content: <HTML>
  <HEAD>
       <TITLE></TITLE>
  </HEAD>
  <BODY STYLE="font: 10pt Times New Roman, Times, Serif">
  
  <P STYLE="margin: 0; font: 10pt Times New Roman, Times, Serif"></P>
  
  <!-- Field: Rule-Page --><DIV ALIGN="LEFT" STYLE="margin-top: 0; margin-bottom: 0"><DIV STYLE="font-size: 1pt; border-top: Black 2pt solid; border-bottom: Black 1pt solid; width: 100%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->
  
  <P STYLE="margin: 0; font: 10pt Times New Roman, Times, Serif">&nbsp;</P>
  
  <P STYLE="margin-top: 0; text-align: center; margin-bottom: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>UNITED
  STATES</B></FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">SECURITIES
  AND EXCHANGE COMMISSION</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Washington,
  D.C. 20549</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"></P>
  
  <!-- Field: Rule-Page --><DIV ALIGN="CENTER" STYLE="margin-top: 0; margin-bottom: 0"><DIV STYLE="font-size: 1pt; border-top: Black 1.5pt solid; width: 25%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">FORM
  S-8</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">REGISTRATION
  STATEMENT</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">UNDER</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">THE
  SECURITIES ACT OF 1933</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"></P>
  
  <!-- Field: Rule-Page --><DIV ALIGN="CENTER" STYLE="margin-top: 0; margin-bottom: 0"><DIV STYLE="font-size: 1pt; border-top: Black 1.5pt solid; width: 25%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Carbon
  Energy Corporation</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(Exact
  name of registrant as specified in its charter)</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; border-collapse: collapse">
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="width: 49%; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; font: 10pt Times New Roman, Times, Serif; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Delaware</B></FONT></TD>
      <TD STYLE="width: 2%; padding-bottom: 1.5pt">&nbsp;</TD>
      <TD STYLE="width: 49%; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; font: 10pt Times New Roman, Times, Serif; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>26-0818050</B></FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; font: 10pt Times New Roman, Times, Serif; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(State
      or other jurisdiction <BR>
  of incorporation or organization)</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; font: 10pt Times New Roman, Times, Serif; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(I.R.S.
      Employer <BR>
  Identification No.)</FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>1700
  Broadway, Suite 1170 </B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B><U>Denver,
  CO 80290</U></B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(Address
  of principal executive offices)</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; text-align: center; margin-bottom: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><U>Carbon
  Energy Corporation 2019 Long Term Incentive Plan</U></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(full
  title of the plan)</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Kevin
  D. Struzeski, Chief Financial Officer, Treasurer and Secretary</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Carbon
  Energy Corporation</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">1700
  Broadway, Suite 1170</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Denver,
  CO 80290</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(720)
  407-7030</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(Name,
  address and telephone number, including area code, of agent for service)</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Copy
  to:</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Theresa
  Mehringer, Esq.</B></FONT></P>
  
  <P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>Burns Figa &amp; Will, P.C.</B></FONT></P>
  
  <P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>6400 S. Fiddlers Green Circle,</B></FONT></P>
  
  <P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>Suite1000</B></FONT></P>
  
  <P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>Greenwood Village, Colorado 80111</B></FONT></P>
  
  <P STYLE="text-align: center; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>(303)
  796-2626</B></FONT></P>
  
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  <!-- Field: Rule-Page --><DIV ALIGN="CENTER" STYLE="margin-top: 0; margin-bottom: 0"><DIV STYLE="font-size: 1pt; border-top: Black 1.5pt solid; width: 25%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">Indicate by check mark whether the registrant is a large accelerated
  filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions
  of &ldquo;large accelerated filer,&rdquo; &ldquo;accelerated filer,&rdquo; &ldquo;smaller reporting company,&rdquo; and &ldquo;emerging
  growth company&rdquo; in Rule 12b-2 of the Exchange Act.</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; border-collapse: collapse">
  <TR STYLE="vertical-align: top">
      <TD STYLE="width: 49%; padding-right: 0; padding-left: 0; padding-top: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Large accelerated filer &#9744;</FONT></TD>
      <TD STYLE="width: 51%; padding-right: 0; padding-left: 0; padding-top: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Accelerated filer &#9744;</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="padding-right: 0; padding-left: 0; padding-top: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Non-accelerated filer &#9744;</FONT></TD>
      <TD STYLE="padding-right: 0; padding-left: 0; padding-top: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Smaller reporting company &#9746;</FONT></TD></TR>
  <TR STYLE="vertical-align: top">
      <TD STYLE="padding-right: 0; padding-left: 0; padding-top: 0; text-indent: 0">&nbsp;</TD>
      <TD STYLE="padding-right: 0; padding-left: 0; padding-top: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Emerging growth company &#9744;</FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0pt 0; text-align: justify">If an emerging growth company, indicate by check mark if the
  registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards
  provided pursuant to Section 7(a)(2)(B) of the Securities Act. &#9744;</P>
  
  
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"></P>
  
  <!-- Field: Page; Sequence: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">CALCULATION
  OF REGISTRATION FEE</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: bold; text-align: left; border-bottom: Black 1.5pt solid">Title of Securities to be Registered</TD><TD STYLE="font-weight: bold; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD COLSPAN="2" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">Amount to Be Registered (1)</TD><TD STYLE="padding-bottom: 1.5pt; font-weight: bold">&nbsp;</TD><TD STYLE="font-weight: bold; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD COLSPAN="2" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">Proposed Maximum Offering Price Per Share (2)</TD><TD STYLE="padding-bottom: 1.5pt; font-weight: bold">&nbsp;</TD><TD STYLE="font-weight: bold; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD COLSPAN="2" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">Proposed Maximum Aggregate Offering Price (2)</TD><TD STYLE="padding-bottom: 1.5pt; font-weight: bold">&nbsp;</TD><TD STYLE="font-weight: bold; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD COLSPAN="2" STYLE="font-weight: bold; text-align: center; border-bottom: Black 1.5pt solid">Amount of Registration Fee (2)</TD><TD STYLE="padding-bottom: 1.5pt; font-weight: bold">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255)">
      <TD STYLE="width: 52%; text-align: left; padding-bottom: 1.5pt; padding-left: 10pt; text-indent: -10pt">Common Stock, $0.01 par value per share, under the Carbon Energy Corporation 2019 Long Term Incentive Plan</TD><TD STYLE="width: 1%; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1.5pt solid; text-align: left">&nbsp;</TD><TD STYLE="width: 9%; border-bottom: Black 1.5pt solid; text-align: right">500,000</TD><TD STYLE="width: 1%; padding-bottom: 1.5pt; text-align: left">&nbsp;</TD><TD STYLE="width: 1%; font-weight: bold; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1.5pt solid; font-weight: bold; text-align: left">$</TD><TD STYLE="width: 9%; border-bottom: Black 1.5pt solid; font-weight: bold; text-align: right">8.00</TD><TD STYLE="width: 1%; padding-bottom: 1.5pt; font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="width: 1%; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1.5pt solid; text-align: left">$</TD><TD STYLE="width: 9%; border-bottom: Black 1.5pt solid; text-align: right">4,000,000</TD><TD STYLE="width: 1%; padding-bottom: 1.5pt; text-align: left">&nbsp;</TD><TD STYLE="width: 1%; font-weight: bold; border-bottom: Black 1.5pt solid">&nbsp;</TD>
      <TD STYLE="width: 1%; border-bottom: Black 1.5pt solid; font-weight: bold; text-align: left">$</TD><TD STYLE="width: 9%; border-bottom: Black 1.5pt solid; font-weight: bold; text-align: right">484.80</TD><TD STYLE="width: 1%; padding-bottom: 1.5pt; font-weight: bold; text-align: left">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White">
      <TD STYLE="padding-bottom: 4pt; padding-left: 0.125in">Total</TD><TD STYLE="border-bottom: Black 4pt double">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 4pt double; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 4pt double; text-align: right">500,000</TD><TD STYLE="padding-bottom: 4pt; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; border-bottom: Black 4pt double">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 4pt double; font-weight: bold; text-align: left">$</TD><TD STYLE="border-bottom: Black 4pt double; font-weight: bold; text-align: right">8.00</TD><TD STYLE="padding-bottom: 4pt; font-weight: bold; text-align: left">&nbsp;</TD><TD STYLE="border-bottom: Black 4pt double">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 4pt double; text-align: left">$</TD><TD STYLE="border-bottom: Black 4pt double; text-align: right">4,000,000</TD><TD STYLE="padding-bottom: 4pt; text-align: left">&nbsp;</TD><TD STYLE="font-weight: bold; border-bottom: Black 4pt double">&nbsp;</TD>
      <TD STYLE="border-bottom: Black 4pt double; font-weight: bold; text-align: left">$</TD><TD STYLE="border-bottom: Black 4pt double; font-weight: bold; text-align: right">484.80</TD><TD STYLE="padding-bottom: 4pt; font-weight: bold; text-align: left">&nbsp;</TD></TR>
  </TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; text-align: justify">
  <TD STYLE="width: 0.25in; text-align: left"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(1)</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">This
  Registration Statement covers 500,000 shares of common stock, $0.01 par value per share, of Carbon Energy Corporation (the &ldquo;Common
  Stock&rdquo;) issued or issuable pursuant to the Carbon Energy Corporation 2019 Long Term Incentive Plan (the &ldquo;2019 Plan&rdquo;).
  In addition, pursuant to Rule 416 under the Securities Act of 1933, as amended, this Registration Statement covers an indeterminable
  number of additional shares of Common Stock as may hereafter be offered or issued pursuant to the 2019 Plan, as necessary to adjust
  the number of shares reserved for issuance pursuant to the Plan as the result of any future stock split, stock dividend or similar
  adjustment of the outstanding common stock.</FONT></TD>
  </TR>
  <TR STYLE="vertical-align: top; text-align: justify">
  <TD STYLE="text-align: left">&nbsp;</TD><TD STYLE="text-align: justify">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; text-align: justify">
  <TD STYLE="text-align: left"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(2)</FONT></TD><TD STYLE="text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Estimated
  solely for the purpose of calculating the registration fee pursuant to Rules&nbsp;457(c) and 457(h) under the Securities Act of
  1933, as amended (the &ldquo;Securities Act&rdquo;). The calculation of the registration fee is based upon a per share price of
  $8.00 which was the closing price of Carbon Energy Corporation common stock on July 9, 2019, as reported for such date on the
  OTC Markets.</FONT></TD>
  </TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"></P>
  
  <!-- Field: Rule-Page --><DIV ALIGN="LEFT" STYLE="margin-top: 0; margin-bottom: 0"><DIV STYLE="font-size: 1pt; border-top: Black 1pt solid; border-bottom: Black 2pt solid; width: 100%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"></P>
  
  <!-- Field: Page; Sequence: 2 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>EXPLANATORY
  NOTE</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">This
  Registration Statement on Form S-8 (this &ldquo;Registration Statement&rdquo;) registers an aggregate of 500,000 shares of the
  common stock, par value $0.01 per share (&ldquo;Common Stock&rdquo;), issued or issuable upon the exercise or vesting of awards
  granted and to be granted under the Carbon Energy Corporation 2019 Long Term Incentive Plan (the &ldquo;2019 Plan&rdquo;).</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">This
  Registration Statement also includes a prospectus (the &ldquo;Reoffer Prospectus&rdquo;) prepared in accordance with General Instruction
  C of Form S-8 and in accordance with the requirements of Part I of Form S-3. This Reoffer Prospectus may be used for reofferings
  and resales of shares of Common Stock that may be deemed to be &ldquo;control securities&rdquo; under the Securities Act of 1933,
  as amended (the &ldquo;Securities Act&rdquo;), and the rules and regulations promulgated thereunder that have been acquired by
  certain of our officers and directors, being the selling stockholders identified in the Reoffer Prospectus. The number of shares
  of Common Stock included in the Reoffer Prospectus represents the total number of shares of Common Stock that have been or may
  be acquired by the Selling Stockholders pursuant to awards made to the Selling Stockholders under the 2019 Plan, and does not
  necessarily represent a present intention to sell any or all such shares of Common Stock. The inclusion of any person in the selling
  stockholder table of the Reoffer Prospectus should not be deemed a determination or an admission by the Company or otherwise that
  such person is in fact an affiliate of the Company.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  names of persons selling shares under the Reoffer Prospectus and the amount of such shares are set forth below under the caption
  &ldquo;Selling Stockholders&rdquo; to the extent we presently have such information. However, other affiliate selling stockholders
  may elect to sell shares under the Reoffer Prospectus as they receive them from time to time in the future in which case, as their
  names and amounts of shares to be reoffered become known, we will supplement the Reoffer Prospectus with that information. In
  addition, as permitted by General Instruction C of Form S-8, certain non-affiliates holding less than the lesser of 1,000 shares
  or 1% of our common stock issuable under the 2019 Plan may resell restricted securities issued under the 2019 Plan up to that
  amount under the Reoffer Prospectus without being named therein. Any securities covered by the Reoffer Prospectus which qualify
  for sale pursuant to Rule 144 may be sold under Rule 144 rather than pursuant to the Reoffer Prospectus.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>PART
  I</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>INFORMATION
  REQUIRED IN THE SECTION 10(a) PROSPECTUS</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">In
  accordance with Rule 428 and the instructions to Form S-8, the document(s) containing the information required by Part I of Form
  S-8 are not required to be filed with the SEC either as part of the Registration Statement or any prospectuses or prospectus supplements
  thereto pursuant to Rule 424 under the Securities Act. Such documents have been or will be sent or given to participants in the
  2019 Plan as specified by Rule 428 under the Securities Act.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">*
  * *</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  Reoffer Prospectus referred to in the Explanatory Note follows this page.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in"></P>
  
