Document And Entity Information
Document And Entity Information - shares | 9 Months Ended | |
Sep. 30, 2015 | Oct. 16, 2015 | |
Document And Entity Information [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | true | |
Amendment Description | Explanatory Note We are amending and restating in their entirety the following items of our Quarterly Report on Form 10-Q for the period ended September 30, 2015 as originally filed with the Securities and Exchange Commission on October 30, 2015 (our “Original Report”): (i) Item 1 of Part I “Financial Statements,” (ii) Item 2 of Part I, “Management’s Discussion and Analysis of Financial Condition and Results of Operations,” (iii) Item 4 of Part I, “Controls and Procedures,” and (iv) Item 6 of Part II, “Exhibits,” after identifying certain non-cash errors in such financial statements caused by the fact that the estimate of our proved oil and natural gas reserves as of September 30, 2015 overstated the net proved reserves, with the error in such report occurring as the result of all applicable costs not being considered when preparing the operating cost estimate for the reserve report. The adjustments are more fully described in Note 1 to the restated condensed consolidated financial statements presented in this Form 10-Q/A. We have also updated the signature page and the certifications of our Chief Executive Officer and Chief Financial Officer in Exhibits 31.1, 31.2 and 32.1. No other sections of our Original Report are affected by this amendment. For the convenience of the reader, we are re-filing the Original Report in its entirety in this Form 10-Q/A. This Form 10-Q/A continues to speak as of the date of the Original Report and other than with respect to the restatement of the Company’s financial statements and other financial information as described above does not reflect events occurring after the filing of the Original Report. The financial and other information contained in the Original Report should no longer be relied upon. | |
Document Period End Date | Sep. 30, 2015 | |
Document Fiscal Year Focus | 2,015 | |
Document Fiscal Period Focus | Q3 | |
Entity Registrant Name | QUICKSILVER RESOURCES INC | |
Entity Central Index Key | 1,060,990 | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 183,084,886 |
Condensed Consolidated Statemen
Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Revenue | |||||
Production | $ 49,437 | $ 102,615 | $ 161,875 | $ 332,187 | |
Sales of purchased natural gas | 8,342 | 16,660 | 29,921 | 53,401 | |
Net derivative gains (losses) | 261 | 43,310 | 27,863 | (15,080) | |
Other | 947 | 913 | 7,460 | 2,808 | |
Total revenue | 58,987 | 163,498 | 227,119 | 373,316 | |
Operating expense | |||||
Lease operating | 12,506 | 17,176 | 39,763 | 54,622 | |
Gathering, processing and transportation | 17,799 | 34,807 | 65,270 | 102,511 | |
Production and ad valorem taxes | 773 | 4,067 | 8,046 | 12,557 | |
Costs of purchased natural gas | 8,319 | 16,599 | 29,863 | 53,305 | |
Depletion, depreciation and accretion | 11,650 | 13,969 | 39,793 | 42,584 | |
Impairment of Oil and Gas Properties | 164,518 | 135 | 241,929 | 135 | |
General and administrative | 10,221 | 11,310 | 39,312 | 38,115 | |
Other operating | 248 | 651 | 937 | 2,221 | |
Total expense | 226,034 | 98,714 | 464,913 | 306,050 | |
Operating income (loss) | (167,047) | 64,784 | (237,794) | 67,266 | |
Reorganization Items | (7,883) | 0 | (148,568) | 0 | |
Other income - net | (659) | (2,465) | (26,106) | (3,824) | |
Fortune Creek accretion | (3,279) | (3,602) | (9,877) | (11,605) | |
Interest expense | (3,192) | (39,899) | (43,537) | (121,927) | |
Income (loss) before income taxes | (182,060) | 18,818 | (465,882) | (70,090) | |
Income tax (expense) benefit | (2,152) | 4,939 | (5,836) | (1,081) | |
Net Income (Loss) Attributable to Parent | (184,212) | 23,757 | (471,718) | (71,171) | |
Reclassification adjustments related to settlements of derivative contracts into production revenue- net of income tax | (5,757) | (7,968) | (17,553) | (20,939) | |
Foreign currency translation adjustment | 98 | (6,921) | (5,996) | (6,162) | |
Other comprehensive income (loss) | (5,659) | (14,889) | (23,549) | (27,101) | |
Comprehensive income (loss) | $ (189,871) | $ 8,868 | $ (495,267) | $ (98,272) | |
Earnings (loss) per common share - basic | $ (1.05) | $ 0.13 | $ (2.68) | $ (0.41) | |
Earnings (loss) per common share - diluted | [1] | $ (1.05) | $ 0.13 | $ (2.68) | $ (0.41) |
[1] | For the three months ended September 30, 2015, 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the three months ended September 30, 2014, 6.6 million shares associated with our stock options and 1.2 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2015, 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2014, 6.6 million shares associated with our stock options and 0.8 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. |
Condensed Consolidated Stateme3
Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) Parenthetical - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Contractual Interest Expense on Prepetition Liabilities Not Recognized in Statement of Operations | $ 39,413 | $ 0 | $ 118,286 | $ 0 |
Condensed Consolidated Balance
Condensed Consolidated Balance Sheets - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Current assets | |||
Cash | $ 175,673 | $ 223,529 | |
Accounts receivable - net of allowance for doubtful accounts | 27,537 | 65,158 | |
Derivative assets at fair value | 0 | 120,176 | |
Other current assets | 17,794 | 14,414 | |
Total current assets | 221,004 | 423,277 | |
Property, plant and equipment - net | |||
Oil and natural gas properties, full cost method (including unevaluated costs of $21,377 and $18,803, respectively) | 341,488 | 614,668 | |
Property, Plant and Equipment, Other, Net | 99,332 | 114,112 | |
Property, plant and equipment, net of accumulated depletion and depreciation | 440,820 | 728,780 | |
Derivative assets at fair value | 0 | 29,391 | |
Other Noncurrent Assets | 6,640 | 32,854 | |
Total assets | 668,464 | 1,214,302 | |
Long-term Debt, Current Maturities | 156,985 | [1] | 2,037,305 |
Current liabilities | |||
Accounts payable | 19,528 | 22,586 | |
Accrued liabilities | 38,004 | 81,146 | |
Total current liabilities | 214,517 | 2,141,037 | |
Long-term debt | 0 | [1] | 0 |
Partnership liability | 87,935 | 91,956 | |
Asset retirement obligations | 99,791 | 104,049 | |
Other liabilities | 10,195 | 15,131 | |
Liabilities Subject to Compromise | $ 1,884,128 | $ 0 | |
Commitments and contingencies (Note 7) | |||
Stockholders' equity | |||
Preferred stock, par value $0.01, 10,000,000 shares authorized, none outstanding | $ 0 | $ 0 | |
Common stock, $0.01 par value, 400,000,000 shares authorized, and 191,487,376 and 187,802,994 shares issued, respectively | 1,915 | 1,878 | |
Paid in capital in excess of par value | 786,783 | 781,669 | |
Treasury stock of 8,378,865 and 7,444,372 shares, respectively | (53,925) | (53,810) | |
Accumulated other comprehensive income | 48,304 | 71,853 | |
Retained deficit | (2,411,179) | (1,939,461) | |
Total stockholders' equity | (1,628,102) | (1,137,871) | |
Total liabilities and stockholders' equity | $ 668,464 | $ 1,214,302 | |
[1] | As a result of our Chapter 11 filings, we have classified all debt as current at September 30, 2015 |
Condensed Consolidated Balance5
Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Preferred stock, shares outstanding | 0 | 0 |
Common stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 |
Preferred stock, par value | $ 0.01 | $ 0.01 |
Unevaluated costs of oil and gas properties | $ 21,377 | $ 18,803 |
Common stock, shares authorized | 400,000,000 | 400,000,000 |
Common stock, shares issued | 191,487,376 | 187,802,994 |
Treasury stock, shares | 8,378,865 | 7,444,372 |
Condensed Consolidated Stateme6
Condensed Consolidated Statements Of Equity - USD ($) $ in Thousands | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Retained Earnings [Member] | Stockholders' Equity, Total [Member] |
Balances at Dec. 31, 2013 | $ 1,840 | $ 770,092 | $ (51,422) | $ 109,881 | $ (1,836,361) | $ (1,005,970) | |
Net income (loss) | $ (71,171) | (71,171) | (71,171) | ||||
Hedge derivative contract settlements reclassified into earnings from AOCI, net of income tax | (20,939) | (20,939) | |||||
Foreign currency translation adjustment | (6,162) | (6,162) | (6,162) | ||||
Issuance and vesting of stock compensation | 32 | 9,114 | (2,388) | 6,758 | |||
Balances at Sep. 30, 2014 | 1,872 | 779,206 | (53,810) | 82,780 | (1,907,532) | (1,097,484) | |
Balances at Dec. 31, 2014 | 1,878 | 781,669 | (53,810) | 71,853 | (1,939,461) | (1,137,871) | |
Net income (loss) | (471,718) | (471,718) | (471,718) | ||||
Hedge derivative contract settlements reclassified into earnings from AOCI, net of income tax | (17,553) | (17,553) | |||||
Foreign currency translation adjustment | $ (5,996) | (5,996) | (5,996) | ||||
Issuance and vesting of stock compensation | 37 | 5,114 | (115) | 5,036 | |||
Balances at Sep. 30, 2015 | $ 1,915 | $ 786,783 | $ (53,925) | $ 48,304 | $ (2,411,179) | $ (1,628,102) |
Condensed Consolidated Stateme7
Condensed Consolidated Statements Of Equity (Parenthetical) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Statement of Stockholders' Equity [Abstract] | ||
Income tax effect related to hedge derivative contract settlements reclassified into earnings from accumulated other comprehensive income | $ (6,047) | $ (8,455) |
Income tax effect related to net change in derivative fair value | $ 0 | $ 0 |
Condensed Consolidated Stateme8
Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Operating activities: | ||
Net income (loss) | $ 471,718 | $ 71,171 |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depletion, depreciation and accretion | 39,793 | 42,584 |
Impairment of Oil and Gas Properties | 241,929 | 135 |
Deferred income tax expense (benefit) | (6,047) | (8,455) |
Hedging and derivative activities | 122,111 | 6,731 |
Stock-based compensation | 5,151 | 9,146 |
Non-cash interest expense | 3,897 | 8,441 |
ReorganizationItemsNonCash | 133,683 | 0 |
Fortune Creek accretion | 9,877 | 11,605 |
Other | (66) | (347) |
Changes in assets and liabilities | ||
Accounts receivable | 35,218 | (1,936) |
Prepaid expenses and other assets | (7,991) | 1,747 |
Accounts payable | (6,101) | (12,472) |
Increase (Decrease) in Income Taxes Payable, Net of Income Taxes Receivable | (19) | (432) |
Accrued and other liabilities | 58 | (7,469) |
Net cash flow provided by (used in) operating activities | 111,869 | (4,983) |
Investing activities: | ||
Purchases of property, plant and equipment | (25,007) | (111,444) |
Proceeds from sale of properties and equipment | 2,978 | 1,942 |
Payments to acquire marketable securities | 0 | (55,890) |
Proceeds from Sale and Maturity of Marketable Securities | 0 | 222,025 |
Net cash provided by (used in) investing activities | (22,029) | 152,220 |
Financing activities: | ||
Issuance of debt | 28,335 | 243,184 |
Repayments of debt | (170,660) | (193,689) |
Debt issuance costs paid | (80) | (225) |
Distribution of Fortune Creek Partnership funds | (1,426) | (37,113) |
Purchase of treasury stock | (115) | (2,388) |
Net cash provided by (used in) financing activities | (143,946) | 9,769 |
Effect of Exchange Rate on Cash and Cash Equivalents | 6,250 | 2,216 |
Net increase (decrease) in cash | (47,856) | 159,222 |
Cash at beginning of period | 223,529 | 89,103 |
Cash at end of period | 175,673 | 248,325 |
Sandwash Basin [Member] | ||
Investing activities: | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | $ 0 | $ 95,587 |
Accounting Policies And Disclos
Accounting Policies And Disclosures | 9 Months Ended |
Sep. 30, 2015 | |
Accounting Policies [Abstract] | |
Accounting Policies And Disclosures | CHAPTER 11 PROCEEDINGS AND ACCOUNTING POLICIES Chapter 11 Proceedings On March 17, 2015, the Company and our subsidiaries Barnett Shale Operating LLC, Cowtown Drilling, Inc., Cowtown Gas Processing L.P., Cowtown Pipeline Funding, Inc., Cowtown Pipeline L.P., Cowtown Pipeline Management, Inc., Makarios Resources International Holdings LLC, Makarios Resources International Inc., QPP Holdings LLC, QPP Parent LLC, Quicksilver Production Partners GP LLC, Quicksilver Production Partners LP, and Silver Stream Pipeline Company LLC each filed a voluntary petition under Chapter 11 in the Bankruptcy Court to restructure our obligations and capital structure. The Chapter 11 cases are being jointly administered for procedural purposes only by the Bankruptcy Court under the caption In re Quicksilver Resources Inc., et. al. , Case No. 15-10585 (LSS) (Jointly Administered). The U.S. Debtors are currently operating our business as debtors in possession in accordance with the applicable provisions of the Bankruptcy Code. Since the Chapter 11 filings, the Bankruptcy Court has entered the orders necessary to enable the U.S. Debtors to conduct normal business activities, including orders to, among other things and subject to applicable caps for pre-petition items, pay employee wages and benefits, pay certain lienholders and critical vendors, and forward funds belonging to third parties, including royalty holders and partners, as well as the approval of the U.S. Debtors’ use of their secured lenders’ cash collateral and collateral, and the provision of adequate protection related thereto. The order authorizing the U.S. Debtors to use collateral and cash collateral will expire on December 17, 2015. The U.S. Debtors will be seeking and expect to receive authority to use collateral and cash collateral beyond December 17, 2015. While the U.S. Debtors are subject to Chapter 11, all transactions outside the ordinary course of their business will require the prior approval of the Bankruptcy Court. On March 16, June 15 and September 15, 2015, we, along with QRCI, entered into the Forbearance Agreements with the administrative agents and certain of the lenders under the Combined Credit Agreements. As a result of the Chapter 11 filing, the obligations under the Combined Credit Agreements were automatically accelerated. However, pursuant to the Forbearance Agreements, the administrative agents and the lenders agreed to, among other things, (i) forbear from exercising their rights and remedies in connection with specified defaults under the Amended and Restated Canadian Credit Facility related to our Chapter 11 filing until the earlier of December 15, 2015 or certain other events specified in the Forbearance Agreements, including, among other things, the commencement by QRCI or certain specified Canadian subsidiary guarantors of insolvency proceedings and (ii) waive compliance with certain specified terms and conditions relating to the renewal of outstanding evergreen letters of credit under the Combined Credit Agreements, among other things. On September 17, 2015, the Company announced the commencement of a marketing and sale process to sell substantially all or a portion of its U.S. and Canadian assets. The U.S. process was initiated with the filing of a motion with the Bankruptcy Court seeking approval of bidding procedures to commence a sale process for the Company’s U.S. assets under Bankruptcy Code section 363. On October 6, 2015, the Bankruptcy Court entered an order approving the Company’s proposed bidding procedures in their entirety. Pursuant to the Bankruptcy Court’s order, the deadline for interested parties to submit a bid to purchase some or substantially all of the Company’s U.S. assets is November 30, 2015 at 5:00 p.m. (ET) and an auction will be conducted with respect to bids received by qualified bidders on December 9, 2015 at 10:00 a.m. (CT) followed by a hearing to approve one or more sales to successful bidders to be held on December 14, 2015 at 10:00 a.m. (ET). The Canadian process, which is an out of court process and will run in parallel to the process approved by the Bankruptcy Court for the U.S. assets, was also launched on September 17, 2015. Both the U.S. and the Canadian processes will be conducted with the assistance of Houlihan Lokey. There can be no assurances that the marketing and sale process will be successful. Appointment of Creditors Committee. On March 25, 2015, the United States Trustee for Delaware appointed the Creditors Committee. The Creditors Committee and its legal representatives have a right to be heard on all matters that come before the Bankruptcy Court with respect to the U.S. Debtors. There can be no assurance that the Creditors Committee will support the U.S. Debtors’ positions on matters presented to the Bankruptcy Court, including any Chapter 11 plan. Disagreements between the U.S. Debtors and the Creditors Committee could protract the Chapter 11 proceedings, negatively impact the U.S. Debtors’ ability to operate, and delay the U.S. Debtors’ emergence from the Chapter 11 proceedings. The U.S. Debtors’ Exclusivity Periods. On July 7, 2015, the Bankruptcy Court entered an order extending the U.S Debtors’ (i) Exclusive Filing Period through and including October 13, 2015 and (ii) Exclusive Solicitation Period through and including December 14, 2015. On October 13, 2015, the U.S. Debtors requested extensions of the Exclusive Filing Period and Exclusive Solicitation Period through and including February 1, 2016, and April 13, 2016, respectively, to afford them the opportunity to complete the critical tasks necessary to develop and negotiate a Chapter 11 plan with their creditors. The Exclusive Filing Period is automatically extended until the Bankruptcy Court acts on this request, and a hearing on the matter is scheduled on November 3, 2015. Rejection of Executory Contracts. Subject to certain exceptions, under the Bankruptcy Code, the U.S. Debtors may assume, assign, or reject certain executory contracts and unexpired leases subject to the approval of the Bankruptcy Court and certain other conditions. The rejection of an executory contract or unexpired lease is generally treated as a pre-petition breach of such executory contract or unexpired lease and, subject to certain exceptions, relieves the U.S. Debtors of performing their future obligations under such executory contract or unexpired lease but entitles the contract counterparty or lessor to a pre-petition general unsecured claim for damages caused by such deemed breach. Counterparties to such rejected contracts or leases may assert claims against the applicable U.S. Debtor's estate for such damages. The assumption of an executory contract or unexpired lease generally requires the U.S. Debtors to cure existing monetary defaults under such executory contract or unexpired lease and provide adequate assurance of future performance. Accordingly, any description of an executory contract or unexpired lease with the U.S. Debtors in this Quarterly Report, including where applicable a quantification of our obligations under any such executory contract or unexpired lease with the U.S. Debtors, is qualified by any overriding rejection rights we have under the Bankruptcy Code. Further, nothing herein is or shall be deemed an admission with respect to any claim amounts or calculations arising from the rejection of any executory contract or unexpired lease and the U.S. Debtors expressly preserve all of their rights with respect thereto. The U.S. Debtors’ financial statements include amounts classified as Liabilities Subject to Compromise that the U.S. Debtors believe the Bankruptcy Court will allow as claim amounts resulting from the U.S. Debtors’ rejection of various executory contracts and unexpired leases. Additional amounts may be included in Liabilities Subject to Compromise in future periods if additional executory contracts and unexpired leases are rejected. Conversely, the U.S. Debtors expect that the assumption of certain executory contracts and unexpired leases may convert certain liabilities shown in future financial statements as subject to compromise to post-petition liabilities. Due to the uncertain nature of many of the potential claims, the magnitude of such claims is not reasonably estimable at this time. Such claims may be material (see “Liabilities Subject to Compromise” below). Magnitude of Potential Claims. On June 9, 2015, the U.S. Debtors filed with the Bankruptcy Court Schedules and Statements setting forth, among other things, the assets and liabilities of the U.S. Debtors, subject to the assumptions filed in connection therewith. The Schedules and Statements may be subject to further amendment or modification. On October 14, 2015, the U.S. Debtors filed an amended schedule with the Bankruptcy Court to add certain executory contracts to the schedule. Certain holders of pre-petition claims were required to file proofs of claim by the Bar Date. As of October 27, 2015, approximately 498 claims totaling about $14.6 billion had been filed with the Bankruptcy Court against the U.S. Debtors, and we expect amended claims to be filed in the future, including claims amended to assign values to claims originally filed with no designated value. Through the claims resolution process, we have identified, and we expect to continue to identify, claims that we believe should be disallowed by the Bankruptcy Court because they are duplicative, have been later amended or superseded, are without merit, are overstated or for other reasons. We have and will file objections with the Bankruptcy Court as necessary for claims we believe should be disallowed. Claims we believe are allowable are included in Liabilities Subject to Compromise. Through the claims resolution process, differences in amounts scheduled by the U.S. Debtors and claims filed by creditors will be investigated and resolved, including through the filing of objections with the Bankruptcy Court where appropriate. The claims resolution process will take additional time to complete, and we expect that it will continue after our emergence from bankruptcy. Accordingly, the ultimate number and amount of allowed claims is not presently known, nor can the ultimate recovery with respect to allowed claims be presently ascertained. Costs of Reorganization. The U.S. Debtors have incurred and will continue to incur significant costs associated with the reorganization. The amount of these costs, which are being expensed as incurred, are expected to significantly affect our results of operations and liquidity. For additional information, see “Reorganization Items, net” below. Effect of Filing on Creditors and Stockholders. Under the priority scheme established by the Bankruptcy Code, unless creditors agree otherwise, pre-petition liabilities and post-petition liabilities must be satisfied in full before the holders of our existing common stock are entitled to receive any distribution or retain any property under a Chapter 11 plan. The ultimate recovery to creditors and/or stockholders, if any, will not be determined until confirmation and implementation of Chapter 11 plan. No assurance can be given as to what values, if any, will be ascribed in the Chapter 11 proceedings to each of these constituencies or what types or amounts of distributions, if any, they would receive. A Chapter 11 plan could result in holders of U.S. Debtors’ liabilities and/or securities, including our common stock, receiving no distribution on account of their interests and cancellation of their holdings. We believe that it is highly likely that the shares of our existing common stock will be canceled in the Chapter 11 proceedings and will be entitled to a limited recovery, if any. As discussed below, if certain requirements of the Bankruptcy Code are met, a Chapter 11 plan can be confirmed notwithstanding its rejection by the holders of our common stock and notwithstanding the fact that such holders do not receive or retain any property on account of their equity interests under the plan. Because of such possibilities, the value of our securities, including our common stock, is highly speculative. We urge that appropriate caution be exercised with respect to existing and future investments in any of the securities of the U.S. Debtors. Subject to certain specific exceptions under the Bankruptcy Code, the Chapter 11 filings automatically enjoined, or stayed, the continuation of any judicial or administrative proceedings or other actions against the U.S. Debtors or their property to recover on, collect or secure a claim arising prior to the Petition Date. As a result, for example, most creditor actions to obtain possession of property from the U.S. Debtors, or to create, perfect or enforce any lien against the property of the U.S. Debtors, or to collect on or otherwise exercise rights or remedies with respect to a pre-petition claim are enjoined unless and until the Bankruptcy Court lifts the automatic stay. Notice and Hearing Procedures for Trading in Claims and Equity Securities. The Bankruptcy Court issued a final order pursuant to Sections 105(a), 362(a)(3) and 541 of the Bankruptcy Code to enable the U.S. Debtors to avoid limitations on the use of their tax net operating loss carryforwards and certain other tax attributes by imposing certain notice procedures and transfer restrictions on the trading of our equity securities. In general, the order applies to any person or entity that, directly or indirectly, beneficially owns (or would beneficially own as a result of a proposed transfer) at least 4.75% of our outstanding equity securities. Substantial Equityholders are required to file with the Bankruptcy Court and serve us with notice of such status. In addition, the order provides that a person or entity that would become a Substantial Equityholder by reason of a proposed acquisition of our equity securities is also