7. Long-Term Debt

Long-term debt to unrelated entities consisted of the following: (in thousands)


December 31,	2011			2010
Note payable to a financial institution, with interest only payment until maturity.	$	11,531		$	9,501
Installment notes bearing interest at the rate of 5.5% to 8.25% per annum collateralized by vehicles with monthly payments including interest, insurance and maintenance of approximately $20,000		266			192
Total long-term debt		11,797			9,693
Less current maturities		(103	)		(129	)
Long-term debt, less current maturities	$	11,694		$	9,564

At December 31, 2011, the Company had a revolving credit facility with F&M Bank & Trust Company ("F&M Bank").

Under the credit facility, loans and letters of credit are available to the Company on a revolving basis in an amount outstanding not to exceed the lesser of $40 million or the Company's borrowing base in effect from time to time. The credit facility is secured by substantially all of the Company's producing and non-producing oil and gas properties and pipeline and the Company's Methane Project assets. The credit facility includes certain covenants in which the Company is required to comply. These covenants include leverage, interest coverage, minimum liquidity, and general and administrative coverage ratios. During 2011 and 2010 the Company was in compliance with all covenants.

On July 30, 2010, the Company and F&M Bank entered into an amendment to the credit facility which increased the borrowing base from $11 million to $14 million, set the interest rate to the greater of prime plus 0.25% or 5.25% per annum (rate at December 31, 2011 was 5.25%), eliminated the monthly commitment reduction, and changed the maturity date to January 27, 2012.

On February 22, 2011, the Company and F&M Bank entered into an amendment to the credit facility which increased the borrowing base from $14 million to $20 million, increased the maximum line of the Company's credit amount from $20 million to $40, million, and extended the term of the facility to January 27, 2013.

On July 14, 2011 F&M Bank reaffirmed the Company's borrowing base at $20 million.

The total borrowing by the Company under the facility at December 31, 2011 and December 31, 2010 was $ 11.5 million and $9.5 million, respectively. The next borrowing base review will take place in June 2012.