  <!-- Field: Page; Sequence: 3 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>REOFFER
  PROSPECTUS</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>500,000
  Shares of Common Stock</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Carbon
  Energy Corporation</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">This
  Reoffer Prospectus may be used by certain stockholders of shares of our common stock, par value $0.01 per share, made upon the
  exercise or vesting of equity incentive awards granted under the Carbon Energy Corporation 2019 Long Term Incentive Plan (the
  &ldquo;2019 Plan&rdquo;) (all such persons, the &ldquo;Selling Stockholders&rdquo;) to sell 500,000 shares of our common stock
  (the &ldquo;Shares&rdquo;). The Selling Stockholders, who are listed in the section of this Reoffer Prospectus entitled &ldquo;Selling
  Stockholders,&rdquo; may offer these Shares for resale from time to time. However, other affiliate selling stockholders may elect
  to sell shares under this Reoffer Prospectus as they receive them from time to time in the future in which case, as their names
  and amounts of shares to be reoffered become known, we will supplement this Reoffer Prospectus with that information. We are not
  selling any shares of common stock under this Reoffer Prospectus, and we will not receive any of the proceeds from the sale of
  the Shares.&nbsp; We will pay all fees and expenses incurred in connection with the registration of the Shares. The Selling Stockholders
  will bear all sales commissions and similar expenses.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  Selling Stockholders may sell the Shares covered by this Reoffer Prospectus from time to time through various means, including
  directly or indirectly to purchasers, in one or more transactions on the OTC Markets or any other stock exchange or stock market
  on which the Shares are traded at the time of sale, in privately negotiated transactions, or through a combination of these methods.
  These sales may be at fixed prices, which may change, at market prices available at the time of sale, at prices based on the available
  market price at the time of sale, or at negotiated prices. If the Shares are sold through underwriters, broker-dealers or agents,
  these parties may be compensated for their services in the form of discounts or commissions, which is deemed to be &ldquo;underwriting
  commissions.&rdquo; If required, the names of any underwriter(s), applicable commissions or discounts, and any other required
  information with respect to any particular sales will be disclosed in an accompanying prospectus supplement. For additional information
  on the Selling Stockholders&rsquo; possible methods of sale, you should refer to the section in this Reoffer Prospectus entitled
  &ldquo;Plan of Distribution.&rdquo;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  common stock is listed on the OTC Markets under the symbol &ldquo;CRBO.&rdquo; The closing  price reported on July 9, 2019
  was $8.00 per share.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Investing
  in our securities involves risks. Please carefully read the information under the headings &ldquo;Risk Factors&rdquo; beginning
  on page 4 of this Reoffer Prospectus and in any applicable prospectus supplement for certain risks you should consider. You should
  read the entire prospectus carefully before you make your investment decision.</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>NEITHER
  THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES COMMISSION HAS APPROVED OR DISAPPROVED OF THESE SECURITIES OR
  PASSED UPON THE ADEQUACY OR ACCURACY OF THIS REOFFER PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  date of this Reoffer Prospectus is July 11, 2019.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"></P>
  
  <!-- Field: Page; Sequence: 4 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in">&nbsp;</P>
  
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>TABLE
  OF CONTENTS</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="width: 91%; padding: 0 0 1.5pt; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="width: 9%; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Page</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_01"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Note Regarding Forward-Looking Statements</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;1</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_02"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Our Company</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;2</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_03"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Risk Factors</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;4</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_04"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Use of Proceeds</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;5</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_05"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Selling Stockholders</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;6</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_06"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Plan of Distribution</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;8</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_07"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Where You Can Find More Information</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;9</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: White; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; background-color: rgb(204,238,255); font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="#a_08"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; background-color: #CCEEFF">Information Incorporated by Reference</FONT></A></TD>
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;10</FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">You
  should rely only on the information incorporated by reference or contained in this Reoffer Prospectus. Neither we nor the Selling
  Stockholders have authorized any other person to provide you with information that is different from that contained in this Reoffer
  Prospectus. If anyone provides you with different or inconsistent information, you should not rely on it. The Selling Stockholders
  are offering to sell and seeking offers to buy our common stock only in jurisdictions where such offers and sales are permitted.
  You should assume that the information appearing in this Reoffer Prospectus is accurate only as of the date set forth on the front
  cover hereof, regardless of the time of delivery hereof or of any sale of our common stock hereunder. You should also read this
  Reoffer Prospectus together with the additional information described under &ldquo;Where You Can Find More Information&rdquo;
  and &ldquo;Information Incorporated by Reference.&rdquo;&nbsp; Information contained on our website, or any other website operated
  by us, is not part of this Reoffer Prospectus.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">This
  Reoffer Prospectus may be supplemented from time to time to add, update or change information in this Reoffer Prospectus.&nbsp;
  Any statement contained in this Reoffer Prospectus will be deemed to be modified or superseded for purposes of this Reoffer Prospectus
  to the extent that a statement contained in a prospectus supplement modifies or supersedes such statement.&nbsp; Any statement
  so modified will be deemed to constitute a part of this Reoffer Prospectus only as so modified, and any statement so superseded
  will be deemed not to constitute a part of this Reoffer Prospectus.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"></P>
  
  <!-- Field: Page; Sequence: 5; Options: NewSection; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: LowerRoman; Name: PageNo -->i<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <DIV STYLE="padding: 5pt; border: Black 1.5pt solid; width: 98%">
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; text-transform: uppercase"><B><A NAME="a_01"></A>Cautionary
  Note Regarding Forward-Looking Statements</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  information discussed in this Reoffer Prospectus as well as some statements in press releases and some oral statements of the
  Company&rsquo;s officers during presentations about the Company include &ldquo;forward-looking statements&rdquo; within the meaning
  of Section 27A of the Securities Act of 1933 (the &ldquo;Securities Act&rdquo;) and Section 21E of the Securities Exchange Act
  of 1934 (the &ldquo;Exchange Act&rdquo;). All statements, other than statements of historical facts, included herein and therein
  concerning, among other things, planned capital expenditures, future cash flows and borrowings, pursuit of potential acquisition
  opportunities, our financial position, business strategy and other plans and objectives for future operations, are forward-looking
  statements. These forward-looking statements are identified by their use of terms and phrases such as &ldquo;may,&rdquo; &ldquo;expect,&rdquo;
  &ldquo;estimate,&rdquo; &ldquo;project,&rdquo; &ldquo;plan,&rdquo; &ldquo;believe,&rdquo; &ldquo;intend,&rdquo; &ldquo;achievable,&rdquo;
  &ldquo;anticipate,&rdquo; &ldquo;will,&rdquo; &ldquo;continue,&rdquo; &ldquo;potential,&rdquo; &ldquo;should,&rdquo; &ldquo;could,&rdquo;
  and similar terms and phrases. Although we believe that the expectations reflected in these forward-looking statements are reasonable,
  they do involve certain assumptions, risks and uncertainties and are not (and should not considered to be) guarantees of future
  performance. Our results could differ materially from those anticipated in these forward-looking statements as a result of certain
  factors, including, among others:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
                                           capital requirements and the uncertainty of being able to obtain additional funding on
                                           terms acceptable to us;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           volatility of domestic and international oil and natural gas prices and the resulting
                                           impact on production and drilling activity, and the effect that lower prices may have
                                           on our customers&rsquo; demand for our services, the result of which may adversely impact
                                           our revenues and financial performance;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           broad geographical diversity of our operations which, while expected to diversify the
                                           risks related to a slow-down in one area of operations, also adds to our costs of doing
                                           business;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           financial constraints imposed as a result of our indebtedness, including restrictions
                                           imposed on us under the terms of our credit facility agreement and our need to generate
                                           sufficient cash flows to repay our debt obligations;</FONT></TD></TR>                                                                                                              <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif">&nbsp;</TD></TR>
  
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
                                           history of losses and working capital deficits which, at times, were significant;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Adverse
                                           weather and environmental conditions;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
                                           reliance on a limited number of customers;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
                                           ability to retain key members of our senior management and key technical employees;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           potential impact of environmental, health and safety, and other governmental regulations,
                                           and of current or pending legislation with which we and our customers must comply;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Developments
                                           in the global economy;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Changes
                                           in tax laws;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           effects of competition;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           effect of seasonal factors; and</FONT></TD></TR>                                                                                         <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif">&nbsp;</TD></TR>
  
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.5in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
                                           effect of further sales or issuances of our common stock and the price and volume volatility
                                           of our common stock.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Finally,
  our future results will depend upon various other risks and uncertainties, including, but not limited to, those detailed in the
  section entitled &ldquo;Risk Factors&rdquo; included elsewhere in this Reoffer Prospectus. All forward-looking statements attributable
  to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements in this section and
  elsewhere in this Reoffer Prospectus. Other than as required under securities laws, we do not assume a duty to update these forward-looking
  statements, whether as a result of new information, subsequent events or circumstances, changes in expectations or otherwise.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in">&nbsp;</P>
  
  </DIV>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"></P>
  
  <!-- Field: Page; Sequence: 6; Options: NewSection; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->1<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  <DIV STYLE="padding: 5pt; border: Black 1.5pt solid; width: 98%">
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B><A NAME="a_02"></A>OUR
  COMPANY</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B><I><U>Business</U></I></B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Carbon
  Energy Corporation, a Delaware corporation formed in 2007 and formerly known as Carbon Natural Gas Company, is an independent
  oil and natural gas company engaged in the acquisition, exploration, development and production of oil, natural gas and natural
  gas liquids properties in the United States. Our acreage positions provide multiple resource play opportunities and have been
  delineated largely through drilling by us, as well as by other industry operators. Our primary business objective is to grow our
  reserves, production and cash generated from operations over the long term.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  assets, held through our majority-owned subsidiaries, are characterized by long-lived producing properties in the Appalachian
  Basin in Kentucky, Ohio, Tennessee, Virginia and West Virginia; the Ventura Basin in California; and the Illinois Basin in Illinois
  and Indiana.</FONT></P>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 21pt; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 18pt; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">We
                                           own 100% of the outstanding shares of Nytis Exploration (USA) Inc. (&ldquo;Nytis USA&rdquo;),
                                           which in turn owns 98.1% of Nytis Exploration Company LLC (&ldquo;Nytis LLC&rdquo;).
                                           Nytis LLC holds the majority interest in our operating subsidiaries other than Carbon
                                           Appalachian Company, LLC (&ldquo;Carbon Appalachia&rdquo;) and Carbon California Company,
                                           LLC (&ldquo;Carbon California&rdquo;), including 47 consolidated partnerships and 17
                                           non-consolidated partnerships.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 39pt; text-align: justify; text-indent: 0in">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 21pt; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 18pt; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">We&nbsp;hold
                                           a 53.92% proportionate share of the profits interest in Carbon California.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 39pt; text-align: justify; text-indent: 0in">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 21pt; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 18pt; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">We
                                           currently hold a 100% of the issued and outstanding ownership interests of Carbon Appalachia,
                                           along with its direct and indirect subsidiaries (Carbon Appalachia Group, LLC, Carbon
                                           Tennessee Mining Company, LLC, Carbon Appalachia Enterprises, LLC, Carbon West Virginia
                                           Company, LLC, Cranberry Pipeline Corporation, Knox Energy, LLC, Coalfield Pipeline Company
                                           and Appalachia Gas Services Company, LLC).</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">As
  of March 31, 2019, after giving effect to (i) the increase in Carbon&rsquo;s ownership of Carbon California from 17.81% to 56.41%
  on February 1, 2018 in connection with the exercise of the California Warrant by Yorktown and the resulting consolidation of Carbon
  California for financial reporting purposes; (ii) the completion of the Seneca Acquisition on May 1, 2018 and the resulting decrease
  in Carbon&rsquo;s ownership of Carbon California from 56.41% to 53.92%; and (iii) the increase in Carbon&rsquo;s ownership of
  Carbon Appalachia to 100.0% in connection with the Old Ironsides Buyout, we owned working interests in approximately 7,800 gross
  wells (7,100 net) and royalty interests located primarily in California, Illinois, Indiana, Kentucky, Ohio, Tennessee, Virginia,
  and West Virginia and had leasehold positions in approximately 1,318,000 net undeveloped acres and approximately 336,000 net developed
  acres directly and through our majority-owned subsidiaries.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">During
  2018, our capital expenditures consisted principally of oil-related remediation, the Seneca Acquisition, the Old Ironsides Buyout,
  return to production and recompletion projects in California and the optimization and streamlining of our natural gas gathering
  and compression facilities in Appalachia to provide more efficient and lower cost operations and greater flexibility in moving
  our production to markets with more favorable pricing. Our current capital expenditure program is focused on the acquisition and
  development of oil and natural gas properties in areas where we currently operate.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">We
  believe that our asset and lease position, combined with our low operating expense structure and technical expertise, provides
  us with a portfolio of opportunities for the development of our oil and natural gas properties, including a large inventory of
  potential return to production, behind pipe recompletion and proved undeveloped drilling projects. Our growth plan is centered
  on acquiring, developing, optimizing and maintaining a portfolio of low risk, long-lived oil and natural gas properties that provide
  stable cash flows and attractive risk adjusted rates of return.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"></P>
  </DIV>
  <!-- Field: Page; Sequence: 7; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->2<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  <DIV STYLE="padding: 5pt; border: Black 1.5pt solid; width: 98%">
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B><I><U>Corporate
  Structure</U></I></B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  following table depicts our organizational structure as of March 31, 2019:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; text-align: center"><IMG SRC="image_001.jpg" ALT="">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B><I><U>Overview
  of Business Operations</U></I></B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  current focus is to:</FONT></P>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Acquire
                                           and develop oil and gas producing properties that deliver attractive risk-adjusted rates
                                           of return, provide for field development projects and complement our existing asset base;
                                           and</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Develop,
                                           optimize and maintain a portfolio of low risk, long-lived oil and natural gas properties
                                           that provide stable cash flows and attractive risk-adjusted rates of return.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  primary business objective is to create stockholder value through consistent growth in cash flows, production and reserves through
  drilling on our existing oil and gas properties and the acquisition of complementary properties. We focus on the development of
  our existing leaseholds, which consist primarily of low risk, repeatable resource plays. We invest significantly in technical
  staff and geological and engineering technology to enhance the value of our properties.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">We
  intend to accomplish our objective by executing the following strategies:</FONT></P>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><I>Capitalize
                                           on the development of our oil and gas properties.</I>&nbsp;Our assets consist of oil
                                           and gas properties in the Appalachian, Ventura and Illinois Basins. We aim to continue
                                           to safely optimize returns from our existing producing assets by using established technologies
                                           to maximize recoveries of in-place hydrocarbons. We expect the production from our properties
                                           will increase as we continue to develop and optimize our properties by capitalizing on
                                           new technology to enhance our production base.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><I>Acquire
                                           complementary properties</I>.&nbsp;A core part of our strategy is to grow our oil and
                                           gas asset base through the acquisition of properties in the vicinity of our existing
                                           properties that feature similar reserve mixes and production profiles. During 2017 and
                                           2018, we acquired producing properties in the Ventura Basin through Carbon California
                                           and producing properties in the Appalachian Basin through Carbon Appalachia. We own a
                                           majority interest in Carbon California and 100% of Carbon Appalachia and we plan to continue
                                           to aggregate complementary properties through these entities, Nytis LLC or other co-investment
                                           vehicles.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><I>Reduce
                                           operating costs through the aggregation and integration of acquired assets in our expanding
                                           operational footprint in both the Appalachian and the Ventura Basins.</I>&nbsp;We plan
                                           to continue to realize economies of scale and efficiency gains from spreading our fixed
                                           operating costs over a larger asset base. Historically, we have targeted overhead and
                                           well maintenance cost reductions, field-level optimization and gathering system reconfigurations.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><I>Acquire
                                           and develop reserves in the form of a diverse mix of commodities with crude oil the primary
                                           objective in California and natural gas the primary objective in Appalachia.</I>&nbsp;We
                                           believe that a diverse commodity mix will provide us with commodity optionality, which
                                           will allow us to direct capital spending to develop the commodity that offers the best
                                           return on investment at the time.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><I>Manage
                                           commodity price exposure through an active hedging program.</I>&nbsp;We maintain hedging
                                           programs designed to reduce exposure to fluctuations in commodity prices.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"></P>
  </DIV>
  <!-- Field: Page; Sequence: 8; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->3<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B><A NAME="a_03"></A>RISK
  FACTORS</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">An
  investment in our securities involves a high degree of risk. You should consider the risks, uncertainties and assumptions discussed
  under &ldquo;Item 1A. Risk Factors,&rdquo; in our Annual Report on <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019005141/f10k2018_carbonenergy.htm">Form 10-K</A> for the year ended December 31, 2018, all of which
  are incorporated herein by reference, and may be amended, supplemented or superseded from time to time by other reports we file
  with the SEC in the future. The risks and uncertainties we have described are not the only ones we face. Additional risks and
  uncertainties not presently known to us or that we currently deem immaterial may also affect our operations.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  business, financial condition or results of operations could be materially adversely affected by any of these risks. The trading
  price of our securities could decline due to any of these risks, and you may lose all or part of your investment. This Reoffer
  Prospectus and the incorporated documents also contain forward-looking statements that involve risks and uncertainties. Our actual
  results could differ materially from those anticipated in these forward-looking statements as a result of certain factors, including
  the risks mentioned elsewhere in this Reoffer Prospectus.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  <!-- Field: Page; Sequence: 9; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->4<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A NAME="a_04"></A>USE
  OF PROCEEDS</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">The
  Selling Stockholders will receive all of the proceeds from the resale of the Shares that may be sold using this Reoffer Prospectus.
  We will not receive any of the proceeds from the resale of these Shares. Since the Shares sold by the Selling Stockholders are
  restricted stock awards, the Company will not receive any proceeds upon vesting of the Shares. </FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"></P>
  