required to comply with the notice and service provisions before effecting that transaction. The order gives the U.S. Debtors the right to seek an injunction from the Bankruptcy Court to prevent certain acquisitions or sales of our common stock if the acquisition or sale would pose a material risk of adversely affecting our ability to utilize such tax attributes. Under the order, prior to any proposed acquisition of equity securities that would result in an increase in the amount of our equity securities owned by a Substantial Equityholder, or that would result in a person or entity becoming a Substantial Equityholder, such person, entity or Substantial Equityholder is required to file with the Bankruptcy Court, and serve on the Company, a Notice of Intent to Purchase, Acquire or Otherwise Accumulate an Equity Security. In addition, prior to effecting any disposition of our equity securities that would result in a decrease in the amount of our equity securities beneficially owned by a Substantial Equityholder, such Substantial Equityholder is required to file with the Bankruptcy Court, and serve on the Company, a Notice of Intent to Sell, Trade or Otherwise Transfer Equity Securities. Any purchase, sale or other transfer of our equity securities in violation of the restrictions of the order would be null and void ab initio as an act in violation of such order and would therefore confer no rights on a proposed transferee. Process for Chapter 11 plan. In order to successfully exit bankruptcy, the U.S. Debtors will need to propose, and obtain confirmation by the Bankruptcy Court of, a plan (or plans) that satisfies the requirements of the Bankruptcy Code. A Chapter 11 plan would, among other things, resolve the U.S. Debtors’ pre-petition obligations, set forth the revised capital structure of the newly reorganized entity and provide for corporate governance subsequent to exit from bankruptcy. The U.S. Debtors have the exclusive right for 120 days after the Petition Date to file a Chapter 11 plan and have been granted a 90 day extension to the Exclusive Periods. As discussed above, the U.S. Debtors have requested a further extension of the Exclusive Periods. If we file a Chapter 11 plan, the U.S. Debtors have 60 additional days to obtain necessary acceptances of our plan. The periods may be further extended by the Bankruptcy Court for cause. If the U.S. Debtors’ Exclusive Filing Period lapses, any party in interest may file a Chapter 11 plan for any of the U.S. Debtors. As discussed above, the Exclusive Filing Period has been automatically extended until the Bankruptcy Court acts on the U.S. Debtors’ request to further extend the Exclusive Filing Period and Exclusive Solicitation Period through and including February 1, 2016, and April 13, 2016, respectively, and a hearing on the matter is scheduled on November 3, 2015. In addition to being voted on by holders of impaired claims and equity interests, a Chapter 11 plan must satisfy certain requirements of the Bankruptcy Code and must be approved, or confirmed, by the Bankruptcy Court in order to become effective. A Chapter 11 plan would be accepted by holders of claims against and equity interests in the U.S. Debtors if (i) at least one-half in number and two-thirds in dollar amount of claims actually voting in each class of claims impaired by the plan have voted to accept the plan and (ii) at least two-thirds in amount of equity interests actually voting in each class of equity interests impaired by the plan has voted to accept the plan. A class of claims or equity interests that does not receive or retain any property under the plan on account of such claims or interests is deemed to have voted to reject the plan. Under certain circumstances set forth in Section 1129(b) of the Bankruptcy Code, the Bankruptcy Court may confirm a plan even if such plan has not been accepted by all impaired classes of claims and equity interests. The precise requirements and evidentiary showing for confirming a plan notwithstanding its rejection by one or more impaired classes of claims or equity interests depends upon a number of factors, including the status and seniority of the claims or equity interests in the rejecting class (i.e., secured claims or unsecured claims, subordinated or senior claims, preferred or common stock). Generally, with respect to common stock interests, a plan may be “crammed down” even if the shareowners receive no recovery if the proponent of the plan demonstrates that (1) no class junior to the common stock is receiving or retaining property under the plan and (2) no class of claims or interests senior to the common stock is being paid more than in full. The timing of filing a Chapter 11 plan by the U.S. Debtors will depend on the timing and outcome of numerous other ongoing matters in the Chapter 11 proceedings. There can be no assurance at this time that the U.S. Debtors will be able to successfully develop, confirm and consummate one or more Chapter 11 plans that satisfies the conditions of the Bankruptcy Code and is confirmed by the Bankruptcy Court, or that any such plan will be implemented successfully. For the duration of our Chapter 11 proceedings, our operations and our ability to develop and execute our business plan are subject to the risks and uncertainties associated with the Chapter 11 process as described in our 2014 Annual Report on Form 10-K, Item 1A, “Risk Factors.” As a result of these risks and uncertainties, the number of our outstanding shares and our stockholders, assets, liabilities, officers and/or directors could be significantly different following the outcome of the Chapter 11 proceedings, and the description of our operations, properties and capital plans included in this Quarterly Report may not accurately reflect our operations, properties and capital plans following the Chapter 11 process. Basis of Presentation The accompanying condensed consolidated interim financial statements have not been audited. In management’s opinion, the accompanying condensed consolidated interim financial statements contain all adjustments necessary to fairly present our financial position as of September 30, 2015 and our results of operations and cash flows for the periods presented. All such adjustments are of a normal recurring nature unless otherwise noted. The results for interim periods are not necessarily indicative of annual results. The preparation of financial statements in conformity with GAAP requires us to make estimates and assumptions that affect the reported amounts of certain assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during each reporting period. We believe our estimates and assumptions are reasonable; however, such estimates and assumptions are subject to a number of risks and uncertainties, which may cause actual results to differ materially from management’s estimates. Certain disclosures normally included in financial statements prepared in accordance with GAAP have been condensed or omitted. Accordingly, these financial statements should be read in conjunction with our consolidated financial statements and notes thereto included in our 2014 Annual Report on Form 10-K. As a result of sustained losses and our Chapter 11 proceedings, the realization of assets and satisfaction of liabilities, without substantial adjustments and/or changes in ownership, are subject to uncertainty. Given the uncertainty surrounding our Chapter 11 proceedings, there is substantial doubt about our ability to continue as a going concern. The accompanying condensed consolidated interim financial statements do not purport to reflect or provide for the consequences of our Chapter 11 proceedings, other than as set forth under Liabilities Subject to Compromise and Reorganization Items, net on the accompanying condensed consolidated interim financial statements. In particular, the financial statements do not purport to show (i) as to assets, their realizable value on a liquidation basis or their availability to satisfy liabilities; (ii) as to pre-petition liabilities, the amounts that may be allowed for claims or contingencies, or the status and priority thereof; (iii) as to stockholders’ equity accounts, the effect of any changes that may be made in our capitalization; or (iv) as to operations, the effect of any changes that may be made to our business. In accordance with GAAP, we have applied ASC 852 “Reorganizations,” in preparing our condensed consolidated interim financial statements. ASC 852 requires that the financial statements, for periods subsequent to the Chapter 11 filing, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain revenues, expenses, realized gains and losses and provisions for losses that are realized or incurred in the bankruptcy proceedings are recorded in Reorganization Items, net in the accompanying condensed consolidated statements of income (loss) and comprehensive income (loss). In addition, pre-petition obligations that may be impacted by the bankruptcy reorganization process have been classified on our condensed consolidated balance sheets at September 30, 2015 in Liabilities Subject to Compromise. These liabilities are reported at the amounts expected to be allowed by the Bankruptcy Court, even if they may be settled for lesser amounts. While operating as debtors in possession under Chapter 11 of the Bankruptcy Code, the U.S. Debtors may sell or otherwise dispose of or liquidate assets or settle liabilities in amounts other than those reflected in our condensed consolidated interim financial statements, subject to the approval of the Bankruptcy Court or otherwise as permitted in the ordinary course of business. Further, a Chapter 11 plan could materially change the amounts and classifications in our historical condensed consolidated interim financial statements. Liabilities Subject to Compromise The following table summarizes the components of liabilities subject to compromise included on our Condensed Consolidated Balance Sheet as of September 30, 2015 : September 30, 2015 (in thousands) Accounts payable $ 1,215 Accrued liabilities 116,515 Debt 1,766,398 Liabilities subject to compromise $ 1,884,128 Liabilities Subject to Compromise refers to pre-petition obligations that may be impacted by the Chapter 11 reorganization process. The amounts represent our current estimate of known or potential obligations to be resolved in connection with our Chapter 11 proceedings. Accrued liabilities primarily includes previously accrued and unpaid interest that is associated with the debt that we believe may be impacted by the bankruptcy reorganization process. Differences between liabilities we have estimated and the claims filed, will be investigated and resolved in connection with the claims resolution process. We will continue to evaluate these liabilities throughout the Chapter 11 process and adjust amounts as necessary. Such adjustments may be material. Reorganization Items, net The following table summarizes the components included in Reorganization Items, net in our condensed consolidated statements of income (loss) and comprehensive income (loss) for the three and nine months ended September 30, 2015 : For the Three Months Ended September 30, 2015 For the Nine Months Ended September 30, 2015 (in thousands) Professional fees $ 8,352 $ 22,895 Deferred financing costs and unamortized discounts — 59,983 Deferred interest rate swap gains — (2,314 ) Terminated contracts (469 ) 68,004 Reorganization items, net $ 7,883 $ 148,568 Professional fees included in Reorganization Items, net are for post-petition expenses. Deferred financing costs and unamortized discounts are included for the Second Lien Term Loan, Second Lien Notes, Senior Notes due 2019, Senior Notes due 2021 and Senior Subordinated Notes as we believe these debt instruments may be impacted by the bankruptcy reorganization process. Terminated contracts represent the estimated claims related to five GPT and one professional fee contracts that run through 2019 and were not previously included on the balance sheet as the liability was contingent or an executory contract included in commitments and contingencies. The amount is derived by using the undiscounted contractual rates multiplied by the remaining contractual volumes and will be adjusted through the claims reconciliation process as necessary. The reduction in terminated contracts for the three months ended September 30, 2015 is due to an adjustment to the previously accrued amount based on claims filed. Recently Issued Accounting Standards In February 2015, the FASB issued accounting guidance, “Consolidation (Topic 810): Amendments to the Consolidation Analysis,” requiring reporting entities to evaluate whether they should consolidate certain legal entities. The standard is effective for us in the first quarter of 2016 with early adoption permitted. We are currently evaluating the new guidance and have not determined the impact this standard may have on our financial statements. In April 2015, the FASB issued accounting guidance, “Interest - Imputation of Interest,” that requires debt issuance costs related to a recognized debt liability be presented in the balance sheet as a direct deduction from the carrying amount of that debt liability, consistent with debt discounts. This update is effective for us in the first quarter of 2016. We will adopt this guidance in the first quarter of 2016 which will reduce other assets and the current portion of long-term debt. In July 2015, the FASB voted to extend by one year the effective date to adopt the accounting guidance, “Revenue from Contracts with Customers,” which requires an entity to recognize the amount of revenue that it expects to be entitled for the transfer of promised goods or services to customers. The updated standard will replace most existing revenue recognition guidance in U.S. GAAP when it becomes effective and permits the use of either the retrospective or cumulative effect transition method. Reporting entities may elect to adopt the guidance at the original effective date or may delay one year. We intend to delay the adoption of this guidance until the first quarter of 2018. We have not yet selected a transition method and we are currently evaluating the effect, if any, that the updated standard will have on our consolidated financial statements and related disclosures. In July 2015, the FASB issued accounting guidance, “Simplifying the Measurement of Inventory,” that requires inventory to be measured at the lower of cost and net realizable value and options that currently exist for market value to be eliminated. The guidance defines net realizable value as the estimated selling price in the ordinary course of business, less reasonably predictable costs of completion, disposal and transportation. The guidance is effective on a prospective basis for reporting periods beginning after December 15, 2016 and interim periods within those fiscal years with early adoption permitted. We are evaluating the impact that the adoption will have on our consolidated financial statements. No other pronouncements materially affecting our financial statements have been issued since the filing of our 2014 Annual Report on Form 10-K. Restatement of Previously Reported Consolidated Financial Statements Subsequent to filing our Form 10-Q for the period ended September 30, 2015, we identified an error in the calculation of our crude oil and natural gas proved reserve estimates as of September 30, 2015. The reserve estimate error resulted in an understatement of impairment expense for the nine months ended September 30, 2015. The reserve estimate error was due to all applicable costs not being considered. On March 8, 2016 management and the audit committee of our Board of Directors concluded that adjustment to the historical financial statements was required; therefore, we restated our condensed consolidated balance sheet as of September 30, 2015 and the related statement of income and comprehensive income, statement of stockholders’ equity and statement of cash flows for the three and nine months ended September 30, 2015 on Form 10-Q/A. These adjustments to the financial statements represent additional non-cash impairment charges. The following tables show the effects of the adjustments made to our Condensed Consolidated Balance Sheets as of September 30, 2015 and Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) and Condensed Consolidated Statements of Cash Flows for the three months and nine months ended September 30, 2015. Condensed Consolidated Balance Sheets As of September 30, 2015 Previously Reported Adjustments As Restated (in thousands) Oil and natural gas properties, full cost method $ 403,248 (61,760 ) $ 341,488 Property, plant and equipment - net 502,580 (61,760 ) 440,820 Total assets 730,224 (61,760 ) 668,464 Retained deficit (2,349,419 ) (61,760 ) (2,411,179 ) Total stockholders' equity (1,566,342 ) (61,760 ) (1,628,102 ) Total liabilities and stockholders' equity 730,224 (61,760 ) 668,464 Condensed Consolidated Statements of Income (Loss) and Comprehensive Income (Loss) For the Three Months Ended For the Nine Months Ended Previously Reported Adjustments As Restated Previously Reported Adjustments As Restated (in thousands), except for per share data Impairment $ 102,758 $ 61,760 $ 164,518 $ 180,169 $ 61,760 $ 241,929 Total expense 164,274 61,760 226,034 403,153 61,760 464,913 Operating income (loss) (105,287 ) (61,760 ) (167,047 ) (176,034 ) (61,760 ) (237,794 ) Income (loss) before income taxes (120,300 ) (61,760 ) (182,060 ) (404,122 ) (61,760 ) (465,882 ) Net income (loss) (122,452 ) (61,760 ) (184,212 ) (409,958 ) (61,760 ) (471,718 ) Comprehensive income (loss) (128,111 ) (61,760 ) (189,871 ) (433,507 ) (61,760 ) (495,267 ) Earnings (loss) per common share - basic $ (0.69 ) $ (0.36 ) $ (1.05 ) $ (2.33 ) $ (0.35 ) $ (2.68 ) Earnings (loss) per common share - diluted $ (0.69 ) $ (0.36 ) $ (1.05 ) $ (2.33 ) $ (0.35 ) $ (2.68 ) Condensed Consolidated Statements of Cash Flows For the nine months ended September 30, 2015 Previously Reported Adjustments As Restated (in thousands) Net loss $ (409,958 ) (61,760 ) $ (471,718 ) Impairment expense 180,169 61,760 241,929 There was no effect on the total net cash provided by operating activities included in the condensed consolidated statement of cash flows for the nine months ended September 30, 2015. |
Divestitures
Divestitures | 9 Months Ended |
Sep. 30, 2015 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Divestitures | DIVESTITURES In May 2014, we completed the sale of our Niobrara Asset to Southwestern Energy Company. The purchase price was subject to customary purchase price adjustments, which resulted in Southwestern paying us $95.6 million , including a final adjustment of $2.1 million , which we received in the third quarter of 2014. We determined that the Southwestern Transaction did not represent a significant disposal of reserves under GAAP, therefore we reduced the balance of U.S. oil and gas properties by the amount of these proceeds and we did not recognize a gain or loss. Note 3 to the consolidated financial statements in our 2014 Annual Report on Form 10-K contains additional information on other divestitures. |
Derivatives And Fair Value Meas
Derivatives And Fair Value Measurements | 9 Months Ended |
Sep. 30, 2015 | |
Credit Risk Derivatives, at Fair Value, Net [Abstract] | |
Derivatives And Fair Value Measurements | DERIVATIVES AND FAIR VALUE MEASUREMENTS The following table categorizes our commodity derivative instruments based upon the level of the inputs used in estimating the fair value: Asset Derivatives Liability Derivatives September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 (in thousands) (in thousands) Level 2 derivative instruments $ — $ 104,608 $ — $ — Level 3 derivative instruments — 44,959 — — Total $ — $ 149,567 $ — $ — The fair value of “Level 2” derivative instruments included in these disclosures was estimated using inputs quoted in active markets for the periods covered by the derivatives. The fair value of derivative instruments designated as “Level 3” at December 31, 2014, was estimated using prices quoted in markets where there is insufficient market activity for consideration as “Level 2” instruments. At December 31, 2014, only our natural gas derivatives with an original tenure of 10 years utilized “Level 3” inputs, primarily due to comparatively less market data available for the later portion of their term compared with our other shorter term derivatives. The fair value of both the “Level 2” and the “Level 3” assets and liabilities are determined using a discounted cash flow model using the terms of the derivative instrument, market prices for the periods covered by the derivatives, and the credit adjusted risk-free interest rates. The “Level 3” unobservable input at December 31, 2014 was the market prices for natural gas for the period from 2019 to 2021, as there is not an active market for that period of time. These unobservable inputs included within the fair value calculation range at December 31, 2014 from $2.88 to $4.60 and are based upon prices quoted in active markets for the period of time available. A decrease of these unobservable inputs would increase the fair value, while an increase would decrease the fair value. The following table identifies the changes in “Level 3” net asset derivative fair values for the periods indicated: For the Three Months Ended 2015 2014 (in thousands) Balance at beginning of period $ — $ (5,533 ) Total gains (losses) for the period: Unrealized gain on derivatives — 24,829 Settlements in net derivative gains (losses) — (1,542 ) Balance at end of period $ — $ 17,754 Total gains included in net derivative gains (losses) attributable to the change in unrealized gains related to assets still held at the reporting date $ — $ 24,485 For the Nine Months Ended 2015 2014 (in thousands) Balance at beginning of period $ 44,959 $ 23,485 Total gains (losses) for the period: Unrealized loss on derivatives (109,240 ) (6,488 ) Settlements in net derivative gains (losses) 64,281 757 Balance at end of period $ — $ 17,754 Total losses included in net derivative gains (losses) attributable to the change in unrealized losses related to assets still held at the reporting date $ — $ (2,476 ) Commodity Price Derivatives In 2015, all of our derivatives were terminated either by us or the counterparties to such derivatives in anticipation or as a result of our Chapter 11 filings or through negotiations during the Chapter 11 proceedings. We no longer have any derivatives. The cash proceeds from derivatives terminated in 2015 were $138.9 million . Effective December 31, 2012, we discontinued the use of hedge accounting. Changes in value subsequent to this date are recognized in net derivative gains (losses) in the period in which they occur. The net deferred hedge gain that was included in AOCI as of December 31, 2012 is being released into revenue from natural gas, NGL and oil production over the original term of the hedging relationship (through 2021). Gains from the effective portion of derivative assets and liabilities held in AOCI expected to be reclassified into earnings during the following twelve months will result in production revenue of $12.4 million net of income taxes. Interest Rate Derivatives In 2010, we executed early settlements of our interest rate swaps that were designated as fair value hedges. Upon the early settlements, we recorded the resulting gain as a fair value adjustment to our debt and began to recognize the deferred gain as a reduction of interest expense over the lives of the respective notes. During the nine months ended September 30, 2015 and 2014 , we recognized $0.5 million and $1.5 million , respectively, of those deferred gains as a reduction of interest expense. As a result of the Chapter 11 proceedings, the remainder of the deferred gains related to these interest rate swaps were included in Reorganization Items, net. Fair Value Disclosures The estimated fair value of our derivative instruments at September 30, 2015 and December 31, 2014 were as follows: Asset Derivatives Liability Derivatives September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 (in thousands) (in thousands) Derivatives not designated as hedges: Commodity contracts reported in: Current derivative assets $ — $ 120,176 $ — $ — Noncurrent derivative assets — 81,187 — 51,796 Total derivatives not designated as hedges $ — $ 201,363 $ — $ 51,796 Derivative assets and liabilities shown in the table above are presented as gross assets and liabilities, without regard to master netting arrangements, which are considered in the presentation of derivative assets and liabilities in the accompanying condensed consolidated balance sheets. The change in carrying value of our commodity price derivatives since December 31, 2014 resulted from the termination of all of our derivatives. Financial instruments not carried at fair value Carrying values and fair values of financial instruments that are not carried at fair value in the consolidated balance sheets as of September 30, 2015 and December 31, 2014 are included in Note 5. |
Property, Plant And Equipment
