		6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010	Jun. 30, 2011	Jun. 30, 2010
Oil and gas operations, net of royalties	$ 280	$ 331	$ 560	$ 601
Real estate operation	733	751	1,462	1,454
Revenue	1,013	1,082	2,022	2,055
Oil and gas operations	365	316	700	672
Real estate operations	321	368	711	693
Lease expense	193	234	384	473
Corporate general and administrative	126	124	250	323
Accretion of asset retirement obligation	32	30	64	60
Operating Expenses	1,037	1,072	2,109	2,221
Operating earnings (loss)	(24)	10	(87)	(166)
Interest income	120	114	239	253
Interest expense	(31)	(31)	(62)	(62)
Gain on sale of assets, net	0	0	0	10
Other income (expense), net	1	(368)	73	(350)
Income/(Expense)	90	(285)	250	(149)
Net income (loss) applicable to common shares	$ 66	$ (275)	$ 163	$ (315)
Net income (loss) per common share-basic and diluted	$ 0.03	$ (0.14)	$ 0.08	$ (0.16)
Weighted average common and equivalent shares outstanding - basic	1,947	1,947	1,947	1,947

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Document and Entity Information	3 Months Ended
	Jun. 30, 2011	Aug. 12, 2011
Document and Entity Information
Entity Registrant Name	New Concept Energy, Inc.
Document Type	10-Q
Document Period End Date	Jun. 30, 2011
Amendment Flag	false
Entity Central Index Key	0000105744
Current Fiscal Year End Date	--12-31
Entity Common Stock, Shares Outstanding		1,946,935
Entity Filer Category	Smaller Reporting Company
Entity Current Reporting Status	Yes
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	No
Document Fiscal Year Focus	2011
Document Fiscal Period Focus	Q2

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NEWLY ISSUED ACCOUNTING STANDARDS

3 Months Ended

Jun. 30, 2011

NEWLY ISSUED ACCOUNTING STANDARDS

NEWLY ISSUED ACCOUNTING STANDARDS

NOTE G: – NEWLY ISSUED ACCOUNTING STANDARDS

We have considered all other newly issued accounting guidance that is applicable to our operations and the preparation of our consolidated statements, including that which we have not yet adopted.  We do not believe that any such guidance will have a material effect on our financial position or results or operation.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

3 Months Ended

Jun. 30, 2011

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

NOTE C: SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

We consider accounting policies related to our estimates of depreciation amortization, and depletion, segments, oil and gas properties, oil and gas reserves, gas gathering assets, office and field equipment, revenue recognition and gas imbalances, leases, revenue recognition for real estate operations, impairment, and sales of real estate as significant accounting policies.  The policies include significant estimates made by management using information available at the time the estimates are made.  However, these estimates could change materially if different information or assumptions were used.  These policies are summarized in our Annual Report on Form 10-K for the year ended December 31, 2010.

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BASIS OF PRESENTATION

3 Months Ended

Jun. 30, 2011

BASIS OF PRESENTATION

BASIS OF PRESENTATION

NOTE A: BASIS OF PRESENTATION

The accompanying unaudited consolidated financial statements include the accounts of New Concept Energy, Inc. and its majority-owned subsidiaries (collectively, “NCE” or the “Company”).  All significant intercompany transactions and accounts have been eliminated.  Certain 2010 balances have been reclassified to conform to the 2011 presentation.

The unaudited financial statements included herein have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission.  The financial statements reflect all adjustments that are, in the opinion of management, necessary to fairly present such information.  All such adjustments are of a normal recurring nature.  Although the Company believes that the disclosures are adequate to make the information presented not misleading, certain information and footnote disclosures, including a description of significant accounting policies normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States of America, have been condensed or omitted pursuant to such rules and regulations.

These financial statements should be read in conjunction with the consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the fiscal year ending December 31, 2010.  Operating results for the six month period ended June 30, 2011 are not necessarily indicative of the results that may be expected for any subsequent quarter or for the fiscal year ending December 31, 2011.