  <!-- Field: Page; Sequence: 10; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->5<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A NAME="a_05"></A>SELLING
  STOCKHOLDERS</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">This
  Reoffer Prospectus relates to the reoffer and resale of 500,000 Shares by the Selling Stockholders named below, who have or may
  acquire such Shares pursuant to equity incentive awards granted under the 2019 Plan. The Selling Stockholders, who are officers
  and directors of the Company, may resell all, a portion or none of such Shares from time to time.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">The
  following table sets forth, with respect to each Selling Stockholder, based upon information available to us as of May 13, 2019
  (1) the number of shares of our common stock beneficially owned as of such date; (2) the number of Shares that may be sold pursuant
  to this Reoffer Prospectus (i.e., the number of shares underlying all awards granted to such Selling Stockholder under the 2019
  Plan); and (3) the number and percent of the 7,816,030 outstanding shares of common stock of Registrant as of May 13, 2019 beneficially
  owned by such Selling Stockholder after the offering, assuming the sale by such Selling Stockholder of all of such Selling Stockholder&rsquo;s
  Shares offered hereby. </FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="border-collapse: collapse; width: 100%; font: 10pt Times New Roman, Times, Serif">
  <TR STYLE="vertical-align: bottom">
      <TD STYLE="font-weight: normal; text-align: center"></TD><TD STYLE="padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="text-align: center; font-family: Times New Roman, Times, Serif"><P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Shares
                                           of Common Stock</FONT></P> <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Beneficially
                                           Owned Prior</FONT></P> <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">to</FONT></P></TD><TD STYLE="padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="text-align: center; font-family: Times New Roman, Times, Serif"><P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Shares
                                           of Common</FONT></P> <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Stock
                                           to be</FONT></P></TD><TD STYLE="padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="6" STYLE="text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Shares
                                           of Common Stock Beneficially Owned after</FONT></P> <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Offering(2)(3)</FONT></P></TD><TD STYLE="padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Name
      of Selling Stockholder(1)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="font-weight: normal; font-style: normal; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Offering(2)(4)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="font-weight: normal; font-style: normal; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Sold(4)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="font-weight: normal; font-style: normal; text-align: center; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Number</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: bold; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="font-weight: normal; text-align: center; font-style: normal; border-bottom: Black 1.5pt solid; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-style: normal; font-weight: normal">Percentage</FONT></TD><TD STYLE="font-weight: bold; padding-bottom: 1.5pt; text-align: center; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">James H.
      Brandi </TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif">&nbsp;</TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif">5,000</TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">(12)</TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif">&nbsp;</TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif">5,000</TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif">&nbsp;</TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif">[-]</TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD><TD STYLE="font-weight: bold; font-family: Times New Roman, Times, Serif">&nbsp;</TD>
      <TD STYLE="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD><TD STYLE="font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif">*</TD><TD STYLE="font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
      <TD STYLE="width: 52%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">David
      H. Kennedy</FONT></TD><TD STYLE="width: 1%; font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="width: 1%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="width: 9%; font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">12,154</FONT></TD><TD STYLE="width: 1%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(5)</FONT></TD><TD STYLE="width: 1%; font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="width: 1%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="width: 9%; font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">4,000</FONT></TD><TD STYLE="width: 1%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="width: 1%; font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="width: 1%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="width: 9%; font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">8,154</FONT></TD><TD STYLE="width: 1%; font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="width: 1%; font-weight: bold; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="width: 1%; font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="width: 9%; font-weight: bold; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">*</FONT></TD><TD STYLE="width: 1%; font-weight: bold; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Bryan
      H. Lawrence</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">5,493,770</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(6)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">4,000</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">5,489,770</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">65.0</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">%</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Peter
      A. Leidel</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">5,493,770</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(7)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">4,000</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">5,489,770</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">65.0</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">%</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Edwin
      H. Morgens</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">87,334</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(8)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">4,000</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">83,334</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">1.1</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">%</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Patrick
      R. McDonald</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">293,593</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(9)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">50,000</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">243,593</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">3.1</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">%</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: White; font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Mark
      D. Pierce</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">121,234</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(10)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">25,000</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">96,234</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">1.2</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">%</FONT></TD></TR>
  <TR STYLE="vertical-align: bottom; background-color: rgb(204,238,255); font-family: Times New Roman, Times, Serif">
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">Kevin
      D. Struzeski</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">149,283</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">(11)</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">25,000</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">124,283</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-weight: normal; font-style: normal; text-align: left; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: right; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">1.6</FONT></TD><TD STYLE="font-weight: normal; font-style: normal; text-align: left"><FONT STYLE="font-family: Times New Roman, Times, Serif">%</FONT></TD></TR>
  </TABLE>
  
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; text-align: justify">
  <TD STYLE="width: 0in"></TD><TD STYLE="width: 4%; text-align: left"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">*</FONT></TD><TD STYLE="text-align: justify; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Represents
  less than 1% of our outstanding common stock.</FONT></TD>
  </TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(1)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">All
                                           individuals named are current officers or directors of the Company.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(2)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">The
                                           amounts and percentages of common stock beneficially owned are reported on the bases
                                           of rules of the SEC governing the determination of beneficial ownership of securities.
                                           Under the rules of the SEC, a person is deemed to be a &ldquo;beneficial owner&rdquo;
                                           of a security if that person has or shares voting power, which includes the power to
                                           vote or direct the voting of such security, or investment power, which includes the power
                                           to dispose of or to direct the disposition of such security. In addition, shares are
                                           deemed to be beneficially owned by a person if the person has the right to acquire the
                                           shares (for example, upon exercise of an option) within 60&nbsp;days of the date as of
                                           which the information is provided.&nbsp;&nbsp;Securities that can be so acquired are
                                           deemed to be outstanding for purposes of computing such person&rsquo;s ownership percentage,
                                           but not for purposes of computing any other person&rsquo;s percentage. Further, under
                                           the rules of the SEC, more than one person may be deemed beneficial owner of the same
                                           securities and a person may be deemed to be a beneficial owner of securities as to which
                                           such person has no economic interest. Except as otherwise indicated in these footnotes,
                                           each of the beneficial owners has, to our knowledge, sole voting and investment power
                                           with respect to the indicated shares of common stock. The amounts shown in the table
                                           are based on the conversion of the Series B Convertible Preferred Stock assuming a public
                                           offering price of $8.00 per share. Percentages are calculated based on 7,816,030 shares
                                           of our common stock issued and outstanding on May 13, 2019. Percentages are rounded to
                                           the nearest one-tenth of one percent.&nbsp;&nbsp;</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(3)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Assumes
                                           that all Shares offered hereunder are sold but no other securities held by the Selling
                                           Stockholder are sold.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"></P>
  
  <!-- Field: Page; Sequence: 11; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->6<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(4)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">The
                                           amounts for each Selling Stockholder assume full vesting of all Shares held by such Selling
                                           Stockholder.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(5)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Does
                                           not include 16,000 restricted stock shares of our common stock which vest upon the earlier
                                           of a change in control of the Company or the date the director&rsquo;s membership on
                                           the Board is terminated other than for cause.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(6)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Includes
                                           (i)&nbsp;896,615 common stock shares owned by Yorktown Energy Partners V, L.P., (ii)&nbsp;896,615
                                           common stock shares owned by Yorktown Energy Partners VI, L.P., (iii)&nbsp;1,111,111
                                           common stock shares owned by Yorktown Energy Partners IX, L.P., and (iv)&nbsp; 2,584,829
                                           (inclusive of 50,000 shares of Series B convertible preferred stock which currently may
                                           be converted into up to 625,000 shares of our common stock) common stock shares owned
                                           by Yorktown Energy Partners XI, L.P. over which Mr. Lawrence and Mr. Leidel have voting
                                           and investment power. Pursuant to applicable reporting requirements, Messrs. Lawrence
                                           and Leidel are reporting indirect beneficial ownership of the entire amount of our securities
                                           owned by Yorktown but they disclaim beneficial ownership of such shares.&nbsp;&nbsp;Does
                                           not include 28,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director&rsquo;s membership on
                                           the Board is terminated other than for cause.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(7)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Includes
                                           (i) 896,915 common stock shares owned by Yorktown Energy Partners V, L.P., (ii) 896,915
                                           common stock shares owned by Yorktown Energy Partners VI, L.P.,&nbsp;&nbsp;(iii) 1,111,111
                                           common stock shares owned by Yorktown Energy Partners IX, L.P. and (iv) 2,584,829 (inclusive
                                           of 50,000 shares of Series B convertible preferred stock which currently may be converted
                                           into up to 625,000 shares of our common stock) common stock shares owned by Yorktown
                                           Energy Partners XI, L.P. over which Mr. Lawrence and Mr. Leidel have voting and investment
                                           power.&nbsp;&nbsp;Pursuant to applicable reporting requirements, Messrs. Lawrence and
                                           Leidel are reporting indirect beneficial ownership of the entire amount of our securities
                                           owned by Yorktown but they disclaim beneficial ownership of such shares.&nbsp;&nbsp;Does
                                           not include 28,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director&rsquo;s membership on
                                           the Board is terminated other than for cause.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(8)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Does
                                           not include 28,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director&rsquo;s membership on
                                           the Board is terminated other than for cause.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(9)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Includes
                                           24,135 shares owned by McDonald Energy, LLC over which Mr. McDonald has voting and investment
                                           power. Does not include 20,000 and 58,080 shares of unvested restricted stock and performance
                                           units, respectively.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(10)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Does
                                           not include 20,000 and 29,040 shares of unvested restricted stock and performance units,
                                           respectively.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; margin-bottom: 0; width: 100%"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(11)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Does
                                           not include 20,000 and 29,040 shares of unvested restricted stock and performance units,
                                           respectively.</FONT></TD></TR>                                                                                                                                                                                                                     <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif">&nbsp;</TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">&nbsp;</TD><TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0">(12)</TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif">Does
                                           not include 32,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director&rsquo;s membership on
                                           the Board is terminated other than for cause.</TD></TR>
  </TABLE>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: left">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: left"></P>
  