Property, Plant And Equipment | 9 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant And Equipment | PROPERTY, PLANT AND EQUIPMENT Property, plant and equipment consisted of the following: September 30, 2015 December 31, 2014 (in thousands) (Restated) Oil and gas properties Subject to depletion $ 5,687,844 $ 5,821,167 Unevaluated costs 21,377 18,803 Accumulated depletion (5,367,733 ) (5,225,302 ) Net oil and gas properties 341,488 614,668 Other property and equipment Pipelines and processing facilities 293,859 316,013 General properties 63,288 66,455 Accumulated depreciation (257,815 ) (268,356 ) Net other property and equipment 99,332 114,112 Property, plant and equipment, net of accumulated depletion and depreciation $ 440,820 $ 728,780 Ceiling Test Analysis and Impairment We recorded impairment expense of $150.8 million at September 30, 2015 for our U.S. oil and gas properties and $13.7 million and $77.4 million at September 30, 2015 and June 30, 2015, respectively, for our Canadian oil and gas properties. We computed the September 30, 2015 ceiling amount for our U.S. oil and gas properties using the Henry Hub natural gas price of $3.06 per MMBtu of natural gas, calculated as the unweighted average of the preceding 12-month first-day-of-the-month prices. The Henry Hub natural gas price used to compute the ceiling amount at September 30, 2015 was 30% lower than the comparable price at December 31, 2014. We computed the September 30, 2015 and June 30, 2015 ceiling amounts for our Canadian oil and gas properties using AECO prices of $2.51 and $2.90 per MMBtu of natural gas, respectively, calculated as the unweighted average of the preceding 12-month first-day-of-the-month prices. The AECO natural gas prices used to compute the ceiling amount at September 30, 2015 and June 30, 2015 were 41% and 31% lower, respectively, than the comparable price used at December 31, 2014. Notes 2 and 7 to the consolidated financial statements in our 2014 Annual Report on Form 10-K contain additional information regarding our property, plant and equipment and our quarterly ceiling test analysis. |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2015 | |
Long-term Debt, Other Disclosures [Abstract] | |
Long-Term Debt | DEBT Debt consisted of the following: September 30, 2015 December 31, 2014 (in thousands) Combined Credit Agreements $ 156,985 $ 274,514 Second Lien Term Loan, net of unamortized discount (1) — 610,242 Second Lien Notes due 2019, net of unamortized discount (1) — 195,277 Senior notes due 2019, net of unamortized discount (1) — 293,919 Senior notes due 2021, net of unamortized discount (1) — 310,590 Senior subordinated notes due 2016 (1) — 350,000 Total debt 156,985 2,034,542 Unamortized deferred gain-terminated interest rate swaps (1) — 2,763 Current portion of long-term debt (2) (156,985 ) (2,037,305 ) Long-term debt (2) $ — $ — (1) Classified as Liability Subject to Compromise as of September 30, 2015 (2) As a result of our Chapter 11 filings, we have classified all debt as current at September 30, 2015 On March 16, June 15 and September 15, 2015, we, along with QRCI, entered into the Forbearance Agreements with the administrative agents and certain of the lenders under the Combined Credit Agreements. As a result of the Chapter 11 filing, the obligations under the Combined Credit Agreements were automatically accelerated. However, pursuant to the Forbearance Agreements, the administrative agents and the lenders agreed to, among other things, (i) forbear from exercising their rights and remedies in connection with specified defaults under the Amended and Restated Canadian Credit Facility related to our Chapter 11 filing until the earlier of December 15, 2015 or certain other events specified in the Forbearance Agreements, including, among other things, the commencement by QRCI or certain specified Canadian subsidiary guarantors of insolvency proceedings and (ii) waive compliance with certain specified terms and conditions relating to the renewal of outstanding evergreen letters of credit under the Combined Credit Agreements, among other things. In March 2015, a third-party service provider drew down the full face amount of a C$33 million letter of credit in connection with the termination of a Canadian gathering and processing contract. See additional discussion in Note 7. In April and May 2015, other third-party service providers in the U.S. drew down $2.1 million of outstanding letters of credit. As of September 30, 2015, $157.0 million in loans ( $78.6 million and $78.4 million in the U.S. and Canada, respectively) and $9.7 million ( $7.7 million and $2.0 million in the U.S. and Canada, respectively) in letters of credit were outstanding under our Combined Credit Agreements. Our Chapter 11 filings constituted an event of default under the Combined Credit Agreements and all borrowings and other fees under the Combined Credit Agreements became immediately due and payable. As a result, we no longer have any liquidity available to us under the Combined Credit Agreements. The ability of the lenders under the Combined Credit Agreements to seek remedies to enforce their rights under the agreements against the U.S. Debtors was automatically stayed as a result of the Chapter 11 filings, and the lenders’ rights of enforcement against the U.S. Debtors are subject to the applicable provisions of the Bankruptcy Code. Amounts outstanding under the Combined Credit Agreements have not been included in Liabilities Subject to Compromise because we believe this secured debt will not be impacted by the bankruptcy reorganization process. We continue to accrue and pay interest on the Combined Credit Agreements in accordance with the Forbearance Agreement and the Bankruptcy Court’s cash collateral order. Beginning on March 17, 2015, as part of the Forbearance Agreement, we agreed to pay interest monthly for the Amended and Restated U.S. Credit Facility at a specified rate of ABR plus the applicable margin and for the Amended and Restated Canadian Credit Facility at a specified rate of Canadian prime plus the default rate plus the applicable margin for Canadian dollar denominated borrowings, and U.S. prime plus the default rate plus the applicable margin, for U.S. dollar denominated borrowings. Subsequent to the Forbearance Agreement, we agreed in connection with the adequate protection package, which allowed for the use of cash collateral and collateral, to fix the applicable margin for loans under the Amended and Restated U.S. Credit Facility to 2.5% . We also agreed to set the applicable margin for loans under the Amended and Restated Canadian Credit Facility to 2.75% . At September 30, 2015, the weighted average interest rate for amounts outstanding under the Combined Credit Agreement was 6.66% . In April 2015, we repaid $88.0 million ( $46.5 million and $41.5 million in the U.S. and Canada, respectively) and in June 2015 and August 2015 we repaid an additional $11.1 million and $3.2 million , respectively, in the U.S., of outstanding amounts under our Combined Credit Agreements with proceeds from terminated derivative positions. Our Chapter 11 filings also constituted an event of default under the Second Lien Term Loan, the Second Lien Notes, the Senior Notes due 2019, the Senior Notes due 2021, and the Senior Subordinated Notes. All principal, interest and other amounts under each of these debt instruments became immediately due and payable. The ability of the lenders and noteholders to seek remedies to enforce their rights under the applicable debt instruments was automatically stayed as a result of the Chapter 11 filings, and the lenders’ and noteholders’ rights of enforcement are subject to the applicable provisions of the Bankruptcy Code. Amounts outstanding under the Second Lien Term Loan, Second Lien Notes, Senior Notes due 2019, Senior Notes due 2021 and Senior Subordinated Notes have been reclassified as Liabilities Subject to Compromise. We discontinued the accrual of interest on the Second Lien Term Loan, Second Lien Notes, Senior Notes due 2019, Senior Notes due 2021 and Senior Subordinated Notes from and after the Petition Date. However, we are making adequate protection payments to the lenders under the Second Lien Term Loan and the holders of the Second Lien Notes, in each case in an amount equal to all accrued and unpaid post-petition interest (at a rate of 7.00% as of September 30, 2015), fees and costs due and payable on a monthly basis under the Second Lien Term Loan and the indenture for the Second Lien Notes, respectively, in accordance with the Bankruptcy Court’s cash collateral order. As the Bankruptcy Court will ultimately determine the treatment of all amounts subject to compromise and our Second Lien Term Loan and Second Lien Notes may be impacted by the bankruptcy reorganization process, the adequate protection payments are treated as a principal payment rather than as interest expense. The Bankruptcy Court could recharacterize these payments as diminution in value claims or interest payments or find that additional amounts are due, which in each case could require us to expense these payments. As of September 30, 2015 we have made aggregate payments of $31.6 million under the Bankruptcy Court’s cash collateral order. Summary of All Outstanding Debt Except where otherwise noted, the following table summarizes certain significant aspects of our long-term debt outstanding immediately prior to the Chapter 11 filings. Upon the Chapter 11 filings, all principal, interest and other amounts under each of the debt instruments governing the long-term debt set forth in the table below was accelerated and became immediately due and payable. The information in the table below is presented without regard to the effect of the Chapter 11 filings, except where otherwise noted, and therefore does not take into account the acceleration of the listed debt instruments and other impacts of the Chapter 11 filings. Priority on Collateral and Structural Seniority (1) Highest priority Lowest priority First Lien Second Lien Senior Unsecured Senior Subordinated Combined Credit Second Lien Term Loan Second Lien Notes 2019 2021 Senior Principal amount (1) (2) $325 million $625 million $200 million $298 million $325 million $350 million Scheduled maturity date prior to acceleration (3) September 6, 2016 June 21, 2019 June 21, 2019 August 15, 2019 July 1, 2021 April 1, 2016 Springing maturity date prior to acceleration (3) October 2, 2015 January 1, 2016 January 1, 2016 N/A N/A N/A Interest rate on outstanding borrowings at September 30, 2015 (4) 6.66% 7.00% 7.00% 9.125% 11.00% 7.125% Base interest rate options prior to acceleration (5) (6) LIBOR, ABR, CDOR LIBOR floor of 1.25%; ABR floor of 2.25% LIBOR floor of 1.25% N/A N/A N/A Financial covenants (7) (9) - Minimum current ratio of 1.0 N/A N/A N/A N/A N/A Significant restrictive covenants (7)(8)(9) - Incurrence of debt - Incurrence of debt - Incurrence of debt - Incurrence of debt - Incurrence of debt - Incurrence of debt Optional redemption prior to acceleration (9) Any time Any time, subject to re-pricing event Any time, subject to re-pricing event August 15, July 1, Any time Make-whole redemption prior to acceleration (9) N/A N/A N/A N/A Callable prior to N/A Change of control prior to acceleration (9) Event of default Put at 101% of Put at 101% of Put at 101% of Put at 101% of Put at 101% of Equity clawback prior to acceleration (9) N/A N/A N/A N/A Redeemable until N/A Estimated fair value as of September 30, 2015 (10) $157.0 million $237.5 million $76.0 million $17.6 million $20.9 million $— (1) Borrowings under the Amended and Restated U.S. Credit Facility, Second Lien Term Loan and Second Lien Notes due 2019 are guaranteed by certain of Quicksilver’s domestic subsidiaries and are secured (on a first priority basis with respect to the Amended and Restated U.S. Credit Facility and on a second priority basis with respect to the Second Lien Term Loan and the Second Lien Notes due 2019) by 100% of the equity interests of each of Cowtown Pipeline Management, Inc., Cowtown Pipeline Funding, Inc., Cowtown Gas Processing L.P., Cowtown Pipeline L.P., Barnett Shale Operating LLC, Silver Stream Pipeline Company LLC, QPP Parent LLC and QPP Holdings LLC (collectively, the “Domestic Pledged Equity”), 65% of the equity interests of QRCI and Quicksilver Production Partners Operating Ltd. (with respect to the Amended and Restated U.S. Credit Facility, on a ratable basis with borrowings under the Amended and Restated Canadian Credit Facility) and the majority of Quicksilver's domestic proved oil and gas properties and related assets, (the “Domestic Pledged Property”). Borrowings under the Amended and Restated Canadian Credit Facility are guaranteed by Quicksilver and certain of its domestic subsidiaries and are secured by the Domestic Pledged Equity, the Domestic Pledged Property, 100% of the equity interests of QRCI ( 65% of which is on a ratable basis with the borrowings under the Amended and Restated U.S. Credit Facility) and any Canadian restricted subsidiaries, under the Amended and Restated Canadian Credit Facility, and 65% of the equity interests of Quicksilver Production Partners Operating Ltd. (which is on a ratable basis with the borrowings under the Amended and Restated U.S. Credit Facility) and the majority of QRCI's oil and gas properties and related assets. The other debt presented is based upon structural seniority and priority of payment. (2) The principal amount included in the table for the Combined Credit Agreements represents the global borrowing base immediately prior to the Chapter 11 filings. (3) Immediately prior to acceleration as a result of the Chapter 11 filings, the Combined Credit Agreements were required to be repaid 91 days prior to the maturity of the Senior Subordinated Notes, the Second Lien Term Loan or the Second Lien Notes due 2019, if on the applicable date any amount of such debt remained outstanding. Immediately prior to acceleration as a result of the Chapter 11 filings, the Second Lien Term Loan and Second Lien Notes due 2019 were required to be repaid (1) 91 days prior to the maturity of the 2019 Senior Notes if more than $100 million of the 2019 Senior Notes remained outstanding and (2) 91 days prior to the maturity of the Senior Subordinated Notes if on the applicable date the amount remaining outstanding was greater than $100 million . Immediately prior to acceleration as a result of the Chapter 11 filings, as then structured and assuming no changes in the amounts outstanding, amounts outstanding under the Combined Credit Agreements would have been due on October 2, 2015 and the Second Lien Term Loan and Second Lien Notes would have been due on January 1, 2016. (4) Represents the weighted average borrowing rate payable to lenders on our Combined Credit Agreement as of September 30, 2015. (5) Immediately prior to the Chapter 11 filings, amounts outstanding under the Amended and Restated U.S. Credit Facility bore interest, at our election, at (i) adjusted LIBOR (as defined in the Amended and Restated U.S. Credit Facility) plus an applicable margin between 2.75% and 3.75% , or (ii) ABR (as defined in the Amended and Restated U.S. Credit Facility), which is the greatest of (a) the prime rate announced by JPMorgan, (b) the federal funds rate plus 0.50% and (c) adjusted LIBOR for an interest period of one month plus 1.00% , plus, in each case under scenario (ii), an applicable margin between 1.75% and 2.75% . We also pay a per annum fee on the LC Exposure (as defined in the Amended and Restated U.S. Credit Facility) of all letters of credit issued under the Amended and Restated U.S. Credit Facility equal to the applicable margin with respect to Eurodollar loans, and a commitment fee on the unused availability under the Amended and Restated U.S. Credit Facility of 0.50% . (6) Immediately prior to the Chapter 11 filings, amounts outstanding under the Amended and Restated Canadian Credit Facility bore interest, at our election, at (i) the CDOR Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 2.75% and 3.75% , (ii) the Canadian Prime Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 1.75% and 2.75% , (iii) the U.S. Prime Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 1.75% and 2.75% or (iv) adjusted LIBOR (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 2.75% and 3.75% . We also pay a per annum fee on the LC Exposure (as defined in the Amended and Restated Canadian Credit Facility) of all letters of credit issued under the Amended and Restated Canadian Credit Facility equal to the applicable margin with respect to Eurodollar loans, and a commitment fee on the unused availability under the Amended and Restated Canadian Credit Facility of 0.50% . (7) The financial covenants and significant restrictive covenants were applicable to the Combined Credit Agreements immediately prior to the Chapter 11 filings and remain applicable to the Amended and Restated Canadian Credit Facility. However, pursuant to the Forbearance Agreements, the administrative agent and certain lenders agreed to, among other things, forbear from exercising their rights and remedies in connection with specified defaults under the Amended and Restated Canadian Credit Facility, including events of default related to our Chapter 11 filings or the failure to comply with the financial covenants, until the earlier of December 15, 2015 or certain other events specified in the Forbearance Agreements. The following table sets forth the minimum EBITDAX covenant for the Amended and Restated U.S. Credit Facility immediately prior to the Chapter 11 filings and for the Amended and Restated Canadian Credit Facility: Minimum EBITDAX Covenant (in millions) Twelve months ending September 30, 2015 120.5 Twelve months ending December 31, 2015 122.0 Immediately prior to the Chapter 11 filings, the minimum required interest coverage ratio for the Amended and Restated U.S. Credit Facility for the first and second quarters of 2016 was 1.50 and 2.00 , respectively. The minimum required interest coverage ratio for the Amended and Restated Canadian Credit Facility for the first and second quarters of 2016 is 1.50 and 2.00 , respectively. (8) Immediately prior to acceleration as a result of our Chapter 11 filings, our indentures required us to reinvest or repay senior debt with net cash proceeds from certain asset sales within one year. (9) The information presented in this table is qualified in all respects by reference to the full text of the covenants, provisions and related definitions contained in the documents governing the various components of our debt. (10) The estimated fair value is determined using market quotations based on recent trade activity for fixed rate obligations (“Level 2” inputs). Our Second Lien Term Loan and Second Lien Notes feature variable interest rates and we estimate their fair value by using market quotations based on recent trade activity (“Level 3” input). We consider our Combined Credit Agreements, which have a variable interest rate, to have a fair value equal to their carrying value (“Level 1” input). Quicksilver Resources Inc. and its Restricted Subsidiaries The following tables, required under our indentures, provide information about Quicksilver Resources Inc. and the entities designated as restricted subsidiaries under the indentures for our Second Lien Notes, Senior Notes and Senior Subordinated Notes. Eliminations between Quicksilver Resources Inc., the related restricted guarantor subsidiaries and restricted non-guarantor subsidiaries are included in the tables below as necessary. Condensed Consolidating Balance Sheets September 30, 2015 December 31, 2014 (in thousands) (Restated) ASSETS Current assets $ 216,433 $ 421,533 Property and equipment 430,401 715,931 Investment in subsidiaries (equity method) (87,936 ) (82,360 ) Other assets 6,640 62,245 Total assets $ 565,538 $ 1,117,349 LIABILITIES AND EQUITY Current liabilities 214,393 2,137,532 Long-term liabilities 108,639 117,688 Liabilities subject to compromise 1,884,128 — Stockholders’ equity (1,641,622 ) (1,137,871 ) Total liabilities and equity $ 565,538 $ 1,117,349 Condensed Consolidating Statements of Income For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 (in thousands) (Restated) (Restated) Revenue $ 58,987 $ 163,498 $ 227,119 $ 373,316 Operating expenses 228,309 100,857 471,797 313,385 Equity in net earnings of subsidiaries (1,004 ) (1,458 ) (2,991 ) (4,266 ) Operating income (loss) (170,326 ) 61,183 (247,669 ) 55,665 Interest expense and other (3,851 ) (42,365 ) (69,645 ) (125,755 ) Reorganization items, net (7,883 ) — (148,568 ) — Income tax benefit (expense) (2,152 ) 4,939 (5,836 ) (1,081 ) Net income (loss) $ (184,212 ) $ 23,757 $ (471,718 ) $ (71,171 ) Other comprehensive loss (5,659 ) (14,889 ) (23,549 ) (27,101 ) Comprehensive income (loss) $ (189,871 ) $ 8,868 $ (495,267 ) $ (98,272 ) Condensed Consolidating Statements of Cash Flow For the Nine Months Ended September 30, 2015 2014 (in thousands) Net cash flow provided by (used in) operating activities $ 113,640 $ (11,319 ) Capital expenditures (25,007 ) (111,423 ) Investment in subsidiary — (26,395 ) Proceeds from Southwestern Transaction — 95,587 Proceeds from sale of properties and equipment 2,978 1,942 Purchases of marketable securities — (55,890 ) Maturities and sales of marketable securities — 222,025 Net cash flow provided by (used in) investing activities (22,029 ) 125,846 Issuance of debt 28,335 243,184 Repayments of debt (170,660 ) (193,689 ) Debt issuance costs paid (80 ) (225 ) Purchase of treasury stock (115 ) (2,388 ) Net cash flow provided by (used in) financing activities (142,520 ) 46,882 Effect of exchange rates on cash 4,614 (2,718 ) Net change in cash and equivalents (46,295 ) 158,691 Cash and equivalents at beginning of period 221,838 88,028 Cash and equivalents at end of period $ 175,543 $ 246,719 |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2015 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES Note 12 to the consolidated financial statements in our 2014 Annual Report on Form 10-K contains additional information about our income taxes. At September 30, 2015 , our U.S. and Canadian valuation allowances are $455.3 million and $96.1 million , respectively, which reduce our net deferred tax assets to a zero value as we continue to believe that it is not more likely than not that we will realize the deferred tax assets primarily related to our cumulative net operating losses. Income tax recognized for the nine months ended September 30, 2015 is a result of hedge gains previously deferred in AOCI being realized during the periods. In June 2015, the Alberta government passed regulation to increase the provincial tax rate by 2% with an effective date of July 2015. We have adjusted our rates based on this change. |
Commitments And Contingencies
Commitments And Contingencies | 9 Months Ended |
Sep. 30, 2015 | |
Loss Contingency [Abstract] | |
Commitments And Contingencies | COMMITMENTS AND CONTINGENCIES QRCI did not pay an uneconomic Canadian gathering and processing commitment, which included significant unused firm capacity, due in late February 2015. In early March 2015, the third-party service provider issued a demand letter regarding the missed payment and suspended service resulting in our Horn River Asset production being shut-in. Further, a termination notice was issued by the third-party service provider effective March 19, 2015. We continue to explore alternatives to gather and process our Horn River Asset production; however, we may not be able to find economic alternatives in the near-term, or at all, and production may remain shut-in. In connection with this Canadian gathering and processing contract, we had previously issued a letter of credit in the amount of C$33 million . Upon termination, the third party drew down the full face amount of the letter of credit. We do not believe the third party was legally entitled to draw down the entire amount of the letter of credit and we have reserved all of our rights, entitlements and remedies in that regard. The $26.2 million ( C$33 million ) draw is shown as a reduction to amounts outstanding under the contract for services provided prior to the termination and the remaining $21.5 million is recognized as Other Expense. At the present time, we cannot predict the ultimate outcome of this matter, including whether some or all of the C$33 million drawn on the letter of credit will be payable to us or whether any additional amounts will have to be paid related to the termination of the contract. We expect that we and the third party will disagree as to what are the remaining obligations under the relevant agreement and the length of the remaining term of the agreement and as to the remedies and defenses available to the parties. While we expect to vigorously dispute the amount, we expect that the third party will claim to be entitled to up to approximately C$126 million (including the proceeds of the letter of credit) as the aggregate of the monthly tolls for firm capacity for the alleged remainder of the term of the relevant agreement. Note 1 to this Quarterly Report contains a description of our claims reconciliation process associated with the bankruptcy proceedings. On April 15 and May 8, 2015, the Bankruptcy Court issued orders allowing us to reject certain executory contracts effective March 17 and April 1, 2015 and the total estimated allowable claim under these contracts has been included in Liabilities Subject to Compromise and Reorganization Items, net as appropriate. The reductions impacted our GPT contracts included in the contractual obligation table included in our 2014 Form 10-K and reduced our total payments due over the life of the contracts as of the date the contracts were rejected by approximately $39 million . We renegotiated an NGL GPT contract in our Barnett Shale Asset effective April 2015, which reduced our GPT contracts included in the contractual obligation table included in our 2014 Form 10-K over the life of the contract by approximately $100 million . Note 13 to the consolidated financial statements in our 2014 Annual Report on Form 10-K contains a more complete description of our contractual obligations, commitments and contingencies for which there are no other significant updates during the quarter ended September 30, 2015 . |