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NOTES RECEIVABLE-RELATED PARTY

3 Months Ended

Jun. 30, 2011

NOTES RECEIVABLE-RELATED PARTY

NOTES RECEIVABLE-RELATED PARTY

NOTE D: NOTES RECEIVABLE – RELATED PARTY

On June 30, 2011, the Company had a loan receivable plus accrued interest of $9,885,000 from Prime Income Asset Management, Inc. (“PIAMI”) a related party.  The loan bears interest at the prime rate plus two percent and is due within 30 days following a demand by the Company.  If no demand is made the note will become due on January 31, 2013.

While the notes receivable by their terms are demand notes the Company does not anticipate making demand on such notes during the next twelve months and has therefore not classified the notes as being a current asset.

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CONTINGENCIES

3 Months Ended

Jun. 30, 2011

CONTINGENCIES

CONTINGENCIES

NOTE E: CONTINGENCIES

Chesapeake Exploration Limited Partnership and Chesapeake Operating, Inc. (“Chesapeake”)

In January 2006, the Company entered into a joint operating agreement evidencing its acquisition of a 5% interest in two gas wells being drilled and ultimately operated by Chesapeake.  The Company relied on the cost projections provided by Chesapeake to make its investment decision.  Subsequent to its investment the Company received an invoice from Chesapeake for $556,217 which, according to Chesapeake, represents the Company’s 5% share of additional costs incurred by Chesapeake in drilling the wells.  The Company believes that these additional costs far exceed any reasonable expense that should have been incurred in drilling the two wells and were incurred without notifying the Company of such expenses.  The Company has requested an accounting of the additional expenses and a reconciliation of the final costs to the cost estimates previously presented.  In April 2007, Chesapeake filed a lawsuit against the Company and others in State District Court in Tarrant County, Texas.

In March 2011, Chesapeake received a summary judgment award for $686,874 plus legal fees.  The Company has appealed the judge’s ruling. However, the Company has recorded the investment in the wells and the obligation to Chesapeake.

Yazoo Pipeline Company, LP and Sterling Exploration and Production Company (“Sterling”)

Sterling Exploration and Production Company was an oil and gas exploration and production company with offshore production and Yazoo Pipeline Company transported Sterling’s and others oil and gas to shore for delivery to purchasers. On December 23, 2008, Sterling filed for Chapter 11 bankruptcy relief.

In 2009, we attempted to acquire Sterling and invested a total of approximately $400,000 including debtor in possession financing paid to Sterling and other expenses. In 2009, we wrote off $50,000 of our investment. In 2010, the potential acquisition was abandoned and in the second quarter of 2010, we wrote off the balance of our investment. The bankruptcy of Sterling was ultimately converted to a Chapter 7 filing.

In December 2010, the bankruptcy trustee filed a lawsuit against a number of parties including New Concept Energy, Inc with a variety of allegations including that we conspired with other defendants or aided and abetted others in a breach of fiduciary duty owed to the debtors of Sterling.

We are unaware of any misconduct on our part and see no merit to this case as it pertains to us.

Other

The Company has been named as a defendant in other lawsuits in the ordinary course of business.  Management is of the opinion that these lawsuits will not have a material effect on the financial condition, results of operations or cash flows of the Company.