  <!-- Field: Page; Sequence: 12; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->7<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: left"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A NAME="a_06"></A>PLAN
  OF DISTRIBUTION</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  Selling Stockholders may, from time to time, sell all or a portion of the Shares on any market upon which our common shares may
  be listed or quoted (currently the OTC Markets), in privately negotiated transactions or otherwise. Such sales may be at fixed
  prices prevailing at the time of sale, at prices related to the market prices or at negotiated prices. The Shares being offered
  for resale pursuant to this Reoffer Prospectus may be sold by the Selling Stockholders by one or more of the following methods,
  without limitation:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(1)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">block
                                           trades in which the broker or dealer so engaged will attempt to sell the common shares
                                           as agent but may position and resell a portion of the block as principal to facilitate
                                           the transaction&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(2)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">purchases
                                           by broker or dealer as principal and resale by the broker or dealer for its account pursuant
                                           to this reoffer prospectus&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(3)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">an
                                           exchange distribution in accordance with the rules of the applicable exchange&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(4)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">ordinary
                                           brokerage transactions and transactions in which the broker solicits purchasers&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(5)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">privately
                                           negotiated transactions&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(6)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">market
                                           sales (both long and short to the extent permitted under the federal securities laws)&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(7)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">at
                                           the market to or through market makers or into an existing market for the shares&#894;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(8)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">through
                                           transactions in options, swaps or other derivatives (whether exchange listed or otherwise);</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(9)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">a
                                           combination of any aforementioned methods of sale&#894; and</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(10)</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">any
                                           other method permitted pursuant to applicable law.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">In
  effecting sales, brokers and dealers engaged by the Selling Stockholders may arrange for other brokers or dealers to participate.
  Brokers or dealers may receive commissions or discounts from a Selling Stockholder or, if any of the broker-dealers act as an
  agent for the purchaser of such shares, from a purchaser in amounts to be negotiated which are not expected to exceed those customary
  in the types of transactions involved. Broker-dealers may agree with a Selling Stockholder to sell a specified number of the common
  shares at a stipulated price per share. Such an agreement may also require the broker-dealer to purchase as principal any unsold
  common shares at the price required to fulfill the broker-dealer commitment to the Selling Stockholder if such broker-dealer is
  unable to sell the shares on behalf of the Selling Stockholder. Broker-dealers who acquire common shares as principal may thereafter
  resell the common shares from time to time in transactions which may involve block transactions and sales to and through other
  broker-dealers, including transactions of the nature described above. Such sales by a broker-dealer could be at prices and on
  terms then prevailing at the time of sale, at prices related to the then-current market price or in negotiated transactions. In
  connection with such resale, the broker-dealer may pay to or receive from the purchasers of the shares commissions as described
  above.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  Selling Stockholders and any broker-dealers or agents that participate with the Selling Stockholders in the sale of the common
  shares may be deemed to be &ldquo;underwriters&rdquo; within the meaning of the Securities Act in connection with these sales.
  In that event, any commissions received by the broker-dealers or agents and any profit on the resale of the common shares purchased
  by them may be deemed to be underwriting commissions or discounts under the Securities Act.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">To
  the extent required under the Securities Act, a post-effective amendment to the registration statement of which this Reoffer Prospectus
  forms a part will be filed disclosing the name of any broker-dealers, the number of common shares involved, the price at which
  our common shares are to be sold, the commissions paid or discounts or concessions allowed to such broker-dealers, where applicable,
  that such broker-dealers did not conduct any investigation to verify the information set out or incorporated by reference in this
  reoffer prospectus and other facts material to the transaction.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  Company and the Selling Stockholders will be subject to applicable provisions of the Exchange Act and the rules and regulations
  under it, including, without limitation, Rule 10b-5 and, insofar as a Selling Stockholder is a distribution participant and the
  Company, under certain circumstances, may be a distribution participant, under Regulation M. All of the foregoing may affect the
  marketability of the Company&rsquo;s Shares.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">All
  expenses for this Reoffer Prospectus and related registration statement including legal, accounting, printing and mailing fees
  are and will be borne by the Company. Any commissions, discounts or other fees payable to brokers or dealers in connection with
  any sale of the Shares will be borne by the Selling Stockholders, the purchasers participating in such transaction, or both.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Any
  Shares being offered pursuant to this Reoffer Prospectus that qualify for sale pursuant to Rule 144 under the Securities Act may
  be sold under Rule 144 rather than pursuant to this Reoffer Prospectus.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Under
  the Exchange Act, any person engaged in a distribution of the Shares offered by this Reoffer Prospectus may not simultaneously
  engage in market making activities with respect to our common shares during the applicable &ldquo;cooling off&rdquo; periods prior
  to the commencement of such distribution. In addition, and without limiting the foregoing, the Selling Stockholders will be subject
  to applicable provisions of the Exchange Act and the rules and regulations thereunder, which provisions may limit the timing of
  purchases and sales of the Shares by the Selling Stockholders</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">&nbsp;</FONT></P>
  
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"></P>
  
  <!-- Field: Page; Sequence: 13; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->8<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>&nbsp;</B></FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A NAME="a_07"></A>WHERE
  YOU CAN FIND MORE INFORMATION</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: left"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">We
  file annual, quarterly and current reports, proxy statements and other information with the SEC. You may read and copy any document
  we file at the SEC&rsquo;s Public Reference Room at 100 F Street, N.E., Washington, D.C. 20549. You can request copies of these
  documents by writing to the SEC and paying a fee for the copying cost. Please call the SEC at 1-800-SEC-0330 for more information
  about the operation of the public reference room. The SEC also maintains an Internet site that contains reports, proxy and information
  statements, and other information regarding issuers, like us, who file electronically with the SEC. The address of the site is
  http://www.sec.gov.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">In
  addition, we maintain a website that contains information, including copies of reports, proxy statements and other information
  we file with the SEC. The address of our website is https://www.carbonenergycorp.com/sec-filings/. Information contained on our
  website or that can be accessed through our website can be accessed free of charge. Information contained on our website or that
  can be accessed through our website does not constitute a part of this Reoffer Prospectus.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"></P>
  
  <!-- Field: Page; Sequence: 14; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->9<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A NAME="a_08"></A>INFORMATION
  INCORPORATED BY REFERENCE</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">The
  following documents filed with the Securities and Exchange Commission by the Company, are hereby incorporated by reference in
  this Reoffer Prospectus:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(a)
  Our Annual Report on <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019005141/f10k2018_carbonenergy.htm">Form 10-K</A> for the fiscal year ended December 31, 2018 (filed March 28, 2019).</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(b)
  Our Quarterly Report on <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019008477/f10q0319_carbonenergycorp.htm">Form 10-Q</A> for the quarterly period ended March 31, 2019 (filed May 14, 2019).</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(c)
  All other reports filed by the Registrant pursuant to Section 13(a) or 15(d) of the Exchange Act since the end of the fiscal year
  covered by the Annual Report on Form 10-K referred to in (a) above.&#9;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(d)
  The description of Common Stock of the Company contained in our <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019011506/f8k062619_carbonenergy.htm">Form 8-K</A> filed June 26, 2019, which was filed for the purpose
  of updating this description.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">All
  documents filed by the Company pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act after the date hereof (excluding
  any information furnished pursuant to Item 2.02 or Item 7.01 of any Current Report on Form 8-K), and prior to the filing of a
  post-effective amendment which indicates that the securities offered hereby have been sold or which deregisters the securities
  covered hereby then remaining unsold, shall also be deemed to be incorporated by reference into this Reoffer Prospectus and to
  be a part hereof commencing on the respective date of filing of such documents.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"></P>
  
  <!-- Field: Page; Sequence: 15; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt"><!-- Field: Sequence; Type: Arabic; Name: PageNo -->10<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in">&nbsp;</P>
  
  
  
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">PART
  II</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">INFORMATION
  REQUIRED IN THE REGISTRATION STATEMENT</FONT></P>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Item
  3. INCORPORATION OF CERTAIN DOCUMENTS BY REFERENCE</B></FONT></P>
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  following documents filed with the Securities and Exchange Commission by the Company, are hereby incorporated by reference in
  this Registration Statement:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 1in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(a)
  Our Annual Report on <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019005141/f10k2018_carbonenergy.htm">Form 10-K</A> for the fiscal year ended December 31, 2018 (filed March 28, 2019).</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(b)
  Our Quarterly Report on <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019008477/f10q0319_carbonenergycorp.htm">Form 10-Q</A> for the quarterly period ended March 31, 2019 (filed May 14, 2019).</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(c)
  All other reports filed by the Registrant pursuant to Section&nbsp;13(a) or 15(d) of the Exchange Act since the end of the fiscal
  year covered by the Annual Report on Form&nbsp;10-K referred to in (a)&nbsp;above.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(d)
  The description of Common Stock of the Company contained in our <A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019011506/f8k062619_carbonenergy.htm">Form 8-K</A> filed June 26, 2019, which was filed for the purpose
  of updating this description.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">All
  documents filed by the Company pursuant to Sections&nbsp;13(a), 13(c), 14 and 15(d) of the Exchange Act after the date hereof
  (excluding any information furnished pursuant to Item 2.02 or Item 7.01 of any Current Report on Form&nbsp;8-K), and prior to
  the filing of a post-effective amendment which indicates that the securities offered hereby have been sold or which deregisters
  the securities covered hereby then remaining unsold, shall also be deemed to be incorporated by reference into this Registration
  Statement and to be a part hereof commencing on the respective date of filing of such documents.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: -0.5in">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: -0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Item
  4. DESCRIPTION OF SECURITIES</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Not
  applicable.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: -0.5in">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: -0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Item
  5. INTERESTS OF NAMED EXPERTS AND COUNSEL</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">None.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: -0.5in">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0 0 0 0.5in; text-indent: -0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Item
  6. INDEMNIFICATION OF DIRECTORS AND OFFICERS</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  amended and restated bylaws limit the liability of our directors to the maximum extent permitted by Delaware law. Delaware law
  provides that directors will not be personally liable for monetary damages for breach of their fiduciary duties as directors,
  except with respect to liability:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">for
                                           any breach of the director&rsquo;s duty of loyalty to us or our stockholders;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">for
                                           acts or omissions not in good faith or that involve intentional misconduct or a knowing
                                           violation of law;</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">for
                                           any unlawful payments of dividends or unlawful stock repurchases or redemption as provided
                                           in Section&nbsp;174 of the DGCL; or</FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 0.25in; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&#9679;</FONT></TD><TD STYLE="text-align: justify; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">for
                                           any transaction from which the director derived any improper personal benefit.</FONT></TD></TR></TABLE>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0in"></P>
  
  <!-- Field: Page; Sequence: 16; Options: NewSection; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt">II-<!-- Field: Sequence; Type: Arabic; Name: PageNo -->1<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 1in; text-align: justify; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">However,
  if the DGCL is amended to authorize corporate action further eliminating or limiting the personal liability of directors, then
  the liability of our directors will be eliminated or limited to the fullest extent permitted by the DGCL, as so amended. The modification
  or repeal of this provision of our amended and restated certificate of incorporation will not adversely affect any right or protection
  of a director existing at the time of such modification or repeal.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  amended and restated certificate of incorporation and amended and restated bylaws provide that we will, to the fullest extent
  from time to time permitted by law, indemnify our directors and officers against all liabilities and expenses in any suit or proceeding,
  arising out of their status as an officer or director or their activities in these capacities. We will also indemnify any person
  who, at our request, is or was serving as a director, officer, trustee, employee or agent of another corporation, partnership,
  joint venture, trust or other enterprise. We may, by action of our board of directors, provide indemnification to our employees
  and agents within the same scope and effect as the foregoing indemnification of directors and officers. In addition, we have entered
  into separate indemnification agreements with each of our directors and executive officers, which are broader than the specific
  indemnification provisions contained in the DGCL. These indemnification agreements require us, among other things, to indemnify
  our directors and officers against liabilities that may arise by reason of their status or service as directors or officers, other
  than liabilities arising from willful misconduct.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">The
  right to be indemnified includes the right of an officer or a director to be paid expenses, including attorneys' fees, in advance
  of the final disposition of any proceeding, provided that, if required by law, we receive an undertaking to repay such amount
  if it will be determined that he or she is not entitled to be indemnified.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Our
  board of directors may take such action as it deems necessary to carry out these indemnification provisions, including adopting
  procedures for determining and enforcing indemnification rights and purchasing insurance policies. Our board of directors may
  also adopt bylaws, resolutions or contracts implementing indemnification arrangements as may be permitted by law. Neither the
  amendment nor the repeal of these indemnification provisions, nor the adoption of any provision of our amended and restated certificate
  of incorporation inconsistent with these indemnification provisions, will eliminate or reduce any rights to indemnification relating
  to such person's status or any activities prior to such amendment, repeal or adoption.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">We
  believe these provisions will assist in attracting and retaining qualified individuals to serve as directors and officers.</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Item
  7. <FONT STYLE="text-transform: uppercase">Exemption from Registration Claimed.</FONT></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Not
  Applicable</FONT></P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Item
  8. EXHIBITS</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0.25in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; border-collapse: collapse">
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-left: 0; text-align: left; width: 9%"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>Exhibit<BR>
          Number</B></FONT></TD>
      <TD STYLE="padding: 0 0 1.5pt; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 1%">&nbsp;</TD>
      <TD STYLE="padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; font: 10pt Times New Roman, Times, Serif; padding-left: 0; text-align: center; width: 90%; vertical-align: bottom"><B>Description</B></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">4.1</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><A HREF="http://www.sec.gov/Archives/edgar/data/86264/000121390019006937/def14c0419_carbonenergy.htm"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Carbon Energy Corporation 2019 Long Term Incentive Plan <SUP>(1)</SUP></FONT></A></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif; background-color: White">
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">5.1</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A HREF="fs82019ex5-1_carbon.htm">Opinion of Burns, Figa &amp; Will, P.C. regarding the legality of the common stock being registered.</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">23.1</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A HREF="fs82019ex23-1_carbon.htm">Consent of Plante &amp; Moran, PLLC, Independent Registered Public Accounting Firm.</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif; background-color: White">
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">23.2</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A HREF="fs82019ex5-1_carbon.htm">Consent of Burns, Figa &amp; Will, P.C. (included in opinion filed as Exhibit&nbsp;5.1)</A></FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif; background-color: rgb(204,238,255)">
      <TD STYLE="padding: 0; text-align: center; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">24.1</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A HREF="#sig">Power of Attorney (see signature page)</A></FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">&nbsp;</FONT></P>
  