Fortune Creek
Fortune Creek | 9 Months Ended |
Sep. 30, 2015 | |
Equity Method Investments and Joint Ventures [Abstract] | |
Fortune Creek | FORTUNE CREEK Note 14 to the consolidated financial statements in our 2014 Annual Report on Form 10-K contains additional information on Fortune Creek. We do not expect to be able to satisfy the capital expenditure or equipment purchase requirements described in our 2014 Annual Report on Form 10-K with our cash on hand, committed financing or cash flow from operations and will need to obtain additional debt or equity financing or sell assets, which we may not be able to do on satisfactory terms, or at all. We committed gas production from our Horn River Asset for ten years beginning 2012. KKR contributed C$125 million cash in exchange for a 50% interest in Fortune Creek. Our Canadian subsidiary has responsibility for the day-to-day operations of Fortune Creek. The firm gathering agreement with Fortune Creek is guaranteed by us. If our subsidiary does not pay its minimum volume obligations under the gathering agreement or meet the capital expenditure requirements, KKR has the right to liquidate the partnership and consequently we have recorded the funds contributed by KKR as a liability in our consolidated financial statements. We recognize accretion expense to reflect the rate of return earned by KKR via its investment. Fortune Creek has made cash distributions to KKR, which are reported as cash used in financing activities. QRCI did not make an approximately C$1.6 million payment due at the end of June 2015 and has not made subsequent monthly payments of the same amount pursuant to the gathering agreement with Fortune Creek. As a result, among other things: (i) Fortune Creek may discontinue transporting QRCI's gas until all amounts owing are repaid (although, as previously disclosed, production was previously shut-in due to the termination of a third-party gathering and processing agreement in March 2015); (ii) if the non-payment continues for more than 90 days after a written demand therefor, subject to certain existing contracts for the sale of gas, Fortune Creek may enforce the lien granted by QRCI to Fortune Creek on the natural gas belonging to QRCI while it is in the Maxhamish Pipeline and in Fortune Creek's possession; (iii) Fortune Creek has certain set-off rights against QRCI; (iv) if the non-payment continues for 180 days (or 60 days following a written notice by the other partner), we will not be entitled to receive partnership distributions or vote with respect to partnership matters until the non-payment is cured and Fortune Creek may be dissolved or our partnership interest in Fortune Creek may be purchased by the other partner; and (v) the operating agreement could be terminated by Fortune Creek. We have not received any written notices regarding the past due amounts. Past due amounts under the gathering agreement bear interest compounded monthly at prime plus 2% . We are in discussions with KKR in connection with the issues related to Fortune Creek; however, we may not reach a resolution in the near-term, or at all. Based on a quarterly analysis of the partners’ equity at risk, we have determined the partnership to be a VIE. Further, based on our ability to direct the activities surrounding the production of natural gas and our direct management of the operations of the Fortune Creek facilities, we have determined we are the primary beneficiary and, therefore, we consolidate Fortune Creek. We will continue to evaluate this assessment in light of our bankruptcy filings in the U.S., breach of contract due to non-payment and our liquidity constraints in Canada; however, if we are unable to resolve these items, we may no longer be the primary beneficiary and may therefore not consolidate Fortune Creek as early as the fourth quarter of 2015. |
Quicksilver Stockholders' Equit
Quicksilver Stockholders' Equity | 9 Months Ended |
Sep. 30, 2015 | |
Share-based Compensation, Allocation and Classification in Financial Statements [Abstract] | |
Quicksilver Stockholders' Equity | QUICKSILVER STOCKHOLDERS’ EQUITY Common Stock, Preferred Stock and Treasury Stock We are authorized to issue 400 million shares of common stock with a $0.01 par value per share and 10 million shares of preferred stock with a $0.01 par value per share. At September 30, 2015 and December 31, 2014 , we had 183.1 million and 180.4 million shares of common stock outstanding, respectively. Stock Options No options have been granted during 2015 or were granted during 2014. The following table summarizes our stock option activity for the nine months ended September 30, 2015 : Shares Weighted Exercise Price Weighted Remaining Contractual Life Aggregate Intrinsic Value (in years) (in thousands) Outstanding at January 1, 2015 6,590,773 $ 7.83 Expired (201,586 ) 10.92 Outstanding at September 30, 2015 6,389,187 $ 7.73 4.5 $ — Exercisable at September 30, 2015 5,284,867 $ 9.00 3.8 $ — As of September 30, 2015 , we estimate that a total of 6.1 million stock options will vest, including those options already exercisable. As of September 30, 2015 , the unrecognized compensation cost related to outstanding unvested stock options was $0.3 million , which is expected to be recognized in expense through August 2016 . Compensation expense related to stock options of $0.2 million and $1.1 million was recognized for the nine months ended September 30, 2015 and 2014 , respectively. Restricted Stock and Stock Units The following table summarizes our restricted stock and stock unit activity for the nine months ended September 30, 2015 : Payable in shares Payable in cash Shares Weighted Grant Date Fair Value Shares Weighted Grant Date Fair Value Outstanding at January 1, 2015 8,056,265 $ 2.54 863,975 $ 3.33 Granted 3,124,674 0.19 — — Vested (3,205,592 ) 3.16 (523,432 ) 3.57 Forfeited (162,343 ) 2.41 (5,233 ) 2.93 Outstanding at September 30, 2015 7,813,004 $ 1.35 335,310 $ 2.96 As of September 30, 2015 , the unrecognized compensation cost related to outstanding unvested restricted stock was $6.1 million , which is expected to be recognized in expense through January 2018 . Grants of restricted stock and RSUs during the nine months ended September 30, 2015 had an estimated grant date fair value of $0.6 million . The fair value of outstanding RSUs to be settled in cash was less than $0.1 million at September 30, 2015 . For the nine months ended September 30, 2015 and 2014 , compensation expense related to restricted stock and RSUs of $4.9 million and $8.4 million , respectively, was recognized. The total fair value of shares vested during the nine months ended September 30, 2015 was $0.5 million . |
Earnings Per Share
Earnings Per Share | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE The following is a reconciliation of the numerator and denominator used for the computation of basic and diluted net income (loss) per common share. For the Three Months Ended For the Nine Months Ended 2015 2014 2015 2014 (in thousands, except per share data) (Restated) (Restated) Net income (loss) attributable to Quicksilver $ (184,212 ) $ 23,757 $ (471,718 ) $ (71,171 ) Basic income allocable to participating securities (1) — (772 ) — — Income (loss) available to shareholders $ (184,212 ) $ 22,985 $ (471,718 ) $ (71,171 ) Weighted average common shares – basic 176,206 173,936 176,021 173,783 Effect of dilutive securities (2) Share-based compensation awards — 216 — — Weighted average common shares – diluted 176,206 174,152 176,021 173,783 Earnings (loss) per common share – basic $ (1.05 ) $ 0.13 $ (2.68 ) $ (0.41 ) Earnings (loss) per common share – diluted $ (1.05 ) $ 0.13 $ (2.68 ) $ (0.41 ) (1) Restricted share awards that contain nonforfeitable rights to dividends are participating securities and, therefore, are included in computing earnings per share using the two-class method. Participating securities, however, do not participate in undistributed net losses because there is no contractual obligation to do so. (2) For the three months ended September 30, 2015 , 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the three months ended September 30, 2014 , 6.6 million shares associated with our stock options and 1.2 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2015 , 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2014 , 6.6 million shares associated with our stock options and 0.8 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. |
Condensed Consolidating Financi
Condensed Consolidating Financial Information | 9 Months Ended |
Sep. 30, 2015 | |
Condensed Consolidating Financial Information [Abstract] | |
Condensed Consolidating Financial Information | CONDENSED CONSOLIDATING FINANCIAL INFORMATION Note 17 to the consolidated financial statements in our 2014 Annual Report on Form 10-K contains a more complete description of our guarantor, non-guarantor, restricted and unrestricted subsidiaries under the indentures for our Second Lien Notes, Senior Notes and Senior Subordinated Notes. The following tables present financial information about Quicksilver and our restricted subsidiaries for the three- and nine-month periods covered by the condensed consolidated financial statements. Under the indentures for our Second Lien Notes, Senior Notes and Senior Subordinated Notes, Fortune Creek is not considered to be a subsidiary and therefore it is presented separately from the other subsidiaries for these purposes. The activity and balances included in the Quicksilver Resources Inc. and the Restricted Guarantor Subsidiaries columns represent the U.S. Debtors’ financial information. Cowtown Drilling Inc., a U.S. Debtor, is included in the Restricted Non-Guarantor Subsidiaries column, however, no activity occurred and no balances exist for the periods presented below. Additionally, Makarios Resources International Holdings LLC, Makarios Resources International Inc., Quicksilver Production Partners GP LLC and Quicksilver Production Partners LP, all of which are U.S. Debtors, are included in the Unrestricted Non-Guarantor Subsidiaries column, however, no activity occurred and no balances exist for the periods presented below. The U.S. Debtors had a net receivable balance of $4.8 million at September 30, 2015, and a net payable balance of $1.6 million at December 31, 2014, to non-debtors. The receivable balance at September 30, 2015 was primarily due to the non-debtors not making interest payments of approximately $0.7 million per month beginning with the interest payment due in March 2015 on a $413.3 million intercompany loan, which principal amount has been unchanged since December 31, 2014. Condensed Consolidating Balance Sheets September 30, 2015 (Restated) Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) ASSETS Current assets $ 190,165 $ 1,981 $ 24,287 $ 17 $ 4,554 $ — $ 221,004 Property and equipment 269,896 13,545 146,960 — 10,419 — 440,820 Investment in subsidiaries (equity method) (467,867 ) — (87,936 ) (86,499 ) — 642,302 — Other assets 415,257 — 4,665 — — (413,282 ) 6,640 Total assets $ 407,451 $ 15,526 $ 87,976 $ (86,482 ) $ 14,973 $ 229,020 $ 668,464 LIABILITIES AND EQUITY Current liabilities $ 130,132 $ 401 $ 497,142 $ — $ 124 $ (413,282 ) $ 214,517 Long-term liabilities 46,237 10,195 52,207 — 1,347 87,935 197,921 Liabilities subject to compromise 1,884,128 — — — — — 1,884,128 Stockholders' equity (1,653,046 ) 4,930 (461,373 ) (86,482 ) 13,502 554,367 (1,628,102 ) Total liabilities and equity $ 407,451 $ 15,526 $ 87,976 $ (86,482 ) $ 14,973 $ 229,020 $ 668,464 December 31, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) ASSETS Current assets $ 774,287 $ 13,909 $ 68,513 $ 82 $ 1,742 $ (435,256 ) $ 423,277 Property and equipment 420,744 14,357 280,830 — 12,849 — 728,780 Investment in subsidiaries (equity method) (293,312 ) — (82,360 ) (82,379 ) — 458,051 — Other assets 43,533 — 18,712 — — — 62,245 Total assets $ 945,252 $ 28,266 $ 285,695 $ (82,297 ) $ 14,591 $ 22,795 $ 1,214,302 LIABILITIES AND EQUITY Current liabilities $ 2,038,575 $ 13,837 $ 520,296 $ 63 $ 3,522 $ (435,256 ) $ 2,141,037 Long-term liabilities 44,548 15,131 58,009 — 1,492 91,956 211,136 Stockholders' equity (1,137,871 ) (702 ) (292,610 ) (82,360 ) 9,577 366,095 (1,137,871 ) Total liabilities and equity $ 945,252 $ 28,266 $ 285,695 $ (82,297 ) $ 14,591 $ 22,795 $ 1,214,302 Condensed Consolidating Statements of Income For the Three Months Ended September 30, 2015 (Restated) Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 46,964 $ 941 $ 11,515 $ — $ 2,974 $ (3,407 ) $ 58,987 Operating expenses 197,553 613 30,576 — 699 (3,407 ) 226,034 Equity in net earnings of subsidiaries (23,981 ) — (1,004 ) 2,275 — 22,710 — Operating income (loss) (174,570 ) 328 (20,065 ) 2,275 2,275 22,710 (167,047 ) Fortune Creek accretion — — — — — (3,279 ) (3,279 ) Interest expense and other 571 — (4,422 ) — — — (3,851 ) Reorganization items, net (7,883 ) — — — — — (7,883 ) Income tax (expense) benefit (2,330 ) — 178 — — — (2,152 ) Net income (loss) $ (184,212 ) $ 328 $ (24,309 ) $ 2,275 $ 2,275 $ 19,431 $ (184,212 ) Other comprehensive loss (4,228 ) — (1,431 ) — — — (5,659 ) Equity in OCI of subsidiaries (1,431 ) — — — — 1,431 — Comprehensive income (loss) $ (189,871 ) $ 328 $ (25,740 ) $ 2,275 $ 2,275 $ 20,862 $ (189,871 ) For the Three Months Ended September 30, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 120,513 $ 427 $ 42,558 $ — $ 4,271 $ (4,271 ) $ 163,498 Operating expenses 72,868 341 27,648 — 2,128 (4,271 ) 98,714 Equity in net earnings of subsidiaries 8,821 — (1,458 ) 2,144 — (9,507 ) — Operating income (loss) 56,466 86 13,452 2,144 2,143 (9,507 ) 64,784 Fortune Creek accretion — — — — — (3,602 ) (3,602 ) Interest expense and other (37,613 ) 86 (4,838 ) — 1 — (42,364 ) Income tax (expense) benefit 4,826 (30 ) 65 — — 78 4,939 Net income (loss) $ 23,679 $ 142 $ 8,679 $ 2,144 $ 2,144 $ (13,031 ) $ 23,757 Other comprehensive loss (11,564 ) — (3,325 ) — — — (14,889 ) Equity in OCI of subsidiaries (3,325 ) — — — — 3,325 — Comprehensive income (loss) $ 8,790 $ 142 $ 5,354 $ 2,144 $ 2,144 $ (9,706 ) $ 8,868 For the Nine Months Ended September 30, 2015 (Restated) Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 173,027 $ 7,402 $ 47,937 $ — $ 8,831 $ (10,078 ) $ 227,119 Operating expenses 319,363 1,769 151,912 — 1,947 (10,078 ) 464,913 Equity in net earnings of subsidiaries (138,506 ) — (2,991 ) 6,886 — 134,611 — Operating income (loss) (284,842 ) 5,633 (106,966 ) 6,886 6,884 134,611 (237,794 ) Fortune Creek accretion — — — — — (9,877 ) (9,877 ) Interest expense and other (31,815 ) — (37,830 ) — 2 — (69,643 ) Reorganization items, net (148,568 ) — — — — — (148,568 ) Income tax (expense) benefit (6,493 ) — 657 — — — (5,836 ) Net income (loss) $ (471,718 ) $ 5,633 $ (144,139 ) $ 6,886 $ 6,886 $ 124,734 $ (471,718 ) Other comprehensive loss (18,444 ) — (5,105 ) — — — (23,549 ) Equity in OCI of subsidiaries (5,105 ) — — — — 5,105 — Comprehensive income (loss) $ (495,267 ) $ 5,633 $ (149,244 ) $ 6,886 $ 6,886 $ 129,839 $ (495,267 ) For the Nine Months Ended September 30, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 269,321 $ 1,212 $ 102,783 $ — $ 13,349 $ (13,349 ) $ 373,316 Operating expenses 225,906 988 86,491 — 6,014 (13,349 ) 306,050 Equity in net earnings of subsidiaries 2,864 — (4,266 ) 7,339 — (5,937 ) — Operating income (loss) 46,279 224 12,026 7,339 7,335 (5,937 ) 67,266 Fortune Creek accretion — — — — — (11,605 ) (11,605 ) Interest expense and other (117,315 ) 86 (8,526 ) — 4 — (125,751 ) Income tax (expense) benefit (213 ) (78 ) (868 ) — — 78 (1,081 ) Net income (loss) $ (71,249 ) $ 232 $ 2,632 $ 7,339 $ 7,339 $ (17,464 ) $ (71,171 ) Other comprehensive loss (20,252 ) — (6,849 ) — — — (27,101 ) Equity in OCI of subsidiaries (6,849 ) — — — — 6,849 — Comprehensive income (loss) $ (98,350 ) $ 232 $ (4,217 ) $ 7,339 $ 7,339 $ (10,615 ) $ (98,272 ) Condensed Consolidating Statements of Cash Flows For the Nine Months Ended September 30, 2015 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non-Guarantor Subsidiaries Unrestricted Non-Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Net cash flow provided by (used in) operating activities $ 97,516 $ (444 ) $ 16,568 $ (3 ) $ (1,768 ) $ — $ 111,869 Purchases of property, plant and equipment (21,576 ) — (3,431 ) — — — (25,007 ) Investment in subsidiary (6,920 ) — — — — 6,920 — Proceeds from sale of properties and equipment 1,504 — 1,474 — — — 2,978 Net cash flow provided by (used in) investing activities (26,992 ) — (1,957 ) — — 6,920 (22,029 ) Issuance of debt 2,100 — 26,235 — — — 28,335 Repayments of debt (129,084 ) — (41,576 ) — — — (170,660 ) Debt issuance costs paid (80 ) — — — — — (80 ) Intercompany financing — 444 6,476 — — (6,920 ) — Distribution of Fortune Creek Partnership funds — — — — (1,426 ) — (1,426 ) Purchase of treasury stock (115 ) — — — — — (115 ) Net cash flow provided by (used in) financing activities (127,179 ) 444 (8,865 ) — (1,426 ) (6,920 ) (143,946 ) Effect of exchange rates on cash — — 4,614 — 1,636 — 6,250 Net increase (decrease) in cash and equivalents (56,655 ) — 10,360 (3 ) (1,558 ) — (47,856 ) Cash and equivalents at beginning of period 211,656 — 10,182 20 1,671 — 223,529 Cash and equivalents at end of period $ 155,001 $ — $ 20,542 $ 17 $ 113 $ — $ 175,673 For the Nine Months Ended September 30, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non-Guarantor Subsidiaries Unrestricted Non-Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Net cash flow provided by (used in) operating activities $ (39,474 ) $ (688 ) $ 28,843 $ — $ 6,336 $ — $ (4,983 ) Purchases of property, plant and equipment (88,119 ) (57 ) (23,247 ) — (21 ) — (111,444 ) Investment in subsidiary (1,246 ) — (26,395 ) (26,395 ) — 54,036 — Proceeds from Southwestern Transaction 95,587 — — — — — 95,587 Proceeds from sale of properties and equipment 1,445 — 497 — — — 1,942 Purchases of marketable securities (55,890 ) — — — — — (55,890 ) Maturities and sales of marketable securities 222,025 — — — — — 222,025 Net cash flow provided by (used in) investing activities 173,802 (57 ) (49,145 ) (26,395 ) (21 ) 54,036 152,220 Issuance of debt 174,000 — 69,184 — — — 243,184 Repayments of debt (138,651 ) — (55,038 ) — — — (193,689 ) Debt issuance costs paid (225 ) — — — — — (225 ) Intercompany note (22,558 ) — 22,558 — — — — Intercompany financing — 745 501 — — (1,246 ) — Contribution received — — — 26,395 26,395 (52,790 ) — Distribution of Fortune Creek Partnership funds — — — — (37,113 ) — (37,113 ) Purchase of treasury stock (2,388 ) — — — — — (2,388 ) Net cash flow provided by (used in) financing activities 10,178 745 37,205 26,395 (10,718 ) (54,036 ) 9,769 Effect of exchange rates on cash — — (2,718 ) — 4,934 — 2,216 Net increase (decrease) in cash and equivalents 144,506 — 14,185 — 531 — 159,222 Cash and equivalents at beginning of period 83,893 — 4,135 22 1,053 — 89,103 Cash and equivalents at end of period $ 228,399 $ — $ 18,320 $ 22 $ 1,584 $ — $ 248,325 |
Segment Information
Segment Information | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATION We operate in two geographic areas, the U.S. and Canada, where we are engaged in the exploration and production segment of the oil and gas industry. Additionally, we operate a significantly smaller midstream segment in the U.S. and Canada, where we provide natural gas gathering and processing services, primarily to our U.S. and Canadian exploration and production segments. In Canada, our midstream operation is the Fortune Creek partnership. Revenue earned by Fortune Creek for the gathering and processing of our gas is eliminated on a consolidated basis as is the GPT recognized by our producing properties. Based on the immateriality of our midstream segment, we have combined our U.S. and Canadian midstream information. We evaluate performance based on operating income and property and equipment costs incurred. Exploration & Production Quicksilver Consolidated U.S. Canada Midstream Corporate Elimination For the Three Months Ended September 30: (in thousands) 2015 (Restated) Revenue $ 46,964 $ 11,076 $ 3,921 $ — $ (2,974 ) $ 58,987 DD&A 6,133 4,615 543 359 — 11,650 Impairment expense 150,816 13,702 — — — 164,518 Operating income (loss) (140,889 ) (18,180 ) 2,602 (10,580 ) — (167,047 ) Property and equipment costs incurred 3,664 993 — 55 — 4,712 2014 Revenue $ 120,513 $ 42,072 $ 5,184 $ — $ (4,271 ) $ 163,498 DD&A 8,096 4,171 1,256 446 — 13,969 Impairment expense — — 135 — — 135 Operating income (loss) 57,809 16,364 2,367 (11,756 ) — 64,784 Property and equipment costs incurred 20,912 7,254 72 218 — 28,456 For the Nine Months Ended September 30: (in thousands) 2015 (Restated) Revenue $ 173,028 $ 46,631 $ 16,291 $ — $ (8,831 ) $ 227,119 DD&A 19,452 17,495 1,660 1,186 — 39,793 Impairment expense 150,816 91,113 — — — 241,929 Operating income (loss) (109,089 ) (100,723 ) 12,516 (40,498 ) — (237,794 ) Property and equipment costs incurred 19,615 2,557 48 325 — 22,545 2014 Revenue $ 269,310 $ 101,198 $ 16,157 $ — $ (13,349 ) $ 373,316 DD&A 23,652 13,779 3,744 1,409 — 42,584 Impairment expense — — 135 — — 135 Operating income (loss) 78,891 20,199 7,700 (39,524 ) — 67,266 Property and equipment costs incurred 85,814 20,924 83 763 — 107,584 Property, plant and equipment-net September 30, 2015 (Restated) $ 266,992 $ 146,960 $ 23,964 $ 2,904 $ — $ 440,820 December 31, 2014 416,901 280,830 27,205 3,844 — 728,780 Total assets September 30, 2015 (Restated) $ 547,085 $ 87,976 $ 30,499 $ 2,904 $ — $ 668,464 December 31, 2014 881,906 285,695 42,857 3,844 — 1,214,302 |
Supplemental Cash Flow Informat
Supplemental Cash Flow Information | 9 Months Ended |
Sep. 30, 2015 | |
Supplemental Cash Flow Information [Abstract] | |
Supplemental Cash Flow Information | SUPPLEMENTAL CASH FLOW INFORMATION Cash paid (received) for interest, income taxes and reorganization items is as follows: For the Nine Months Ended 2015 2014 (in thousands) Interest, net of capitalized interest $ 25,613 $ 124,408 Income taxes 146 (7,844 ) Reorganization items 14,885 — Other significant non-cash transactions are as follows: For the Nine Months Ended 2015 2014 (in thousands) Working capital related to capital expenditures $ 989 $ 7,612 |
Transactions With Related Parti
Transactions With Related Parties | 9 Months Ended |
Sep. 30, 2015 | |
Related Party Transactions [Abstract] | |
Transactions With Related Parties | TRANSACTIONS AND OTHER MATTERS WITH RELATED PARTIES As of September 30, 2015 , members of the Darden family and entities controlled by them beneficially owned approximately 25% of our outstanding common stock. Glenn Darden and Anne Darden Self are officers and directors of Quicksilver. Payments received from Mercury, a company owned by members of the Darden family, for sublease rentals and administrative services were less than $0.1 million for the first nine months of 2015 and 2014 . In May 2013, we entered into an agreement with Thomas F. Darden, brother of Glenn Darden and Anne Darden Self, with respect to Mr. Darden’s retirement and Mr. Darden’s provision of consulting services following his retirement. Mr. Darden retired as an employee on December 31, 2013, and resigned from the board of directors effective September 1, 2014. During the first nine months of 2015 , consulting fee payments of $45,000 and office allowance payments of $12,500 were made to Mr. Darden. During the first nine months of 2014, consulting fee payments of $405,000 , office allowance payments of $112,500 and COBRA payments of $39,000 were made to Mr. Darden. Additionally, in accordance with the agreement, and following the execution and non-revocation of a release agreement satisfactory to us, in March 2014, we paid Mr. Darden a cash bonus of $286,650 and an equity bonus in the form of 72,662 fully vested shares having a grant date fair value equal to $191,100 . We did not make consulting fee payments of $90,000 or office allowance payments of $25,000 for February or March 2015 and, on April 15, 2015, the Bankruptcy Court entered an order authorizing our rejection of the agreement effective as of March 17, 2015. The remaining amount owed under the agreement was $1.3 million . These amounts are included in Liabilities Subject to Compromise on the balance sheet as of September 30, 2015. |
Accounting Policies And Discl23
Accounting Policies And Disclosures Accounting Policies And Disclosures (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Reorganizations [Abstract] | |
schedule of liabilities subject to compromise [Table Text Block] | September 30, 2015 (in thousands) Accounts payable $ 1,215 Accrued liabilities 116,515 Debt 1,766,398 Liabilities subject to compromise $ 1,884,128 |
Schedule of Reorganization Items, Net [Table Text Block] | For the Three Months Ended September 30, 2015 For the Nine Months Ended September 30, 2015 (in thousands) Professional fees $ 8,352 $ 22,895 Deferred financing costs and unamortized discounts — 59,983 Deferred interest rate swap gains — (2,314 ) Terminated contracts (469 ) 68,004 Reorganization items, net $ 7,883 $ 148,568 |
Schedule of Error Correction - Balance Sheet [Table Text Block] | As of September 30, 2015 Previously Reported Adjustments As Restated (in thousands) Oil and natural gas properties, full cost method $ 403,248 (61,760 ) $ 341,488 Property, plant and equipment - net 502,580 (61,760 ) 440,820 Total assets 730,224 (61,760 ) 668,464 Retained deficit (2,349,419 ) (61,760 ) (2,411,179 ) Total stockholders' equity (1,566,342 ) (61,760 ) (1,628,102 ) Total liabilities and stockholders' equity 730,224 (61,760 ) 668,464 |
