Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Mar. 29, 2016 | Jun. 30, 2015 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2015 | ||
Document Fiscal Year Focus | 2,015 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | TAT | ||
Entity Registrant Name | TRANSATLANTIC PETROLEUM LTD. | ||
Entity Central Index Key | 1,092,289 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 41,106,194 | ||
Entity Public Float | $ 22.1 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Current assets: | ||
Cash and cash equivalents | $ 7,480 | $ 34,740 |
Accounts receivable, net | ||
Oil and natural gas sales | 14,169 | 25,456 |
Joint interest and other | 5,885 | 19,918 |
Related party | 414 | 602 |
Prepaid and other current assets | 2,807 | 5,823 |
Derivative asset | 3,235 | 12,518 |
Restricted cash | 3,758 | |
Assets held for sale | 51,511 | 7,744 |
Total current assets | 89,259 | 106,801 |
Oil and natural gas properties (successful efforts method) | ||
Proved | 271,080 | 323,994 |
Unproved | 31,135 | 47,137 |
Equipment and other property | 36,708 | 41,445 |
Property and equipment, gross | 338,923 | 412,576 |
Less accumulated depreciation, depletion and amortization | (148,218) | (141,644) |
Property and equipment, net | 190,705 | 270,932 |
Other long-term assets: | ||
Other assets | 4,615 | 10,753 |
Note receivable - related party | 11,500 | 11,500 |
Derivative asset | 3,370 | 19,069 |
Deferred income taxes | 1,343 | |
Goodwill | 6,935 | |
Assets held for sale | 118,903 | |
Total other assets | 19,485 | 168,503 |
Total assets | 299,449 | 546,236 |
Current liabilities: | ||
Accounts payable | 12,675 | 19,545 |
Accounts payable - related party | 2,684 | 13,872 |
Accrued liabilities | 10,583 | 21,238 |
Asset retirement obligations | 323 | |
Loans payable | 38,266 | 34,833 |
Loan payable - related party | 3,593 | |
Liabilities held for sale - related party | 3,540 | 11,416 |
Liabilities held for sale | 65,649 | 47,763 |
Total current liabilities | 136,990 | 148,990 |
Long-term liabilities: | ||
Asset retirement obligations | 9,237 | 10,220 |
Accrued liabilities | 11,940 | 7,736 |
Deferred income taxes | 27,360 | 24,946 |
Loans payable | 34,400 | 80,089 |
Loan payable - related party | 20,600 | 20,800 |
Liabilities held for sale | 41,991 | |
Total long - term liabilities | 103,537 | 185,782 |
Total liabilities | $ 240,527 | $ 334,772 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Common shares, $0.10 par value, 100,000,000 shares authorized; 41,017,777 shares and 40,708,120 shares issued and outstanding as of December 31, 2015 and December 31, 2014, respectively | $ 4,102 | $ 4,071 |
Treasury stock | (970) | |
Additional paid-in-capital | 569,365 | 571,150 |
Accumulated other comprehensive loss | (121,590) | (79,310) |
Accumulated deficit | (391,985) | (284,447) |
Total shareholders' equity | 58,922 | 211,464 |
Total liabilities and shareholders' equity | $ 299,449 | $ 546,236 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2015 | Dec. 31, 2014 |
Statement Of Financial Position [Abstract] | ||
Common shares, par value | $ 0.10 | $ 0.10 |
Common shares, authorized | 100,000,000 | 100,000,000 |
Common shares, issued | 41,017,777 | 40,708,120 |
Common shares, outstanding | 41,017,777 | 40,708,120 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Revenues: | |||||
Oil and natural gas sales | $ 82,716 | $ 136,276 | $ 127,270 | ||
Sales of purchased natural gas | 2,189 | 2,127 | 2,581 | ||
Other | 159 | 427 | 976 | ||
Total revenues | 85,064 | 138,830 | 130,827 | ||
Costs and expenses: | |||||
Production | 12,873 | 18,193 | 18,602 | ||
Exploration, abandonment and impairment | 21,544 | 19,864 | 27,333 | ||
Cost of purchased natural gas | 2,082 | 2,055 | 2,247 | ||
Seismic and other exploration | 370 | 4,285 | 14,009 | ||
Revaluation of contingent consideration | (2,500) | (5,000) | |||
General and administrative | 24,138 | 31,071 | 29,020 | ||
Depreciation, depletion and amortization | 37,707 | 48,594 | 41,322 | ||
Accretion of asset retirement obligations | 368 | 406 | 508 | ||
Total costs and expenses | 99,082 | 121,968 | 128,041 | ||
Operating (loss) income | (14,018) | 16,862 | 2,786 | ||
Other income (expense): | |||||
Interest and other expense | (13,077) | (6,044) | (3,929) | ||
Interest and other income | 855 | 1,124 | 1,340 | ||
Gain (loss) on commodity derivative contracts | 27,457 | 37,454 | (2,698) | ||
Foreign exchange loss | (5,653) | (6,523) | (9,663) | ||
Total other income (expense) | 9,582 | 26,011 | (14,950) | ||
Income (loss) from continuing operations before income taxes | (4,436) | 42,873 | (12,164) | ||
Current income tax expense | (3,587) | (1,784) | (128) | ||
Deferred income tax expense | (18,642) | (11,875) | (979) | ||
Net (loss) income from continuing operations | (26,665) | 29,214 | [1] | (13,271) | [1] |
Loss from discontinued operations before income taxes | (97,042) | (750) | (442) | ||
Income tax benefit | 16,169 | 612 | |||
Net loss from discontinued operations | (80,873) | (138) | (442) | ||
Net (loss) income | (107,538) | 29,076 | (13,713) | ||
Other comprehensive (loss) income: | |||||
Foreign currency translation adjustment | (42,280) | (14,325) | (36,973) | ||
Comprehensive (loss) income | $ (149,818) | $ 14,751 | $ (50,686) | ||
Basic net income (loss) per common share | |||||
Continuing operations | $ (0.65) | $ 0.77 | $ (0.36) | ||
Discontinued operations | $ (1.98) | $ (0.01) | |||
Weighted average common shares outstanding | 40,841 | 37,829 | 37,069 | ||
Diluted net income (loss) per common share | |||||
Continuing operations | $ (0.65) | $ 0.77 | $ (0.36) | ||
Discontinued operations | $ (1.98) | $ (0.01) | |||
Weighted average common and common equivalent shares outstanding | 40,841 | 38,031 | 37,069 | ||
[1] | Excludes assets from our discontinued Albanian and Moroccan operations of $51.5 million, $126.6 million, and $0.5 million at December 31, 2015, 2014 and 2013, respectively. |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Thousands | Total | Common Shares [Member] | Treasury Stock [Member] | Warrants [Member] | Additional Paid-in Capital [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Deficit [Member] |
Beginning balance at Dec. 31, 2012 | $ 213,827 | $ 3,687 | $ 537,962 | $ (28,012) | $ (299,810) | ||
Beginning balance, shares at Dec. 31, 2012 | 36,875,000 | ||||||
Issuance of common shares | 2,500 | $ 35 | 2,465 | ||||
Issuance of common shares (in shares) | 351,000 | ||||||
Issuance of restricted stock units | $ 12 | (12) | |||||
Issuance of restricted stock units, shares | 114,000 | ||||||
Tax withholding on restricted stock units | (40) | (40) | |||||
Share-based compensation | 1,716 | 1,716 | |||||
Foreign currency translation adjustment | (36,973) | (36,973) | |||||
Net income (loss) | (13,713) | (13,713) | |||||
Ending balance at Dec. 31, 2013 | 167,317 | $ 3,734 | 542,091 | (64,985) | (313,523) | ||
Ending balance, shares at Dec. 31, 2013 | 37,340,000 | ||||||
Issuance of common shares | 23,850 | $ 322 | 23,528 | ||||
Issuance of common shares (in shares) | 3,219,000 | ||||||
Contingent payment event | 4,188 | 4,188 | |||||
Issuance of warrants | $ 233 | ||||||
Issuance of restricted stock units | $ 15 | (15) | |||||
Issuance of restricted stock units, shares | 149,000 | ||||||
Tax withholding on restricted stock units | (76) | (76) | |||||
Share-based compensation | 1,434 | 1,434 | |||||
Foreign currency translation adjustment | (14,325) | (14,325) | |||||
Net income (loss) | 29,076 | 29,076 | |||||
Ending balance at Dec. 31, 2014 | $ 211,464 | $ 4,071 | 233 | 571,150 | (79,310) | (284,447) | |
Ending balance, shares at Dec. 31, 2014 | 40,708,120 | 40,708,000 | |||||
Contingent payment event | $ (4,188) | (4,188) | |||||
Issuance of warrants | 466 | ||||||
Issuance of restricted stock units | 1,137 | $ 31 | 1,106 | ||||
Issuance of restricted stock units, shares | 310,000 | ||||||
Tax withholding on restricted stock units | (391) | (391) | |||||
Repurchase of treasury stock | (970) | $ (970) | |||||
Repurchase of treasury stock, shares | 333,000 | ||||||
Share-based compensation | 1,688 | 1,688 | |||||
Foreign currency translation adjustment | (42,280) | (42,280) | |||||
Net income (loss) | (107,538) | (107,538) | |||||
Ending balance at Dec. 31, 2015 | $ 58,922 | $ 4,102 | $ (970) | $ 699 | $ 569,365 | $ (121,590) | $ (391,985) |
Ending balance, shares at Dec. 31, 2015 | 41,017,777 | 41,018,000 | 333,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Operating activities: | |||||
Net (loss) income | $ (107,538) | $ 29,076 | $ (13,713) | ||
Adjustment for net loss from discontinued operations | 80,873 | 138 | 442 | ||
Net (loss) income from continuing operations | (26,665) | 29,214 | [1] | (13,271) | [1] |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||
Share-based compensation | 1,688 | 1,434 | 1,716 | ||
Foreign currency loss | 5,910 | 6,448 | 8,620 | ||
(Gain) loss on commodity derivative contracts | (27,457) | (37,454) | 2,698 | ||
Cash settlement on commodity derivative contracts | 57,076 | (2,100) | (3,521) | ||
Amortization on loan financing costs | 1,677 | 1,025 | 510 | ||
Bad debt expense | 422 | 1,487 | |||
Deferred income tax expense | 18,642 | 11,875 | 979 | ||
Exploration, abandonment and impairment | 21,544 | 19,864 | 27,333 | ||
Depreciation, depletion and amortization | 37,707 | 48,594 | 41,322 | ||
Accretion of asset retirement obligations | 368 | 406 | 508 | ||
Derivative put costs | (4,638) | ||||
Revaluation of contingent consideration | (2,500) | (5,000) | |||
Changes in operating assets and liabilities: | |||||
Accounts receivable | 18,274 | (3,326) | (2,353) | ||
Prepaid expenses and other assets | 1,341 | (1,777) | (34) | ||
Accounts payable and accrued liabilities | (19,380) | 4,734 | 9,269 | ||
Net cash provided by operating activities from continuing operations | 86,509 | 77,924 | 68,776 | ||
Net cash used in operating activities from discontinued operations | (14,483) | (264) | (1,426) | ||
Net cash provided by operating activities | 72,026 | 77,660 | 67,350 | ||
Investing activities: | |||||
Acquisitions, net of cash | 66 | ||||
Additions to oil and natural gas properties | (22,843) | (107,353) | (94,266) | ||
Additions to equipment and other properties | (3,572) | (6,318) | (10,653) | ||
Restricted cash | (5,261) | (1,917) | (190) | ||
Net cash used in investing activities from continuing operations | (31,676) | (115,522) | (105,109) | ||
Net cash (used in) provided by investing activities from discontinued operations | (12,329) | (1,174) | 1,016 | ||
Net cash used in investing activities | (44,005) | (116,696) | (104,093) | ||
Financing activities: | |||||
Tax withholding on restricted share units | (391) | (76) | (40) | ||
Treasury stock purchases | (970) | ||||
Loan proceeds | 12,378 | 73,237 | 66,785 | ||
Loan proceeds - related party | 3,593 | 20,800 | |||
Loan repayment | (54,834) | (28,096) | (29,785) | ||
Loan financing costs | (30) | (2,630) | |||
Net cash (used in) provided by financing activities from continuing operations | (40,254) | 63,235 | 36,960 | ||
Net cash used in financing activities from discontinued operations | (13,709) | (1,674) | |||
Net cash (used in) provided by financing activities | (53,963) | 61,561 | 36,960 | ||
Effect of exchange rate on cash flows and cash equivalents | (1,318) | (666) | (2,104) | ||
Net (decrease) increase in cash and cash equivalents | (27,260) | 21,859 | (1,887) | ||
Cash and cash equivalents, beginning of year | 34,740 | 12,881 | 14,768 | ||
Cash and cash equivalents, end of year | 7,480 | 34,740 | 12,881 | ||
Supplemental disclosures: | |||||
Cash paid for interest | 9,522 | 3,490 | 3,091 | ||
Cash paid for taxes | 3,044 | 2,387 | |||
Supplemental non-cash financing activities: | |||||
Repayment of the Prepayment Agreement | 3,043 | ||||
Issuance of common shares for acquisition | 23,850 | ||||
Contingent payment event | $ (4,188) | $ 4,188 | |||
Issuance of common shares - amendment to purchase agreement | $ 2,500 | ||||
[1] | Excludes assets from our discontinued Albanian and Moroccan operations of $51.5 million, $126.6 million, and $0.5 million at December 31, 2015, 2014 and 2013, respectively. |
General
General | 12 Months Ended |
Dec. 31, 2015 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
General | 1. General Nature of operations TransAtlantic Petroleum Ltd. (together with its subsidiaries, “we,” “us,” “our,” the “Company” or “TransAtlantic”) is an international oil and natural gas company engaged in acquisition, exploration, development and production. We have focused our operations in countries that have established, yet underexplored petroleum systems, have stable governments, are net importers of petroleum, have an existing petroleum transportation infrastructure and provide favorable commodity pricing, royalty rates and tax rates to exploration and production companies. We hold interests in developed and undeveloped oil and natural gas properties in Turkey and Bulgaria. As of March 29, 2016, approximately 36% of our outstanding common shares were beneficially owned by N. Malone Mitchell 3rd, our chief executive officer and chairman of our board of directors. TransAtlantic is a holding company with three operating segments – Turkey, Bulgaria and Albania (presented as assets held for sale). Its assets consist of its ownership interests in subsidiaries that primarily own: · assets in Turkey; · assets in Albania that are classified as held for sale; and · assets in Bulgaria. Basis of presentation Our consolidated financial statements are expressed in U.S. Dollars and have been prepared by management in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). All amounts in these notes to the consolidated financial statements are in U.S. Dollars unless otherwise indicated. In preparing financial statements, management makes informed judgments and estimates that affect the reported amounts of assets and liabilities as of the date of the financial statements and affect the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, management reviews estimates, including those related to fair value measurements associated with acquisitions and financial derivatives, the recoverability and impairment of long-lived assets and goodwill, contingencies and income taxes. Changes in facts and circumstances may result in revised estimates and actual results may differ from these estimates. |