  <TABLE CELLPADDING="0" CELLSPACING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"><TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
  <TD STYLE="width: 0%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"></TD><TD STYLE="width: 4%; padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">(1)</FONT></TD><TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; width: 96%; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt; font-weight: normal">Incorporated
                                           by reference to Appendix A of the Registrant&rsquo;s Definitive Information Statement
                                           (Schedule 14C) filed with the Securities and Exchange Commission on April 23, 2019. </FONT></TD></TR></TABLE>
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <P STYLE="margin-top: 0; margin-bottom: 0"></P>
  
  <!-- Field: Page; Sequence: 17; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt">II-<!-- Field: Sequence; Type: Arabic; Name: PageNo -->2<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="margin-top: 0; margin-bottom: 0">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0pt; margin-bottom: 0pt"> <FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>Item 9.</B></FONT> <FONT STYLE="font: 10pt Times New Roman, Times, Serif"><B>UNDERTAKINGS</B></FONT></P>
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">A. The
  undersigned Registrant hereby undertakes:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(1) To
  file, during any period in which offers or sales are being made, a post-effective amendment to this Registration Statement:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 1in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(i) To
  include any prospectus required by Section&nbsp;10(a)(3) of the Securities Act;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(ii) To
  reflect in the prospectus any facts or events arising after the effective date of this Registration Statement (or the most recent
  post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set
  forth in this Registration Statement; and</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(iii) To
  include any material information with respect to the plan of distribution not previously disclosed in this Registration Statement
  or any material change to such information in this Registration Statement;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.75in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><U>provided</U>,
  <U>however</U>, that paragraphs&nbsp;(1)(i) and (1)(ii) above do not apply if the information required to be included in a post-effective
  amendment by those paragraphs is contained in periodic reports filed with the Commission by the Registrant pursuant to Section&nbsp;13
  or Section&nbsp;15(d) of the Exchange Act that are incorporated by reference in this Registration Statement.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(2) That,
  for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be
  a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall
  be deemed to be the initial bona fide offering thereof.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">(3) To
  remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at
  the termination of the offering.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">B. The
  undersigned Registrant hereby undertakes that, for purposes of determining any liability under the Securities Act, each filing
  of the Registrant's annual report pursuant to Section 13(a) or 15(d) of the Exchange Act (and, where applicable, each filing of
  an employee benefits plan's annual report pursuant to Section 15(d) of the Exchange Act) that is incorporated by reference in
  this Registration Statement shall be deemed to be a new registration statement relating to the securities offered therein, and
  the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">C. Insofar
  as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons
  of the Registrant pursuant to the foregoing provisions, or otherwise, the Registrant has been advised that in the opinion of the
  Commission such indemnification is against public policy as expressed in the Securities Act and is, therefore, unenforceable.
  In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred
  or paid by a director, officer or controlling person of the Registrant in the successful defense of any action, suit or proceeding)
  is asserted by such director, officer or controlling person in connection with the securities being registered, the Registrant
  will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate
  jurisdiction the question whether such indemnification by it is against public policy as expressed in the Securities Act and will
  be governed by the final adjudication of such issue.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify"></P>
  
  <!-- Field: Page; Sequence: 18; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt">II-<!-- Field: Sequence; Type: Arabic; Name: PageNo -->3<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify">&nbsp;</P>
  
  
  
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>SIGNATURES</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Pursuant
  to the requirements of the Securities Act of 1933, the Registrant certifies that it has reasonable grounds to believe that it
  meets all of the requirements for filing on Form&nbsp;S-8 and has duly caused this Registration Statement to be signed on its
  behalf by the undersigned, thereunto duly authorized, in Denver, Colorado on July 11, 2019.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="font: 10pt Times New Roman, Times, Serif; width: 100%; border-collapse: collapse">
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD COLSPAN="2" STYLE="font-family: Times New Roman, Times, Serif"><P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>CARBON
                      ENERGY CORPORATION</B></FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0 0 0 48pt; text-indent: -48pt"></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0"></P>
  
  </TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; width: 60%"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="width: 4%; font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; width: 36%"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0 0 1.5pt; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">By:</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">/s/
      Patrick R. McDonald</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Patrick
      R. McDonald, </FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif"><I>Chief
      Executive Officer and Director</I></FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0 0 1.5pt; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">By:</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">/s/
      Kevin D. Struzeski</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Kevin
      D. Struzeski,</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD STYLE="font-family: Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif">&nbsp;</FONT></TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif"><I>Chief
      Financial Officer, Treasurer and Secretary</I></FONT></TD></TR>
  </TABLE>
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center">&nbsp;</P>
  
  <P STYLE="font: bold 10pt Times New Roman, Times, Serif; margin: 0; text-align: center"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><A NAME="sig"></A>POWER
  OF ATTORNEY</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">KNOW
  ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Patrick R. McDonald and
  Kevin D. Struzeski as true and lawful attorneys-in-fact and agents with full power of substitution and re-substitution, for them
  and in their name, place and stead, in any and all capacities to sign the Registration Statement filed herewith and any or all
  amendments to said Registration Statement (including post-effective amendments and Registration Statements filed pursuant to Rule
  462 and otherwise), and to file the same, with all exhibits thereto, and other documents in connection therewith, the Securities
  and Exchange Commission granting unto said attorneys-in-fact and agents the full power and authority to do and perform each and
  every act and thing requisite and necessary to be done in and about the foregoing, as to all intents and purposes as they might
  or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents or any of them, or their substitute,
  may lawfully do or cause to be done by virtue hereof.</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in">&nbsp;</P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"></P>
  
  <!-- Field: Page; Sequence: 19; Value: 1 -->
      <DIV STYLE="margin-top: 12pt; margin-bottom: 6pt; border-bottom: Black 1.5pt solid"><P STYLE="margin-top: 0pt; text-align: center; margin-bottom: 0pt">II-<!-- Field: Sequence; Type: Arabic; Name: PageNo -->4<!-- Field: /Sequence --></P></DIV>
      <DIV STYLE="page-break-before: always; margin-top: 6pt; margin-bottom: 12pt"><P STYLE="margin: 0pt">&nbsp;</P></DIV>
      <!-- Field: /Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Pursuant
  to the requirements of the Securities Act of 1933, this Registration Statement has been signed by the following persons in the
  capacities and on July 11, 2019:</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-align: justify; text-indent: 0.5in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <TABLE CELLSPACING="0" CELLPADDING="0" STYLE="width: 100%; font: 10pt Times New Roman, Times, Serif; border-collapse: collapse">
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="width: 40%; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><BR STYLE="clear: both">
      <B>Name and Title</B></FONT></TD>
      <TD STYLE="width: 20%; padding-bottom: 1.5pt">&nbsp;</TD>
      <TD STYLE="width: 40%; padding-top: 0; padding-right: 0; border-bottom: Black 1.5pt solid; padding-left: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"><B>Signature</B></FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Patrick
      R. McDonald,<BR>
  Chief Executive Officer and Director</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"></P>
          <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/
          Patrick R. McDonald</FONT></P></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Kevin
      D. Struzeski, <BR>
  Chief Financial Officer, Treasurer and Secretary</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt"></FONT></P>
          <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/
          Kevin D. Struzeski</FONT></P></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">James
      H. Brandi, <BR>
  Director</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/
      James H. Brandi</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">David
      H. Kennedy, <BR>
  Director</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/
      David H. Kennedy</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Bryan
      H. Lawrence, <BR>
  Director</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/
      Bryan H. Lawrence</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Peter
      A. Leidel, <BR>
  Director</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/Peter
      A. Leidel</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif; text-align: left; vertical-align: bottom"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></TD></TR>
  <TR STYLE="vertical-align: top; font: 10pt Times New Roman, Times, Serif">
      <TD STYLE="padding: 0; text-indent: 0; font: 10pt Times New Roman, Times, Serif"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">Edwin
      H. Morgens, <BR>
  Director</FONT></TD>
      <TD>&nbsp;</TD>
      <TD STYLE="font: 10pt Times New Roman, Times, Serif; padding: 0; text-indent: 0; text-align: left; vertical-align: bottom; border-bottom: Black 1.5pt solid"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">/s/
      Edwin H. Morgens</FONT></TD></TR>
  </TABLE>
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">&nbsp;</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin-top: 0; text-align: center; margin-bottom: 0"><FONT STYLE="font-family: Times New Roman, Times, Serif; font-size: 10pt">II-5</FONT></P>
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font: 10pt Times New Roman, Times, Serif"></FONT></P>
  
  <!-- Field: Rule-Page --><DIV ALIGN="LEFT" STYLE="margin-top: 0; margin-bottom: 0"><DIV STYLE="font-size: 1pt; border-top: Black 1.5pt solid; width: 100%">&nbsp;</DIV></DIV><!-- Field: /Rule-Page -->
  
  <P STYLE="font: 10pt Times New Roman, Times, Serif; margin: 0; text-indent: 0in"><FONT STYLE="font: 10pt Times New Roman, Times, Serif">&nbsp;</FONT></P>
  