Schedule of Error Correction - Income Statement [Table Text Block] | For the Three Months Ended For the Nine Months Ended Previously Reported Adjustments As Restated Previously Reported Adjustments As Restated (in thousands), except for per share data Impairment $ 102,758 $ 61,760 $ 164,518 $ 180,169 $ 61,760 $ 241,929 Total expense 164,274 61,760 226,034 403,153 61,760 464,913 Operating income (loss) (105,287 ) (61,760 ) (167,047 ) (176,034 ) (61,760 ) (237,794 ) Income (loss) before income taxes (120,300 ) (61,760 ) (182,060 ) (404,122 ) (61,760 ) (465,882 ) Net income (loss) (122,452 ) (61,760 ) (184,212 ) (409,958 ) (61,760 ) (471,718 ) Comprehensive income (loss) (128,111 ) (61,760 ) (189,871 ) (433,507 ) (61,760 ) (495,267 ) Earnings (loss) per common share - basic $ (0.69 ) $ (0.36 ) $ (1.05 ) $ (2.33 ) $ (0.35 ) $ (2.68 ) Earnings (loss) per common share - diluted $ (0.69 ) $ (0.36 ) $ (1.05 ) $ (2.33 ) $ (0.35 ) $ (2.68 ) |
Schedule of Error Correction - Cash Flow [Table Text Block] | For the nine months ended September 30, 2015 Previously Reported Adjustments As Restated (in thousands) Net loss $ (409,958 ) (61,760 ) $ (471,718 ) Impairment expense 180,169 61,760 241,929 |
Derivatives And Fair Value Me24
Derivatives And Fair Value Measurements (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Credit Risk Derivatives, at Fair Value, Net [Abstract] | |
Estimated Fair Value Of Derivative Instruments Under Input Levels | Asset Derivatives Liability Derivatives September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 (in thousands) (in thousands) Level 2 derivative instruments $ — $ 104,608 $ — $ — Level 3 derivative instruments — 44,959 — — Total $ — $ 149,567 $ — $ — |
Changes In Level 3 Fair Values | For the Three Months Ended 2015 2014 (in thousands) Balance at beginning of period $ — $ (5,533 ) Total gains (losses) for the period: Unrealized gain on derivatives — 24,829 Settlements in net derivative gains (losses) — (1,542 ) Balance at end of period $ — $ 17,754 Total gains included in net derivative gains (losses) attributable to the change in unrealized gains related to assets still held at the reporting date $ — $ 24,485 For the Nine Months Ended 2015 2014 (in thousands) Balance at beginning of period $ 44,959 $ 23,485 Total gains (losses) for the period: Unrealized loss on derivatives (109,240 ) (6,488 ) Settlements in net derivative gains (losses) 64,281 757 Balance at end of period $ — $ 17,754 Total losses included in net derivative gains (losses) attributable to the change in unrealized losses related to assets still held at the reporting date $ — $ (2,476 ) |
Estimated Fair Value Of Derivative Instruments | Asset Derivatives Liability Derivatives September 30, 2015 December 31, 2014 September 30, 2015 December 31, 2014 (in thousands) (in thousands) Derivatives not designated as hedges: Commodity contracts reported in: Current derivative assets $ — $ 120,176 $ — $ — Noncurrent derivative assets — 81,187 — 51,796 Total derivatives not designated as hedges $ — $ 201,363 $ — $ 51,796 |
Property, Plant And Equipment (
Property, Plant And Equipment (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment [Table Text Block] | September 30, 2015 December 31, 2014 (in thousands) (Restated) Oil and gas properties Subject to depletion $ 5,687,844 $ 5,821,167 Unevaluated costs 21,377 18,803 Accumulated depletion (5,367,733 ) (5,225,302 ) Net oil and gas properties 341,488 614,668 Other property and equipment Pipelines and processing facilities 293,859 316,013 General properties 63,288 66,455 Accumulated depreciation (257,815 ) (268,356 ) Net other property and equipment 99,332 114,112 Property, plant and equipment, net of accumulated depletion and depreciation $ 440,820 $ 728,780 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Long-term Debt, Other Disclosures [Abstract] | |
Schedule Of Long-Term Debt Instruments | September 30, 2015 December 31, 2014 (in thousands) Combined Credit Agreements $ 156,985 $ 274,514 Second Lien Term Loan, net of unamortized discount (1) — 610,242 Second Lien Notes due 2019, net of unamortized discount (1) — 195,277 Senior notes due 2019, net of unamortized discount (1) — 293,919 Senior notes due 2021, net of unamortized discount (1) — 310,590 Senior subordinated notes due 2016 (1) — 350,000 Total debt 156,985 2,034,542 Unamortized deferred gain-terminated interest rate swaps (1) — 2,763 Current portion of long-term debt (2) (156,985 ) (2,037,305 ) Long-term debt (2) $ — $ — (1) Classified as Liability Subject to Compromise as of September 30, 2015 (2) As a result of our Chapter 11 filings, we have classified all debt as current at September 30, 2015 |
Schedule of Outstanding Debt | Priority on Collateral and Structural Seniority (1) Highest priority Lowest priority First Lien Second Lien Senior Unsecured Senior Subordinated Combined Credit Second Lien Term Loan Second Lien Notes 2019 2021 Senior Principal amount (1) (2) $325 million $625 million $200 million $298 million $325 million $350 million Scheduled maturity date prior to acceleration (3) September 6, 2016 June 21, 2019 June 21, 2019 August 15, 2019 July 1, 2021 April 1, 2016 Springing maturity date prior to acceleration (3) October 2, 2015 January 1, 2016 January 1, 2016 N/A N/A N/A Interest rate on outstanding borrowings at September 30, 2015 (4) 6.66% 7.00% 7.00% 9.125% 11.00% 7.125% Base interest rate options prior to acceleration (5) (6) LIBOR, ABR, CDOR LIBOR floor of 1.25%; ABR floor of 2.25% LIBOR floor of 1.25% N/A N/A N/A Financial covenants (7) (9) - Minimum current ratio of 1.0 N/A N/A N/A N/A N/A Significant restrictive covenants (7)(8)(9) - Incurrence of debt - Incurrence of debt - Incurrence of debt - Incurrence of debt - Incurrence of debt - Incurrence of debt Optional redemption prior to acceleration (9) Any time Any time, subject to re-pricing event Any time, subject to re-pricing event August 15, July 1, Any time Make-whole redemption prior to acceleration (9) N/A N/A N/A N/A Callable prior to N/A Change of control prior to acceleration (9) Event of default Put at 101% of Put at 101% of Put at 101% of Put at 101% of Put at 101% of Equity clawback prior to acceleration (9) N/A N/A N/A N/A Redeemable until N/A Estimated fair value as of September 30, 2015 (10) $157.0 million $237.5 million $76.0 million $17.6 million $20.9 million $— (1) Borrowings under the Amended and Restated U.S. Credit Facility, Second Lien Term Loan and Second Lien Notes due 2019 are guaranteed by certain of Quicksilver’s domestic subsidiaries and are secured (on a first priority basis with respect to the Amended and Restated U.S. Credit Facility and on a second priority basis with respect to the Second Lien Term Loan and the Second Lien Notes due 2019) by 100% of the equity interests of each of Cowtown Pipeline Management, Inc., Cowtown Pipeline Funding, Inc., Cowtown Gas Processing L.P., Cowtown Pipeline L.P., Barnett Shale Operating LLC, Silver Stream Pipeline Company LLC, QPP Parent LLC and QPP Holdings LLC (collectively, the “Domestic Pledged Equity”), 65% of the equity interests of QRCI and Quicksilver Production Partners Operating Ltd. (with respect to the Amended and Restated U.S. Credit Facility, on a ratable basis with borrowings under the Amended and Restated Canadian Credit Facility) and the majority of Quicksilver's domestic proved oil and gas properties and related assets, (the “Domestic Pledged Property”). Borrowings under the Amended and Restated Canadian Credit Facility are guaranteed by Quicksilver and certain of its domestic subsidiaries and are secured by the Domestic Pledged Equity, the Domestic Pledged Property, 100% of the equity interests of QRCI ( 65% of which is on a ratable basis with the borrowings under the Amended and Restated U.S. Credit Facility) and any Canadian restricted subsidiaries, under the Amended and Restated Canadian Credit Facility, and 65% of the equity interests of Quicksilver Production Partners Operating Ltd. (which is on a ratable basis with the borrowings under the Amended and Restated U.S. Credit Facility) and the majority of QRCI's oil and gas properties and related assets. The other debt presented is based upon structural seniority and priority of payment. (2) The principal amount included in the table for the Combined Credit Agreements represents the global borrowing base immediately prior to the Chapter 11 filings. (3) Immediately prior to acceleration as a result of the Chapter 11 filings, the Combined Credit Agreements were required to be repaid 91 days prior to the maturity of the Senior Subordinated Notes, the Second Lien Term Loan or the Second Lien Notes due 2019, if on the applicable date any amount of such debt remained outstanding. Immediately prior to acceleration as a result of the Chapter 11 filings, the Second Lien Term Loan and Second Lien Notes due 2019 were required to be repaid (1) 91 days prior to the maturity of the 2019 Senior Notes if more than $100 million of the 2019 Senior Notes remained outstanding and (2) 91 days prior to the maturity of the Senior Subordinated Notes if on the applicable date the amount remaining outstanding was greater than $100 million . Immediately prior to acceleration as a result of the Chapter 11 filings, as then structured and assuming no changes in the amounts outstanding, amounts outstanding under the Combined Credit Agreements would have been due on October 2, 2015 and the Second Lien Term Loan and Second Lien Notes would have been due on January 1, 2016. (4) Represents the weighted average borrowing rate payable to lenders on our Combined Credit Agreement as of September 30, 2015. (5) Immediately prior to the Chapter 11 filings, amounts outstanding under the Amended and Restated U.S. Credit Facility bore interest, at our election, at (i) adjusted LIBOR (as defined in the Amended and Restated U.S. Credit Facility) plus an applicable margin between 2.75% and 3.75% , or (ii) ABR (as defined in the Amended and Restated U.S. Credit Facility), which is the greatest of (a) the prime rate announced by JPMorgan, (b) the federal funds rate plus 0.50% and (c) adjusted LIBOR for an interest period of one month plus 1.00% , plus, in each case under scenario (ii), an applicable margin between 1.75% and 2.75% . We also pay a per annum fee on the LC Exposure (as defined in the Amended and Restated U.S. Credit Facility) of all letters of credit issued under the Amended and Restated U.S. Credit Facility equal to the applicable margin with respect to Eurodollar loans, and a commitment fee on the unused availability under the Amended and Restated U.S. Credit Facility of 0.50% . (6) Immediately prior to the Chapter 11 filings, amounts outstanding under the Amended and Restated Canadian Credit Facility bore interest, at our election, at (i) the CDOR Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 2.75% and 3.75% , (ii) the Canadian Prime Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 1.75% and 2.75% , (iii) the U.S. Prime Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 1.75% and 2.75% or (iv) adjusted LIBOR (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 2.75% and 3.75% . We also pay a per annum fee on the LC Exposure (as defined in the Amended and Restated Canadian Credit Facility) of all letters of credit issued under the Amended and Restated Canadian Credit Facility equal to the applicable margin with respect to Eurodollar loans, and a commitment fee on the unused availability under the Amended and Restated Canadian Credit Facility of 0.50% . (7) The financial covenants and significant restrictive covenants were applicable to the Combined Credit Agreements immediately prior to the Chapter 11 filings and remain applicable to the Amended and Restated Canadian Credit Facility. However, pursuant to the Forbearance Agreements, the administrative agent and certain lenders agreed to, among other things, forbear from exercising their rights and remedies in connection with specified defaults under the Amended and Restated Canadian Credit Facility, including events of default related to our Chapter 11 filings or the failure to comply with the financial covenants, until the earlier of December 15, 2015 or certain other events specified in the Forbearance Agreements. The following table sets forth the minimum EBITDAX covenant for the Amended and Restated U.S. Credit Facility immediately prior to the Chapter 11 filings and for the Amended and Restated Canadian Credit Facility: Minimum EBITDAX Covenant (in millions) Twelve months ending September 30, 2015 120.5 Twelve months ending December 31, 2015 122.0 Immediately prior to the Chapter 11 filings, the minimum required interest coverage ratio for the Amended and Restated U.S. Credit Facility for the first and second quarters of 2016 was 1.50 and 2.00 , respectively. The minimum required interest coverage ratio for the Amended and Restated Canadian Credit Facility for the first and second quarters of 2016 is 1.50 and 2.00 , respectively. (8) Immediately prior to acceleration as a result of our Chapter 11 filings, our indentures required us to reinvest or repay senior debt with net cash proceeds from certain asset sales within one year. (9) The information presented in this table is qualified in all respects by reference to the full text of the covenants, provisions and related definitions contained in the documents governing the various components of our debt. (10) The estimated fair value is determined using market quotations based on recent trade activity for fixed rate obligations (“Level 2” inputs). Our Second Lien Term Loan and Second Lien Notes feature variable interest rates and we estimate their fair value by using market quotations based on recent trade activity (“Level 3” input). We consider our Combined Credit Agreements, which have a variable interest rate, to have a fair value equal to their carrying value (“Level 1” input). |
QRI & Restricted Subsidiaries Indenture Financials (Balance Sheet) [Table Text Block] | September 30, 2015 December 31, 2014 (in thousands) (Restated) ASSETS Current assets $ 216,433 $ 421,533 Property and equipment 430,401 715,931 Investment in subsidiaries (equity method) (87,936 ) (82,360 ) Other assets 6,640 62,245 Total assets $ 565,538 $ 1,117,349 LIABILITIES AND EQUITY Current liabilities 214,393 2,137,532 Long-term liabilities 108,639 117,688 Liabilities subject to compromise 1,884,128 — Stockholders’ equity (1,641,622 ) (1,137,871 ) Total liabilities and equity $ 565,538 $ 1,117,349 |
QRI & Restricted Subsidiaries Indenture Financials (Income Statement) [Table Text Block] | For the Three Months Ended September 30, For the Nine Months Ended September 30, 2015 2014 2015 2014 (in thousands) (Restated) (Restated) Revenue $ 58,987 $ 163,498 $ 227,119 $ 373,316 Operating expenses 228,309 100,857 471,797 313,385 Equity in net earnings of subsidiaries (1,004 ) (1,458 ) (2,991 ) (4,266 ) Operating income (loss) (170,326 ) 61,183 (247,669 ) 55,665 Interest expense and other (3,851 ) (42,365 ) (69,645 ) (125,755 ) Reorganization items, net (7,883 ) — (148,568 ) — Income tax benefit (expense) (2,152 ) 4,939 (5,836 ) (1,081 ) Net income (loss) $ (184,212 ) $ 23,757 $ (471,718 ) $ (71,171 ) Other comprehensive loss (5,659 ) (14,889 ) (23,549 ) (27,101 ) Comprehensive income (loss) $ (189,871 ) $ 8,868 $ (495,267 ) $ (98,272 ) |
QRI & Restricted Subsidiaries Indenture Financials (Cash Flow) [Table Text Block] | For the Nine Months Ended September 30, 2015 2014 (in thousands) Net cash flow provided by (used in) operating activities $ 113,640 $ (11,319 ) Capital expenditures (25,007 ) (111,423 ) Investment in subsidiary — (26,395 ) Proceeds from Southwestern Transaction — 95,587 Proceeds from sale of properties and equipment 2,978 1,942 Purchases of marketable securities — (55,890 ) Maturities and sales of marketable securities — 222,025 Net cash flow provided by (used in) investing activities (22,029 ) 125,846 Issuance of debt 28,335 243,184 Repayments of debt (170,660 ) (193,689 ) Debt issuance costs paid (80 ) (225 ) Purchase of treasury stock (115 ) (2,388 ) Net cash flow provided by (used in) financing activities (142,520 ) 46,882 Effect of exchange rates on cash 4,614 (2,718 ) Net change in cash and equivalents (46,295 ) 158,691 Cash and equivalents at beginning of period 221,838 88,028 Cash and equivalents at end of period $ 175,543 $ 246,719 |
Quicksilver Stockholders' Equ27
Quicksilver Stockholders' Equity (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Share-based Compensation, Allocation and Classification in Financial Statements [Abstract] | |
Stock Option Activity | Shares Weighted Exercise Price Weighted Remaining Contractual Life Aggregate Intrinsic Value (in years) (in thousands) Outstanding at January 1, 2015 6,590,773 $ 7.83 Expired (201,586 ) 10.92 Outstanding at September 30, 2015 6,389,187 $ 7.73 4.5 $ — Exercisable at September 30, 2015 5,284,867 $ 9.00 3.8 $ — |
Restricted Stock And Stock Unit Activity | Payable in shares Payable in cash Shares Weighted Grant Date Fair Value Shares Weighted Grant Date Fair Value Outstanding at January 1, 2015 8,056,265 $ 2.54 863,975 $ 3.33 Granted 3,124,674 0.19 — — Vested (3,205,592 ) 3.16 (523,432 ) 3.57 Forfeited (162,343 ) 2.41 (5,233 ) 2.93 Outstanding at September 30, 2015 7,813,004 $ 1.35 335,310 $ 2.96 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Earnings Per Share [Abstract] | |
Reconciliation Of Components Used To Compute Basic And Diluted Earnings (Loss) Per Common Share | For the Three Months Ended For the Nine Months Ended 2015 2014 2015 2014 (in thousands, except per share data) (Restated) (Restated) Net income (loss) attributable to Quicksilver $ (184,212 ) $ 23,757 $ (471,718 ) $ (71,171 ) Basic income allocable to participating securities (1) — (772 ) — — Income (loss) available to shareholders $ (184,212 ) $ 22,985 $ (471,718 ) $ (71,171 ) Weighted average common shares – basic 176,206 173,936 176,021 173,783 Effect of dilutive securities (2) Share-based compensation awards — 216 — — Weighted average common shares – diluted 176,206 174,152 176,021 173,783 Earnings (loss) per common share – basic $ (1.05 ) $ 0.13 $ (2.68 ) $ (0.41 ) Earnings (loss) per common share – diluted $ (1.05 ) $ 0.13 $ (2.68 ) $ (0.41 ) (1) Restricted share awards that contain nonforfeitable rights to dividends are participating securities and, therefore, are included in computing earnings per share using the two-class method. Participating securities, however, do not participate in undistributed net losses because there is no contractual obligation to do so. (2) For the three months ended September 30, 2015 , 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the three months ended September 30, 2014 , 6.6 million shares associated with our stock options and 1.2 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2015 , 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2014 , 6.6 million shares associated with our stock options and 0.8 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. |
Condensed Consolidating Finan29
Condensed Consolidating Financial Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Condensed Consolidating Financial Information [Abstract] | |
Condensed Consolidating Balance Sheets | September 30, 2015 (Restated) Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) ASSETS Current assets $ 190,165 $ 1,981 $ 24,287 $ 17 $ 4,554 $ — $ 221,004 Property and equipment 269,896 13,545 146,960 — 10,419 — 440,820 Investment in subsidiaries (equity method) (467,867 ) — (87,936 ) (86,499 ) — 642,302 — Other assets 415,257 — 4,665 — — (413,282 ) 6,640 Total assets $ 407,451 $ 15,526 $ 87,976 $ (86,482 ) $ 14,973 $ 229,020 $ 668,464 LIABILITIES AND EQUITY Current liabilities $ 130,132 $ 401 $ 497,142 $ — $ 124 $ (413,282 ) $ 214,517 Long-term liabilities 46,237 10,195 52,207 — 1,347 87,935 197,921 Liabilities subject to compromise 1,884,128 — — — — — 1,884,128 Stockholders' equity (1,653,046 ) 4,930 (461,373 ) (86,482 ) 13,502 554,367 (1,628,102 ) Total liabilities and equity $ 407,451 $ 15,526 $ 87,976 $ (86,482 ) $ 14,973 $ 229,020 $ 668,464 December 31, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) ASSETS Current assets $ 774,287 $ 13,909 $ 68,513 $ 82 $ 1,742 $ (435,256 ) $ 423,277 Property and equipment 420,744 14,357 280,830 — 12,849 — 728,780 Investment in subsidiaries (equity method) (293,312 ) — (82,360 ) (82,379 ) — 458,051 — Other assets 43,533 — 18,712 — — — 62,245 Total assets $ 945,252 $ 28,266 $ 285,695 $ (82,297 ) $ 14,591 $ 22,795 $ 1,214,302 LIABILITIES AND EQUITY Current liabilities $ 2,038,575 $ 13,837 $ 520,296 $ 63 $ 3,522 $ (435,256 ) $ 2,141,037 Long-term liabilities 44,548 15,131 58,009 — 1,492 91,956 211,136 Stockholders' equity (1,137,871 ) (702 ) (292,610 ) (82,360 ) 9,577 366,095 (1,137,871 ) Total liabilities and equity $ 945,252 $ 28,266 $ 285,695 $ (82,297 ) $ 14,591 $ 22,795 $ 1,214,302 |
Condensed Consolidating Statements Of Income | For the Three Months Ended September 30, 2015 (Restated) Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 46,964 $ 941 $ 11,515 $ — $ 2,974 $ (3,407 ) $ 58,987 Operating expenses 197,553 613 30,576 — 699 (3,407 ) 226,034 Equity in net earnings of subsidiaries (23,981 ) — (1,004 ) 2,275 — 22,710 — Operating income (loss) (174,570 ) 328 (20,065 ) 2,275 2,275 22,710 (167,047 ) Fortune Creek accretion — — — — — (3,279 ) (3,279 ) Interest expense and other 571 — (4,422 ) — — — (3,851 ) Reorganization items, net (7,883 ) — — — — — (7,883 ) Income tax (expense) benefit (2,330 ) — 178 — — — (2,152 ) Net income (loss) $ (184,212 ) $ 328 $ (24,309 ) $ 2,275 $ 2,275 $ 19,431 $ (184,212 ) Other comprehensive loss (4,228 ) — (1,431 ) — — — (5,659 ) Equity in OCI of subsidiaries (1,431 ) — — — — 1,431 — Comprehensive income (loss) $ (189,871 ) $ 328 $ (25,740 ) $ 2,275 $ 2,275 $ 20,862 $ (189,871 ) For the Three Months Ended September 30, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 120,513 $ 427 $ 42,558 $ — $ 4,271 $ (4,271 ) $ 163,498 Operating expenses 72,868 341 27,648 — 2,128 (4,271 ) 98,714 Equity in net earnings of subsidiaries 8,821 — (1,458 ) 2,144 — (9,507 ) — Operating income (loss) 56,466 86 13,452 2,144 2,143 (9,507 ) 64,784 Fortune Creek accretion — — — — — (3,602 ) (3,602 ) Interest expense and other (37,613 ) 86 (4,838 ) — 1 — (42,364 ) Income tax (expense) benefit 4,826 (30 ) 65 — — 78 4,939 Net income (loss) $ 23,679 $ 142 $ 8,679 $ 2,144 $ 2,144 $ (13,031 ) $ 23,757 Other comprehensive loss (11,564 ) — (3,325 ) — — — (14,889 ) Equity in OCI of subsidiaries (3,325 ) — — — — 3,325 — Comprehensive income (loss) $ 8,790 $ 142 $ 5,354 $ 2,144 $ 2,144 $ (9,706 ) $ 8,868 For the Nine Months Ended September 30, 2015 (Restated) Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 173,027 $ 7,402 $ 47,937 $ — $ 8,831 $ (10,078 ) $ 227,119 Operating expenses 319,363 1,769 151,912 — 1,947 (10,078 ) 464,913 Equity in net earnings of subsidiaries (138,506 ) — (2,991 ) 6,886 — 134,611 — Operating income (loss) (284,842 ) 5,633 (106,966 ) 6,886 6,884 134,611 (237,794 ) Fortune Creek accretion — — — — — (9,877 ) (9,877 ) Interest expense and other (31,815 ) — (37,830 ) — 2 — (69,643 ) Reorganization items, net (148,568 ) — — — — — (148,568 ) Income tax (expense) benefit (6,493 ) — 657 — — — (5,836 ) Net income (loss) $ (471,718 ) $ 5,633 $ (144,139 ) $ 6,886 $ 6,886 $ 124,734 $ (471,718 ) Other comprehensive loss (18,444 ) — (5,105 ) — — — (23,549 ) Equity in OCI of subsidiaries (5,105 ) — — — — 5,105 — Comprehensive income (loss) $ (495,267 ) $ 5,633 $ (149,244 ) $ 6,886 $ 6,886 $ 129,839 $ (495,267 ) For the Nine Months Ended September 30, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non- Guarantor Subsidiaries Unrestricted Non- Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Revenue $ 269,321 $ 1,212 $ 102,783 $ — $ 13,349 $ (13,349 ) $ 373,316 Operating expenses 225,906 988 86,491 — 6,014 (13,349 ) 306,050 Equity in net earnings of subsidiaries 2,864 — (4,266 ) 7,339 — (5,937 ) — Operating income (loss) 46,279 224 12,026 7,339 7,335 (5,937 ) 67,266 Fortune Creek accretion — — — — — (11,605 ) (11,605 ) Interest expense and other (117,315 ) 86 (8,526 ) — 4 — (125,751 ) Income tax (expense) benefit (213 ) (78 ) (868 ) — — 78 (1,081 ) Net income (loss) $ (71,249 ) $ 232 $ 2,632 $ 7,339 $ 7,339 $ (17,464 ) $ (71,171 ) Other comprehensive loss (20,252 ) — (6,849 ) — — — (27,101 ) Equity in OCI of subsidiaries (6,849 ) — — — — 6,849 — Comprehensive income (loss) $ (98,350 ) $ 232 $ (4,217 ) $ 7,339 $ 7,339 $ (10,615 ) $ (98,272 ) |