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OPERATING SEGMENTS

3 Months Ended

Jun. 30, 2011

OPERATING SEGMENTS

OPERATING SEGMENTS

NOTE F: – OPERATING SEGMENTS

The following table reconciles the segment information to the corresponding amounts in the Consolidated Statements of Operations and total assets:

Six months ended June 30, 2011	Oil and Gas Operations			Retirement Facility		Corporate			Total
Operating revenue	$	560		$	1,462	$	-		$	2,022
Operating expenses		541			689		250			1,480
Depreciation, Depletion and Amortization		159			22		-			181
Lease Expense		-			384		-			384
Accretion of Asset Retirement Obligation		64			-		-			64
Total Operating Expenses		764			1,095		250			2,109
Interest expense		(62	)		-		-			(62	)
Other income		-			-		73			73
Interest income		-			-		239			239
Segment operating income	$	(266	)	$	367	$	62		$	163
Six months ended June 30, 2010	Oil and Gas Operations			Retirement Facility		Corporate			Total
Operating revenue	$	601		$	1,454	$	-		$	2,055
Operating expenses		561			1,156		279			1,996
Depreciation, Depletion and Amortization		146			19		-			165
Lease Expense		-			-		-			-
Accretion of Asset Retirement Obligation		60			-		-			60
Total Operating Expenses		767			1,175		279			2,221
Interest expense		(62	)		-		-			(62	)
Other income		-			-		(340	)		(340	)
Interest income		-			-		253			253
Segment operating income	$	(228	)	$	279	$	(366	)	$	(315	)

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CONSOLIDATED STATEMENTS OF CASH FLOWS (USD $) In Thousands	6 Months Ended
	Jun. 30, 2011	Jun. 30, 2010
Net income/loss	$ 163	$ (315)
Depreciation, depletion and amortization	181	165
Accretion of asset retirement obligation	64	60
Other current and non-current assets	(126)	239
Accounts payable and other liabilities	(21)	(1,265)
Interest receivable	(239)	(254)
Interest payable	61	55
Net cash provided by (used) in operating activities	83	(1,315)
Investment in oil and gas properties	(91)	(133)
Fixed asset additions	(18)	(31)
Net cash provided by (used in) investing activities	(109)	(164)
Repayment of loans to affiliates	0	1,426
Proceeds from notes payable	4	0
Payment on notes payable	(5)	0
Net cash provided by (used in) financing activities	(1)	1,426
Net increase (decrease) in cash and cash equivalents	(27)	(53)
Cash and cash equivalents at beginning of year	59	155
Cash and cash equivalents at end of year	$ 32	$ 102

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NATURE OF OPERATIONS

3 Months Ended

Jun. 30, 2011

NATURE OF OPERATIONS

NATURE OF OPERATIONS

NOTE B: NATURE OF OPERATIONS

The Company operates oil and gas wells and mineral leases in Athens and Meigs Counties in Ohio and in Calhoun, Jackson and Roane Counties in West Virginia through its wholly owned subsidiaries Mountaineer State Energy, LLC and Mountaineer State Operations, LLC.

The Company also leases and operates a retirement community in King City Oregon, with a capacity of 114 residents

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CONSOLIDATED BALANCE SHEETS (USD $) In Thousands	Jun. 30, 2011	Dec. 31, 2010
Cash and cash equivalents	$ 32	$ 59
Accounts receivable from oil and gas sales	209	223
Other current assets	16	14
Total current assets	257	296
Note and interest receivable – related party	9,885	10,361
Proved developed and undeveloped oil and gas properties, net of depletion	11,736	11,789
Land, buildings and equipment - oil and gas operations	1,381	1,395
Other	151	156
Total property and equipment	1,532	1,551
Other assets	475	70
Total assets	23,885	24,067
Accounts payable - trade	208	83
Accrued expenses	28	156
Total current liabilities	236	239
Notes payable	1,367	1,308
Payable - related parties	486	953
Asset retirement obligation	2,637	2,573
Other long-term liabilities	726	723
Total liabilities	5,452	5,796
Preferred stock, Series B	1	1
Common stock, $.01 par value; authorized, 100,000,000 shares; issued and outstanding, 1,946,935 shares at June 30, 2011 and December 31, 2010	20	20
Additional paid-in capital	58,838	58,838
Accumulated deficit	(40,426)	(40,588)
Stockholders' equity	18,433	18,271
Total liabilities & equity	$ 23,885	$ 24,067