  </BODY>
  </HTML>
metadata_documents: [{"type": "S-8", "sequence": "1", "filename": "fs82019_carbonenergycorp.htm", "description": "REGISTRATION STATEMENT", "secsgml_size_bytes": 226723}]
metadata_filer: {"company-data": {"conformed-name": "Carbon Energy Corp", "cik": "0000086264", "assigned-sic": "1311", "irs-number": "260818050", "state-of-incorporation": "DE", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "S-8", "act": "33", "file-number": "333-232604", "film-number": "19951098"}, "business-address": {"street1": "1700 BROADWAY, SUITE 1170", "city": "DENVER", "state": "CO", "zip": "80290", "phone": "720-407-7043"}, "mail-address": {"street1": "1700 BROADWAY, SUITE 1170", "city": "DENVER", "state": "CO", "zip": "80290"}, "former-company": [{"former-conformed-name": "Carbon Natural Gas Co", "date-changed": "20110505"}, {"former-conformed-name": "ST LAWRENCE SEAWAY CORP", "date-changed": "19920703"}]}
text: UNITED
  STATES
  SECURITIES
  AND EXCHANGE COMMISSION
  Washington,
  D.C. 20549
  FORM
  S-8
  REGISTRATION
  STATEMENT
  UNDER
  THE
  SECURITIES ACT OF 1933
  Carbon
  Energy Corporation
  (Exact
  name of registrant as specified in its charter)
  Delaware
  26-0818050
  (State
      or other jurisdiction
  of incorporation or organization)
  (I.R.S.
      Employer
  Identification No.)
  1700
  Broadway, Suite 1170
  Denver,
  CO 80290
  (Address
  of principal executive offices)
  Carbon
  Energy Corporation 2019 Long Term Incentive Plan
  (full
  title of the plan)
  Kevin
  D. Struzeski, Chief Financial Officer, Treasurer and Secretary
  Carbon
  Energy Corporation
  1700
  Broadway, Suite 1170
  Denver,
  CO 80290
  (720)
  407-7030
  (Name,
  address and telephone number, including area code, of agent for service)
  Copy
  to:
  Theresa
  Mehringer, Esq.
  Burns Figa & Will, P.C.
  6400 S. Fiddlers Green Circle,
  Suite1000
  Greenwood Village, Colorado 80111
  (303)
  796-2626
  Indicate by check mark whether the registrant is a large accelerated
  filer, an accelerated filer, a non-accelerated filer, a smaller reporting company, or an emerging growth company. See the definitions
  of "large accelerated filer," "accelerated filer," "smaller reporting company," and "emerging
  growth company" in Rule 12b-2 of the Exchange Act.
  Large accelerated filer ☐
  Accelerated filer ☐
  Non-accelerated filer ☐
  Smaller reporting company ☒
  Emerging growth company ☐
  If an emerging growth company, indicate by check mark if the
  registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards
  provided pursuant to Section 7(a)(2)(B) of the Securities Act. ☐
  CALCULATION
  OF REGISTRATION FEE
  Title of Securities to be Registered
  Amount to Be Registered (1)
  Proposed Maximum Offering Price Per Share (2)
  Proposed Maximum Aggregate Offering Price (2)
  Amount of Registration Fee (2)
  Common Stock, $0.01 par value per share, under the Carbon Energy Corporation 2019 Long Term Incentive Plan
  500,000
  $
  8.00
  $
  4,000,000
  $
  484.80
  Total
  500,000
  $
  8.00
  $
  4,000,000
  $
  484.80
  (1)
  This
  Registration Statement covers 500,000 shares of common stock, $0.01 par value per share, of Carbon Energy Corporation (the "Common
  Stock") issued or issuable pursuant to the Carbon Energy Corporation 2019 Long Term Incentive Plan (the "2019 Plan").
  In addition, pursuant to Rule 416 under the Securities Act of 1933, as amended, this Registration Statement covers an indeterminable
  number of additional shares of Common Stock as may hereafter be offered or issued pursuant to the 2019 Plan, as necessary to adjust
  the number of shares reserved for issuance pursuant to the Plan as the result of any future stock split, stock dividend or similar
  adjustment of the outstanding common stock.
  (2)
  Estimated
  solely for the purpose of calculating the registration fee pursuant to Rules 457(c) and 457(h) under the Securities Act of
  1933, as amended (the "Securities Act"). The calculation of the registration fee is based upon a per share price of
  $8.00 which was the closing price of Carbon Energy Corporation common stock on July 9, 2019, as reported for such date on the
  OTC Markets.
  EXPLANATORY
  NOTE
  This
  Registration Statement on Form S-8 (this "Registration Statement") registers an aggregate of 500,000 shares of the
  common stock, par value $0.01 per share ("Common Stock"), issued or issuable upon the exercise or vesting of awards
  granted and to be granted under the Carbon Energy Corporation 2019 Long Term Incentive Plan (the "2019 Plan").
  This
  Registration Statement also includes a prospectus (the "Reoffer Prospectus") prepared in accordance with General Instruction
  C of Form S-8 and in accordance with the requirements of Part I of Form S-3. This Reoffer Prospectus may be used for reofferings
  and resales of shares of Common Stock that may be deemed to be "control securities" under the Securities Act of 1933,
  as amended (the "Securities Act"), and the rules and regulations promulgated thereunder that have been acquired by
  certain of our officers and directors, being the selling stockholders identified in the Reoffer Prospectus. The number of shares
  of Common Stock included in the Reoffer Prospectus represents the total number of shares of Common Stock that have been or may
  be acquired by the Selling Stockholders pursuant to awards made to the Selling Stockholders under the 2019 Plan, and does not
  necessarily represent a present intention to sell any or all such shares of Common Stock. The inclusion of any person in the selling
  stockholder table of the Reoffer Prospectus should not be deemed a determination or an admission by the Company or otherwise that
  such person is in fact an affiliate of the Company.
  The
  names of persons selling shares under the Reoffer Prospectus and the amount of such shares are set forth below under the caption
  "Selling Stockholders" to the extent we presently have such information. However, other affiliate selling stockholders
  may elect to sell shares under the Reoffer Prospectus as they receive them from time to time in the future in which case, as their
  names and amounts of shares to be reoffered become known, we will supplement the Reoffer Prospectus with that information. In
  addition, as permitted by General Instruction C of Form S-8, certain non-affiliates holding less than the lesser of 1,000 shares
  or 1% of our common stock issuable under the 2019 Plan may resell restricted securities issued under the 2019 Plan up to that
  amount under the Reoffer Prospectus without being named therein. Any securities covered by the Reoffer Prospectus which qualify
  for sale pursuant to Rule 144 may be sold under Rule 144 rather than pursuant to the Reoffer Prospectus.
  PART
  I
  INFORMATION
  REQUIRED IN THE SECTION 10(a) PROSPECTUS
  In
  accordance with Rule 428 and the instructions to Form S-8, the document(s) containing the information required by Part I of Form
  S-8 are not required to be filed with the SEC either as part of the Registration Statement or any prospectuses or prospectus supplements
  thereto pursuant to Rule 424 under the Securities Act. Such documents have been or will be sent or given to participants in the
  2019 Plan as specified by Rule 428 under the Securities Act.
  *
  * *
  The
  Reoffer Prospectus referred to in the Explanatory Note follows this page.
  REOFFER
  PROSPECTUS
  500,000
  Shares of Common Stock
  Carbon
  Energy Corporation
  This
  Reoffer Prospectus may be used by certain stockholders of shares of our common stock, par value $0.01 per share, made upon the
  exercise or vesting of equity incentive awards granted under the Carbon Energy Corporation 2019 Long Term Incentive Plan (the
  "2019 Plan") (all such persons, the "Selling Stockholders") to sell 500,000 shares of our common stock
  (the "Shares"). The Selling Stockholders, who are listed in the section of this Reoffer Prospectus entitled "Selling
  Stockholders," may offer these Shares for resale from time to time. However, other affiliate selling stockholders may elect
  to sell shares under this Reoffer Prospectus as they receive them from time to time in the future in which case, as their names
  and amounts of shares to be reoffered become known, we will supplement this Reoffer Prospectus with that information. We are not
  selling any shares of common stock under this Reoffer Prospectus, and we will not receive any of the proceeds from the sale of
  the Shares.  We will pay all fees and expenses incurred in connection with the registration of the Shares. The Selling Stockholders
  will bear all sales commissions and similar expenses.
  The
  Selling Stockholders may sell the Shares covered by this Reoffer Prospectus from time to time through various means, including
  directly or indirectly to purchasers, in one or more transactions on the OTC Markets or any other stock exchange or stock market
  on which the Shares are traded at the time of sale, in privately negotiated transactions, or through a combination of these methods.
  These sales may be at fixed prices, which may change, at market prices available at the time of sale, at prices based on the available
  market price at the time of sale, or at negotiated prices. If the Shares are sold through underwriters, broker-dealers or agents,
  these parties may be compensated for their services in the form of discounts or commissions, which is deemed to be "underwriting
  commissions." If required, the names of any underwriter(s), applicable commissions or discounts, and any other required
  information with respect to any particular sales will be disclosed in an accompanying prospectus supplement. For additional information
  on the Selling Stockholders' possible methods of sale, you should refer to the section in this Reoffer Prospectus entitled
  "Plan of Distribution."
  Our
  common stock is listed on the OTC Markets under the symbol "CRBO." The closing  price reported on July 9, 2019
  was $8.00 per share.
  Investing
  in our securities involves risks. Please carefully read the information under the headings "Risk Factors" beginning
  on page 4 of this Reoffer Prospectus and in any applicable prospectus supplement for certain risks you should consider. You should
  read the entire prospectus carefully before you make your investment decision.
  NEITHER
  THE SECURITIES AND EXCHANGE COMMISSION NOR ANY STATE SECURITIES COMMISSION HAS APPROVED OR DISAPPROVED OF THESE SECURITIES OR
  PASSED UPON THE ADEQUACY OR ACCURACY OF THIS REOFFER PROSPECTUS. ANY REPRESENTATION TO THE CONTRARY IS A CRIMINAL OFFENSE.
  The
  date of this Reoffer Prospectus is July 11, 2019.
  TABLE
  OF CONTENTS
  Page
  Note Regarding Forward-Looking Statements
  1
  Our Company
  2
  Risk Factors
  4
  Use of Proceeds
  5
  Selling Stockholders
  6
  Plan of Distribution
  8
  Where You Can Find More Information
  9
  Information Incorporated by Reference
  10
  You
  should rely only on the information incorporated by reference or contained in this Reoffer Prospectus. Neither we nor the Selling
  Stockholders have authorized any other person to provide you with information that is different from that contained in this Reoffer
  Prospectus. If anyone provides you with different or inconsistent information, you should not rely on it. The Selling Stockholders
  are offering to sell and seeking offers to buy our common stock only in jurisdictions where such offers and sales are permitted.
  You should assume that the information appearing in this Reoffer Prospectus is accurate only as of the date set forth on the front
  cover hereof, regardless of the time of delivery hereof or of any sale of our common stock hereunder. You should also read this
  Reoffer Prospectus together with the additional information described under "Where You Can Find More Information"
  and "Information Incorporated by Reference."  Information contained on our website, or any other website operated
  by us, is not part of this Reoffer Prospectus.
  This
  Reoffer Prospectus may be supplemented from time to time to add, update or change information in this Reoffer Prospectus. 
  Any statement contained in this Reoffer Prospectus will be deemed to be modified or superseded for purposes of this Reoffer Prospectus
  to the extent that a statement contained in a prospectus supplement modifies or supersedes such statement.  Any statement
  so modified will be deemed to constitute a part of this Reoffer Prospectus only as so modified, and any statement so superseded
  will be deemed not to constitute a part of this Reoffer Prospectus.
  i
  Cautionary
  Note Regarding Forward-Looking Statements
  The
  information discussed in this Reoffer Prospectus as well as some statements in press releases and some oral statements of the
  Company's officers during presentations about the Company include "forward-looking statements" within the meaning
  of Section 27A of the Securities Act of 1933 (the "Securities Act") and Section 21E of the Securities Exchange Act
  of 1934 (the "Exchange Act"). All statements, other than statements of historical facts, included herein and therein
  concerning, among other things, planned capital expenditures, future cash flows and borrowings, pursuit of potential acquisition
  opportunities, our financial position, business strategy and other plans and objectives for future operations, are forward-looking
  statements. These forward-looking statements are identified by their use of terms and phrases such as "may," "expect,"
  "estimate," "project," "plan," "believe," "intend," "achievable,"
  "anticipate," "will," "continue," "potential," "should," "could,"
  and similar terms and phrases. Although we believe that the expectations reflected in these forward-looking statements are reasonable,
  they do involve certain assumptions, risks and uncertainties and are not (and should not considered to be) guarantees of future
  performance. Our results could differ materially from those anticipated in these forward-looking statements as a result of certain
  factors, including, among others:
  ●
  Our
                                           capital requirements and the uncertainty of being able to obtain additional funding on
                                           terms acceptable to us;
  ●
  The
                                           volatility of domestic and international oil and natural gas prices and the resulting
                                           impact on production and drilling activity, and the effect that lower prices may have
                                           on our customers' demand for our services, the result of which may adversely impact
                                           our revenues and financial performance;
  ●
  The
                                           broad geographical diversity of our operations which, while expected to diversify the
                                           risks related to a slow-down in one area of operations, also adds to our costs of doing
                                           business;
  ●
  The
                                           financial constraints imposed as a result of our indebtedness, including restrictions
                                           imposed on us under the terms of our credit facility agreement and our need to generate
                                           sufficient cash flows to repay our debt obligations;
  ●
  Our
                                           history of losses and working capital deficits which, at times, were significant;
  ●
  Adverse
                                           weather and environmental conditions;
  ●
  Our
                                           reliance on a limited number of customers;
  ●
  Our
                                           ability to retain key members of our senior management and key technical employees;
  ●
  The
                                           potential impact of environmental, health and safety, and other governmental regulations,
                                           and of current or pending legislation with which we and our customers must comply;
  ●
  Developments
                                           in the global economy;
  ●
  Changes
                                           in tax laws;
  ●
  The
                                           effects of competition;
  ●
  The
                                           effect of seasonal factors; and
  ●
  The
                                           effect of further sales or issuances of our common stock and the price and volume volatility
                                           of our common stock.
  Finally,
  our future results will depend upon various other risks and uncertainties, including, but not limited to, those detailed in the
  section entitled "Risk Factors" included elsewhere in this Reoffer Prospectus. All forward-looking statements attributable
  to us or persons acting on our behalf are expressly qualified in their entirety by the cautionary statements in this section and
  elsewhere in this Reoffer Prospectus. Other than as required under securities laws, we do not assume a duty to update these forward-looking
  statements, whether as a result of new information, subsequent events or circumstances, changes in expectations or otherwise.
  1
  OUR
  COMPANY
  Business
  Carbon
  Energy Corporation, a Delaware corporation formed in 2007 and formerly known as Carbon Natural Gas Company, is an independent
  oil and natural gas company engaged in the acquisition, exploration, development and production of oil, natural gas and natural
  gas liquids properties in the United States. Our acreage positions provide multiple resource play opportunities and have been
  delineated largely through drilling by us, as well as by other industry operators. Our primary business objective is to grow our
  reserves, production and cash generated from operations over the long term.
  Our
  assets, held through our majority-owned subsidiaries, are characterized by long-lived producing properties in the Appalachian
  Basin in Kentucky, Ohio, Tennessee, Virginia and West Virginia; the Ventura Basin in California; and the Illinois Basin in Illinois
  and Indiana.
  ●
  We
                                           own 100% of the outstanding shares of Nytis Exploration (USA) Inc. ("Nytis USA"),
                                           which in turn owns 98.1% of Nytis Exploration Company LLC ("Nytis LLC").
                                           Nytis LLC holds the majority interest in our operating subsidiaries other than Carbon
                                           Appalachian Company, LLC ("Carbon Appalachia") and Carbon California Company,
                                           LLC ("Carbon California"), including 47 consolidated partnerships and 17
                                           non-consolidated partnerships.
  ●
  We hold
                                           a 53.92% proportionate share of the profits interest in Carbon California.
  ●
  We
                                           currently hold a 100% of the issued and outstanding ownership interests of Carbon Appalachia,
                                           along with its direct and indirect subsidiaries (Carbon Appalachia Group, LLC, Carbon
                                           Tennessee Mining Company, LLC, Carbon Appalachia Enterprises, LLC, Carbon West Virginia
                                           Company, LLC, Cranberry Pipeline Corporation, Knox Energy, LLC, Coalfield Pipeline Company
                                           and Appalachia Gas Services Company, LLC).