Condensed Consolidating Statements Of Cash Flows | For the Nine Months Ended September 30, 2015 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non-Guarantor Subsidiaries Unrestricted Non-Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Net cash flow provided by (used in) operating activities $ 97,516 $ (444 ) $ 16,568 $ (3 ) $ (1,768 ) $ — $ 111,869 Purchases of property, plant and equipment (21,576 ) — (3,431 ) — — — (25,007 ) Investment in subsidiary (6,920 ) — — — — 6,920 — Proceeds from sale of properties and equipment 1,504 — 1,474 — — — 2,978 Net cash flow provided by (used in) investing activities (26,992 ) — (1,957 ) — — 6,920 (22,029 ) Issuance of debt 2,100 — 26,235 — — — 28,335 Repayments of debt (129,084 ) — (41,576 ) — — — (170,660 ) Debt issuance costs paid (80 ) — — — — — (80 ) Intercompany financing — 444 6,476 — — (6,920 ) — Distribution of Fortune Creek Partnership funds — — — — (1,426 ) — (1,426 ) Purchase of treasury stock (115 ) — — — — — (115 ) Net cash flow provided by (used in) financing activities (127,179 ) 444 (8,865 ) — (1,426 ) (6,920 ) (143,946 ) Effect of exchange rates on cash — — 4,614 — 1,636 — 6,250 Net increase (decrease) in cash and equivalents (56,655 ) — 10,360 (3 ) (1,558 ) — (47,856 ) Cash and equivalents at beginning of period 211,656 — 10,182 20 1,671 — 223,529 Cash and equivalents at end of period $ 155,001 $ — $ 20,542 $ 17 $ 113 $ — $ 175,673 For the Nine Months Ended September 30, 2014 Debtors Non-Debtors Quicksilver Resources Inc. Restricted Guarantor Subsidiaries Restricted Non-Guarantor Subsidiaries Unrestricted Non-Guarantor Subsidiaries Fortune Creek Consolidated Eliminations Quicksilver Resources Inc. Consolidated (in thousands) Net cash flow provided by (used in) operating activities $ (39,474 ) $ (688 ) $ 28,843 $ — $ 6,336 $ — $ (4,983 ) Purchases of property, plant and equipment (88,119 ) (57 ) (23,247 ) — (21 ) — (111,444 ) Investment in subsidiary (1,246 ) — (26,395 ) (26,395 ) — 54,036 — Proceeds from Southwestern Transaction 95,587 — — — — — 95,587 Proceeds from sale of properties and equipment 1,445 — 497 — — — 1,942 Purchases of marketable securities (55,890 ) — — — — — (55,890 ) Maturities and sales of marketable securities 222,025 — — — — — 222,025 Net cash flow provided by (used in) investing activities 173,802 (57 ) (49,145 ) (26,395 ) (21 ) 54,036 152,220 Issuance of debt 174,000 — 69,184 — — — 243,184 Repayments of debt (138,651 ) — (55,038 ) — — — (193,689 ) Debt issuance costs paid (225 ) — — — — — (225 ) Intercompany note (22,558 ) — 22,558 — — — — Intercompany financing — 745 501 — — (1,246 ) — Contribution received — — — 26,395 26,395 (52,790 ) — Distribution of Fortune Creek Partnership funds — — — — (37,113 ) — (37,113 ) Purchase of treasury stock (2,388 ) — — — — — (2,388 ) Net cash flow provided by (used in) financing activities 10,178 745 37,205 26,395 (10,718 ) (54,036 ) 9,769 Effect of exchange rates on cash — — (2,718 ) — 4,934 — 2,216 Net increase (decrease) in cash and equivalents 144,506 — 14,185 — 531 — 159,222 Cash and equivalents at beginning of period 83,893 — 4,135 22 1,053 — 89,103 Cash and equivalents at end of period $ 228,399 $ — $ 18,320 $ 22 $ 1,584 $ — $ 248,325 |
Segment Information (Tables)
Segment Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Segment Reporting [Abstract] | |
Operating Income And Property And Equipment Costs Incurred | Exploration & Production Quicksilver Consolidated U.S. Canada Midstream Corporate Elimination For the Three Months Ended September 30: (in thousands) 2015 (Restated) Revenue $ 46,964 $ 11,076 $ 3,921 $ — $ (2,974 ) $ 58,987 DD&A 6,133 4,615 543 359 — 11,650 Impairment expense 150,816 13,702 — — — 164,518 Operating income (loss) (140,889 ) (18,180 ) 2,602 (10,580 ) — (167,047 ) Property and equipment costs incurred 3,664 993 — 55 — 4,712 2014 Revenue $ 120,513 $ 42,072 $ 5,184 $ — $ (4,271 ) $ 163,498 DD&A 8,096 4,171 1,256 446 — 13,969 Impairment expense — — 135 — — 135 Operating income (loss) 57,809 16,364 2,367 (11,756 ) — 64,784 Property and equipment costs incurred 20,912 7,254 72 218 — 28,456 For the Nine Months Ended September 30: (in thousands) 2015 (Restated) Revenue $ 173,028 $ 46,631 $ 16,291 $ — $ (8,831 ) $ 227,119 DD&A 19,452 17,495 1,660 1,186 — 39,793 Impairment expense 150,816 91,113 — — — 241,929 Operating income (loss) (109,089 ) (100,723 ) 12,516 (40,498 ) — (237,794 ) Property and equipment costs incurred 19,615 2,557 48 325 — 22,545 2014 Revenue $ 269,310 $ 101,198 $ 16,157 $ — $ (13,349 ) $ 373,316 DD&A 23,652 13,779 3,744 1,409 — 42,584 Impairment expense — — 135 — — 135 Operating income (loss) 78,891 20,199 7,700 (39,524 ) — 67,266 Property and equipment costs incurred 85,814 20,924 83 763 — 107,584 Property, plant and equipment-net September 30, 2015 (Restated) $ 266,992 $ 146,960 $ 23,964 $ 2,904 $ — $ 440,820 December 31, 2014 416,901 280,830 27,205 3,844 — 728,780 Total assets September 30, 2015 (Restated) $ 547,085 $ 87,976 $ 30,499 $ 2,904 $ — $ 668,464 December 31, 2014 881,906 285,695 42,857 3,844 — 1,214,302 |
Supplemental Cash Flow Inform31
Supplemental Cash Flow Information (Tables) | 9 Months Ended |
Sep. 30, 2015 | |
Supplemental Cash Flow Information [Abstract] | |
Cash Paid Or Received For Interest And Income Taxes | For the Nine Months Ended 2015 2014 (in thousands) Interest, net of capitalized interest $ 25,613 $ 124,408 Income taxes 146 (7,844 ) Reorganization items 14,885 — |
Other Significant Non-cash Transactions | For the Nine Months Ended 2015 2014 (in thousands) Working capital related to capital expenditures $ 989 $ 7,612 |
Accounting Policies And Discl32
Accounting Policies And Disclosures Schedule of liabilities subject to compromise (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Reorganizations [Abstract] | ||
Liabilities Subject to Compromise, Accounts Payable and Accrued Liabilities | $ 1,215 | |
Liabilities Subject to Compromise, Other Liabilities | 116,515 | |
Liabilities Subject to Compromise, Debt and Accrued Interest | 1,766,398 | |
Liabilities Subject to Compromise | $ 1,884,128 | $ 0 |
Accounting Policies And Discl33
Accounting Policies And Disclosures Schedule of Reorganization Items, Net (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Reorganizations [Abstract] | ||||
Debtor Reorganization Items, Legal and Advisory Professional Fees | $ 8,352 | $ 22,895 | ||
Debtor Reorganization Items, Write-off of Deferred Financing Costs and Debt Discounts | 0 | 59,983 | ||
Debtor Reorganization Items, Other Expense (Income) | 0 | (2,314) | ||
Debtor Reorganization Items, Net Gain (Loss) on Rejection of Leases and Other Executory Contracts | (469) | 68,004 | ||
Reorganization Items | $ 7,883 | $ 0 | $ 148,568 | $ 0 |
Accounting Policies And Discl34
Accounting Policies And Disclosures Chapter 11 Filings (Details) $ in Billions | 9 Months Ended |
Sep. 30, 2015USD ($)Rate | |
Reorganizations [Abstract] | |
Bankruptcy Claims, Number Claims Filed | 498 |
Bankruptcy Claims, Amount of Claims Filed | $ | $ 14.6 |
Substantial Equityholders Threshold | Rate | 4.75% |
Accounting Policies And Discl35
Accounting Policies And Disclosures Schedule of Error Correction - Balance Sheet (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Oil and natural gas properties, full cost method (including unevaluated costs of $21,377 and $18,803, respectively) | $ 341,488 | $ 614,668 |
Property, plant and equipment, net of accumulated depletion and depreciation | 440,820 | 728,780 |
Total assets | 668,464 | 1,214,302 |
Retained deficit | (2,411,179) | (1,939,461) |
Total stockholders' equity | (1,628,102) | (1,137,871) |
Total liabilities and stockholders' equity | 668,464 | $ 1,214,302 |
Scenario, Previously Reported [Member] | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Oil and natural gas properties, full cost method (including unevaluated costs of $21,377 and $18,803, respectively) | 403,248 | |
Property, plant and equipment, net of accumulated depletion and depreciation | 502,580 | |
Total assets | 730,224 | |
Retained deficit | (2,349,419) | |
Total stockholders' equity | (1,566,342) | |
Total liabilities and stockholders' equity | 730,224 | |
Restatement Adjustment [Member] | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||
Oil and natural gas properties, full cost method (including unevaluated costs of $21,377 and $18,803, respectively) | (61,760) | |
Property, plant and equipment, net of accumulated depletion and depreciation | (61,760) | |
Total assets | (61,760) | |
Retained deficit | (61,760) | |
Total stockholders' equity | (61,760) | |
Total liabilities and stockholders' equity | $ (61,760) |
Accounting Policies And Discl36
Accounting Policies And Disclosures Schedule of Error Correction - Income Statement (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||
Impairment of Oil and Gas Properties | $ 164,518 | $ 135 | $ 241,929 | $ 135 | |
Costs and Expenses | 226,034 | 98,714 | 464,913 | 306,050 | |
Operating income (loss) | (167,047) | 64,784 | (237,794) | 67,266 | |
Results of Operations, Income before Income Taxes | (182,060) | 18,818 | (465,882) | (70,090) | |
Net Income (Loss) Attributable to Parent | (184,212) | 23,757 | (471,718) | (71,171) | |
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (189,871) | $ 8,868 | $ (495,267) | $ (98,272) | |
Earnings (loss) per common share - basic | $ (1.05) | $ 0.13 | $ (2.68) | $ (0.41) | |
Earnings (loss) per common share - diluted | [1] | $ (1.05) | $ 0.13 | $ (2.68) | $ (0.41) |
Scenario, Previously Reported [Member] | |||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||
Impairment of Oil and Gas Properties | $ 102,758 | $ 180,169 | |||
Costs and Expenses | 164,274 | 403,153 | |||
Operating income (loss) | (105,287) | (176,034) | |||
Results of Operations, Income before Income Taxes | (120,300) | (404,122) | |||
Net Income (Loss) Attributable to Parent | (122,452) | (409,958) | |||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (128,111) | $ (433,507) | |||
Earnings (loss) per common share - basic | $ (0.69) | $ (2.33) | |||
Earnings (loss) per common share - diluted | $ (0.69) | $ (2.33) | |||
Restatement Adjustment [Member] | |||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | |||||
Impairment of Oil and Gas Properties | $ 61,760 | $ 61,760 | |||
Costs and Expenses | 61,760 | 61,760 | |||
Operating income (loss) | (61,760) | (61,760) | |||
Results of Operations, Income before Income Taxes | (61,760) | (61,760) | |||
Net Income (Loss) Attributable to Parent | (61,760) | (61,760) | |||
Comprehensive Income (Loss), Net of Tax, Attributable to Parent | $ (61,760) | $ (61,760) | |||
Earnings (loss) per common share - basic | $ (0.36) | $ (0.35) | |||
Earnings (loss) per common share - diluted | $ (0.36) | $ (0.35) | |||
[1] | For the three months ended September 30, 2015, 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the three months ended September 30, 2014, 6.6 million shares associated with our stock options and 1.2 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2015, 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2014, 6.6 million shares associated with our stock options and 0.8 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. |
Accounting Policies And Discl37
Accounting Policies And Disclosures Schedule of Error Correction - Cash Flow (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Net income (loss) | $ 184,212 | $ (23,757) | $ 471,718 | $ 71,171 |
Impairment of Oil and Gas Properties | 164,518 | $ 135 | 241,929 | $ 135 |
Scenario, Previously Reported [Member] | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Net income (loss) | 409,958 | |||
Impairment of Oil and Gas Properties | 102,758 | 180,169 | ||
Restatement Adjustment [Member] | ||||
Error Corrections and Prior Period Adjustments Restatement [Line Items] | ||||
Net income (loss) | 61,760 | |||
Impairment of Oil and Gas Properties | $ 61,760 | $ 61,760 |
Divestitures Divestitures (Deta
Divestitures Divestitures (Details) - Sandwash Basin [Member] - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | $ 0 | $ 95,587 |
Significant Acquisitions and Disposals, Acquisition Costs or Sale Proceeds, Estimated Final Adjustment | $ 2,100 |
Derivatives And Fair Value Me39
Derivatives And Fair Value Measurements (Narrative) (Details) $ in Millions | 9 Months Ended | ||
Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Dec. 31, 2014 | |
Cash Proceeds From Derivative Terminations | $ 138.9 | ||
Gains and losses from the effective portion of derivative assets and liabilities held in AOCI expected to be reclassified into earnings | 12.4 | ||
Interest Rate Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | $ 0.5 | $ 1.5 | |
Fair Value Inputs, Level 3 [Member] | |||
Natural gas hedges original tenure | 10 years | ||
Fair Value Inputs, Level 3 [Member] | Maximum [Member] | |||
Unobservable inputs included within the fair value calculation | 4.60 | ||
Fair Value Inputs, Level 3 [Member] | Minimum [Member] | |||
Unobservable inputs included within the fair value calculation | 2.88 |
Derivatives And Fair Value Me40
Derivatives And Fair Value Measurements (Estimated Fair Value Of Derivative Instruments Under Input Levels) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Asset Derivatives [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Estimated fair value of derivative instruments | $ 0 | $ 149,567 |
Asset Derivatives [Member] | Fair Value Inputs, Level 2 [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Estimated fair value of derivative instruments | 0 | 104,608 |
Asset Derivatives [Member] | Fair Value Inputs, Level 3 [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Estimated fair value of derivative instruments | 0 | 44,959 |
Liability Derivatives [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Estimated fair value of derivative instruments | 0 | 0 |
Liability Derivatives [Member] | Fair Value Inputs, Level 2 [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Estimated fair value of derivative instruments | 0 | 0 |
Liability Derivatives [Member] | Fair Value Inputs, Level 3 [Member] | Commodity Contracts [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Estimated fair value of derivative instruments | $ 0 | $ 0 |
Derivatives And Fair Value Me41
Derivatives And Fair Value Measurements (Changes In Level 3 Fair Values) (Details) - Fair Value Inputs, Level 3 [Member] - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Fair Value, Net Derivative Asset (Liability) Measured on Recurring Basis, Unobservable Inputs Reconciliation, Gain (Loss) Included in Earnings | $ 0 | $ (24,829) | $ 109,240 | $ 6,488 |
Balance at beginning of period | 0 | (5,533) | 44,959 | 23,485 |
Balance at end of period | 0 | 17,754 | 0 | 17,754 |
Total gains included in net derivative gains (losses) attributable to the change in unrealized gains related to assets still held at the reporting date | 0 | 24,485 | 0 | (2,476) |
Derivative gains (losses) [Member] | ||||
Settlements | $ 0 | $ (1,542) | $ 64,281 | $ 757 |
Derivatives And Fair Value Me42
Derivatives And Fair Value Measurements (Estimated Fair Value Of Derivative Instruments) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Derivatives, Fair Value [Line Items] | ||
Current derivative assets | $ 0 | $ 120,176 |
Noncurrent derivative assets | 0 | 29,391 |
Asset Derivatives [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total derivative assets | 0 | 201,363 |
Liability Derivatives [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Total derivative liabilities | 0 | 51,796 |
Not Designated as Hedging Instrument [Member] | Asset Derivatives [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Current derivative assets | 0 | 120,176 |
Noncurrent derivative assets | 0 | 81,187 |
Not Designated as Hedging Instrument [Member] | Liability Derivatives [Member] | ||
Derivatives, Fair Value [Line Items] | ||
Current derivative assets | 0 | 0 |
Noncurrent derivative assets | $ 0 | $ 51,796 |
Derivatives And Fair Value Me43
Derivatives And Fair Value Measurements (Carrying Value Of Derivatives) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Derivatives, Fair Value [Line Items] | ||||
Settlements in production revenue | $ (5,757) | $ (7,968) | $ (17,553) | $ (20,939) |
Property, Plant And Equipment44
Property, Plant And Equipment (Schedule Of Property, Plant And Equipment) (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Jun. 30, 2015$ / unitRate | Sep. 30, 2015USD ($)$ / unitRate | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |
Property, Plant and Equipment [Line Items] | |||||||
Subject to depletion | $ 5,687,844 | $ 5,687,844 | $ 5,821,167 | ||||
Unevaluated costs | 21,377 | 21,377 | 18,803 | ||||
Accumulated depletion | (5,367,733) | (5,367,733) | (5,225,302) | ||||
Net oil and gas properties | 341,488 | 341,488 | 614,668 | ||||
Pipelines and processing facilities | 293,859 | 293,859 | 316,013 | ||||
General properties | 63,288 | 63,288 | 66,455 | ||||
Accumulated depreciation | (257,815) | (257,815) | (268,356) | ||||
Net other property and equipment | 99,332 | 99,332 | 114,112 | ||||
Property, plant and equipment, net of accumulated depletion and depreciation | 440,820 | 440,820 | 728,780 | ||||
Impairment of Oil and Gas Properties | 164,518 | $ 135 | $ 241,929 | $ 135 | |||
trailing 12-month Henry Hub avg. price | $ / unit | 3.06 | ||||||
Percentage Drop In Henry Hub Price | Rate | 30.00% | ||||||
Trailing 12-month AECO average price | $ / unit | 2.90 | 2.51 | |||||
Percentage Drop in AECO Price | Rate | 31.00% | 41.00% | |||||
UNITED STATES | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Property, plant and equipment, net of accumulated depletion and depreciation | 266,992 | $ 266,992 | 416,901 | ||||
Impairment of Oil and Gas Properties | 150,816 | 0 | 150,816 | 0 | |||
CANADA | |||||||
Property, Plant and Equipment [Line Items] | |||||||
Property, plant and equipment, net of accumulated depletion and depreciation | 146,960 | 146,960 | $ 280,830 | ||||
Impairment of Oil and Gas Properties | $ 13,702 | $ 77,400 | $ 0 | $ 91,113 | $ 0 |
Long-Term Debt (Narrative) (Det
Long-Term Debt (Narrative) (Details) $ in Thousands, CAD in Millions | 1 Months Ended | 9 Months Ended | |||||
Aug. 31, 2015USD ($) | Jun. 30, 2015USD ($) | Apr. 30, 2015USD ($) | Sep. 30, 2015CAD | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |
Debt Instrument [Line Items] | |||||||
Third party letter of credit draw | CAD 33 | $ 26,200 | |||||
Letter of Credit Draw Down by Other Third-Party Providers | 2,100 | ||||||
Repayments of Long-term Debt | 170,660 | $ 193,689 | |||||
Issuance of debt | 28,335 | $ 243,184 | |||||
Adequate protection payments | 31,600 | ||||||
Combined Credit Agreements [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Proceeds From Derivative Terminations Used to Pay Debt | $ 88,000 | ||||||
Long-term Line of Credit | 156,985 | $ 274,514 | |||||
Letters of Credit Outstanding, Amount | $ 9,700 | ||||||
U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.50% | 2.50% | |||||
Proceeds From Derivative Terminations Used to Pay Debt | $ 3,200 | $ 11,100 | 46,500 | ||||
Long-term Line of Credit | $ 78,600 | ||||||
Letters of Credit Outstanding, Amount | $ 7,700 | ||||||
Canadian Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of ownership interest | 100.00% | ||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | 2.75% | |||||
Proceeds From Derivative Terminations Used to Pay Debt | $ 41,500 | ||||||
Long-term Line of Credit | $ 78,400 | ||||||
Letters of Credit Outstanding, Amount | $ 2,000 | ||||||
Combined Credit Agreements [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee percentage | 0.50% | 0.50% | |||||
Maximum [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | 2.75% | |||||
Maximum [Member] | Combined Credit Agreements [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Commitment fee percentage | 0.50% | 0.50% | |||||
Minimum [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 1.75% | 1.75% | |||||
Multiple Subsidiaries Set Two [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Percentage of ownership interest | 65.00% | ||||||
London Interbank Offered Rate (LIBOR) [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 1.00% | 1.00% | |||||
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 3.75% | 3.75% | |||||
London Interbank Offered Rate (LIBOR) [Member] | Maximum [Member] | Canadian Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 3.75% | 3.75% | |||||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | 2.75% | |||||
London Interbank Offered Rate (LIBOR) [Member] | Minimum [Member] | Canadian Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Debt Instrument, Basis Spread on Variable Rate | 2.75% | 2.75% | |||||
First Quarter Two Thousand Sixteen [Member] | Minimum [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest coverage ratio | 1.50 | 1.50 | |||||
First Quarter Two Thousand Sixteen [Member] | Minimum [Member] | Canadian Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest coverage ratio | 1.50 | 1.50 | |||||
Second Quarter Two Thousand Sixteen [Member] | Minimum [Member] | U.S. Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest coverage ratio | 2 | 2 | |||||
Second Quarter Two Thousand Sixteen [Member] | Minimum [Member] | Canadian Credit Facility [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Interest coverage ratio | 2 | 2 |
Long-Term Debt (Schedule Of Lon
Long-Term Debt (Schedule Of Long-Term Debt Instruments) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 | |
Debt Instrument [Line Items] | |||
Long-term Debt | $ 156,985 | $ 2,034,542 | |
Deferred Gain (Loss) on Discontinuation of Interest Rate Fair Value Hedge | 0 | 2,763 | |
Long-term Debt, Current Maturities | 156,985 | [1] | 2,037,305 |
Long-term Debt, Excluding Current Maturities | 0 | [1] | 0 |
Canadian Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Amount Outstanding | 78,400 | ||
Combined Credit Agreements [Member] | |||
Debt Instrument [Line Items] | |||
Line of Credit Facility, Amount Outstanding | 156,985 | 274,514 | |
Senior Secured Second Lien Credit Facility [Member] | |||
Debt Instrument [Line Items] | |||
Secured Long-term Debt, Noncurrent | 0 | [2] | 610,242 |
Senior Secured Second Lien Term Loan Due 2019 [Member] | |||
Debt Instrument [Line Items] | |||
Secured Long-term Debt, Noncurrent | 0 | [2] | 195,277 |
Senior Notes Due 2019 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | 0 | [2] | 293,919 |
Senior Notes Due 2021 [Member] | |||
Debt Instrument [Line Items] | |||
Senior Notes | 0 | [2] | 310,590 |
Senior Subordinated Notes [Member] | |||
Debt Instrument [Line Items] | |||
Subordinated Long-term Debt, Noncurrent | $ 0 | [2] | $ 350,000 |
[1] | As a result of our Chapter 11 filings, we have classified all debt as current at September 30, 2015 | ||
[2] | Classified as Liability Subject to Compromise as of September 30, 2015 |
Long-Term Debt (Schedule Of Out
Long-Term Debt (Schedule Of Outstanding Debt) (Details) $ in Millions | 9 Months Ended | |
Sep. 30, 2015USD ($)Rate | ||
Senior Secured Second Lien Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Credit Agreement Repayment Term Trigerring Event, Maximum Threshold For Measurement | $ 100 | |
Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument Year Of Maturity | 2,019 | |
U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.50% | |
Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Equity interests | 100.00% | |
Applicable margin in addition to interest rate | 2.75% | |
Multiple Subsidiaries Set One [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Equity interests | 100.00% | |
Multiple Subsidiaries Set Two [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Equity interests | 65.00% | |
Maximum [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.75% | |
Minimum [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 1.75% | |
CDOR Rate [Member] | Maximum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 3.75% | |
CDOR Rate [Member] | Minimum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.75% | |
LIBOR [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 1.00% | |
LIBOR [Member] | Maximum [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 3.75% | |
LIBOR [Member] | Maximum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 3.75% | |
LIBOR [Member] | Minimum [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.75% | |
LIBOR [Member] | Minimum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.75% | |
Canadian Prime Rate [Member] | Maximum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.75% | |
Canadian Prime Rate [Member] | Minimum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 1.75% | |
U.S. Prime Rate [Member] | Maximum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 2.75% | |
U.S. Prime Rate [Member] | Minimum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Applicable margin in addition to interest rate | 1.75% | |
First Mortgage [Member] | Combined Credit Agreements [Member] | ||
Debt Instrument [Line Items] | ||
Line of Credit Facility, Current Borrowing Capacity | $ 325 | [1],[2] |
Scheduled maturity date | Sep. 6, 2016 | [3] |
Debt Instrument, Potential Earliest Maturity Date | October 2, 2015 | [3] |
Debt Instrument, Interest Rate, Stated Percentage | 6.66% | [4] |
Base Interest Rate Options | LIBOR, ABR, CDOR | [5],[6] |
Financial covenants | - Minimum current ratio of 1.0 - Minimum EBITDAX or EBITDA to cash interest expense - Maximum senior secured debt leverage ratio of 2.0 | [7],[8] |
Significant restrictive covenants | - Incurrence of debt - Incurrence of liens - Payment of dividends - Equity purchases - Asset sales - Affiliate transactions - Limitations on derivatives and investments | [7],[8],[9] |
Optional redemption | Any time | [8] |
Make-whole redemption | N/A | |
Change of control | Event of default | [8] |
Equity Clawback | N/A | |
Estimated fair value | $ 157 | [10] |
Current ratio | 1 | |
Minimum EBITDA to cash interest expense ratio | 1.10 | |
Senior secured debt leverage ratio | 2 | |
Second Lien Debt [Member] | Senior Secured Second Lien Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 625 | [1] |
Scheduled maturity date | Jun. 21, 2019 | [3] |
Debt Instrument, Potential Earliest Maturity Date | January 1, 2016 | [3] |
Debt Instrument, Interest Rate, Stated Percentage | Rate | 7.00% | |
Base Interest Rate Options | LIBOR floor of 1.25%; ABR floor of 2.25% | |
Financial covenants | N/A | |
Significant restrictive covenants | - Incurrence of debt - Incurrence of liens and 1st lien cap -Payment of dividends - Equity purchases - Asset sales - Affiliate transactions | [8],[9] |
Optional redemption | Any time, subject to re-pricing event June 21, 2015: 101 | [8] |