Going Concern
Going Concern | 12 Months Ended |
Dec. 31, 2015 | |
Going Concern [Abstract] | |
Going Concern | 2. Going concern These consolidated financial statements have been prepared on the basis of accounting principles applicable to a going concern. These principles assume that we will be able to realize our assets and discharge our obligations in the normal course of operations for the foreseeable future. We incurred a net loss of $107.5 million for the year ended December 31, 2015, which includes a net loss from discontinued operations of $80.9 million. At December 31, 2015, the outstanding principal amount of our debt was $96.9 million (excluding liabilities held for sale), and we had a working capital deficit (excluding assets and liabilities held for sale) of $30.1 million. Due to the significant decline in Brent crude oil prices during 2015, the borrowing base under the Company’s senior credit facility (the “Senior Credit Facility”) with BNP Paribas (Suisse) SA (“BNP Paribas”) and the International Finance Corporation (“IFC”) was decreased to $16.6 million effective December 30, 2015. The decline in the borrowing base resulted in a $15.5 million borrowing base deficiency under the Senior Credit Facility as of December 30, 2015. On December 30, 2015, the lenders granted us a waiver of certain defaults under the Senior Credit Facility that existed as of December 30, 2015, including, among other things, the borrowing base deficiency. The waiver is conditioned upon, among other things, no borrowing base deficiency existing as of March 31, 2016. As of December 31, 2015, the Company had $32.1 million outstanding under the Senior Credit Facility and no availability and was not in compliance with the current ratio financial covenant in the Senior Credit Facility. During the first quarter of 2016, we repaid $1.3 million under the Senior Credit Facility, and as of March 30, 2016, we had a borrowing base deficiency of $14.2 million. We have negotiated a preliminary waiver of the existing defaults under the Senior Credit Facility and an extension of the borrowing base deficiency repayment obligation until at least September 30, 2016. This preliminary waiver and extension is subject to the approval of the lenders’ respective credit committees. The lenders have advised us that they will seek credit committee approval of the preliminary waiver and extension in early April 2016. We cannot guarantee that this waiver and extension will be approved by our lenders. Because we are currently in default under the Senior Credit Facility and will be unable to repay the borrowing base deficiency by March 31, 2016, the lenders could declare all outstanding principal and interest to be due and payable, could freeze our accounts, could foreclose against the assets securing their borrowings, and we could be forced into bankruptcy or liquidation. In addition, a payment default under the Senior Credit Facility could result in a cross default under our Convertible Notes. Even if we obtain the funds to repay our borrowing base deficiency, we should need some form of debt restructuring, capital raising effort or asset sale in order to fund our operations and meet our substantial debt service obligations of approximately $41.9 million in 2016 and $55.0 million in 2017. Our management is actively pursuing improving our working capital position and/or restructuring our future debt service obligations in order to remain a going concern for the foreseeable future. As a result there is substantial doubt regarding our ability to continue as a going concern. Management believes the going concern assumption to be appropriate for these consolidated financial statements. If the going concern assumption was not appropriate, adjustments would be necessary to the carrying values of assets and liabilities, reported revenues and expenses and in the balance sheet classifications used in these consolidated financial statements. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Significant accounting policies | 3. Significant accounting policies Basis of preparation Our reporting standard for the presentation of our consolidated financial statements is U.S. GAAP. The consolidated financial statements include the accounts of the Company and all majority-owned, controlled subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. During the year ended December 31, 2015, we reclassified certain balance sheet amounts previously reported on our consolidated balance sheet at December 31, 2014 to conform to current year presentation. Cash and cash equivalents Cash and cash equivalents include term deposits and investments with original maturities of three months or less at the date of acquisition. We consider all highly liquid debt instruments purchased with an original maturity of three months or less to be cash equivalents. We determine the appropriate classification of our investments in cash and cash equivalents and marketable securities at the time of purchase and reevaluate such designation at each balance sheet date. Commodity derivative instruments Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging Fair value measurements We follow ASC 820, Fair Value Measurements and Disclosures ASC 820 characterizes inputs used in determining fair value according to a hierarchy that prioritizes those inputs based upon the degree to which they are observable. The three levels of the fair value measurement hierarchy are as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Measured based on prices or valuation models that required inputs that are both significant to the fair value measurement and less observable for objective sources (i.e., supported by little or no market activity). As required by ASC 820, financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, which may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The determination of the fair values takes into account the market for our financial assets and liabilities, the associated credit risk and other factors as required by ASC 820. We consider active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. Foreign currency remeasurement and translation The functional currency of our subsidiaries in Turkey, Bulgaria, Romania, Morocco, and Albania is the New Turkish Lira (“TRY”), the Bulgarian Lev, the Romanian New Leu, the Moroccan Dirham, and the U.S. Dollar (“USD”) respectively. We follow ASC 830, Foreign Currency Matters For certain subsidiaries, translation adjustments result from the process of translating the functional currency of subsidiary financial statements into the U.S. Dollar reporting currency. These translation adjustments are reported separately and accumulated in the consolidated balance sheets as a component of accumulated other comprehensive loss. Oil and natural gas properties In accordance with the successful efforts method of accounting for oil and natural gas properties, costs of productive wells, developmental dry holes and productive leases are capitalized into appropriate groups of properties based on geographical and geological similarities. Acquisition costs of proved properties are amortized using the unit-of-production method based on total proved reserves, and exploration well costs and additional development costs are amortized using the unit-of-production method based on proved developed reserves. Proceeds from the sale of properties are credited to property costs, and a gain or loss is recognized when a significant portion of an amortization base is sold or abandoned. Exploration costs, such as exploratory geological and geophysical costs, delay rentals and exploration overhead, are charged to expense as incurred. Exploratory drilling costs, including the cost of stratigraphic test wells, are initially capitalized but charged to exploration expense if and when the well is determined to be non-productive. The determination of an exploratory well’s ability to produce must be made within one year from the completion of drilling activities. The acquisition costs of unproved acreage are initially capitalized and are carried at cost, net of accumulated impairment provisions, until such leases are transferred to proved properties or charged to exploration expense as impairments of unproved properties. Equipment and other property Equipment and other property are stated at cost, and inventory is stated at weighted average cost which does not exceed replacement cost. Depreciation is calculated using the straight-line method over the estimated useful lives (ranging from 3 to 7 years) of the respective assets. The costs of normal maintenance and repairs are charged to expense as incurred. Material expenditures that increase the life of an asset are capitalized and depreciated over the estimated remaining useful life of the asset. The cost of equipment sold, or otherwise disposed of, and the related accumulated depreciation, are removed from the accounts and any gain or loss is reflected in current earnings. Impairment of long-lived assets We follow the provisions of ASC 360, Property, Plant, and Equipment Unproved oil and natural gas properties do not have producing properties and are valued on acquisition by management, with the assistance of an independent expert when necessary. As reserves are proved through the successful completion of exploratory wells, the cost is transferred to proved properties. The cost of the remaining unproved basis is periodically evaluated by management to assess whether the value of a property has diminished. To do this assessment, management considers (i) estimated potential reserves and future net revenues from an independent expert, (ii) the Company’s history in exploring the area, (iii) the Company’s future drilling plans per its capital drilling program prepared by the Company’s reservoir engineers and operations management and (iv) other factors associated with the area. Impairment is taken on the unproved property value if it is determined that the costs are not likely to be recoverable. The valuation is subjective and requires management to make estimates and assumptions which, with the passage of time, may prove to be materially different from actual results. Goodwill In accordance with ASC 350, Intangibles-Goodwill and Other Joint interest activities Certain of our exploration, development and production activities are conducted jointly with other entities and, accordingly, the consolidated financial statements reflect only our proportionate interest in such activities. Asset retirement obligations We recognize a liability for the fair value of all legal obligations associated with the retirement of tangible, long-lived assets and capitalize an equal amount as a cost of the asset. The cost associated with the abandonment obligation is included in the computation of depreciation, depletion and amortization. The liability accretes until we settle the obligation. We use a credit-adjusted risk-free interest rate in our calculation of asset retirement obligations. Revenue recognition Revenue from the sale of crude oil and natural gas is recognized upon delivery to the purchaser when title passes. During the years ended December 31, 2015, 2014 and 2013, we sold $63.0 million, $102.8 million and $87.2 million, respectively, of oil to Türkiye Petrol Rafinerileri A.Ş. (“TUPRAS”), a privately owned oil refinery in Turkey, which represented approximately 74.0%, 74.1% and 66.7% of our total revenues, respectively. Share-based compensation We follow ASC 718, Compensation—Stock Compensation Income taxes We follow the asset and liability method prescribed by ASC 740, Income Taxes In connection with our acquisition of Amity Oil International Pty Ltd (“Amity”) and Petrogas Petrol Gaz ve Petrokimya Ürünleri Inşaat Sanayi ve Ticaret A.Ş. (“Petrogas”) in August 2010, at December 31, 2013, we recognized a liability due to an uncertain tax position and corresponding asset related to the transfer of Petrogas shares to Amity prior to the acquisition (see Note 11, “Income taxes”). As the statute of limitations has expired we have reversed this non-current asset and non-current liability, as of December 31, 2015. As of December 31, 2015, we recorded a $10.1 million liability due to an uncertain tax position related to the unwinding of all of our crude oil hedge collar and three-way contracts, which is included in long-term accrued liabilities on our consolidated balance sheet. We do not believe there will be any material changes in our unrecognized tax positions over the next twelve months. Our policy is that we recognize interest and penalties accrued on any unrecognized tax positions as a component of income tax expense. We are a Bermuda exempted company, and under current Bermuda law, we are not subject to tax on profits, income or dividends, nor is there any capital gains tax applicable to us in Bermuda. Comprehensive income ASC 220, Comprehensive Income Business combinations We follow ASC 805, Business Combinations Consolidation Per share information Basic per share amounts are calculated using the weighted average common shares outstanding during the year, excluding unvested restricted stock units. We use the treasury stock method to determine the dilutive effect of stock options and other dilutive instruments. Under the treasury stock method, only “in the money” dilutive instruments impact the diluted calculations in computing diluted earnings per share. Diluted calculations reflect the weighted average incremental common shares that would be issued upon exercise of dilutive options assuming the proceeds would be used to repurchase shares at average market prices for the period. |
