Balance sheet data for Ocean Oil Company as of 12/31/05 is as follows for Lease B:

Leasehold costs	$150,000
Less: Accumulated DD&A	($30,000)
Net leasehold costs	$120,000
Wells and related E&F—IDC	$1,200,000
Less: Accumulated DD&A—IDC	($350,000)
Net wells and related E&F—IDC	$850,000
Wells and related E&F—L&WE	$750,000
Less: Accumulated DD&A—L&WE	($60,000)
Net wells and related E&F—L&WE	$690,000

Ocean’s activities during 2006 related to Lease B were as follows:

Exploratory dry hole drilled	$300,000
Development dry hole drilled	$320,000
Tanks, separators, etc., installed	$130,000
Production	110,000 bbl
Proved reserves, 12/31/06	1,200,000 bbl
Proved developed reserves, 12/31/06	950,000 bbl

Requirement:
 Calculate the Impairment Loss for 2006.