Make-whole redemption | N/A | |
Change of control | Put at 101% of principal plus accrued interest | [8] |
Equity Clawback | N/A | |
Estimated fair value | $ 237.5 | [10] |
Percentage of principal plus accrued interest for change of control | 101.00% | |
Second Lien Debt [Member] | Senior Secured Second Lien Term Loan Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 200 | [1] |
Scheduled maturity date | Jun. 21, 2019 | [3] |
Debt Instrument, Potential Earliest Maturity Date | January 1, 2016 | [3] |
Debt Instrument, Interest Rate, Stated Percentage | 7.00% | |
Base Interest Rate Options | LIBOR floor of 1.25% | |
Financial covenants | N/A | |
Significant restrictive covenants | - Incurrence of debt - Incurrence of liens and 1st lien cap -Payment of dividends - Equity purchases - Asset sales - Affiliate transactions | [8],[9] |
Optional redemption | Any time, subject to re-pricing event June 21, 2015: 101 | [8] |
Make-whole redemption | N/A | |
Change of control | Put at 101% of principal plus accrued interest | [8] |
Equity Clawback | N/A | |
Estimated fair value | $ 76 | [10] |
Percentage of principal plus accrued interest for change of control | 101.00% | |
Second Lien Debt [Member] | Libor [Member] | Senior Secured Second Lien Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Reference Rate, Floor | 1.25% | |
Second Lien Debt [Member] | Libor [Member] | Senior Secured Second Lien Term Loan Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Reference Rate, Floor | 1.25% | |
Second Lien Debt [Member] | ABR [Member] | Senior Secured Second Lien Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Debt Instrument, Reference Rate, Floor | 2.25% | |
Senior Notes [Member] | Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 298 | |
Scheduled maturity date | Aug. 15, 2019 | |
Debt Instrument, Potential Earliest Maturity Date | N/A | |
Debt Instrument, Interest Rate, Stated Percentage | Rate | 9.125% | |
Base Interest Rate Options | N/A | |
Financial covenants | N/A | |
Significant restrictive covenants | - Incurrence of debt - Incurrence of liens -Payment of dividends - Equity purchases - Asset sales - Affiliate transactions | [8],[9] |
Optional redemption | August 15, 2014: 104.563 2015: 103.042 2016: 101.521 2017: par | [8] |
Make-whole redemption | N/A | |
Make-whole redemption | 0.50% | |
Change of control | Put at 101% of principal plus accrued interest | [8] |
Equity Clawback | N/A | |
Estimated fair value | $ 17.6 | [10] |
Percentage of principal plus accrued interest for change of control | 101.00% | |
Senior Notes [Member] | Senior Notes Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 325 | |
Scheduled maturity date | Jul. 1, 2021 | |
Debt Instrument, Potential Earliest Maturity Date | N/A | |
Debt Instrument, Interest Rate, Stated Percentage | Rate | 11.00% | |
Base Interest Rate Options | N/A | |
Financial covenants | N/A | |
Significant restrictive covenants | - Incurrence of debt - Incurrence of liens -Payment of dividends - Equity purchases - Asset sales - Affiliate transactions | [8],[9] |
Optional redemption | July 1, 2019: 102.000 2020: par | [8] |
Make-whole redemption | Callable prior to July 1, 2019 at make-whole call price of Treasury +50 bps | [8] |
Make-whole redemption | 0.50% | |
Change of control | Put at 101% of principal plus accrued interest | [8] |
Equity Clawback | Redeemable until July 1, 2016 at 111.00%, plus accrued interest for up to 35% | [8] |
Equity Clawback | 111.00% | |
Estimated fair value | $ 20.9 | [10] |
Percentage of principal plus accrued interest for change of control | 101.00% | |
Senior Subordinated Notes [Member] | Senior Subordinated Notes [Member] | ||
Debt Instrument [Line Items] | ||
Principal amount | $ 350 | |
Scheduled maturity date | Apr. 1, 2016 | |
Debt Instrument, Potential Earliest Maturity Date | N/A | |
Debt Instrument, Interest Rate, Stated Percentage | Rate | 7.125% | |
Base Interest Rate Options | N/A | |
Financial covenants | N/A | |
Significant restrictive covenants | - Incurrence of debt - Incurrence of liens -Payment of dividends - Equity purchases - Asset sales - Affiliate transactions | [8],[9] |
Optional redemption | Any time | [8] |
Make-whole redemption | N/A | |
Change of control | Put at 101% of principal plus accrued interest | [8] |
Equity Clawback | N/A | |
Estimated fair value | $ 0 | [10] |
Percentage of principal plus accrued interest for change of control | 101.00% | |
2014 [Member] | Second Lien Debt [Member] | Senior Secured Second Lien Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 102.00% | |
2014 [Member] | Second Lien Debt [Member] | Senior Secured Second Lien Term Loan Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 102.00% | |
2014 [Member] | Senior Notes [Member] | Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 104.563% | |
2014 [Member] | Senior Subordinated Notes [Member] | Senior Subordinated Notes [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 100.00% | |
2015 [Member] | Second Lien Debt [Member] | Senior Secured Second Lien Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 101.00% | |
2015 [Member] | Second Lien Debt [Member] | Senior Secured Second Lien Term Loan Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 101.00% | |
2015 [Member] | Senior Notes [Member] | Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 103.042% | |
2016 [Member] | Senior Notes [Member] | Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 101.521% | |
2017 [Member] | Senior Notes [Member] | Senior Notes Due 2019 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 100.00% | |
2019 [Member] | Senior Notes [Member] | Senior Notes Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 102.00% | |
2020 [Member] | Senior Notes [Member] | Senior Notes Due 2021 [Member] | ||
Debt Instrument [Line Items] | ||
Redemption percentage of par value | 100.00% | |
First Quarter Two Thousand Sixteen [Member] | Minimum [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Interest coverage ratio | 1.50 | |
First Quarter Two Thousand Sixteen [Member] | Minimum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Interest coverage ratio | 1.50 | |
Second Quarter Two Thousand Sixteen [Member] | Minimum [Member] | U.S. Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Interest coverage ratio | 2 | |
Second Quarter Two Thousand Sixteen [Member] | Minimum [Member] | Canadian Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Interest coverage ratio | 2 | |
[1] | Borrowings under the Amended and Restated U.S. Credit Facility, Second Lien Term Loan and Second Lien Notes due 2019 are guaranteed by certain of Quicksilver’s domestic subsidiaries and are secured (on a first priority basis with respect to the Amended and Restated U.S. Credit Facility and on a second priority basis with respect to the Second Lien Term Loan and the Second Lien Notes due 2019) by 100% of the equity interests of each of Cowtown Pipeline Management, Inc., Cowtown Pipeline Funding, Inc., Cowtown Gas Processing L.P., Cowtown Pipeline L.P., Barnett Shale Operating LLC, Silver Stream Pipeline Company LLC, QPP Parent LLC and QPP Holdings LLC (collectively, the “Domestic Pledged Equity”), 65% of the equity interests of QRCI and Quicksilver Production Partners Operating Ltd. (with respect to the Amended and Restated U.S. Credit Facility, on a ratable basis with borrowings under the Amended and Restated Canadian Credit Facility) and the majority of Quicksilver's domestic proved oil and gas properties and related assets, (the “Domestic Pledged Property”). Borrowings under the Amended and Restated Canadian Credit Facility are guaranteed by Quicksilver and certain of its domestic subsidiaries and are secured by the Domestic Pledged Equity, the Domestic Pledged Property, 100% of the equity interests of QRCI (65% of which is on a ratable basis with the borrowings under the Amended and Restated U.S. Credit Facility) and any Canadian restricted subsidiaries, under the Amended and Restated Canadian Credit Facility, and 65% of the equity interests of Quicksilver Production Partners Operating Ltd. (which is on a ratable basis with the borrowings under the Amended and Restated U.S. Credit Facility) and the majority of QRCI's oil and gas properties and related assets. The other debt presented is based upon structural seniority and priority of payment. | |
[2] | The principal amount included in the table for the Combined Credit Agreements represents the global borrowing base immediately prior to the Chapter 11 filings. | |
[3] | Immediately prior to acceleration as a result of the Chapter 11 filings, the Combined Credit Agreements were required to be repaid 91 days prior to the maturity of the Senior Subordinated Notes, the Second Lien Term Loan or the Second Lien Notes due 2019, if on the applicable date any amount of such debt remained outstanding. Immediately prior to acceleration as a result of the Chapter 11 filings, the Second Lien Term Loan and Second Lien Notes due 2019 were required to be repaid (1) 91 days prior to the maturity of the 2019 Senior Notes if more than $100 million of the 2019 Senior Notes remained outstanding and (2) 91 days prior to the maturity of the Senior Subordinated Notes if on the applicable date the amount remaining outstanding was greater than $100 million. Immediately prior to acceleration as a result of the Chapter 11 filings, as then structured and assuming no changes in the amounts outstanding, amounts outstanding under the Combined Credit Agreements would have been due on October 2, 2015 and the Second Lien Term Loan and Second Lien Notes would have been due on January 1, 2016. | |
[4] | Represents the weighted average borrowing rate payable to lenders on our Combined Credit Agreement as of September 30, 2015. | |
[5] | Immediately prior to the Chapter 11 filings, amounts outstanding under the Amended and Restated Canadian Credit Facility bore interest, at our election, at (i) the CDOR Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 2.75% and 3.75%, (ii) the Canadian Prime Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 1.75% and 2.75%, (iii) the U.S. Prime Rate (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 1.75% and 2.75% or (iv) adjusted LIBOR (as defined in the Amended and Restated Canadian Credit Facility) plus an applicable margin between 2.75% and 3.75%. We also pay a per annum fee on the LC Exposure (as defined in the Amended and Restated Canadian Credit Facility) of all letters of credit issued under the Amended and Restated Canadian Credit Facility equal to the applicable margin with respect to Eurodollar loans, and a commitment fee on the unused availability under the Amended and Restated Canadian Credit Facility of 0.50%. | |
[6] | Immediately prior to the Chapter 11 filings, amounts outstanding under the Amended and Restated U.S. Credit Facility bore interest, at our election, at (i) adjusted LIBOR (as defined in the Amended and Restated U.S. Credit Facility) plus an applicable margin between 2.75% and 3.75%, or (ii) ABR (as defined in the Amended and Restated U.S. Credit Facility), which is the greatest of (a) the prime rate announced by JPMorgan, (b) the federal funds rate plus 0.50% and (c) adjusted LIBOR for an interest period of one month plus 1.00%, plus, in each case under scenario (ii), an applicable margin between 1.75% and 2.75%. We also pay a per annum fee on the LC Exposure (as defined in the Amended and Restated U.S. Credit Facility) of all letters of credit issued under the Amended and Restated U.S. Credit Facility equal to the applicable margin with respect to Eurodollar loans, and a commitment fee on the unused availability under the Amended and Restated U.S. Credit Facility of 0.50%. | |
[7] | The financial covenants and significant restrictive covenants were applicable to the Combined Credit Agreements immediately prior to the Chapter 11 filings and remain applicable to the Amended and Restated Canadian Credit Facility. However, pursuant to the Forbearance Agreements, the administrative agent and certain lenders agreed to, among other things, forbear from exercising their rights and remedies in connection with specified defaults under the Amended and Restated Canadian Credit Facility, including events of default related to our Chapter 11 filings or the failure to comply with the financial covenants, until the earlier of December 15, 2015 or certain other events specified in the Forbearance Agreements.The following table sets forth the minimum EBITDAX covenant for the Amended and Restated U.S. Credit Facility immediately prior to the Chapter 11 filings and for the Amended and Restated Canadian Credit Facility: Minimum EBITDAX Covenant (in millions)Twelve months ending September 30, 2015120.5Twelve months ending December 31, 2015122.0Immediately prior to the Chapter 11 filings, the minimum required interest coverage ratio for the Amended and Restated U.S. Credit Facility for the first and second quarters of 2016 was 1.50 and 2.00, respectively. The minimum required interest coverage ratio for the Amended and Restated Canadian Credit Facility for the first and second quarters of 2016 is 1.50 and 2.00, respectively. | |
[8] | The information presented in this table is qualified in all respects by reference to the full text of the covenants, provisions and related definitions contained in the documents governing the various components of our debt. | |
[9] | Immediately prior to acceleration as a result of our Chapter 11 filings, our indentures required us to reinvest or repay senior debt with net cash proceeds from certain asset sales within one year. | |
[10] | The estimated fair value is determined using market quotations based on recent trade activity for fixed rate obligations (“Level 2” inputs). Our Second Lien Term Loan and Second Lien Notes feature variable interest rates and we estimate their fair value by using market quotations based on recent trade activity (“Level 3” input). We consider our Combined Credit Agreements, which have a variable interest rate, to have a fair value equal to their carrying value (“Level 1” input). |
Long-Term Debt Minimum EBITDAX
Long-Term Debt Minimum EBITDAX Covenant (Details) - Minimum [Member] - Combined Credit Agreements [Member] $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($) | |
Twelve months ending September 30, 2015 [Member] | |
Debt Instrument [Line Items] | |
Minimum EBITDAX Covenant | $ 120.5 |
Twelve months ending December 31, 2015 [Member] | |
Debt Instrument [Line Items] | |
Minimum EBITDAX Covenant | $ 122 |
Long-Term Debt Long-Term Debt (
Long-Term Debt Long-Term Debt (QRI & Restricted Subsidiaries Indenture Financials (Balance Sheet) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Indenture Disclosure Financials [Line Items] | ||
Assets, Current | $ 221,004 | $ 423,277 |
Property, plant and equipment, net of accumulated depletion and depreciation | 440,820 | 728,780 |
Investment in subsidiaries (equity method) | 0 | 0 |
Other Noncurrent Assets | 6,640 | 32,854 |
Total assets | 668,464 | 1,214,302 |
Current liabilities | 214,517 | 2,141,037 |
Liabilities, Noncurrent | 197,921 | 211,136 |
Liabilities Subject to Compromise | 1,884,128 | 0 |
Total stockholders' equity | (1,628,102) | (1,137,871) |
Total liabilities and stockholders' equity | 668,464 | 1,214,302 |
Quicksilver And Restricted Subsidiaries [Member] | ||
Indenture Disclosure Financials [Line Items] | ||
Assets, Current | 216,433 | 421,533 |
Property, plant and equipment, net of accumulated depletion and depreciation | 430,401 | 715,931 |
Investment in subsidiaries (equity method) | (87,936) | (82,360) |
Other Noncurrent Assets | 6,640 | 62,245 |
Total assets | 565,538 | 1,117,349 |
Current liabilities | 214,393 | 2,137,532 |
Liabilities, Noncurrent | 108,639 | 117,688 |
Liabilities Subject to Compromise | 1,884,128 | 0 |
Total stockholders' equity | (1,641,622) | (1,137,871) |
Total liabilities and stockholders' equity | $ 565,538 | $ 1,117,349 |
Long-Term Debt QRI & Restricted
Long-Term Debt QRI & Restricted Subsidiaries Indenture Financials (Income Statement) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Indenture Disclosure Financials [Line Items] | ||||
Oil and Gas Revenue | $ 58,987 | $ 163,498 | $ 227,119 | $ 373,316 |
Operating Expenses | 226,034 | 98,714 | 464,913 | 306,050 |
Equity Method Investment, Summarized Financial Information, Income (Loss) from Continuing Operations before Extraordinary Items | 0 | 0 | 0 | 0 |
Operating income (loss) | (167,047) | 64,784 | (237,794) | 67,266 |
Reorganization Items | (7,883) | 0 | (148,568) | 0 |
Accretion Expense | (3,279) | (3,602) | (9,877) | (11,605) |
Interest expense and other | (3,851) | (42,364) | (69,643) | (125,751) |
Income tax (expense) benefit | (2,152) | 4,939 | (5,836) | (1,081) |
Net income (loss) | (184,212) | 23,757 | (471,718) | (71,171) |
Other Comprehensive Income, Other, Net of Tax | (5,659) | (14,889) | (23,549) | (27,101) |
Equity in other comprehensive income of subsidiaries | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | (189,871) | 8,868 | (495,267) | (98,272) |
Quicksilver And Restricted Subsidiaries [Member] | ||||
Indenture Disclosure Financials [Line Items] | ||||
Oil and Gas Revenue | 58,987 | 163,498 | 227,119 | 373,316 |
Operating Expenses | 228,309 | 100,857 | 471,797 | 313,385 |
Equity Method Investment, Summarized Financial Information, Income (Loss) from Continuing Operations before Extraordinary Items | (1,004) | (1,458) | (2,991) | (4,266) |
Operating income (loss) | (170,326) | 61,183 | (247,669) | 55,665 |
Reorganization Items | (7,883) | 0 | (148,568) | 0 |
Interest expense and other | (3,851) | (42,365) | (69,645) | (125,755) |
Income tax (expense) benefit | (2,152) | 4,939 | (5,836) | (1,081) |
Net income (loss) | (184,212) | 23,757 | (471,718) | (71,171) |
Other Comprehensive Income, Other, Net of Tax | (5,659) | (14,889) | (23,549) | (27,101) |
Comprehensive income (loss) | $ (189,871) | $ 8,868 | $ (495,267) | $ (98,272) |
Long-Term Debt QRI & Restrict51
Long-Term Debt QRI & Restricted Subsidiaries Indenture Financials (Cash Flow) (Details) - USD ($) $ in Thousands | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | Dec. 31, 2013 | |
Indenture Disclosure Financials [Line Items] | ||||
Net cash flow provided by (used in) operating activities | $ 111,869 | $ (4,983) | ||
Purchases of property, plant and equipment | (25,007) | (111,444) | ||
Proceeds from sale of properties and equipment | 2,978 | 1,942 | ||
Payments to acquire marketable securities | 0 | (55,890) | ||
Proceeds from Sale and Maturity of Marketable Securities | 0 | 222,025 | ||
Net cash provided by (used in) investing activities | (22,029) | 152,220 | ||
Issuance of debt | 28,335 | 243,184 | ||
Repayments of debt | (170,660) | (193,689) | ||
Debt issuance costs paid | (80) | (225) | ||
Purchase of treasury stock | (115) | (2,388) | ||
Net cash provided by (used in) financing activities | (143,946) | 9,769 | ||
Effect of Exchange Rate on Cash and Cash Equivalents | 6,250 | 2,216 | ||
Net increase (decrease) in cash and equivalents | (47,856) | 159,222 | ||
Cash and Cash Equivalents, at Carrying Value | 175,673 | 248,325 | $ 223,529 | $ 89,103 |
Quicksilver And Restricted Subsidiaries [Member] | ||||
Indenture Disclosure Financials [Line Items] | ||||
Net cash flow provided by (used in) operating activities | 113,640 | (11,319) | ||
Purchases of property, plant and equipment | (25,007) | (111,423) | ||
Investment in subsidiary | 0 | (26,395) | ||
Proceeds from sale of properties and equipment | 2,978 | 1,942 | ||
Payments to acquire marketable securities | 0 | (55,890) | ||
Proceeds from Sale and Maturity of Marketable Securities | 0 | 222,025 | ||
Net cash provided by (used in) investing activities | (22,029) | 125,846 | ||
Issuance of debt | 28,335 | 243,184 | ||
Repayments of debt | (170,660) | (193,689) | ||
Debt issuance costs paid | (80) | (225) | ||
Purchase of treasury stock | (115) | (2,388) | ||
Net cash provided by (used in) financing activities | (142,520) | 46,882 | ||
Effect of Exchange Rate on Cash and Cash Equivalents | 4,614 | (2,718) | ||
Net increase (decrease) in cash and equivalents | (46,295) | 158,691 | ||
Cash and Cash Equivalents, at Carrying Value | 175,543 | 246,719 | $ 221,838 | $ 88,028 |
Sandwash Basin [Member] | ||||
Indenture Disclosure Financials [Line Items] | ||||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 0 | 95,587 | ||
Sandwash Basin [Member] | Quicksilver And Restricted Subsidiaries [Member] | ||||
Indenture Disclosure Financials [Line Items] | ||||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | $ 0 | $ 95,587 |
Income Taxes Valuation Allowanc
Income Taxes Valuation Allowance (Details) $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($)Rate | |
Valuation Allowance [Line Items] | |
Change in Foreign Tax Rate Enacted in Period | Rate | 2.00% |
UNITED STATES | |
Valuation Allowance [Line Items] | |
Tax Valuation Allowance Expense, Federal | $ 455.3 |
CANADA | |
Valuation Allowance [Line Items] | |
Tax Valuation Allowance Expense, Federal | $ 96.1 |
Commitments And Contingencies C
Commitments And Contingencies Commitments And Contingencies (Narrative) (Details) - 9 months ended Sep. 30, 2015 CAD in Millions, $ in Millions | CAD | USD ($) |
Loss Contingencies [Line Items] | ||
Third party letter of credit draw | CAD 33 | $ 26.2 |
Gathering and Processing Potential Claim | CAD | CAD 126 | |
Third party pipeline expense | 21.5 | |
Rejected Contracts in Chapter 11 [Member] | ||
Loss Contingencies [Line Items] | ||
GPT Contracts Minimum Future Payments Total | 39 | |
Re-negotiated NGL Contract [Member] | ||
Loss Contingencies [Line Items] | ||
GPT Contracts Minimum Future Payments Total | $ 100 |
Fortune Creek (Details)
Fortune Creek (Details) CAD in Millions | 9 Months Ended |
Sep. 30, 2015CADyrRate | |
Dedicated years for gas production | yr | 10 |
Unpaid invoice amount due June | CAD 1.6 |
Accounts Payable, Interest-bearing, Interest Rate | Rate | 2.00% |
KKR [Member] | |
Payments to acquire interest in joint venture | CAD 125 |
Percentage of interest by parent in the partnership | 50.00% |
Quicksilver Stockholders' Equ55
Quicksilver Stockholders' Equity (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Common stock, shares authorized | 400,000,000 | 400,000,000 | |
Shares of common stock outstanding | 183,100,000 | 180,400,000 | |
Common stock, par value | $ 0.01 | $ 0.01 | |
Preferred stock, shares authorized | 10,000,000 | 10,000,000 | |
Preferred stock, shares outstanding | 0 | 0 | |
Preferred stock, par value | $ 0.01 | $ 0.01 | |
Common stock, shares issued | 191,487,376 | 187,802,994 | |
Treasury stock, shares | 8,378,865 | 7,444,372 | |
Restricted Stock [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 6.1 | ||
Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition | January 2,018 | ||
Estimated grant date fair value | $ 0.6 | ||
Fair value of RSUs settled in cash | 0 | ||
Allocated Share-based Compensation Expense | 4.9 | $ 8.4 | |
Total fair value of shares vested | $ 0.5 | ||
Equity Option [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vested and Expected to Vest, outstanding shares | 6,100,000 | ||
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ 0.3 | ||
Share Based Compensation Nonvested Awards Total Compensation Cost Not Yet Recognized Period For Recognition | August 2,016 | ||
Allocated Share-based Compensation Expense | $ 0.2 | $ 1.1 | |
Stock Options [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Granted, Shares | 0 | 0 |
Quicksilver Stockholders' Equ56
Quicksilver Stockholders' Equity (Stock Option Activity) (Details) - USD ($) $ / shares in Units, $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Equity Option [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Allocated Share-based Compensation Expense | $ 200 | $ 1,100 |
Stock Options [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Outstanding at beginning of period, Shares | 6,590,773 | |
Granted, Shares | 0 | 0 |
Expired, Shares | (201,586) | |
Outstanding at end of period, Shares | 6,389,187 | |
Outstanding at beginning of period, Wtd Avg Exercise Price | $ 7.83 | |
Exercisable at end of period, Shares | 5,284,867 | |
Expired, Wtd Avg Exercise Price | $ 10.92 | |
Outstanding at end of period, Wtd Avg Exercise Price | 7.73 | |
Exercisable at end of period, Wtd Avg Exercise Price | $ 9 | |
Outstanding at end of period, Wtd Avg Remaining Contractual Life, Years | 4 years 175 days | |
Exercisable at end of period, Wtd Avg Remaining Contractual Life, Years | 3 years 287 days | |
Outstanding at end of period, Aggregate Intrinsic Value | $ 0 | |
Exercisable at end of period, Aggregate Intrinsic Value | $ 0 |
Quicksilver Stockholders' Equ57
Quicksilver Stockholders' Equity (Restricted Stock And Stock Unit Activity) (Details) $ / shares in Units, $ in Millions | 9 Months Ended |
Sep. 30, 2015USD ($)$ / sharesshares | |
Restricted Stock [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Employee Service Share-based Compensation, Nonvested Awards, Compensation Cost Not yet Recognized | $ | $ 6.1 |
Payable In Shares [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Outstanding at beginning of period, Shares | shares | 8,056,265 |
Granted, Shares | shares | 3,124,674 |
Vested, Shares | shares | (3,205,592) |
Forfeited, Shares | shares | (162,343) |
Outstanding at end of period, Shares | shares | 7,813,004 |
Outstanding at beginning of period, Wtd Avg Grant Date Fair Value | $ / shares | $ 2.54 |
Granted, Wtd Avg Grant Date Fair Value | $ / shares | 0.19 |
Vested, Wtd Avg Grant Date Fair Value | $ / shares | 3.16 |
Forfeited, Wtd Avg Grant Date Fair Value | $ / shares | 2.41 |
Outstanding at end of period, Wtd Avg Grant Date Fair Value | $ / shares | $ 1.35 |