New Accounting Pronouncements
New Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Changes And Error Corrections [Abstract] | |
New accounting pronouncements | 4. New accounting pronouncements In August 2014, the FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern Presentation of Financial Statements In April 2015, the FASB issued ASU 2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805) Simplifying the Accounting for Measurement-Period Adjustments In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes We have reviewed other recently issued, but not yet adopted, accounting standards in order to determine their effects, if any, on our consolidated results of operations, financial position and cash flows. Based on that review, we believe that none of these pronouncements will have a significant effect on current or future earnings or operations. |
Goodwill
Goodwill | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill | 5. Goodwill Goodwill represents the excess of the purchase price of a business over the estimated fair value of the assets acquired and liabilities assumed. We have goodwill on acquisitions where we anticipated access to potential exploration and producing opportunities. All of our goodwill is attributable to our Turkey operating segment. At December 31, 2015, we performed our annual assessment of goodwill and determined it was necessary to perform the two-step goodwill impairment test. In accordance with GAAP, we performed step one of the goodwill impairment test and determined that the estimated fair value of our Turkey reporting unit was less than its carrying amount based on our reserves report dated December 31, 2015. The decline in our Turkey reserves report values was primarily due to the decline in the Brent oil price during the three months ended December 31, 2015. Therefore, we performed step two of the impairment test, which indicated that the entire balance of goodwill was impaired. As a result, we recorded an impairment equal to the carrying amount of goodwill, or $5.5 million, at December 31, 2015. Goodwill was as follows at December 31, 2015 and 2014: 2015 2014 (in thousands) Goodwill at January 1 $ 6,935 $ 7,535 Foreign exchange effect (1,404 ) (600 ) Impairment (5,531 ) – Goodwill at December 31 $ – $ 6,935 |
Property and equipment
Property and equipment | 12 Months Ended |
Dec. 31, 2015 | |
Property Plant And Equipment [Abstract] | |
Property and equipment | 6. Property and equipment Oil and natural gas properties The following table sets forth the capitalized costs under the successful efforts method for oil and natural gas properties: 2015 2014 (in thousands) Oil and natural gas properties, proved: Turkey $ 270,591 $ 323,442 Bulgaria 489 552 Total oil and natural gas properties, proved 271,080 323,994 Oil and natural gas properties, unproved: Turkey 31,135 43,090 Bulgaria – 4,047 Total oil and natural gas properties, unproved 31,135 47,137 Gross oil and natural gas properties 302,215 371,131 Accumulated depletion (139,002 ) (132,971 ) Net oil and natural gas properties $ 163,213 $ 238,160 The decline in oil and natural gas properties during the year ended December 31, 2015 was primarily driven by the devaluation of the Turkish Lira (“TRY”) versus the U.S. Dollar. For the year ended December 31, 2015, we have recorded foreign currency translation adjustments which reduced oil and natural gas properties and increased accumulated other comprehensive loss within shareholders’ equity on our consolidated balance sheet. At December 31, 2015 and 2014, we excluded $0.7 million and $1.2 million of costs, respectively, from the depletion calculation for development wells in progress. At December 31, 2015, the capitalized costs of our oil and natural gas properties included $20.0 million relating to acquisition costs of proved properties, which are being amortized by the unit-of-production method using total proved reserves, and $111.4 million relating to well costs, and additional development costs, which are being amortized by the unit-of-production method using proved developed reserves. At December 31, 2014, the capitalized costs of our oil and natural gas properties included $29.0 million relating to acquisition costs of proved properties, which are being amortized by the unit-of-production method using total proved reserves, and $160.8 million relating to well costs, and additional development costs, which are being amortized by the unit-of-production method using proved developed reserves. Impairments of proved properties and impairment of exploratory well costs Proved oil and natural gas properties are reviewed for impairment when events and circumstances indicate the carrying value of such properties may not be recoverable. The factors used to determine fair value include (Level 3 inputs), but are not limited to, estimates of proved reserves, future commodity prices, the timing and amount of future production and capital expenditures and discount rates commensurate with the risk reflective of the lives remaining for the respective oil and natural gas properties. Excluding the impairment of goodwill, during the year ended December 31, 2015, we recorded $16.0 million of impairment of proved properties and exploratory well costs which are primarily measured using Level 3 inputs. Of the $16.0 million of impairment of proved properties and exploratory well costs incurred during the year ended December 31, 2015, $5.8 million primarily related to proved property impairments on our Goksu, Molla and Bakuk fields in Turkey where we wrote the properties down to their estimated fair value. The impairment on our Goksu and Molla fields was due to the decline in the Brent oil price and reduction in the reserve volumes. The remaining charges during the year ended December 31, 2015 were due to $3.7 million related to exploratory well impairment on our Deventci-R2 well in Bulgaria, $3.5 million related to impairment on our Pinar-1 well and $0.7 million related to the South Goksu-1 well, which is part of our joint venture in the Arpatepe field in Turkey. Approximately $4.9 million of the amount impaired was cash spent during the period. During the year ended December 31, 2014, we recorded $19.9 million in impairment on our proved and unproved properties. Of the $19.9 million, approximately $13.8 million relates to unproved exploratory well impairment on the following wells: $3.5 million related to impairment on the Catak-1 well, $2.8 million related to the Kazanci-5 well, and $7.5 million related to the Bahar-2 side track well. During the year ended December 31, 2013, we recorded $27.3 million in impairment on our proved and unproved properties, primarily related to $16.0 million of exploratory well impairment, and the remaining amount on impairment of our Senova and Malkara licenses. Capitalized costs greater than one year As of December 31, 2015, we had $1.3 million and $2.2 million of exploratory well costs capitalized for the Hayrabolu-10 and Pinar-1 wells, respectively, in Turkey, which we spud in February 2013 and December 2014, respectively. The Hayrabolu-10 and Pinar-1 wells continue to be held for completion. Equipment and other property The historical cost of equipment and other property, presented on a gross basis with accumulated depreciation, is summarized as follows: 2015 2014 (in thousands) Other equipment $ 2,378 $ 2,983 Inventory 21,338 23,411 Gas gathering system and facilities 4,798 6,016 Vehicles 400 488 Leasehold improvements, office equipment and software 7,794 8,547 Gross equipment and other property 36,708 41,445 Accumulated depreciation (9,216 ) (8,673 ) Net equipment and other property $ 27,492 $ 32,772 We have reclassified certain prior year costs of equipment and other property to conform to current period presentation. We classify our materials and supply inventory, including steel tubing and casing, as a long-term asset because such materials will ultimately be classified as a long-term asset when the material is used in the drilling of a well. At December 31, 2015, we excluded $21.3 million of inventory from depreciation, as the inventory had not been placed into service. At December 31, 2014, we excluded $23.4 million of inventory and $3.0 million of software from depreciation as the inventory had not been placed into service. |
Commodity derivative instrument
Commodity derivative instruments | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Commodity derivative instruments | 7. Commodity derivative instruments We have used collar and put derivative contracts to economically hedge against the variability in cash flows associated with the forecasted sale of a portion of our future oil production. We have not designated the derivative contracts as hedges for accounting purposes, and accordingly, we record the derivative contracts at fair value and recognize changes in fair value in earnings as they occur. To the extent that a legal right of offset exists, we net the value of our derivative contracts with the same counterparty in our consolidated balance sheets. All of our oil derivative contracts are settled based upon Brent crude oil pricing. We recognize gains and losses related to these contracts on a fair value basis in our consolidated statements of comprehensive income (loss) under the caption “Gain (loss) on commodity derivative contracts.” Settlements of derivative contracts are included in operating activities on our consolidated statements of cash flows under the caption “Cash settlement on commodity derivative contracts.” We are required under our Senior Credit Facility to hedge between 30% and 75% of our anticipated production volumes in Turkey. During the years ended December 31, 2015, 2014 and 2013, we recorded a net gain on commodity derivative contracts of $27.5 million, a net gain of $37.5 million and net loss of $2.7 million, respectively. On September 14, 2015, October 14, 2015 and November 17, 2015, we unwound all volumes of our crude oil hedge collars and three-way collars for the periods September 14, 2015 through March 31, 2019, October 14, 2015 through March 31, 2019 and December 1, 2015 through March 31, 2019, respectively, and purchased puts with a $50.00 strike price in replacement of the unwound volumes. The puts with a $50.00 strike price were purchased pursuant to the requirements of the Senior Credit Facility at a cost of $4.6 million. The unwound hedges resulted in gross proceeds of $41.8 million, of which $37.2 million was used to repay indebtedness under the Senior Credit Facility. At December 31, 2015, we had outstanding commodity derivative contracts with respect to our future crude oil production as set forth in the tables below: Fair Value of Derivative Instruments as of December 31, 2015 Puts Weighted Average Minimum Estimated Fair Quantity Price Value of Type Period (Bbl/day) (per Bbl) Asset (in thousands) Put January 1, 2016— December 31, 2016 808 $ 50.00 3,235 Put January 1, 2017— December 31, 2017 610 $ 50.00 1,798 Put January 1, 2018— December 31, 2018 494 $ 50.00 1,292 Put January 1, 2019— March 31, 2019 443 $ 50.00 280 Total Estimated Fair Value of Asset $ 6,605 At December 31, 2014, we had outstanding commodity derivative contracts with respect to our future crude oil production as set forth in the tables below: Fair Value of Derivative Instruments as of December 31, 2014 Weighted Weighted Average Average Quantity Minimum Maximum Price Estimated Fair Type Period (Bbl/day) Price (per Bbl) (per Bbl) Value of Asset (in thousands) Collar January 1, 2015— December 31, 2015 1,410 $ 85.00 $ 97.25 $ 12,518 $ 12,518 Collars Additional Call Weighted Weighted Weighted Average Average Average Minimum Maximum Maximum Estimated Fair Quantity Price Price Price Value of Type Period (Bbl/day) (per Bbl) (per Bbl) (per Bbl) Asset (in thousands) Three-way collar contract January 1, 2016— December 31, 2016 1,066 $ 85.00 $ 97.25 $ 114.25 $ 7,609 Three-way collar contract January 1, 2017— December 31, 2017 888 $ 85.00 $ 97.25 $ 114.25 5,748 Three-way collar contract January 1, 2018— December 31, 2018 726 $ 85.00 $ 97.25 $ 114.25 4,659 Three-way collar contract January 1, 2019— March 31, 2019 663 $ 85.00 $ 97.25 $ 114.25 1,053 19,069 Total Estimated Fair Value of Asset $ 31,587 Balance sheet presentation The following table summarizes both: (i) the gross fair value of our commodity derivative instruments by the appropriate balance sheet classification even when the commodity derivative instruments are subject to netting arrangements and qualify for net presentation in our consolidated balance sheets at December 31, 2015 and December 31, 2014, and (ii) the net recorded fair value as reflected on our consolidated balance sheets at December 31, 2015 and December 31, 2014. As of December 31, 2015 Gross Amount Net Amount of Gross Offset in the Assets Amount of Consolidated Presented in the Recognized Balance Consolidated Underlying Commodity Location on Balance Sheet Assets Sheet Balance Sheet (in thousands) Crude oil Current assets $ 3,235 $ – $ 3,235 Crude oil Long-term assets 3,370 – 3,370 As of December 31, 2014 Gross Amount Net Amount of Gross Offset in the Assets Amount of Consolidated Presented in the Recognized Balance Consolidated Underlying Commodity Location on Balance Sheet Assets Sheet Balance Sheet (in thousands) Crude oil Current assets $ 12,518 $ – $ 12,518 Crude oil Long-term assets 19,069 – 19,069 |
Asset Retirement obligations
Asset Retirement obligations | 12 Months Ended |