  As
  of March 31, 2019, after giving effect to (i) the increase in Carbon's ownership of Carbon California from 17.81% to 56.41%
  on February 1, 2018 in connection with the exercise of the California Warrant by Yorktown and the resulting consolidation of Carbon
  California for financial reporting purposes; (ii) the completion of the Seneca Acquisition on May 1, 2018 and the resulting decrease
  in Carbon's ownership of Carbon California from 56.41% to 53.92%; and (iii) the increase in Carbon's ownership of
  Carbon Appalachia to 100.0% in connection with the Old Ironsides Buyout, we owned working interests in approximately 7,800 gross
  wells (7,100 net) and royalty interests located primarily in California, Illinois, Indiana, Kentucky, Ohio, Tennessee, Virginia,
  and West Virginia and had leasehold positions in approximately 1,318,000 net undeveloped acres and approximately 336,000 net developed
  acres directly and through our majority-owned subsidiaries.
  During
  2018, our capital expenditures consisted principally of oil-related remediation, the Seneca Acquisition, the Old Ironsides Buyout,
  return to production and recompletion projects in California and the optimization and streamlining of our natural gas gathering
  and compression facilities in Appalachia to provide more efficient and lower cost operations and greater flexibility in moving
  our production to markets with more favorable pricing. Our current capital expenditure program is focused on the acquisition and
  development of oil and natural gas properties in areas where we currently operate.
  We
  believe that our asset and lease position, combined with our low operating expense structure and technical expertise, provides
  us with a portfolio of opportunities for the development of our oil and natural gas properties, including a large inventory of
  potential return to production, behind pipe recompletion and proved undeveloped drilling projects. Our growth plan is centered
  on acquiring, developing, optimizing and maintaining a portfolio of low risk, long-lived oil and natural gas properties that provide
  stable cash flows and attractive risk adjusted rates of return.
  2
  Corporate
  Structure
  The
  following table depicts our organizational structure as of March 31, 2019:
  Overview
  of Business Operations
  Our
  current focus is to:
  ●
  Acquire
                                           and develop oil and gas producing properties that deliver attractive risk-adjusted rates
                                           of return, provide for field development projects and complement our existing asset base;
                                           and
  ●
  Develop,
                                           optimize and maintain a portfolio of low risk, long-lived oil and natural gas properties
                                           that provide stable cash flows and attractive risk-adjusted rates of return.
  Our
  primary business objective is to create stockholder value through consistent growth in cash flows, production and reserves through
  drilling on our existing oil and gas properties and the acquisition of complementary properties. We focus on the development of
  our existing leaseholds, which consist primarily of low risk, repeatable resource plays. We invest significantly in technical
  staff and geological and engineering technology to enhance the value of our properties.
  We
  intend to accomplish our objective by executing the following strategies:
  ●
  Capitalize
                                           on the development of our oil and gas properties.
  Our assets consist of oil
                                           and gas properties in the Appalachian, Ventura and Illinois Basins. We aim to continue
                                           to safely optimize returns from our existing producing assets by using established technologies
                                           to maximize recoveries of in-place hydrocarbons. We expect the production from our properties
                                           will increase as we continue to develop and optimize our properties by capitalizing on
                                           new technology to enhance our production base.
  ●
  Acquire
                                           complementary properties
  . A core part of our strategy is to grow our oil and
                                           gas asset base through the acquisition of properties in the vicinity of our existing
                                           properties that feature similar reserve mixes and production profiles. During 2017 and
                                           2018, we acquired producing properties in the Ventura Basin through Carbon California
                                           and producing properties in the Appalachian Basin through Carbon Appalachia. We own a
                                           majority interest in Carbon California and 100% of Carbon Appalachia and we plan to continue
                                           to aggregate complementary properties through these entities, Nytis LLC or other co-investment
                                           vehicles.
  ●
  Reduce
                                           operating costs through the aggregation and integration of acquired assets in our expanding
                                           operational footprint in both the Appalachian and the Ventura Basins.
  We plan
                                           to continue to realize economies of scale and efficiency gains from spreading our fixed
                                           operating costs over a larger asset base. Historically, we have targeted overhead and
                                           well maintenance cost reductions, field-level optimization and gathering system reconfigurations.
  ●
  Acquire
                                           and develop reserves in the form of a diverse mix of commodities with crude oil the primary
                                           objective in California and natural gas the primary objective in Appalachia.
  We
                                           believe that a diverse commodity mix will provide us with commodity optionality, which
                                           will allow us to direct capital spending to develop the commodity that offers the best
                                           return on investment at the time.
  ●
  Manage
                                           commodity price exposure through an active hedging program.
  We maintain hedging
                                           programs designed to reduce exposure to fluctuations in commodity prices.
  3
  RISK
  FACTORS
  An
  investment in our securities involves a high degree of risk. You should consider the risks, uncertainties and assumptions discussed
  under "Item 1A. Risk Factors," in our Annual Report on
  Form 10-K
  for the year ended December 31, 2018, all of which
  are incorporated herein by reference, and may be amended, supplemented or superseded from time to time by other reports we file
  with the SEC in the future. The risks and uncertainties we have described are not the only ones we face. Additional risks and
  uncertainties not presently known to us or that we currently deem immaterial may also affect our operations.
  Our
  business, financial condition or results of operations could be materially adversely affected by any of these risks. The trading
  price of our securities could decline due to any of these risks, and you may lose all or part of your investment. This Reoffer
  Prospectus and the incorporated documents also contain forward-looking statements that involve risks and uncertainties. Our actual
  results could differ materially from those anticipated in these forward-looking statements as a result of certain factors, including
  the risks mentioned elsewhere in this Reoffer Prospectus.
  4
  USE
  OF PROCEEDS
  The
  Selling Stockholders will receive all of the proceeds from the resale of the Shares that may be sold using this Reoffer Prospectus.
  We will not receive any of the proceeds from the resale of these Shares. Since the Shares sold by the Selling Stockholders are
  restricted stock awards, the Company will not receive any proceeds upon vesting of the Shares.
  5
  SELLING
  STOCKHOLDERS
  This
  Reoffer Prospectus relates to the reoffer and resale of 500,000 Shares by the Selling Stockholders named below, who have or may
  acquire such Shares pursuant to equity incentive awards granted under the 2019 Plan. The Selling Stockholders, who are officers
  and directors of the Company, may resell all, a portion or none of such Shares from time to time.
  The
  following table sets forth, with respect to each Selling Stockholder, based upon information available to us as of May 13, 2019
  (1) the number of shares of our common stock beneficially owned as of such date; (2) the number of Shares that may be sold pursuant
  to this Reoffer Prospectus (i.e., the number of shares underlying all awards granted to such Selling Stockholder under the 2019
  Plan); and (3) the number and percent of the 7,816,030 outstanding shares of common stock of Registrant as of May 13, 2019 beneficially
  owned by such Selling Stockholder after the offering, assuming the sale by such Selling Stockholder of all of such Selling Stockholder's
  Shares offered hereby.
  Shares
                                           of Common Stock
  Beneficially
                                           Owned Prior
  to
  Shares
                                           of Common
  Stock
                                           to be
  Shares
                                           of Common Stock Beneficially Owned after
  Offering(2)(3)
  Name
      of Selling Stockholder(1)
  Offering(2)(4)
  Sold(4)
  Number
  Percentage
  James H.
      Brandi
  5,000
  (12)
  5,000
  [-]
  *
  David
      H. Kennedy
  12,154
  (5)
  4,000
  8,154
  *
  Bryan
      H. Lawrence
  5,493,770
  (6)
  4,000
  5,489,770
  65.0
  %
  Peter
      A. Leidel
  5,493,770
  (7)
  4,000
  5,489,770
  65.0
  %
  Edwin
      H. Morgens
  87,334
  (8)
  4,000
  83,334
  1.1
  %
  Patrick
      R. McDonald
  293,593
  (9)
  50,000
  243,593
  3.1
  %
  Mark
      D. Pierce
  121,234
  (10)
  25,000
  96,234
  1.2
  %
  Kevin
      D. Struzeski
  149,283
  (11)
  25,000
  124,283
  1.6
  %
  *
  Represents
  less than 1% of our outstanding common stock.
  (1)
  All
                                           individuals named are current officers or directors of the Company.
  (2)
  The
                                           amounts and percentages of common stock beneficially owned are reported on the bases
                                           of rules of the SEC governing the determination of beneficial ownership of securities.
                                           Under the rules of the SEC, a person is deemed to be a "beneficial owner"
                                           of a security if that person has or shares voting power, which includes the power to
                                           vote or direct the voting of such security, or investment power, which includes the power
                                           to dispose of or to direct the disposition of such security. In addition, shares are
                                           deemed to be beneficially owned by a person if the person has the right to acquire the
                                           shares (for example, upon exercise of an option) within 60 days of the date as of
                                           which the information is provided.  Securities that can be so acquired are
                                           deemed to be outstanding for purposes of computing such person's ownership percentage,
                                           but not for purposes of computing any other person's percentage. Further, under
                                           the rules of the SEC, more than one person may be deemed beneficial owner of the same
                                           securities and a person may be deemed to be a beneficial owner of securities as to which
                                           such person has no economic interest. Except as otherwise indicated in these footnotes,
                                           each of the beneficial owners has, to our knowledge, sole voting and investment power
                                           with respect to the indicated shares of common stock. The amounts shown in the table
                                           are based on the conversion of the Series B Convertible Preferred Stock assuming a public
                                           offering price of $8.00 per share. Percentages are calculated based on 7,816,030 shares
                                           of our common stock issued and outstanding on May 13, 2019. Percentages are rounded to
                                           the nearest one-tenth of one percent.
  (3)
  Assumes
                                           that all Shares offered hereunder are sold but no other securities held by the Selling
                                           Stockholder are sold.
  6
  (4)
  The
                                           amounts for each Selling Stockholder assume full vesting of all Shares held by such Selling
                                           Stockholder.
  (5)
  Does
                                           not include 16,000 restricted stock shares of our common stock which vest upon the earlier
                                           of a change in control of the Company or the date the director's membership on
                                           the Board is terminated other than for cause.
  (6)
  Includes
                                           (i) 896,615 common stock shares owned by Yorktown Energy Partners V, L.P., (ii) 896,615
                                           common stock shares owned by Yorktown Energy Partners VI, L.P., (iii) 1,111,111
                                           common stock shares owned by Yorktown Energy Partners IX, L.P., and (iv)  2,584,829
                                           (inclusive of 50,000 shares of Series B convertible preferred stock which currently may
                                           be converted into up to 625,000 shares of our common stock) common stock shares owned
                                           by Yorktown Energy Partners XI, L.P. over which Mr. Lawrence and Mr. Leidel have voting
                                           and investment power. Pursuant to applicable reporting requirements, Messrs. Lawrence
                                           and Leidel are reporting indirect beneficial ownership of the entire amount of our securities
                                           owned by Yorktown but they disclaim beneficial ownership of such shares.  Does
                                           not include 28,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director's membership on
                                           the Board is terminated other than for cause.
  (7)
  Includes
                                           (i) 896,915 common stock shares owned by Yorktown Energy Partners V, L.P., (ii) 896,915
                                           common stock shares owned by Yorktown Energy Partners VI, L.P.,  (iii) 1,111,111
                                           common stock shares owned by Yorktown Energy Partners IX, L.P. and (iv) 2,584,829 (inclusive
                                           of 50,000 shares of Series B convertible preferred stock which currently may be converted
                                           into up to 625,000 shares of our common stock) common stock shares owned by Yorktown
                                           Energy Partners XI, L.P. over which Mr. Lawrence and Mr. Leidel have voting and investment
                                           power.  Pursuant to applicable reporting requirements, Messrs. Lawrence and
                                           Leidel are reporting indirect beneficial ownership of the entire amount of our securities
                                           owned by Yorktown but they disclaim beneficial ownership of such shares.  Does
                                           not include 28,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director's membership on
                                           the Board is terminated other than for cause.
  (8)
  Does
                                           not include 28,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director's membership on
                                           the Board is terminated other than for cause.
  (9)
  Includes
                                           24,135 shares owned by McDonald Energy, LLC over which Mr. McDonald has voting and investment
                                           power. Does not include 20,000 and 58,080 shares of unvested restricted stock and performance
                                           units, respectively.
  (10)
  Does
                                           not include 20,000 and 29,040 shares of unvested restricted stock and performance units,
                                           respectively.
  (11)
  Does
                                           not include 20,000 and 29,040 shares of unvested restricted stock and performance units,
                                           respectively.
  (12)
  Does
                                           not include 32,000 restricted shares of our common stock, which vest upon the earlier
                                           of a change in control of the Company or the date the director's membership on
                                           the Board is terminated other than for cause.
  7
  PLAN
  OF DISTRIBUTION
  The
  Selling Stockholders may, from time to time, sell all or a portion of the Shares on any market upon which our common shares may
  be listed or quoted (currently the OTC Markets), in privately negotiated transactions or otherwise. Such sales may be at fixed
  prices prevailing at the time of sale, at prices related to the market prices or at negotiated prices. The Shares being offered
  for resale pursuant to this Reoffer Prospectus may be sold by the Selling Stockholders by one or more of the following methods,
  without limitation:
  (1)
  block
                                           trades in which the broker or dealer so engaged will attempt to sell the common shares
                                           as agent but may position and resell a portion of the block as principal to facilitate
                                           the transaction;
  (2)
  purchases
                                           by broker or dealer as principal and resale by the broker or dealer for its account pursuant
                                           to this reoffer prospectus;
  (3)
  an
                                           exchange distribution in accordance with the rules of the applicable exchange;
  (4)
  ordinary
                                           brokerage transactions and transactions in which the broker solicits purchasers;
  (5)
  privately
                                           negotiated transactions;
  (6)
  market
                                           sales (both long and short to the extent permitted under the federal securities laws);