Payable In Cash [Member] | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Outstanding at beginning of period, Shares | shares | 863,975 |
Granted, Shares | shares | 0 |
Vested, Shares | shares | (523,432) |
Forfeited, Shares | shares | (5,233) |
Outstanding at end of period, Shares | shares | 335,310 |
Outstanding at beginning of period, Wtd Avg Grant Date Fair Value | $ / shares | $ 3.33 |
Granted, Wtd Avg Grant Date Fair Value | $ / shares | 0 |
Vested, Wtd Avg Grant Date Fair Value | $ / shares | 3.57 |
Forfeited, Wtd Avg Grant Date Fair Value | $ / shares | 2.93 |
Outstanding at end of period, Wtd Avg Grant Date Fair Value | $ / shares | $ 2.96 |
Earnings Per Share (Reconciliat
Earnings Per Share (Reconciliation Of Components Used To Compute Basic And Diluted Net Income Per Common Share) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Net income (loss) attributable to Quicksilver | $ (184,212) | $ 23,757 | $ (471,718) | $ (71,171) | |
Undistributed Earnings (Loss) Allocated to Participating Securities, Basic | [1] | 0 | 772 | 0 | 0 |
Income (loss) available to shareholders | $ (184,212) | $ 22,985 | $ (471,718) | $ (71,171) | |
Weighted Average Number of Shares Outstanding, Basic | 176,206 | 173,936 | 176,021 | 173,783 | |
Share-based compensation awards | [2] | 0 | 216 | 0 | 0 |
Weighted Average Number of Shares Outstanding, Diluted | 176,206 | 174,152 | 176,021 | 173,783 | |
Earnings (loss) per common share - basic | $ (1.05) | $ 0.13 | $ (2.68) | $ (0.41) | |
Earnings (loss) per common share - diluted | [2] | $ (1.05) | $ 0.13 | $ (2.68) | $ (0.41) |
Stock Options [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive shares excluded from the diluted share calculation | 6,400 | 6,600 | 6,400 | 6,600 | |
Restricted Stock Units (RSUs) [Member] | |||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||
Antidilutive shares excluded from the diluted share calculation | 900 | 1,200 | 900 | 800 | |
[1] | Restricted share awards that contain nonforfeitable rights to dividends are participating securities and, therefore, are included in computing earnings per share using the two-class method. Participating securities, however, do not participate in undistributed net losses because there is no contractual obligation to do so. | ||||
[2] | For the three months ended September 30, 2015, 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the three months ended September 30, 2014, 6.6 million shares associated with our stock options and 1.2 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2015, 6.4 million shares associated with our stock options and 0.9 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. For the nine months ended September 30, 2014, 6.6 million shares associated with our stock options and 0.8 million shares associated with our unvested RSUs were antidilutive and, therefore, excluded from the diluted share calculations. |
Condensed Consolidating Finan59
Condensed Consolidating Financial Information Condensed Consolidating Financial Information (Narrative) (Details) - USD ($) $ in Millions | 9 Months Ended | 12 Months Ended |
Sep. 30, 2015 | Dec. 31, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ||
Intercompany net receivable (payable) | $ 4.8 | $ (1.6) |
Monthly intercompany interest | 0.7 | |
Intercompany Loan | $ 413.3 |
Condensed Consolidating Finan60
Condensed Consolidating Financial Information (Schedule Of Condensed Consolidated Balance Sheets) (Details) - USD ($) $ in Thousands | Sep. 30, 2015 | Dec. 31, 2014 |
Current assets | $ 221,004 | $ 423,277 |
Property and equipment | 440,820 | 728,780 |
Investment in subsidiaries (equity method) | 0 | 0 |
Other Assets | 6,640 | 62,245 |
Total assets | 668,464 | 1,214,302 |
Current liabilities | 214,517 | 2,141,037 |
Long-term liabilities | 197,921 | 211,136 |
Liabilities Subject to Compromise | 1,884,128 | 0 |
Total stockholders' equity | (1,628,102) | (1,137,871) |
Total liabilities and stockholders' equity | 668,464 | 1,214,302 |
Quicksilver Resources Inc. [Member] | ||
Current assets | 190,165 | 774,287 |
Property and equipment | 269,896 | 420,744 |
Investment in subsidiaries (equity method) | (467,867) | (293,312) |
Other Assets | 415,257 | 43,533 |
Total assets | 407,451 | 945,252 |
Current liabilities | 130,132 | 2,038,575 |
Long-term liabilities | 46,237 | 44,548 |
Liabilities Subject to Compromise | 1,884,128 | |
Total stockholders' equity | (1,653,046) | (1,137,871) |
Total liabilities and stockholders' equity | 407,451 | 945,252 |
Restricted Guarantor Subsidiaries [Member] | ||
Current assets | 1,981 | 13,909 |
Property and equipment | 13,545 | 14,357 |
Investment in subsidiaries (equity method) | 0 | 0 |
Other Assets | 0 | 0 |
Total assets | 15,526 | 28,266 |
Current liabilities | 401 | 13,837 |
Long-term liabilities | 10,195 | 15,131 |
Liabilities Subject to Compromise | 0 | |
Total stockholders' equity | 4,930 | (702) |
Total liabilities and stockholders' equity | 15,526 | 28,266 |
Restricted Non-Guarantor Subsidiaries [Member] | ||
Current assets | 24,287 | 68,513 |
Property and equipment | 146,960 | 280,830 |
Investment in subsidiaries (equity method) | (87,936) | (82,360) |
Other Assets | 4,665 | 18,712 |
Total assets | 87,976 | 285,695 |
Current liabilities | 497,142 | 520,296 |
Long-term liabilities | 52,207 | 58,009 |
Liabilities Subject to Compromise | 0 | |
Total stockholders' equity | (461,373) | (292,610) |
Total liabilities and stockholders' equity | 87,976 | 285,695 |
Unrestricted Non-Guarantor Subsidiaries [Member] | ||
Current assets | 17 | 82 |
Property and equipment | 0 | 0 |
Investment in subsidiaries (equity method) | (86,499) | (82,379) |
Other Assets | 0 | 0 |
Total assets | (86,482) | (82,297) |
Current liabilities | 0 | 63 |
Long-term liabilities | 0 | 0 |
Liabilities Subject to Compromise | 0 | |
Total stockholders' equity | (86,482) | (82,360) |
Total liabilities and stockholders' equity | (86,482) | (82,297) |
Fortune Creek [Member] | ||
Current assets | 4,554 | 1,742 |
Property and equipment | 10,419 | 12,849 |
Investment in subsidiaries (equity method) | 0 | 0 |
Other Assets | 0 | 0 |
Total assets | 14,973 | 14,591 |
Current liabilities | 124 | 3,522 |
Long-term liabilities | 1,347 | 1,492 |
Liabilities Subject to Compromise | 0 | |
Total stockholders' equity | 13,502 | 9,577 |
Total liabilities and stockholders' equity | 14,973 | 14,591 |
Consolidating Eliminations [Member] | ||
Current assets | 0 | (435,256) |
Property and equipment | 0 | 0 |
Investment in subsidiaries (equity method) | 642,302 | 458,051 |
Other Assets | (413,282) | 0 |
Total assets | 229,020 | 22,795 |
Current liabilities | (413,282) | (435,256) |
Long-term liabilities | 87,935 | 91,956 |
Liabilities Subject to Compromise | 0 | |
Total stockholders' equity | 554,367 | 366,095 |
Total liabilities and stockholders' equity | $ 229,020 | $ 22,795 |
Condensed Consolidating Finan61
Condensed Consolidating Financial Information (Schedule of Condensed Consolidated Statements Of Income (Loss)) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2015 | Sep. 30, 2014 | Sep. 30, 2015 | Sep. 30, 2014 | |
Revenue | $ 58,987 | $ 163,498 | $ 227,119 | $ 373,316 |
Operating expenses | 226,034 | 98,714 | 464,913 | 306,050 |
Equity in net earnings of subsidiaries | 0 | 0 | 0 | 0 |
Operating income (loss) | (167,047) | 64,784 | (237,794) | 67,266 |
Reorganization Items | (7,883) | 0 | (148,568) | 0 |
Fortune Creek accretion | (3,279) | (3,602) | (9,877) | (11,605) |
Interest expense and other | (3,851) | (42,364) | (69,643) | (125,751) |
Income tax (expense) benefit | (2,152) | 4,939 | (5,836) | (1,081) |
Net income (loss) | (184,212) | 23,757 | (471,718) | (71,171) |
Other comprehensive income (loss) | (5,659) | (14,889) | (23,549) | (27,101) |
Equity in OCI of subsidiaries | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | (189,871) | 8,868 | (495,267) | (98,272) |
Quicksilver Resources Inc. [Member] | ||||
Revenue | 46,964 | 120,513 | 173,027 | 269,321 |
Operating expenses | 197,553 | 72,868 | 319,363 | 225,906 |
Equity in net earnings of subsidiaries | (23,981) | 8,821 | (138,506) | 2,864 |
Operating income (loss) | (174,570) | 56,466 | (284,842) | 46,279 |
Reorganization Items | (7,883) | (148,568) | ||
Fortune Creek accretion | 0 | 0 | 0 | 0 |
Interest expense and other | 571 | (37,613) | (31,815) | (117,315) |
Income tax (expense) benefit | (2,330) | 4,826 | (6,493) | (213) |
Net income (loss) | (184,212) | 23,679 | (471,718) | (71,249) |
Other comprehensive income (loss) | (4,228) | (11,564) | (18,444) | (20,252) |
Equity in OCI of subsidiaries | (1,431) | (3,325) | (5,105) | (6,849) |
Comprehensive income (loss) | (189,871) | 8,790 | (495,267) | (98,350) |
Restricted Guarantor Subsidiaries [Member] | ||||
Revenue | 941 | 427 | 7,402 | 1,212 |
Operating expenses | 613 | 341 | 1,769 | 988 |
Equity in net earnings of subsidiaries | 0 | 0 | 0 | 0 |
Operating income (loss) | 328 | 86 | 5,633 | 224 |
Reorganization Items | 0 | 0 | ||
Fortune Creek accretion | 0 | 0 | 0 | 0 |
Interest expense and other | 0 | 86 | 0 | 86 |
Income tax (expense) benefit | 0 | (30) | 0 | (78) |
Net income (loss) | 328 | 142 | 5,633 | 232 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 |
Equity in OCI of subsidiaries | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | 328 | 142 | 5,633 | 232 |
Restricted Non-Guarantor Subsidiaries [Member] | ||||
Revenue | 11,515 | 42,558 | 47,937 | 102,783 |
Operating expenses | 30,576 | 27,648 | 151,912 | 86,491 |
Equity in net earnings of subsidiaries | (1,004) | (1,458) | (2,991) | (4,266) |
Operating income (loss) | (20,065) | 13,452 | (106,966) | 12,026 |
Reorganization Items | 0 | 0 | ||
Fortune Creek accretion | 0 | 0 | 0 | 0 |
Interest expense and other | (4,422) | (4,838) | (37,830) | (8,526) |
Income tax (expense) benefit | 178 | 65 | 657 | (868) |
Net income (loss) | (24,309) | 8,679 | (144,139) | 2,632 |
Other comprehensive income (loss) | (1,431) | (3,325) | (5,105) | (6,849) |
Equity in OCI of subsidiaries | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | (25,740) | 5,354 | (149,244) | (4,217) |
Unrestricted Non-Guarantor Subsidiaries [Member] | ||||
Revenue | 0 | 0 | 0 | 0 |
Operating expenses | 0 | 0 | 0 | 0 |
Equity in net earnings of subsidiaries | 2,275 | 2,144 | 6,886 | 7,339 |
Operating income (loss) | 2,275 | 2,144 | 6,886 | 7,339 |
Reorganization Items | 0 | 0 | ||
Fortune Creek accretion | 0 | 0 | 0 | 0 |
Interest expense and other | 0 | 0 | 0 | 0 |
Income tax (expense) benefit | 0 | 0 | 0 | 0 |
Net income (loss) | 2,275 | 2,144 | 6,886 | 7,339 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 |
Equity in OCI of subsidiaries | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | 2,275 | 2,144 | 6,886 | 7,339 |
Fortune Creek [Member] | ||||
Revenue | 2,974 | 4,271 | 8,831 | 13,349 |
Operating expenses | 699 | 2,128 | 1,947 | 6,014 |
Equity in net earnings of subsidiaries | 0 | 0 | 0 | 0 |
Operating income (loss) | 2,275 | 2,143 | 6,884 | 7,335 |
Reorganization Items | 0 | 0 | ||
Fortune Creek accretion | 0 | 0 | 0 | 0 |
Interest expense and other | 0 | 1 | 2 | 4 |
Income tax (expense) benefit | 0 | 0 | 0 | 0 |
Net income (loss) | 2,275 | 2,144 | 6,886 | 7,339 |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 |
Equity in OCI of subsidiaries | 0 | 0 | 0 | 0 |
Comprehensive income (loss) | 2,275 | 2,144 | 6,886 | 7,339 |
Consolidating Eliminations [Member] | ||||
Revenue | (3,407) | (4,271) | (10,078) | (13,349) |
Operating expenses | (3,407) | (4,271) | (10,078) | (13,349) |
Equity in net earnings of subsidiaries | 22,710 | (9,507) | 134,611 | (5,937) |
Operating income (loss) | 22,710 | (9,507) | 134,611 | (5,937) |
Reorganization Items | 0 | 0 | ||
Fortune Creek accretion | (3,279) | (3,602) | (9,877) | (11,605) |
Interest expense and other | 0 | 0 | 0 | 0 |
Income tax (expense) benefit | 0 | 78 | 0 | 78 |
Net income (loss) | 19,431 | (13,031) | 124,734 | (17,464) |
Other comprehensive income (loss) | 0 | 0 | 0 | 0 |
Equity in OCI of subsidiaries | 1,431 | 3,325 | 5,105 | 6,849 |
Comprehensive income (loss) | $ 20,862 | $ (9,706) | $ 129,839 | $ (10,615) |
Condensed Consolidating Finan62
Condensed Consolidating Financial Information (Schedule of Condensed Consolidated Statements of Cash Flows) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | $ 111,869 | $ (4,983) |
Purchases of property, plant and equipment | (25,007) | (111,444) |
Investment in subsidiaries | 0 | 0 |
Proceeds from sale of properties and equipment | 2,978 | 1,942 |
Payments to acquire marketable securities | 0 | (55,890) |
Proceeds from Sale and Maturity of Marketable Securities | 0 | 222,025 |
Net cash provided by (used in) investing activities | (22,029) | 152,220 |
Issuance of debt | 28,335 | 243,184 |
Repayments of debt | (170,660) | (193,689) |
Debt issuance costs paid | (80) | (225) |
Intercompany note | 0 | |
Intercompany financing | 0 | 0 |
Contribution received | 0 | |
Distribution of Fortune Creek Partnership funds | (1,426) | (37,113) |
Purchase of treasury stock | (115) | (2,388) |
Net cash flow provided (used) by financing activities | (143,946) | 9,769 |
Effect of exchange rates on cash | 6,250 | 2,216 |
Net increase (decrease) in cash and equivalents | (47,856) | 159,222 |
Cash and cash equivalents at beginning of period | 223,529 | 89,103 |
Cash and cash equivalents at end of period | 175,673 | 248,325 |
Quicksilver Resources Inc. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | 97,516 | (39,474) |
Purchases of property, plant and equipment | (21,576) | (88,119) |
Investment in subsidiaries | (6,920) | (1,246) |
Proceeds from sale of properties and equipment | 1,504 | 1,445 |
Payments to acquire marketable securities | (55,890) | |
Proceeds from Sale and Maturity of Marketable Securities | 222,025 | |
Net cash provided by (used in) investing activities | (26,992) | 173,802 |
Issuance of debt | 2,100 | 174,000 |
Repayments of debt | (129,084) | (138,651) |
Debt issuance costs paid | (80) | (225) |
Intercompany note | (22,558) | |
Intercompany financing | 0 | 0 |
Contribution received | 0 | |
Distribution of Fortune Creek Partnership funds | 0 | 0 |
Purchase of treasury stock | (115) | (2,388) |
Net cash flow provided (used) by financing activities | (127,179) | 10,178 |
Effect of exchange rates on cash | 0 | 0 |
Net increase (decrease) in cash and equivalents | (56,655) | 144,506 |
Cash and cash equivalents at beginning of period | 211,656 | 83,893 |
Cash and cash equivalents at end of period | 155,001 | 228,399 |
Restricted Guarantor Subsidiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | (444) | (688) |
Purchases of property, plant and equipment | 0 | (57) |
Investment in subsidiaries | 0 | 0 |
Proceeds from sale of properties and equipment | 0 | 0 |
Payments to acquire marketable securities | 0 | |
Proceeds from Sale and Maturity of Marketable Securities | 0 | |
Net cash provided by (used in) investing activities | 0 | (57) |
Issuance of debt | 0 | 0 |
Repayments of debt | 0 | 0 |
Debt issuance costs paid | 0 | 0 |
Intercompany note | 0 | |
Intercompany financing | 444 | 745 |
Contribution received | 0 | |
Distribution of Fortune Creek Partnership funds | 0 | 0 |
Purchase of treasury stock | 0 | 0 |
Net cash flow provided (used) by financing activities | 444 | 745 |
Effect of exchange rates on cash | 0 | 0 |
Net increase (decrease) in cash and equivalents | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 |
Restricted Non-Guarantor Subsidiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | 16,568 | 28,843 |
Purchases of property, plant and equipment | (3,431) | (23,247) |
Investment in subsidiaries | 0 | (26,395) |
Proceeds from sale of properties and equipment | 1,474 | 497 |
Payments to acquire marketable securities | 0 | |
Proceeds from Sale and Maturity of Marketable Securities | 0 | |
Net cash provided by (used in) investing activities | (1,957) | (49,145) |
Issuance of debt | 26,235 | 69,184 |
Repayments of debt | (41,576) | (55,038) |
Debt issuance costs paid | 0 | 0 |
Intercompany note | 22,558 | |
Intercompany financing | 6,476 | 501 |
Contribution received | 0 | |
Distribution of Fortune Creek Partnership funds | 0 | 0 |
Purchase of treasury stock | 0 | 0 |
Net cash flow provided (used) by financing activities | (8,865) | 37,205 |
Effect of exchange rates on cash | 4,614 | (2,718) |
Net increase (decrease) in cash and equivalents | 10,360 | 14,185 |
Cash and cash equivalents at beginning of period | 10,182 | 4,135 |
Cash and cash equivalents at end of period | 20,542 | 18,320 |
Unrestricted Non-Guarantor Subsidiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | (3) | 0 |
Purchases of property, plant and equipment | 0 | 0 |
Investment in subsidiaries | 0 | (26,395) |
Proceeds from sale of properties and equipment | 0 | 0 |
Payments to acquire marketable securities | 0 | |
Proceeds from Sale and Maturity of Marketable Securities | 0 | |
Net cash provided by (used in) investing activities | 0 | (26,395) |
Issuance of debt | 0 | 0 |
Repayments of debt | 0 | 0 |
Debt issuance costs paid | 0 | 0 |
Intercompany note | 0 | |
Intercompany financing | 0 | 0 |
Contribution received | 26,395 | |
Distribution of Fortune Creek Partnership funds | 0 | 0 |
Purchase of treasury stock | 0 | 0 |
Net cash flow provided (used) by financing activities | 0 | 26,395 |
Effect of exchange rates on cash | 0 | 0 |
Net increase (decrease) in cash and equivalents | (3) | 0 |
Cash and cash equivalents at beginning of period | 20 | 22 |
Cash and cash equivalents at end of period | 17 | 22 |
Fortune Creek [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | (1,768) | 6,336 |
Purchases of property, plant and equipment | 0 | (21) |
Investment in subsidiaries | 0 | 0 |
Proceeds from sale of properties and equipment | 0 | 0 |
Payments to acquire marketable securities | 0 | |
Proceeds from Sale and Maturity of Marketable Securities | 0 | |
Net cash provided by (used in) investing activities | 0 | (21) |
Issuance of debt | 0 | 0 |
Repayments of debt | 0 | 0 |
Debt issuance costs paid | 0 | 0 |
Intercompany note | 0 | |
Intercompany financing | 0 | 0 |
Contribution received | 26,395 | |
Distribution of Fortune Creek Partnership funds | (1,426) | (37,113) |
Purchase of treasury stock | 0 | 0 |
Net cash flow provided (used) by financing activities | (1,426) | (10,718) |
Effect of exchange rates on cash | 1,636 | 4,934 |
Net increase (decrease) in cash and equivalents | (1,558) | 531 |
Cash and cash equivalents at beginning of period | 1,671 | 1,053 |
Cash and cash equivalents at end of period | 113 | 1,584 |
Consolidating Eliminations [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Net cash flow provided by (used in) operating activities | 0 | 0 |
Purchases of property, plant and equipment | 0 | 0 |
Investment in subsidiaries | 6,920 | 54,036 |
Proceeds from sale of properties and equipment | 0 | 0 |
Payments to acquire marketable securities | 0 | |
Proceeds from Sale and Maturity of Marketable Securities | 0 | |
Net cash provided by (used in) investing activities | 6,920 | 54,036 |
Issuance of debt | 0 | 0 |
Repayments of debt | 0 | 0 |
Debt issuance costs paid | 0 | 0 |
Intercompany note | 0 | |
Intercompany financing | (6,920) | (1,246) |
Contribution received | (52,790) | |
Distribution of Fortune Creek Partnership funds | 0 | 0 |
Purchase of treasury stock | 0 | 0 |
Net cash flow provided (used) by financing activities | (6,920) | (54,036) |
Effect of exchange rates on cash | 0 | 0 |
Net increase (decrease) in cash and equivalents | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 |
Sandwash Basin [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | $ 0 | 95,587 |
Sandwash Basin [Member] | Quicksilver Resources Inc. [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 95,587 | |
Sandwash Basin [Member] | Restricted Guarantor Subsidiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 0 | |
Sandwash Basin [Member] | Restricted Non-Guarantor Subsidiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 0 | |
Sandwash Basin [Member] | Unrestricted Non-Guarantor Subsidiaries [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 0 | |
Sandwash Basin [Member] | Fortune Creek [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | 0 | |
Sandwash Basin [Member] | Consolidating Eliminations [Member] | ||
Schedule of Equity Method Investments [Line Items] | ||
Proceeds from Divestiture of Interest in Subsidiaries and Affiliates | $ 0 |
Segment Information (Operating
Segment Information (Operating Income And Property And Equipment Costs Incurred) (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2015USD ($) | Jun. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Sep. 30, 2015USD ($) | Sep. 30, 2014USD ($) | Dec. 31, 2014USD ($) | |
Segment Reporting Information [Line Items] | ||||||
Number of geographical segments | 2 | 2 | ||||
Revenue | $ 58,987 | $ 163,498 | $ 227,119 | $ 373,316 | ||
Depletion, depreciation and accretion | 11,650 | 13,969 | 39,793 | 42,584 | ||
Impairment of Oil and Gas Properties | 164,518 | 135 | 241,929 | 135 | ||
Operating income (loss) | (167,047) | 64,784 | (237,794) | 67,266 | ||
Property and equipment costs incurred | 4,712 | 28,456 | 22,545 | 107,584 | ||
Property, plant and equipment, net of accumulated depletion and depreciation | 440,820 | 440,820 | $ 728,780 | |||
Total assets | 668,464 | 668,464 | 1,214,302 | |||
UNITED STATES | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 46,964 | 120,513 | 173,028 | 269,310 | ||
Depletion, depreciation and accretion | 6,133 | 8,096 | 19,452 | 23,652 | ||
Impairment of Oil and Gas Properties | 150,816 | 0 | 150,816 | 0 | ||
Operating income (loss) | (140,889) | 57,809 | (109,089) | 78,891 | ||
Property and equipment costs incurred | 3,664 | 20,912 | 19,615 | 85,814 | ||
Property, plant and equipment, net of accumulated depletion and depreciation | 266,992 | 266,992 | 416,901 | |||
Total assets | 547,085 | 547,085 | 881,906 | |||
CANADA | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 11,076 | 42,072 | 46,631 | 101,198 | ||
Depletion, depreciation and accretion | 4,615 | 4,171 | 17,495 | 13,779 | ||
Impairment of Oil and Gas Properties | 13,702 | $ 77,400 | 0 | 91,113 | 0 | |
Operating income (loss) | (18,180) | 16,364 | (100,723) | 20,199 | ||
Property and equipment costs incurred | 993 | 7,254 | 2,557 | 20,924 | ||
Property, plant and equipment, net of accumulated depletion and depreciation | 146,960 | 146,960 | 280,830 | |||
Total assets | 87,976 | 87,976 | 285,695 | |||
Midstream [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 3,921 | 5,184 | 16,291 | 16,157 | ||
Depletion, depreciation and accretion | 543 | 1,256 | 1,660 | 3,744 | ||
Impairment of Oil and Gas Properties | 0 | 135 | 0 | 135 | ||
Operating income (loss) | 2,602 | 2,367 | 12,516 | 7,700 | ||
Property and equipment costs incurred | 0 | 72 | 48 | 83 | ||
Property, plant and equipment, net of accumulated depletion and depreciation | 23,964 | 23,964 | 27,205 | |||
Total assets | 30,499 | 30,499 | 42,857 | |||
Corporate [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | 0 | 0 | 0 | 0 | ||
Depletion, depreciation and accretion | 359 | 446 | 1,186 | 1,409 | ||
Impairment of Oil and Gas Properties | 0 | 0 | 0 | 0 | ||
Operating income (loss) | (10,580) | (11,756) | (40,498) | (39,524) | ||
Property and equipment costs incurred | 55 | 218 | 325 | 763 | ||
Property, plant and equipment, net of accumulated depletion and depreciation | 2,904 | 2,904 | 3,844 | |||
Total assets | 2,904 | 2,904 | 3,844 | |||
Elimination [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Revenue | (2,974) | (4,271) | (8,831) | (13,349) | ||
Depletion, depreciation and accretion | 0 | 0 | 0 | 0 | ||
Impairment of Oil and Gas Properties | 0 | 0 | 0 | 0 | ||
Operating income (loss) | 0 | 0 | 0 | 0 | ||
Property and equipment costs incurred | 0 | $ 0 | 0 | $ 0 | ||
Property, plant and equipment, net of accumulated depletion and depreciation | 0 | 0 | 0 | |||
Total assets | $ 0 | $ 0 | $ 0 |
Supplemental Cash Flow Inform64
Supplemental Cash Flow Information (Cash Paid Or Received For Interest And Income Taxes) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Supplemental Cash Flow Information [Abstract] | ||
Interest, net of capitalized interest | $ 25,613 | $ 124,408 |
Income taxes | 146 | (7,844) |
Reorganization Cash Payments | $ 14,885 | $ 0 |
Supplemental Cash Flow Inform65
Supplemental Cash Flow Information (Other Significant Noncash Transactions) (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2015 | Sep. 30, 2014 | |
Supplemental Cash Flow Information [Abstract] | ||
Capital Expenditures Incurred but Not yet Paid | $ 989 | $ 7,612 |
Transactions With Related Par66
Transactions With Related Parties (Details) - USD ($) | 1 Months Ended | 2 Months Ended | 9 Months Ended | |
Mar. 31, 2014 | Mar. 31, 2015 | Sep. 30, 2015 | Sep. 30, 2014 | |
Mercury Exploration Company [Member] | ||||
Related Party Transaction [Line Items] | ||||
Revenue from Related Parties | $ 100,000 | $ 100,000 | ||
Darden Family [Member] | ||||
Related Party Transaction [Line Items] | ||||
Percentage of ownership interest | 25.00% | |||
Thomas F. Darden [Member] | ||||
Related Party Transaction [Line Items] | ||||
Consulting fee payments | $ 45,000 | 405,000 | ||
Office allowance payments | 12,500 | 112,500 | ||
COBRA payments | $ 39,000 | |||
Cash bonus | $ 286,650 | |||
Options issued, fair value | $ 191,100 | |||
Consulting Fee Payments Not Made | $ 90,000 | |||
Office Allowance Payments Not Made | $ 25,000 | |||
Remaining Amount Owed Under Agreement | $ 1,300,000 | |||
Restricted Stock [Member] | Thomas F. Darden [Member] | ||||
Related Party Transaction [Line Items] | ||||
Vested equity awards | 72,662 |