Dec. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement obligations | 8. Asset retirement obligations As part of our development of oil and natural gas properties, we incur asset retirement obligations (“ARO”). Our ARO results from our responsibility to abandon and reclaim our net share of all working interest properties and facilities. At December 31, 2015, the net present value of our total ARO was estimated to be $9.2 million, with the undiscounted value being $15.1 million. Total ARO at December 31, 2015 shown in the table below consists of amounts for future plugging and abandonment liabilities on our wellbores and facilities based on third-party estimates of such costs, adjusted for inflation at a rate of approximately 6.9% per annum for Turkey. These values are discounted to present value using our credit-adjusted risk-free rate of 5.6% per annum for Turkey for the year ended December 31, 2015. The following table summarizes the changes in our ARO for the years ended December 31, 2015 and 2014: 2015 2014 (in thousands) Asset retirement obligations at beginning of period $ 10,543 $ 10,896 Change in estimates 385 – Liabilities settled – (373 ) Foreign exchange change effect (2,137 ) (899 ) Additions 78 513 Accretion expense 368 406 Asset retirement obligations at end of period 9,237 10,543 Less: current portion – 323 Long-term portion $ 9,237 $ 10,220 Our ARO is measured using primarily Level 3 inputs. The significant unobservable inputs to this fair value measurement include estimates of plugging costs, remediation costs, inflation rate and well life. The inputs are calculated based on historical data as well as current estimated costs. |
Loans payable
Loans payable | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Loans payable | 9. Loans payable As of the dates indicated, our third-party debt consisted of the following: December 31, December 31, 2015 2014 Fixed and floating rate loans (in thousands) Convertible Notes $ 34,400 $ 26,600 Senior Credit Facility 32,075 68,297 Convertible Notes - related party 20,600 20,800 TBNG credit facility 5,192 20,025 ANBE Promissory Note 3,592 – West Promissory Notes 1,000 – Loans payable 96,859 135,722 Less: current portion 41,859 34,833 Long-term portion $ 55,000 $ 100,889 Senior Credit Facility On May 6, 2014, DMLP, Ltd. (“DMLP”), TransAtlantic Exploration Mediterranean International Pty Ltd (“TEMI”), Talon Exploration, Ltd. (“Talon Exploration”), TransAtlantic Turkey, Ltd. (“TransAtlantic Turkey”) and Petrogas (collectively, and together with Amity, the “Borrowers”) entered into the Senior Credit Facility with BNP Paribas and IFC. Each of the Borrowers is our wholly owned subsidiary. The Senior Credit Facility is guaranteed by us and each of TransAtlantic Petroleum (USA) Corp. and TransAtlantic Worldwide, Ltd. (“TWL”) (each, a “Guarantor”). The amount drawn under the Senior Credit Facility may not exceed the lesser of (i) $150.0 million, (ii) the borrowing base amount at such time, (iii) the aggregate commitments of all lenders at such time, and (iv) any amount borrowed from an individual lender to the extent it exceeds the aggregate amount of such lender’s individual commitment. As of December 31, 2015, the lenders had an aggregate commitment of $40.0 million, with individual commitments of $20.0 million each. On the first day of each fiscal quarter commencing April 1, 2016, the lenders’ commitments are subject to reduction in an amount equal to 7.69% of the aggregate commitments in effect on April 1, 2016. The borrowing base amount is re-determined semi-annually on April 1st and October 1st of each year. The October 2015 redetermination resulted in a $15.5 million borrowing base deficiency under the Senior Credit Facility as of December 30, 2015. The borrowing base was $16.6 million as of December 30, 2015. The borrowing base amount equals, for any calculation date, the lowest of: · the debt value which results in the field life coverage ratio for such calculation date being 1.50 to 1.00; and · the debt value which results in the loan life coverage ratio for such calculation date being 1.30 to 1.00. The Senior Credit Facility matures on the earlier of (i) March 31, 2019, or (ii) the last date of the borrowing base calculation period that immediately precedes the date that the semi-annual banking case of BNP Paribas and the Borrowers determines that the aggregate amount of hydrocarbons to be produced from the borrowing base assets in Turkey are less than 25% of the amount of hydrocarbons to be produced from the borrowing base assets shown in the initial banking case prepared by BNP Paribas and the Borrowers. The Senior Credit Facility bears various letter of credit sub-limits, including among other things, sub-limits of up to (i) $10.0 million, (ii) the aggregate available unused and uncancelled portion of the lenders’ commitments or (iii) any amount borrowed from an individual lender to the extent it exceeds the aggregate amount of such lender’s individual commitment. Loans under the Senior Credit Facility accrue interest at a rate of three-month LIBOR plus 5.00% per annum (5.61% at December 31, 2015). The Borrowers are also required to pay (i) a commitment fee payable quarterly in arrears at a per annum rate equal to (a) 2.00% per annum of the unused and uncancelled portion of the aggregate commitments that is less than or equal to the maximum available amount under the Senior Credit Facility, and (b) 1.00% per annum of the unused and uncancelled portion of the aggregate commitments that exceed the maximum available amount under the Senior Credit Facility and is not available to be borrowed, (ii) on the date of issuance of any letter of credit, a fronting fee in an amount equal to 0.25% of the original maximum amount to be drawn under such letter of credit and (iii) a per annum letter of credit fee for each letter of credit issued equal to the face amount of such letter of credit multiplied by (a) 1.0% for any letter of credit that is cash collateralized or backed by a standby letter of credit issued by a financial institution acceptable to BNP Paribas or (b) 5.00% for all other letters of credit. The Senior Credit Facility is secured by a pledge of (i) the local collection accounts and offshore collection accounts of each of the Borrowers, (ii) the receivables payable to each of the Borrowers, (iii) the shares of each Borrower and (iv) substantially all of the present and future assets of the Borrowers. The Borrowers are required to comply with certain financial and non-financial covenants under the Senior Credit Facility, including maintaining the following financial ratios during the four most recently completed fiscal quarters: · ratio of combined current assets to combined current liabilities of not less than 1.10 to 1.00; · ratio of EBITDAX (less non-discretionary capital expenditures) to aggregate amounts payable under the Senior Credit Facility of not less than 1.50 to 1.00; · ratio of EBITDAX (less non-discretionary capital expenditures) to interest expense of not less than 4.00 to 1.00; and · ratio of total debt to EBITDAX of less than 2.50 to 1.00. The Senior Credit Facility defines EBITDAX as net income (excluding extraordinary items) plus, to the extent deducted in calculating such net income, (i) interest expense (excluding interest paid-in-kind, or non-cash interest expense and interest incurred on certain subordinated intercompany debt or interest on equity recapitalized into subordinated debt), (ii) income tax expense, (iii) depreciation, depletion and amortization expense, (iv) amortization of intangibles and organization costs, (v) any extraordinary, unusual or non-recurring non-cash expenses or losses, (vi) any other non-cash charges (including dry hole expenses and seismic expenses, to the extent such expenses would be capitalized under the “full cost” accounting method), (vii) expenses incurred in connection with oil and gas exploration activities entered into in the ordinary course of business (including related drilling, completion, geological and geophysical costs), and (viii) transaction costs, expenses and fees incurred in connection with the negotiation, execution and delivery of the Senior Credit Facility and the related loan documents, minus, to the extent included in calculating net income, (a) any extraordinary, unusual or non-recurring income or gains (including, gains on the sales of assets outside of the ordinary course of business) and (b) any other non-cash income or gains. Pursuant to the terms of the Senior Credit Facility, until amounts under the Senior Credit Facility are repaid, each of the Borrowers shall not, and shall cause each of its subsidiaries not to, in each case subject to certain exceptions (i) incur indebtedness or create any liens, (ii) enter into any agreements that prohibit the ability of any Borrower or its subsidiaries to create any liens, (iii) enter into any merger, consolidation or amalgamation, liquidate or dissolve, (iv) dispose of any property or business, (v) pay any dividends, distributions or similar payments to shareholders, (vi) make certain types of investments, (vii) enter into any transactions with an affiliate, (viii) enter into a sale and leaseback arrangement, (ix) engage in any business or business activity, own any assets or assume any liabilities or obligations except as necessary in connection with, or reasonably related to, its business as an oil and natural gas exploration and production company or operate or carry on business in any jurisdiction outside of Turkey or its jurisdiction of formation, (x) change its organizational documents, (xi) permit its fiscal year to end on a day other than December 31st or change its method of determining fiscal quarters, or alter the accounting principles it uses, (xii) modify certain hydrocarbon licenses and agreements or material contracts, (xiii) enter into any hedge agreement for speculative purposes, (xiv) open or maintain new deposit, securities or commodity accounts, (xv) use the proceeds from any loan in the territories of any country that is not a member of the World Bank, (xvi) incur any expenditure that is not covered by the projections in the most recent corporate cashflow projection, (xvii) modify its social and environmental action plans as determined in conjunction with IFC, (xviii) enter into any transaction or engage in any activity prohibited by the United Nations Security Council, or (xix) engage in any corrupt, fraudulent, coercive, collusive or obstructive practice. An event of default under the Senior Credit Facility includes, among other events, failure to pay principal or interest when due, breach of certain covenants and obligations, cross default to other indebtedness, bankruptcy or insolvency, failure to meet the required financial covenant ratios and the occurrence of a material adverse effect. In addition, the occurrence of a change of control is an event of default. A change of control is defined as the occurrence of any of the following: (i) our failure to own, of record and beneficially, all of the equity of the Borrowers or any Guarantor or to exercise, directly or indirectly, day-to-day management and operational control of any Borrower or Guarantor; (ii) the failure by the Borrowers to own or hold, directly or indirectly, all of the interests granted to Borrowers pursuant to certain hydrocarbon licenses designated in the Senior Credit Facility; or (iii) (a) Mr. Mitchell ceases for any reason to be the executive chairman of our board of directors at any time, (b) Mr. Mitchell and certain of his affiliates cease to own of record and beneficially at least 35% of our common shares; or (c) any person or group, excluding Mr. Mitchell and certain of his affiliates, shall become, or obtain rights to become, the beneficial owner, directly or indirectly, of more than 35% of our outstanding common shares entitled to vote for members of our board of directors on a fully-diluted basis; provided, that, if Mr. Mitchell ceases to be executive chairman of our board of directors by reason of his death or disability, such event shall not constitute an event of default unless we have not appointed a successor reasonably acceptable to the lenders within 60 days of the occurrence of such event. Pursuant to the Senior Credit Facility, at least one of the Borrowers is required to maintain commodity derivative contracts with BNP Paribas that hedge between 30% and 75% of our anticipated oil production volumes in our oil fields in Turkey. As of December 31, 2015, TEMI had put contracts with BNP Paribas, which hedge the price of oil through March 2019. At December 31, 2015, we had borrowings of $32.1 million under the Senior Credit Facility, a borrowing base deficiency of $15.5 million, and we were not in compliance with the current ratio financial covenant in the Senior Credit Facility. In December 2015, we were not in compliance with certain covenants under our Senior Credit Facility and the lenders declared an event of default and locked the Borrowers’ collection accounts. On December 30, 2015, we entered into a Waiver and Consent Agreement with the lenders whereby the lenders provided a conditional waiver of the defaults including a waiver of cross-default under the Term Loan Facility, and permitted the Borrowers to make certain transfers and withdrawals under the collection accounts. Such waiver included certain conditions, including the following: (i) The borrowing base deficiency must be repaid by March 31, 2016; (ii) All monthly hedge settlement proceeds shall be used to pay down debt outstanding; (iii) Net proceeds from certain asset sales shall be used to prepay loans outstanding under the Senior Credit Facility; (iv) By June 30, 2016, the lenders shall be granted a security interest over all of the equity interests in Thrace Basin Natural Gas (Turkiye) Corporation (“TBNG”) and all of the assets or property of TBNG; and (v) On or before June 30, 2016, all holders of the 13% convertible notes due 2017 (“Convertible Notes”) shall either (a) convert their debt interests under the Convertible Notes into equity interests, or (b) agree to extend the maturity of the Convertible Notes to April 1, 2019 or later on substantially identical terms. In addition, we have negotiated a preliminary