  (7)
  at
                                           the market to or through market makers or into an existing market for the shares;
  (8)
  through
                                           transactions in options, swaps or other derivatives (whether exchange listed or otherwise);
  (9)
  a
                                           combination of any aforementioned methods of sale; and
  (10)
  any
                                           other method permitted pursuant to applicable law.
  In
  effecting sales, brokers and dealers engaged by the Selling Stockholders may arrange for other brokers or dealers to participate.
  Brokers or dealers may receive commissions or discounts from a Selling Stockholder or, if any of the broker-dealers act as an
  agent for the purchaser of such shares, from a purchaser in amounts to be negotiated which are not expected to exceed those customary
  in the types of transactions involved. Broker-dealers may agree with a Selling Stockholder to sell a specified number of the common
  shares at a stipulated price per share. Such an agreement may also require the broker-dealer to purchase as principal any unsold
  common shares at the price required to fulfill the broker-dealer commitment to the Selling Stockholder if such broker-dealer is
  unable to sell the shares on behalf of the Selling Stockholder. Broker-dealers who acquire common shares as principal may thereafter
  resell the common shares from time to time in transactions which may involve block transactions and sales to and through other
  broker-dealers, including transactions of the nature described above. Such sales by a broker-dealer could be at prices and on
  terms then prevailing at the time of sale, at prices related to the then-current market price or in negotiated transactions. In
  connection with such resale, the broker-dealer may pay to or receive from the purchasers of the shares commissions as described
  above.
  The
  Selling Stockholders and any broker-dealers or agents that participate with the Selling Stockholders in the sale of the common
  shares may be deemed to be "underwriters" within the meaning of the Securities Act in connection with these sales.
  In that event, any commissions received by the broker-dealers or agents and any profit on the resale of the common shares purchased
  by them may be deemed to be underwriting commissions or discounts under the Securities Act.
  To
  the extent required under the Securities Act, a post-effective amendment to the registration statement of which this Reoffer Prospectus
  forms a part will be filed disclosing the name of any broker-dealers, the number of common shares involved, the price at which
  our common shares are to be sold, the commissions paid or discounts or concessions allowed to such broker-dealers, where applicable,
  that such broker-dealers did not conduct any investigation to verify the information set out or incorporated by reference in this
  reoffer prospectus and other facts material to the transaction.
  The
  Company and the Selling Stockholders will be subject to applicable provisions of the Exchange Act and the rules and regulations
  under it, including, without limitation, Rule 10b-5 and, insofar as a Selling Stockholder is a distribution participant and the
  Company, under certain circumstances, may be a distribution participant, under Regulation M. All of the foregoing may affect the
  marketability of the Company's Shares.
  All
  expenses for this Reoffer Prospectus and related registration statement including legal, accounting, printing and mailing fees
  are and will be borne by the Company. Any commissions, discounts or other fees payable to brokers or dealers in connection with
  any sale of the Shares will be borne by the Selling Stockholders, the purchasers participating in such transaction, or both.
  Any
  Shares being offered pursuant to this Reoffer Prospectus that qualify for sale pursuant to Rule 144 under the Securities Act may
  be sold under Rule 144 rather than pursuant to this Reoffer Prospectus.
  Under
  the Exchange Act, any person engaged in a distribution of the Shares offered by this Reoffer Prospectus may not simultaneously
  engage in market making activities with respect to our common shares during the applicable "cooling off" periods prior
  to the commencement of such distribution. In addition, and without limiting the foregoing, the Selling Stockholders will be subject
  to applicable provisions of the Exchange Act and the rules and regulations thereunder, which provisions may limit the timing of
  purchases and sales of the Shares by the Selling Stockholders
  8
  WHERE
  YOU CAN FIND MORE INFORMATION
  We
  file annual, quarterly and current reports, proxy statements and other information with the SEC. You may read and copy any document
  we file at the SEC's Public Reference Room at 100 F Street, N.E., Washington, D.C. 20549. You can request copies of these
  documents by writing to the SEC and paying a fee for the copying cost. Please call the SEC at 1-800-SEC-0330 for more information
  about the operation of the public reference room. The SEC also maintains an Internet site that contains reports, proxy and information
  statements, and other information regarding issuers, like us, who file electronically with the SEC. The address of the site is
  http://www.sec.gov.
  In
  addition, we maintain a website that contains information, including copies of reports, proxy statements and other information
  we file with the SEC. The address of our website is https://www.carbonenergycorp.com/sec-filings/. Information contained on our
  website or that can be accessed through our website can be accessed free of charge. Information contained on our website or that
  can be accessed through our website does not constitute a part of this Reoffer Prospectus.
  9
  INFORMATION
  INCORPORATED BY REFERENCE
  The
  following documents filed with the Securities and Exchange Commission by the Company, are hereby incorporated by reference in
  this Reoffer Prospectus:
  (a)
  Our Annual Report on
  Form 10-K
  for the fiscal year ended December 31, 2018 (filed March 28, 2019).
  (b)
  Our Quarterly Report on
  Form 10-Q
  for the quarterly period ended March 31, 2019 (filed May 14, 2019).
  (c)
  All other reports filed by the Registrant pursuant to Section 13(a) or 15(d) of the Exchange Act since the end of the fiscal year
  covered by the Annual Report on Form 10-K referred to in (a) above.
  (d)
  The description of Common Stock of the Company contained in our
  Form 8-K
  filed June 26, 2019, which was filed for the purpose
  of updating this description.
  All
  documents filed by the Company pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act after the date hereof (excluding
  any information furnished pursuant to Item 2.02 or Item 7.01 of any Current Report on Form 8-K), and prior to the filing of a
  post-effective amendment which indicates that the securities offered hereby have been sold or which deregisters the securities
  covered hereby then remaining unsold, shall also be deemed to be incorporated by reference into this Reoffer Prospectus and to
  be a part hereof commencing on the respective date of filing of such documents.
  10
  PART
  II
  INFORMATION
  REQUIRED IN THE REGISTRATION STATEMENT
  Item
  3. INCORPORATION OF CERTAIN DOCUMENTS BY REFERENCE
  The
  following documents filed with the Securities and Exchange Commission by the Company, are hereby incorporated by reference in
  this Registration Statement:
  (a)
  Our Annual Report on
  Form 10-K
  for the fiscal year ended December 31, 2018 (filed March 28, 2019).
  (b)
  Our Quarterly Report on
  Form 10-Q
  for the quarterly period ended March 31, 2019 (filed May 14, 2019).
  (c)
  All other reports filed by the Registrant pursuant to Section 13(a) or 15(d) of the Exchange Act since the end of the fiscal
  year covered by the Annual Report on Form 10-K referred to in (a) above.
  (d)
  The description of Common Stock of the Company contained in our
  Form 8-K
  filed June 26, 2019, which was filed for the purpose
  of updating this description.
  All
  documents filed by the Company pursuant to Sections 13(a), 13(c), 14 and 15(d) of the Exchange Act after the date hereof
  (excluding any information furnished pursuant to Item 2.02 or Item 7.01 of any Current Report on Form 8-K), and prior to
  the filing of a post-effective amendment which indicates that the securities offered hereby have been sold or which deregisters
  the securities covered hereby then remaining unsold, shall also be deemed to be incorporated by reference into this Registration
  Statement and to be a part hereof commencing on the respective date of filing of such documents.
  Item
  4. DESCRIPTION OF SECURITIES
  Not
  applicable.
  Item
  5. INTERESTS OF NAMED EXPERTS AND COUNSEL
  None.
  Item
  6. INDEMNIFICATION OF DIRECTORS AND OFFICERS
  Our
  amended and restated bylaws limit the liability of our directors to the maximum extent permitted by Delaware law. Delaware law
  provides that directors will not be personally liable for monetary damages for breach of their fiduciary duties as directors,
  except with respect to liability:
  ●
  for
                                           any breach of the director's duty of loyalty to us or our stockholders;
  ●
  for
                                           acts or omissions not in good faith or that involve intentional misconduct or a knowing
                                           violation of law;
  ●
  for
                                           any unlawful payments of dividends or unlawful stock repurchases or redemption as provided
                                           in Section 174 of the DGCL; or
  ●
  for
                                           any transaction from which the director derived any improper personal benefit.
  II-
  1
  However,
  if the DGCL is amended to authorize corporate action further eliminating or limiting the personal liability of directors, then
  the liability of our directors will be eliminated or limited to the fullest extent permitted by the DGCL, as so amended. The modification
  or repeal of this provision of our amended and restated certificate of incorporation will not adversely affect any right or protection
  of a director existing at the time of such modification or repeal.
  Our
  amended and restated certificate of incorporation and amended and restated bylaws provide that we will, to the fullest extent
  from time to time permitted by law, indemnify our directors and officers against all liabilities and expenses in any suit or proceeding,
  arising out of their status as an officer or director or their activities in these capacities. We will also indemnify any person
  who, at our request, is or was serving as a director, officer, trustee, employee or agent of another corporation, partnership,
  joint venture, trust or other enterprise. We may, by action of our board of directors, provide indemnification to our employees
  and agents within the same scope and effect as the foregoing indemnification of directors and officers. In addition, we have entered
  into separate indemnification agreements with each of our directors and executive officers, which are broader than the specific
  indemnification provisions contained in the DGCL. These indemnification agreements require us, among other things, to indemnify
  our directors and officers against liabilities that may arise by reason of their status or service as directors or officers, other
  than liabilities arising from willful misconduct.
  The
  right to be indemnified includes the right of an officer or a director to be paid expenses, including attorneys' fees, in advance
  of the final disposition of any proceeding, provided that, if required by law, we receive an undertaking to repay such amount
  if it will be determined that he or she is not entitled to be indemnified.
  Our
  board of directors may take such action as it deems necessary to carry out these indemnification provisions, including adopting
  procedures for determining and enforcing indemnification rights and purchasing insurance policies. Our board of directors may
  also adopt bylaws, resolutions or contracts implementing indemnification arrangements as may be permitted by law. Neither the
  amendment nor the repeal of these indemnification provisions, nor the adoption of any provision of our amended and restated certificate
  of incorporation inconsistent with these indemnification provisions, will eliminate or reduce any rights to indemnification relating
  to such person's status or any activities prior to such amendment, repeal or adoption.
  We
  believe these provisions will assist in attracting and retaining qualified individuals to serve as directors and officers.
  Item
  7.
  Exemption from Registration Claimed.
  Not
  Applicable
  Item
  8. EXHIBITS
  Exhibit
  Number
  Description
  4.1
  Carbon Energy Corporation 2019 Long Term Incentive Plan
  (1)
  5.1
  Opinion of Burns, Figa & Will, P.C. regarding the legality of the common stock being registered.
  23.1
  Consent of Plante & Moran, PLLC, Independent Registered Public Accounting Firm.
  23.2
  Consent of Burns, Figa & Will, P.C. (included in opinion filed as Exhibit 5.1)
  24.1
  Power of Attorney (see signature page)
  (1)
  Incorporated
                                           by reference to Appendix A of the Registrant's Definitive Information Statement
                                           (Schedule 14C) filed with the Securities and Exchange Commission on April 23, 2019.
  II-
  2
  Item 9.
  UNDERTAKINGS
  A. The
  undersigned Registrant hereby undertakes:
  (1) To
  file, during any period in which offers or sales are being made, a post-effective amendment to this Registration Statement:
  (i) To
  include any prospectus required by Section 10(a)(3) of the Securities Act;
  (ii) To
  reflect in the prospectus any facts or events arising after the effective date of this Registration Statement (or the most recent
  post-effective amendment thereof) which, individually or in the aggregate, represent a fundamental change in the information set
  forth in this Registration Statement; and
  (iii) To
  include any material information with respect to the plan of distribution not previously disclosed in this Registration Statement
  or any material change to such information in this Registration Statement;
  provided
  ,
  however
  , that paragraphs (1)(i) and (1)(ii) above do not apply if the information required to be included in a post-effective
  amendment by those paragraphs is contained in periodic reports filed with the Commission by the Registrant pursuant to Section 13
  or Section 15(d) of the Exchange Act that are incorporated by reference in this Registration Statement.
  (2) That,
  for the purpose of determining any liability under the Securities Act, each such post-effective amendment shall be deemed to be
  a new registration statement relating to the securities offered therein, and the offering of such securities at that time shall
  be deemed to be the initial bona fide offering thereof.
  (3) To
  remove from registration by means of a post-effective amendment any of the securities being registered which remain unsold at
  the termination of the offering.
  B. The
  undersigned Registrant hereby undertakes that, for purposes of determining any liability under the Securities Act, each filing
  of the Registrant's annual report pursuant to Section 13(a) or 15(d) of the Exchange Act (and, where applicable, each filing of
  an employee benefits plan's annual report pursuant to Section 15(d) of the Exchange Act) that is incorporated by reference in
  this Registration Statement shall be deemed to be a new registration statement relating to the securities offered therein, and
  the offering of such securities at that time shall be deemed to be the initial bona fide offering thereof.
  C. Insofar
  as indemnification for liabilities arising under the Securities Act may be permitted to directors, officers and controlling persons
  of the Registrant pursuant to the foregoing provisions, or otherwise, the Registrant has been advised that in the opinion of the
  Commission such indemnification is against public policy as expressed in the Securities Act and is, therefore, unenforceable.
  In the event that a claim for indemnification against such liabilities (other than the payment by the Registrant of expenses incurred
  or paid by a director, officer or controlling person of the Registrant in the successful defense of any action, suit or proceeding)
  is asserted by such director, officer or controlling person in connection with the securities being registered, the Registrant
  will, unless in the opinion of its counsel the matter has been settled by controlling precedent, submit to a court of appropriate
  jurisdiction the question whether such indemnification by it is against public policy as expressed in the Securities Act and will
  be governed by the final adjudication of such issue.
  II-
  3
  SIGNATURES
  Pursuant
  to the requirements of the Securities Act of 1933, the Registrant certifies that it has reasonable grounds to believe that it
  meets all of the requirements for filing on Form S-8 and has duly caused this Registration Statement to be signed on its
  behalf by the undersigned, thereunto duly authorized, in Denver, Colorado on July 11, 2019.
  CARBON
                      ENERGY CORPORATION
  By:
  /s/
      Patrick R. McDonald
  Patrick
      R. McDonald,
  Chief
      Executive Officer and Director
  By:
  /s/
      Kevin D. Struzeski
  Kevin
      D. Struzeski,
  Chief
      Financial Officer, Treasurer and Secretary
  POWER
  OF ATTORNEY
  KNOW
  ALL PERSONS BY THESE PRESENTS, that each person whose signature appears below constitutes and appoints Patrick R. McDonald and
  Kevin D. Struzeski as true and lawful attorneys-in-fact and agents with full power of substitution and re-substitution, for them
  and in their name, place and stead, in any and all capacities to sign the Registration Statement filed herewith and any or all
  amendments to said Registration Statement (including post-effective amendments and Registration Statements filed pursuant to Rule
  462 and otherwise), and to file the same, with all exhibits thereto, and other documents in connection therewith, the Securities
  and Exchange Commission granting unto said attorneys-in-fact and agents the full power and authority to do and perform each and
  every act and thing requisite and necessary to be done in and about the foregoing, as to all intents and purposes as they might
  or could do in person, hereby ratifying and confirming all that said attorneys-in-fact and agents or any of them, or their substitute,
  may lawfully do or cause to be done by virtue hereof.
  II-
  4
  Pursuant
  to the requirements of the Securities Act of 1933, this Registration Statement has been signed by the following persons in the
  capacities and on July 11, 2019:
  Name and Title
  Signature
  Patrick
      R. McDonald,
  Chief Executive Officer and Director
  /s/
          Patrick R. McDonald
  Kevin
      D. Struzeski,
  Chief Financial Officer, Treasurer and Secretary
  /s/
          Kevin D. Struzeski
  James
      H. Brandi,
  Director
  /s/
      James H. Brandi
  David
      H. Kennedy,
  Director
  /s/
      David H. Kennedy
  Bryan
      H. Lawrence,
  Director
  /s/
      Bryan H. Lawrence
  Peter
      A. Leidel,
  Director
  /s/Peter
      A. Leidel
  Edwin
      H. Morgens,
  Director
  /s/
      Edwin H. Morgens
  II-5