waiver of the existing defaults under the Senior Credit Facility and an extension of the borrowing base deficiency repayment obligation until at least September 30, 2016. This preliminary waiver and extension is subject to the approval of the lenders’ respective credit committees. The lenders have advised us that they will seek credit committee approval of the preliminary waiver and extension in early April 2016. We cannot guarantee that this waiver and extension will be approved by our lenders. At March 30, 2016, we had borrowings of $30.8 million under the Senior Credit Facility and a borrowing base deficiency of $14.2 million. We have classified all borrowings under the Senior Credit Facility as short-term debt as of December 31, 2015 due to the uncertainty regarding our ability to comply with the covenants in the Senior Credit Facility for the next twelve months. Convertible Notes As of December 31, 2015, we had $55.0 million aggregate principal amount of Convertible Notes outstanding. The Convertible Notes were issued pursuant to an indenture, dated as of February 20, 2015 (the “Indenture”), between us and U.S. Bank National Association, as trustee (the “Trustee”). The Convertible Notes bear interest at a rate of 13.0% per annum and mature on July 1, 2017. The Convertible Notes are convertible at any time, at the election of a holder, into our common shares at a conversion price of $6.80 per share. TBNG credit facility TBNG has a fully-drawn credit facility with a Turkish bank. During the fourth quarter of 2015, the facility was amended and now bears interest at a rate of 7.0% per annum and the monthly principal installments were deferred until March 29, 2016. The facility is due by June 29, 2016. The facility may be prepaid without penalty. The facility is secured by a lien on a Turkish real estate property owned by Gundem Turizm Yatirim ve Isletme A.S. (“Gundem”), which is 97.5% beneficially owned by Mr. Mitchell and his children. At December 31, 2015, TBNG had a balance of $5.2 million under the credit facility and no availability. West Promissory Notes In August 2015, TransAtlantic USA entered into promissory notes (the “Promissory Notes”) with each of Mary West CRT 2 LLC and Gary West CRT 2 LLC, shareholders of the Company (collectively, the “Holders”), whereby TransAtlantic USA could borrow up to $1.5 million under each Promissory Note to fund our share repurchase program. The Holders are managed by Randy Rochman, an observer of our board of directors. On August 21, 2015, TransAtlantic USA borrowed $500,000 under each Promissory Note. Pursuant to the terms of the Promissory Notes, the Holders are granted a first priority lien and security interest in all of our common shares purchased under our share repurchase program. Loans under the Promissory Notes accrue interest at a rate of 9.00% per annum and mature on October 1, 2016. The Promissory Notes are guaranteed by us, and no advances can be made under the notes after December 31, 2015. As of December 31, 2015, we had borrowed $1.0 million under the Promissory Notes. The funds were used to purchase shares of our common stock pursuant to our share repurchase program. ANBE Promissory Note On December 30, 2015, TransAtlantic USA entered into a $5.0 million draw down convertible promissory note (the “Note”) with ANBE Holdings, L.P. (“ANBE”), an entity owned by the children of the Company’s chairman and chief executive officer, N. Malone Mitchell, 3rd, and controlled by an entity managed by Mr. Mitchell and his wife. The Note bears interest at a rate of 13.0% per annum and matures on June 30, 2016. On December 30, 2015, the Company borrowed $3.6 million under the Note (the “Initial Advance”). The Initial Advance will be used for general corporate purposes. The Company can request subsequent advances (each, a “Subsequent Advance”) under the Note prior to June 15, 2016. Each Subsequent Advance must be in a multiple of $500,000, or if the amount remaining for advance under the Note is less than $500,000, such lesser amount. Advances under the Note may be converted, at the election of ANBE, any time after the NYSE MKT approves the Company’s application to list the additional common shares issuable pursuant to the conversion feature of the Note and prior to the maturity of the Note. The conversion price per common share for each advance is equal to 105% of the closing price of the Company’s common shares on the NYSE MKT on the trading date immediately prior to such advance. The conversion price of the Initial Advance is $1.3755 per share. The Note is a senior unsecured obligations of the Company and is structurally subordinated to all indebtedness of the Company’s subsidiaries. Each of the following is an “Event of Default” under the Note: a) the Company fails to pay when due any principal of, or interest upon, the Note; b) the Note ceases to be a legal, valid, binding agreement enforceable against any party executing the same in accordance with the respective terms thereof or is in any way terminated declared ineffective or inoperative or in any way whatsoever ceases to give or provide the respective rights, interests, remedies, powers or privileges intended to be created thereby; c) the Company (i) applies for or consents to the appointment of a receiver, trustee, inventor, custodian or liquidator of Company or of all or a substantial part of its assets, as applicable, (ii) is adjudicated as bankrupt or insolvent or files a voluntary petition for bankruptcy or admits in writing that it is unable to pay its debts as they become due, (iii) makes a general assignment for the benefit of creditors, (iv) files a petition or answer seeking reorganization or an arrangement with creditors or to take advantage of any bankruptcy or insolvency laws, or (v) files an answer admitting the material allegations of, or consents to, or defaults in answering, a petition filed against it in any bankruptcy, reorganization or insolvency proceeding, or takes corporate action for the purpose of effecting any of the foregoing; or d) an order, judgment or decree is entered by any court of competent jurisdiction or other competent authority approving a petition seeking reorganization of the Company or appointing a receiver, trustee, inventor or liquidator of any such person, or of all or substantially all of its assets, and such order, judgment or decree continues unstayed and in effect for a period of sixty (60) days. Unsecured lines of credit Our wholly-owned subsidiaries operating in Turkey are party to unsecured, non-interest bearing lines of credit with a Turkish bank. At December 31, 2015, we had no outstanding borrowings under these lines of credit. Loan financing costs We capitalize certain costs in connection with obtaining our borrowings, such as lender’s fees and related attorney’s fees. These costs are amortized on a straight line basis, which approximates the effective interest method over the term of the loan as a component of interest expense. Loan financing costs, which are included in other assets, totaled approximately $1.6 million and $2.7 million as of December 31, 2015 and 2014, respectively. Amortization of loan financing costs totaled approximately $1.6 million, $1.0 million and $0.5 million during 2015, 2014 and 2013, respectively. |
Shareholders' equity
Shareholders' equity | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Shareholders' equity | 10. Shareholders’ equity November 2014 share issuance In November 2014, we issued 3,218,641 common shares at a deemed price of $7.41 per common share for the acquisition of Stream (see Note 18, “Acquisitions”). July 2013 share issuance In July 2013, we issued 351,074 common shares at a deemed price of $7.12 per common share to Direct Petroleum Inc. (“Direct”) (see Note 15, “Contingencies”). Restricted stock units Under our 2009 Long-Term Incentive Plan (the “Incentive Plan”), we award restricted stock units (“RSUs”) and other share-based compensation to certain of our directors, officers, employees and consultants. Each RSU is equal in value to one of our common shares on the grant date. Upon vesting, an award recipient is entitled to a number of common shares equal to the number of vested RSUs. The RSU awards can only be settled in common shares. As a result, RSUs are classified as equity. At the grant date, we make an estimate of the forfeitures expected to occur during the vesting period and record compensation cost, net of the estimated forfeitures, over the requisite service period. The current forfeiture rate is estimated to be 12.5%. Under the Incentive Plan, RSUs vest over specified periods of time ranging from immediately to four years. RSUs are deemed full value awards and their value is equal to the market price of our common shares on the grant date. ASC 718 requires that the Incentive Plan be approved in order to establish a grant date. Under ASC 718, the approval date for the Incentive Plan was February 9, 2009, the date our board of directors approved the Incentive Plan. Share-based compensation of approximately $1.1 million and $1.4 million with respect to awards of RSUs was recorded for the years ended December 31, 2015 and 2014, respectively. As of December 31, 2015, we had approximately $1.1 million of unrecognized compensation expense related to unvested RSUs, which is expected to be recognized over a weighted average period of 1.5 years. The following table sets forth RSU activity for the year ended December 31, 2015: Number of RSUs (in thousands) Weighted Average Grant Date Fair Value Per RSU Unvested RSUs outstanding at December 31, 2014 223 $ 8.21 Granted 586 5.06 Forfeited (48 ) 6.26 Vested (332 ) 6.31 Unvested RSUs outstanding at December 31, 2015 429 $ 8.21 Stock option plan Our Amended and Restated Stock Option Plan (2006) (the “Option Plan”) terminated on June 16, 2009. All outstanding awards issued under the Option Plan remained in full force and effect. As of December 31, 2015 and 2014, there were no options outstanding under the Option Plan. All options previously outstanding under the Option Plan had a five-year term. The fair value of stock options was determined using the Black-Scholes Model and was recognized over the service period of the stock option. All stock options are fully vested; therefore, no share-based compensation expense for stock option awards was recorded for the years ended December 31, 2015, 2014 and 2013. We did not grant any stock options during the years ended December 31, 2015, 2014 and 2013. Details of stock option activity for the years ended December 31, 2015, 2014 and 2013 are presented below. 2015 2014 2013 Number of Options (in thousands) Weighted Average Exercise Price Per share Number of Options (in thousands) Weighted Average Exercise Price Per share Number of Options (in thousands) Weighted Average Exercise Price Per share Outstanding at beginning of year – $ – – $ – 16 $ 12.30 Granted – – – – – – Expired – – – – (16 ) 12.30 Exercised – – – – – – Outstanding at end of year – $ – – $ – – $ – Exercisable at end of year – $ – – $ – – $ – Earnings per share We account for earnings per share in accordance with ASC Subtopic 260-10, Earnings Per Share The following table presents the basic and diluted earnings per common share computations: (in thousands, except per share amounts) 2015 2014 2013 Net (loss) income from continuing operations $ (26,665 ) $ 29,214 $ (13,271 ) Net loss from discontinued operations $ (80,873 ) $ (138 ) $ (442 ) Basic net (loss) income per common share: Shares: Weighted average common shares outstanding 40,841 37,829 37,069 Basic net (loss) income per common share: Continuing operations $ (0.65 ) $ 0.77 $ (0.36 ) Discontinued operations $ (1.98 ) $ – $ (0.01 ) Diluted net (loss) income per common share: Shares: Weighted average shares outstanding 40,841 37,829 37,069 Dilutive effect of: Restricted share units – 152 – Convertible notes – 50 – Weighted average common and common equivalent shares outstanding 40,841 38,031 37,069 Diluted net (loss) income per common share: Continuing operations $ (0.65 ) $ 0.77 $ (0.36 ) Discontinued operations $ (1.98 ) $ – $ (0.01 ) Warrants On December 31, 2014, the Company issued 134,169 common share purchase warrants (“Warrants”) to Mr. Mitchell and 23,333 common share purchase warrants to each of Mr. Mitchell’s children pursuant to warrant agreements. These Warrants were issued to Mr. Mitchell and his children as shareholders of the entity Gundem, which agreed to pledge its primary asset, Turkish real estate property, in exchange for an extension of the maturity date of a credit agreement between the Company and a Turkish bank. As consideration for the pledge of Turkish real estate property, the independent members of the Company’s board of directors approved the issuance of the Warrants to be allocated in accordance with each shareholder’s ownership percentage of Gundem. Pursuant to the warrant agreements, the Warrants are immediately exercisable, expire 18 months from the date of the release of the pledge on Turkish real estate property, and entitle the holder to purchase one common share for each Warrant at an exercise price of $5.99 per share. On each of April 24, 2015 and August 13, 2015, we issued 233,333 Warrants to Mr. Mitchell and certain other related parties as shareholders of Gundem, as consideration for the pledge of Turkish real estate property in exchange for an extension of the maturity of a credit agreement between TBNG and a Turkish bank (See Note 9, “Loans payable”). As consideration for the pledge of the Turkish real estate property, the independent members of the Company’s board of directors approved the issuance of the Warrants to be allocated in accordance with each shareholder’s ownership percentage of Gundem. The Warrants were issued pursuant to a warrant agreement, whereby the Warrants are immediately exercisable, expire 18 months from the date of the release of the pledge on the Turkish real estate property, and entitle the holder to purchase one common share for each Warrant. The Warrants were issued in April 2015 and August 2015 at an exercise price of $5.65 and $2.99 per share, respectively. For the year ended December 31, 2015, we incurred $0.5 million of compensation expense for these Warrants. The fair value of the Warrants was determined using the Black-Scholes Model. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Income taxes | 11. Income taxes The income tax provision differs from the amount that would be obtained by applying the Bermuda statutory income tax rate of 0% for 2015, 2014 and 2013 to income (loss) from continuing operations for the year as follows: 2015 2014 2013 (in thousands except rates) Statutory rate 0.00 % 0.00 % 0.00 % (Loss) income from continuing operations before income taxes $ (4,436 ) $ 42,873 $ (12,164 ) Increase (decrease) resulting from: . Foreign tax rate differentials $ 1,676 $ 9,262 $ (1,443 ) Uncertain tax position 10,066 1,260 – Unremitted earnings 11,561 – – Derivative contracts (5,038 ) – – Change in valuation allowance 3,232 228 982 Expiration of non-capital tax loss carryovers 1,740 1,841 1,367 Other (1,008 ) 1,068 201 Total $ 22,229 $ 13,659 $ 1,107 The components of the net deferred income tax liability at December 31, 2015 and 2014 were as follows: 2015 2014 (in thousands) Deferred tax assets Property and equipment $ 3,749 $ 4,383 Timing of accruals 344 692 Non-capital loss carryovers 24,098 28,155 Valuation allowance (27,870 ) (27,391 ) Total deferred tax assets 321 5,839 Deferred tax liabilities Property and equipment (15,756 ) (23,124 ) Unremitted earnings (11,561 ) – Unrealized gains on derivative contracts – (6,318 ) Timing of accruals (364 ) – Total deferred tax liabilities (27,681 ) (29,442 ) Net deferred tax liabilities $ (27,360 ) $ (23,603 ) Components of net deferred tax liabilities Non-current assets $ – $ 1,343 Non-current liabilities (27,360 ) (24,946 ) Net deferred tax liabilities $ (27,360 ) $ (23,603 ) We have accumulated losses or resource-related deductions available for income tax purposes in Turkey, Romania, Bulgaria and the United States. As of December 31, 2015, we had non-capital tax losses in Turkey of approximately $96.9 million TRY (approximately $33.3 million), which will begin to expire in 2016; non-capital tax losses in Romania of approximately 7.9 million Romanian New Leu (approximately $1.9 million), which will begin to expire in 2018; non-capital losses in Bulgaria of approximately 12.7 million Bulgarian Lev (approximately $7.2 million), which will begin to expire in 2016; and non-capital tax losses in the United States of approximately $46.9 million, which will begin expiring in 2018. As of December 31, 2015 and 2014, we reflected a valuation allowance of $27.9 million and $27.4 million, respectively, as a reduction of our net operating losses and deferred tax assets. Effective October 1, 2009, we continued to the jurisdiction of Bermuda. We have determined that no taxes were payable upon the continuance. However, our tax filing positions are still subject to review by taxation authorities who may successfully challenge our interpretation of the applicable tax legislation and regulations, with the result that additional taxes could be payable by us. We file income tax returns in the United States, Turkey, Romania, Bulgaria, Morocco and Cyprus, with Turkey being the only jurisdiction with significant amounts of taxes due. Income tax returns filed in Turkey for years before 2011 are no longer subject to examination. The Turkish Ministry of Finance is currently conducting tax audits on two of our Turkish subsidiaries, Amity for the year ended December 31, 2011, and Talon Exploration for the year ended December 31, 2014. During the year ended December 2015, the Turkish Ministry of Finance completed their audits of Amity, TEMI, and DMLP for the year ended December 31, 2010, and TBNG, for the year ended December 31, 2012. In connection with our acquisition of Amity and Petrogas in August 2010, at December 31, 2013, we recognized a liability due to an uncertain tax position and corresponding asset related to the transfer of Petrogas shares to Amity prior to the acquisition. As the statute of limitations has expired, we have reversed this non-current asset and non-current liability of $6.1 million, including interest and penalties, as of December 31, 2015. As of December 31, 2015, we recorded a $10.1 million liability due to an uncertain tax position related to the unwinding of all our crude oil hedge collar and three-way contracts, which is included in long-term accrued liabilities on our consolidated balance sheet. As of December 31, 2015, there were no material uncertain tax positions for which the total amounts of unrecognized tax benefits will significantly increase or decrease within the next 12 months. Unremitted Earnings Our foreign subsidiaries generate earnings that are not subject to Turkish dividend withholding taxes so long as they are permanently reinvested in our operations in Turkey. Pursuant to ASC Topic No. 740-30 (formerly APB 23), undistributed earnings of foreign subsidiaries that are no longer permanently reinvested would become subject to Turkish dividend withholding taxes. Prior to fiscal year 2015, we asserted that the undistributed earnings of our foreign Turkish subsidiaries were permanently reinvested. Primarily due to the increase in our U.S. debt service obligations resulting from the issuance of the Convertible Notes in the aggregate principal amount of $55.0 million in 2015 (see Note 9, “Loans payable”), management concluded that the ability to access certain amounts of foreign earnings would provide greater flexibility to meet corporate cash flow needs without constraining foreign objectives. Accordingly, in the fourth quarter of fiscal year 2015, we withdrew the permanent reinvestment assertion on $77.1 million of earnings generated by certain of our Turkish foreign subsidiaries through fiscal year 2015. We provided for Turkish dividend withholding taxes on the $77.1 million of undistributed foreign Turkish earnings, resulting in the recognition of a deferred tax liability of approximately $11.6 million. There is no certainty as to the timing of when such Turkish foreign earnings will be distributed to TWL in whole or in part. |
Segment information
Segment information | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Segment information | 12. Segment information In accordance with ASC 280, Segment Reporting Corporate Turkey Bulgaria Total (in thousands) For the year ended December 31, 2015 Total revenues $ – $ 85,064 $ – $ 85,064 Production – 12,804 69 12,873 Exploration, abandonment, and impairment – 17,778 3,766 21,544 Cost of purchased gas – 2,082 – 2,082 Seismic and other exploration 55 264 51 370 General and administrative 12,729 11,132 277 24,138 Depreciation, depletion and amortization 306 37,401 – 37,707 Accretion of asset retirement obligations – 350 18 368 Total costs and expenses 13,090 81,811 4,181 99,082 Operating (loss) income (13,090 ) 3,253 (4,181 ) (14,018 ) Interest and other expense (7,383 ) (5,694 ) – (13,077 ) Interest income 354 500 1 855 Gain on commodity derivative contracts – 27,457 – 27,457 Foreign exchange loss (58 ) (5,589 ) (6 ) (5,653 ) (Loss) income from continuing operations before income taxes (20,177 ) 19,927 (4,186 ) (4,436 ) Income tax expense – (22,229 ) – (22,229 ) Net loss from continuing operations $ (20,177 ) $ (2,302 ) $ (4,186 ) $ (26,665 ) Total assets at December 31, 2015 $ 14,689 $ 232,648 $ 601 $ 247,938 (1) Capital expenditures for the year ended December 31, 2015 $ 163 $ 22,262 $ 41 $ 22,466 For the year ended December 31, 2014 Total revenues $ – $ 138,807 $ 23 $ 138,830 Production – 18,059 134 18,193 Exploration, abandonment, and impairment – 19,820 44 19,864 Cost of purchased gas – 2,055 – 2,055 Seismic and other exploration 178 4,106 1 4,285 Revaluation of contingent consideration – – (2,500 ) (2,500 ) General and administrative 14,418 14,984 1,669 31,071 Depreciation, depletion and amortization 124 48,452 18 48,594 Accretion of asset retirement obligations – 387 19 406 Total costs and expenses 14,720 107,863 (615 ) 121,968 Operating (loss) income (14,720 ) 30,944 638 16,862 Interest and other expense (36 ) (6,007 ) (1 ) (6,044 ) Interest income 350 770 4 1,124 Gain on commodity derivative contracts – 37,454 – 37,454 Foreign exchange loss (4 ) (6,497 ) (22 ) (6,523 ) (Loss) income from continuing operations before income taxes (14,410 ) 56,664 619 42,873 Income tax expense – (13,659 ) – (13,659 ) Net (loss) income from continuing operations $ (14,410 ) $ 43,005 $ 619 $ 29,214 Total assets at December 31, 2014 $ 51,919 $ 363,162 $ 4,675 $ 419,756 (1) Goodwill at December 31, 2014 $ – $ 6,935 $ – $ 6,935 Capital expenditures for the year ended December 31, 2014 $ 545 $ 109,563 $ 1,393 $ 111,501 For the year ended December 31, 2013 Total revenues $ – $ 130,701 $ 126 $ 130,827 Production 5 18,384 213 18,602 Exploration, abandonment, and impairment – 27,116 217 27,333 Cost of purchased gas – 2,247 – 2,247 Seismic and other exploration 100 13,909 – 14,009 Revaluation of contingent consideration – – (5,000 ) (5,000 ) General and administrative 12,685 16,068 267 29,020 Depreciation, depletion and amortization 69 41,196 57 41,322 Accretion of asset retirement obligations – 475 33 508 Total costs and expenses 12,859 119,395 (4,213 ) 128,041 Operating (loss) income (12,859 ) 11,306 4,339 2,786 Interest and other expense – (3,929 ) – (3,929 ) Interest income 284 1,056 – 1,340 Loss on commodity derivative contracts – (2,698 ) – (2,698 ) Foreign exchange (loss) gain (9 ) (9,664 ) 10 (9,663 ) (Loss) income loss from continuing operations before income taxes (12,584 ) (3,929 ) 4,349 (12,164 ) Income tax expense – (1,107 ) – (1,107 ) Net (loss) income from continuing operations $ (12,584 ) $ (5,036 ) $ 4,349 $ (13,271 ) (1) Total assets at December 31, 2013 $ 14,070 $ 321,749 $ 10,231 $ 346,050 Goodwill at December 31, 2013 $ – $ 7,535 $ – $ 7,535 Capital expenditures for the year ended December 31, 2013 $ 1,003 $ 96,206 $ 2,742 $ 99,951 (1) Excludes assets from our discontinued Albanian and Moroccan operations of $51.5 million, $126.6 million, and $0.5 million at December 31, 2015, 2014 and 2013, respectively. |
Financial instruments
Financial instruments | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Financial instruments | 13. Financial instruments Interest rate risk We are exposed to interest rate risk as a result of our variable rate short-term cash holdings and borrowings under the Senior Credit Facility and Term Loan Facility. Foreign currency risk We have underlying foreign currency exchange rate exposure. Our currency exposures relate to transactions denominated in the Bulgarian Lev, European Union Euro, Albanian Lek, and TRY. We are also subject to foreign currency exposures resulting from translating the functional currency of our subsidiary financial statements into the U.S. Dollar reporting currency. We have not used foreign currency forward contracts to manage exchange rate fluctuations. At December 31, 2015, we had 32.8 million TRY (approximately $11.3 million) in cash and cash equivalents, which exposes us to exchange rate risk based on fluctuations in the value of the TRY. Commodity price risk We are exposed to fluctuations in commodity prices for oil and natural gas. Commodity prices are affected by many factors, including but not limited to, supply and demand. At December 31, 2015 and 2014, we were a party to commodity derivative contracts. Concentration of credit risk The majority of our receivables are within the oil and natural gas industry, primarily from our industry partners and from government agencies. Included in receivables are amounts due from Turkiye Petrolleri Anonim Ortakligi (“TPAO”), the national oil company of Turkey, Zorlu Dogal Gaz Ithalat Ihracat ve Toptan Ticaret A.S. (“Zorlu”), a privately owned natural gas distributor in Turkey, and TUPRAS, which purchase the majority of our oil and natural gas production. The receivables are not collateralized. To date, we have experienced minimal bad debts and have no allowance for doubtful accounts. The majority of our cash and cash equivalents are held by three financial institutions in the United States and Turkey. Fair value measurements Cash and cash equivalents, receivables, notes receivable, accounts payable, accrued liabilities, the Note, the Promissory Notes and the TBNG credit facility were each estimated to have a fair value approximating the carrying amount at December 31, 2015 and 2014 due to the short maturity of those instruments. The financial assets and liabilities measured on a recurring basis at December 31, 2015 and 2014 consisted of our commodity derivative contracts. Fair values for options are based on counterparty market prices. The counterparties use market standard valuation methodologies incorporating market inputs for volatility and risk free interest rates in arriving at a fair value for each option contract. Prices are verified by us using analytical tools. There are no performance obligations related to the put options purchased to hedge our oil production. We utilize independent third-party pricing services to determine the fair values of derivative contracts. The independent third party determines fair values using models based on a range of observable market inputs, including pricing models, quoted market prices of publicly traded securities with similar duration and yield, time value, yield curve, prepayment spreads, default rates and discounted cash flow and the values for these contracts are disclosed in Level 2 of the fair value hierarchy. Generally, we obtain a single price or quote per instrument from independent third parties to assist in establishing the fair value of these contracts. We review prices received from service providers for unusual fluctuations to ensure that the prices represent a reasonable estimate of fair value. At December 31, 2015, the fair values of our Convertible Notes and our Senior Credit Facility were estimated using a discounted cash flow analysis based on unobservable Level 3 inputs, including our own credit risk associated with the loans payable. At December 31, 2014, the carrying value approximated the fair value for the Convertible Notes and the Senior Credit Facility. The following table summarizes the valuation of our financial assets and liabilities as of December 31, 2015: Fair Value Measurement Classification Quoted Prices in Active Markets for Identical Assets or Significant Other Significant Liabilities Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Total (in thousands) Measured on a recurring basis Assets: Commodity derivative contracts $ – $ 6,605 $ – $ 6,605 Disclosed but not carried at fair value Liabilities: Senior Credit Facility – – (30,050 ) (30,050 ) Convertible notes – – (44,489 ) (44,489 ) Total $ – $ 6,605 $ (74,539 ) $ (67,934 ) The following table summarizes the valuation of our financial assets and liabilities as of December 31, 2014: Fair Value Measurement Classification Quoted Prices in Active Markets for Identical Assets or Significant Other Significant Liabilities Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Total (in thousands) Measured on a recurring basis Assets: Commodity derivative contracts $ – $ 31,587 $ – $ 31,587 Disclosed but not carried at fair value Liabilities: Senior Credit Facility – (68,297 ) – (68,297 ) Convertible notes – (47,400 ) – (47,400 ) Total $ – $ (84,110 ) $ – $ (84,110 ) |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments | 14. Commitments Our aggregate annual commitments, other than our loans payable, as of December 31, 2015 were as follows: Payments Due By Year Total 2016 2017 2018 2019 2020 Thereafter (in thousands) Interest $ 11,934 $ 8,359 $ 3,575 $ – $ – $ – $ – Leases 5,595 823 518 446 – – 3,808 Total $ 17,529 $ 9,182 $ 4,093 $ 446 $ – $ – $ 3,808 Normal operations purchase arrangements are excluded from the table as they are discretionary or being performed under contracts which are cancelable immediately or with a 30-day notice period. We lease office space in Dallas, Texas, Bulgaria, and Turkey. We also lease apartments in Turkey, as well as operations yards in Turkey. Rent expense for the years ended December 31, 2015, 2014 and 2013 was $1.8 million, $2.2 million and $3.3 million, respectively. |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Contingencies | 15. Contingencies Contingencies relating to production leases and exploration permits Selmo We are involved in litigation with persons who claim ownership of a portion of the surface at the Selmo oil field in Turkey. These cases are being vigorously defended by TEMI and Turkish governmental authorities. We do not have enough information to estimate the potential additional operating costs we would incur in the event the purported surface owners’ claims are ultimately successful. Any adjustment arising out of the claims will be recorded when it becomes probable and measurable. Morocco During 2012, we were notified that the Moroccan government may seek to recover approximately $5.5 million in contractual obligations under our Tselfat exploration permit work program. In February 2013, the Moroccan government drew down our $1.0 million bank guarantee that was put in place to ensure our performance of the Tselfat exploration permit work program. Although we believe that the bank guarantee satisfies our contractual obligations, we recorded $5.0 million in accrued liabilities relating to our Tselfat exploration permit during 2012 for this contingency. Aglen During 2012, we were notified that the Bulgarian government may seek to recover approximately $2.0 million in contractual obligations under our Aglen exploration permit work program. Due to the Bulgarian government’s January 2012 ban on fracture stimulation and related activities, a force majeure event under the terms of the exploration permit was recognized by the government. Although we invoked force majeure, we recorded $2.0 million in general and administrative expense relating to our Aglen exploration permit during 2012 for this contractual obligation. Direct Petroleum In July 2013, we entered into a second amendment (the “Amendment”) to the purchase agreement (the “Purchase Agreement”) with Direct Petroleum (“Direct”). The Amendment set forth a new obligation to drill and test the Deventci-R2 well by May 1, 2014. We completed the drilling and testing requirements pursuant to the Amendment during April 2014, which resulted in the reversal of a $2.5 million contingent liability recorded in 2011. The reversal is recognized in our consolidated statements of comprehensive income (loss) under the caption “Revaluation of contingent consideration” for the year ended December 31, 2014. In addition, the Amendment provides that we will issue $7.5 million in common shares if the Deventci-R2 well is a commercial success (as defined in the Purchase Agreement) on or prior to May 1, 2016. We will record any provision for this contingent consideration when it is estimable and probable. As of December 31, 2015, we had not recorded a contingent liability for this contingent consideration. Additionally, the Amendment provides that if the Bulgarian government issues a production concession over the Stefenetz concession area (the “Stefenetz Concession Area”), Direct will be entitled to a payment of $10.0 million in common shares, or a pro rata amount if the production concession is less than 200,000 acres. We do not have enough information to estimate the potential contingent liability we would incur in the event the Bulgarian government issues a production concession over the Stefenetz Concession Area. Any provision for this contingent consideration will be recorded when it becomes probable and estimable. In December 2014, Direct Petroleum LLC (“Direct”) filed suit against the Company alleging that it was due liquidated damages of $5.0 million worth of common shares of the Company pursuant to the second amendment of the purchase agreement between the Company and Direct. On March 15, 2016, the Company entered into a settlement agreement pursuant to which we agreed to issue 225,000 common shares of the Company to Direct in exchange for a mutual release of all current and future claims against the other party in connection with the purchase agreement. Bulgaria In October 2015, the Bulgarian Ministry of Energy and Economy filed a suit against our subsidiary, Direct Petroleum Bulgaria EOOD (“Direct Bulgaria”), claiming a $200,000 penalty for Direct Bulgaria’s alleged failure to fulfill the work program associated with the Aglen exploration permit. Direct Bulgaria received a force majeure recognition in 2012 from the Bulgarian Ministry of Energy and Economy, and the force majeure event has not been rectified. We believe that Direct Bulgaria is not under any obligation to fulfill the work program until the force majeure event is rectified, and continue to vigorously defend this claim. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related party transactions | 16. Related party transactions Equity transactions On December 31, 2014, the Company issued 134,169 Warrants to Mr. Mitchell and 23,333 Warrants to each of Mr. Mitchell’s children pursuant to warrant agreements. These Warrants were issued to Mr. Mitchell and his children as shareholders of the entity Gundem, which agreed to pledge its primary asset, Turkish real estate property, in exchange for an extension of the maturity date of a credit agreement between the Company and a Turkish bank. As consideration for the pledge of Turkish real estate property, the independent members of the Company’s board of directors approved the issuance of the Warrants to be allocated in accordance with each shareholder’s ownership percentage of Gundem. Pursuant to the warrant agreements, the Warrants are immediately exercisable, expire 18 months from the date of the release of the pledge on Turkish real estate property, and entitle the holder to purchase one common share for each Warrant at an exercise price of $5.99 per share. On each of April 24, 2015 and August 13, 2015, we issued 233,333 Warrants to Mr. Mitchell and certain other related parties as shareholders of Gundem, as consideration for the pledge of Turkish real estate property in exchange for an extension of the maturity of a credit agreement between TBNG and a Turkish bank (See Note 9, “Loans payable”). As consideration for the pledge of the Turkish real estate property, the independent members of the Company’s board of directors approved the issuance of the Warrants to be allocated in accordance with each shareholder’s ownership percentage of Gundem. The Warrants were issued pursuant to a warrant agreement, whereby the Warrants are immediately exercisable, expire 18 months from the date of the release of the pledge on the Turkish real estate property, and entitle the holder to purchase one common share for each Warrant. The Warrants issued in April 2015 and August 2015 an exercise price of $5.65 and $2.99 per share, respectively. For the year ended December 31, 2015, we incurred $0.5 million of compensation expense for these Warrants. The fair value of the Warrants was determined using the Black-Scholes Model. Sale of oilfield services business On June 13, 2012, we closed the sale of our oilfield services business, which was substantially comprised of our wholly owned subsidiaries Viking International Limited (“Viking International”) and Viking Geophysical Services, Ltd. (“Viking Geophysical”), to a joint venture owned by Dalea and funds advised by Abraaj Investment Management Limited for an aggregate purchase price of $168.5 million, consisting of approximately $157.0 million in cash and a $11.5 million promissory note from Dalea (the “Dalea Note”). The Dalea Note was payable five years from the date of issuance or earlier upon the occurrence of certain specified events. The promissory note bears interest at a rate of 3.0% per annum and is guaranteed by Mr. Mitchell. See Note 19, “Subsequent events” for additional information. Service transactions Effective May 1, 2008, we entered into a service agreement, as amended (the “Service Agreement”), with Longfellow Energy, LP (“Longfellow”), Viking Drilling LLC (“Viking Drilling”), MedOil Supply, LLC and Riata Management, LLC (“Riata Management”). Mr. Mitchell and his wife own 100% of Riata Management. In addition, Mr. Mitchell, his wife and his children indirectly own 100% of Longfellow. Riata Management owns 100% of MedOil Supply, LLC. Dalea owns 85% of Viking Drilling. Under the terms of the Service Agreement, we pay, or are paid, for the actual cost of the services rendered plus the actual cost of reasonable expenses on a monthly basis. Effective January 1, 2011, our wholly owned subsidiary, TEMI, entered into an accommodation agreement under which it leased rooms, flats and office space at a facility owned by Gundem. Under the accommodation agreement, TEMI leases six rooms and pays the TRY equivalent of $6,000 per month. On August 23, 2011, the Company’s wholly owned subsidiary, TransAtlantic Petroleum (USA) Corp. (“TransAtlantic USA”), entered into an office lease with Longfellow to lease approximately 5,300 square feet of corporate office space in Addison, Texas. The initial lease term under the lease commenced on July 1, 2013, the date that TransAtlantic USA subleased a portion of its previous office space in Dallas, Texas (the “Commencement Date”). The lease expires five years after the Commencement Date, unless earlier terminated in accordance with the lease. During the initial lease term, TransAtlantic USA will pay monthly rent of $6,625 to Longfellow, plus utilities, real property taxes and liability insurance. Prior to the Commencement Date, no rent, utilities, real property taxes and/or liability insurance were required to be paid to Longfellow under the lease. On June 13, 2012, we entered into separate master services agreements with each of Viking International, Viking Petrol Sahasi Hizmetleri AS (“VOS”) and Viking Geophysical in connection with the sale of our oilfield services business to a joint venture owned by Dalea and funds managed by Abraaj Investment Management Limited. Pursuant to the master services agreements with Viking International and VOS, we are entitled to receive certain oilfield services and materials, including, but not limited to, drilling rigs and fracture stimulation that are needed for our operations in Bulgaria and Turkey. Pursuant to the master services agreement with Viking Geophysical, we are also entitled to receive geophysical services and materials that are needed for our operations in those countries. Each master services agreement is for a five-year term. Currently, we can contract for services and materials on a firm basis and, to the extent that we do not contract for all of their services or materials, Viking International, VOS and Viking Geophysical are allowed to contract with third parties for any remaining capacity. On March 3, 2016, Mr. Mitchell closed a transaction whereby he sold his interest in Viking Services B.V., the beneficial owner of Viking International, VOS and Viking Geophysical, to a third party. As part of the transaction, Mr. Mitchell acquired certain equipment used in the performance of stimulation, wireline, workover and similar services, which equipment will be owned and operated by a new entity, Production Solutions International Petrol Arama Hizmetleri Anonim Sirketi (“PSIL”). PSIL is beneficially owned by Dalea Investment Group, LLC, which is controlled by Mr. Mitchell. Consequently, on March 3, 2016, TEMI entered into a master services agreement (the “PSIL MSA”) with PSIL on substantially similar terms to the Company’s current master services agreements with Viking International, VOS and VGS. Pursuant to the PSIL MSA, PSIL will perform the Services on behalf of TEMI and its affiliates. The master services agreements with each of Viking International, VOS and Viking Geophysical will remain in effect through the remainder of the five-year term of the agreements. On April 5, 2013 (the “First Floor Commencement Date”), TransAtlantic USA entered into an office lease with Longfellow to lease approximately 4,700 square feet of additional corporate office space in Addison, Texas. The initial lease term commenced on the First Floor Commencement Date and expires five years after the First Floor Commencement Date, unless earlier terminated in accordance with the lease. For the first year of the lease, TransAtlantic USA will pay monthly rent of $7,533 to Longfellow plus utilities, real property taxes and liability insurance. On March 26, 2014, our wholly owned subsidiaries, TEMI and TBNG, entered into an equipment yard services agreement effective as of April 1, 2014 with Viking International for services related to the use of oilfield equipment yards located in Diyarbaki, Tekirdag and Muratli, Turkey. The initial term of the agreement is for twelve months, and the term of the agreement renews automatically for additional twelve-month periods unless earlier terminated. During the initial term, TEMI will pay monthly services fees of $17,250 to Viking International for services related to the use of Diyarbakir equipment yard, and TBNG will pay monthly service fees of $17,250 to Viking International for services related to the use of Tekirdag and Muratli equipment yards. For the years ended December 31, 2015 and 2014, we incurred capital and operating expenditures of $20.0 million and $96.4 million, respectively, related to our various related party agreements. Debt transactions Between December 2014 and February 2015, we sold $55.0 million of convertible notes in a non-brokered private placement, which were exchanged for the Convertible Notes on February 20, 2015. Dalea purchased $2.0 million of the notes; trusts benefitting Mr. Mitchell’s four children each purchased $2.0 million of the notes; Pinon Foundation, a non-profit charitable organization directed by Mr. Mitchell’s spouse, purchased $10.0 million of the notes; the three children of Brian Bailey, a director of the Company, each purchased $100,000 of the notes; Wil Saqueton, the Company’s vice president and chief financial officer, purchased $100,000 of the notes; Matthew McCann, the Company’s former general counsel and corporate secretary, purchased $200,000 of the notes; and a trust benefitting Barbara and Terry Pope, Mr. Mitchell’s sister-in-law and brother-in-law, purchased $200,000 of the notes. ANBE Promissory Note On December 30, 2015, TransAtlantic USA entered into the $5.0 million Note with ANBE, an entity owned by the children of the Company’s chairman and chief executive officer, N. Malone Mitchell, 3rd, and controlled by an entity managed by Mr. Mitchell and his wife. The Note bears interest at a rate of 13.0% per annum and matures on June 30, 2016. On December 30, 2015, the Company borrowed the Initial Advance of $3.6 million under the Note. The Initial Advance will be used for general corporate purposes. The Company can request Subsequent Advances under the Note prior to June 15, 2016. Each Subsequent Advance must be in a multiple of $500,000, or if the amount remaining for advance under the Note is less than $500,000, such lesser amount. Advances under the Note may be converted, at the election of ANBE, any time after the NYSE MKT approves the Company’s application to list the additional common shares issuable pursuant to the conversion feature of the Note and prior to the maturity of the Note. The conversion price per common share for each advance is equal to 105% of the closing price of the Company’s common shares on the NYSE MKT on the trading date immediately prior to such advance. The conversion price of the Initial Advance is $1.3755 per share. The Note is a senior unsecured obligations of the Company and is structurally subordinated to all indebtedness of the Company’s subsidiaries. Each of the following is an “Event of Default” under the Note: a) the Company fails to pay when due any principal of, or interest upon, the Note; b) the Note ceases to be a legal, valid, binding agreement enforceable against any party executing the same in accordance with the respective terms thereof or is in any way terminated declared ineffective or inoperative or in any way whatsoever ceases to give or provide the respective rights, interests, remedies, powers or privileges intended to be created thereby; c) the Company (i) applies for or consents to the appointment of a receiver, trustee, inventor, custodian or liquidator of Company or of all or a substantial part of its assets, as applicable, (ii) is adjudicated as bankrupt or insolvent or files a voluntary petition for bankruptcy or admits in writing that it is unable to pay its debts as they become due, (iii) makes a general assignment for the benefit of creditors, (iv) files a petition or answer seeking reorganization or an arrangement with creditors or to take advantage of any bankruptcy or insolvency laws, or (v) files an answer admitting the material allegations of, or consents to, or defaults in answering, a petition filed against it in any bankruptcy, reorganization or insolvency proceeding, or takes corporate action for the purpose of effecting any of the foregoing; or d) an order, judgment or decree is entered by any court of competent jurisdiction or other competent authority approving a petition seeking reorganization of the Company or appointing a receiver, trustee, inventor or liquidator of any such person, or of all or substantially all of its assets, and such order, judgment or decree continues unstayed and in effect for a period of sixty (60) days. Other related party transactions During the year ended December 31, 2014, we incurred $60,000 of geology consulting services from Roxanna Oil Company, a private oil and natural gas exploration and production company (“Roxanna”). One of our directors is the chairman of the board of Roxanna. The following table summarizes related party accounts receivable and accounts payable as of December 31, 2015 and December 31, 2014: 2015 2014 (in thousands) Related party accounts receivable: Viking International master services agreement $ 220 $ 355 Riata Management Service Agreement 194 159 Dalea Note – 88 Total related party accounts receivable $ 414 $ 602 Related party accounts payable: Viking International master services agreement $ 2,300 $ 12,138 Riata Management Service Agreement 384 1,734 Total related party accounts payable $ 2,684 $ 13,872 |
Discontinued Operations
Discontinued Operations | 12 Months Ended |
Dec. 31, 2015 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Discontinued operations | 17. Discontinued operations Discontinued operations in Albania On November 16, 2015, we decided to launch a marketing process for our Albanian assets and operations. As of December 31, 2015 we have classified our Albania segment as assets and liabilities held for sale and presented the operating results within discontinued operations for all periods presented. In February 2016, we sold all of the outstanding equity in Stream to GBC Oil Company Ltd. (“GBC Oil”) in exchange for (i) the future payment of $2.3 million to Raiffeisen to pay down the Term Loan Facility dated as of September 17, 2014 between Stream’s wholly-owned subsidiary, TransAtlantic Albania, and Raiffeisen, and (ii) the assumption of $29.2 million of liabilities owed by Stream, consisting of $23.1 million of accounts payable and accrued liabilities and $6.1 million of debt. TransAtlantic Albania owns all of our former Albanian assets and operations. In addition, GBC Oil issued us a warrant pursuant to which we have the option to acquire up to 25% of the fully diluted equity interests in TransAtlantic Albania for nominal consideration at any time on or before March 1, 2019. Prior to the sale of Stream to GBC Oil, TransAtlantic Albania entered into an assignment and assumption agreement pursuant to which TransAtlantic Albania will assign its Delvina natural gas assets and $12.9 million of associated liabilities to Delvina Gas Company Ltd. (“Delvina Gas”), our newly formed, wholly-owned subsidiary, to be effective immediately upon receipt of required contractual consents. There is no assurance that we will be able to obtain the required contractual consents. In addition, we agreed to indemnify GBC Oil and Stream for the $12.9 million of liabilities related to the Delvina gas operations. An impairment charge of $73.0 million was recorded to write down the net book value of the assets held for sale to their fair value as of December 31, 2015. The assumptions used in our assessment of fair value included the transaction discussed above with GBC Oil. Discontinued operations in Morocco On June 27, 2011, we decided to discontinue our operations in Morocco. We have substantially completed the process of winding down our operations in Morocco. We have presented the Moroccan segment operating results as discontinued operations for all periods presented. The assets and liabilities held for sale at December 31, 2015 and 2014 were as follows: Albania Morocco Total Held for Sale (in thousands) For the year ended December 31, 2015 Assets Cash $ 1,201 $ 16 $ 1,217 Other current assets 1,853 11 1,864 Property and equipment, net 48,430 – 48,430 Total current assets held for sale $ 51,484 $ 27 $ 51,511 Liabilities Accounts payable and other accrued liabilities $ 37,888 $ 6,352 $ 44,240 Accounts payable - related party 3,540 – 3,540 Loans payable 6,123 – 6,123 Loans payable - related party – – – Deferred tax liability 15,286 – 15,286 Total current liabilities held for sale $ 62,837 $ 6,352 $ 69,189 For the year ended December 31, 2014 Assets Cash $ 392 $ 16 $ 408 Other current assets 7,324 12 7,336 Total current assets held for sale 7,716 28 7,744 Property and equipment, net 118,903 – 118,903 Total assets held for sale $ 126,619 $ 28 $ 126,647 Liabilities Accounts payable and accrued liabilities $ 29,862 $ 6,928 $ 36,790 Accounts payable - related party 4,616 – 4,616 Loans payable 10,973 – 10,973 Loans payable - related party 6,800 – 6,800 Total current liabilities held for sale 52,251 6,928 59,179 Accrued liabilities 5,433 – 5,433 Loans payable 5,103 – 5,103 Deferred tax liability 31,455 – 31,455 Total long-term liabilities held for sale 41,991 – 41,991 Total liabilities held for sale $ 94,242 $ 6,928 $ 101,170 Loans Payable As of the dates indicated, TransAtlantic Albania’s third-party debt consisted of the following: December 31, December 31, 2015 2014 Fixed and floating rate loans (in thousands) Term Loan Facility $ 6,123 $ 10,453 Viking International note - related party – 6,800 Prepayment Agreement – 3,043 Shareholder loan – 2,580 Loans payable $ 6,123 $ 22,876 Term Loan Facility TransAtlantic Albania was a party to a Term Loan Facility (the “Term Loan Facility”) with Raiffeisen Bank Sh.A. (“Raiffeisen”).The loan matures on December 31, 2016 and bears interest at the rate of LIBOR plus 5.5%, with a minimum interest rate of 7.0%. TransAtlantic Albania is required to pay 1/16th of the total commitment each quarter on the last business day of each of March, June, September and December each year. The loan is guaranteed by TransAtlantic Albania’s parent company, Stream. TransAtlantic Albania may prepay the loan at its option in whole or in part, subject to a 3.0% penalty plus breakage costs. The Term Loan Facility is secured by substantially all of the assets of TransAtlantic Albania. Under the Term Loan Facility, TransAtlantic Albania may not declare or pay any dividends on any of TransAtlantic Albania’s common shares without the consent of the lender, except, provided that no default has occurred and is continuing under the Term Loan Facility, TransAtlantic Albania may make payments to Stream from excess cash flow to cover the administrative overhead of Stream, including the salary and related employment costs of any employee, officer or director of Stream, up to a total limit in any three-month period of $500,000. Pursuant to the terms of the Term Loan Facility, until amounts under the Term Loan Facility are repaid, TransAtlantic Albania may not, in each case subject to certain exceptions (i) incur indebtedness or create any liens, (ii) enter into any agreements that prohibit the ability of TransAtlantic Albania to create any liens, (iii) enter into any amalgamation, demerger, merger, or corporate reconstruction or any joint venture or partnership agreement, (iv) incorporate any company as a subsidiary, (v) dispose of any asset, (vi) declare or pay any dividends to shareholders, (vii) enter into a sale and leaseback arrangement, (viii) make any substantial change to the general nature or scope of its business from that carried on at the date of the Term Loan Facility, (ix) use, deposit, handle, store produce, release or dispose of dangerous materials, (x) make any loans or grant any credit, and (xi) cancel, terminate amend or waive any default under any export contract or allow any buyer to do the same. In addition, the Term Loan Facility contains financial covenants that require TransAtlantic Albania to maintain as of the end of each fiscal year: (i) earnings before interest, taxes, depreciation and amortization (“EBITDA”) of not less than $10.0 million; (ii) an outstanding loan principal of no more than twice its EBITDA; and (iii) EBITDA of at least ten times greater than its accrued interest, commission, fees, discounts, prepayment fees, premiums, charges and other finance payments. An event of default under the Term Loan Facility, includes, among other events, failure to pay principal or interest when due, breach of certain covenants and obligations, cross default to other indebtedness, bankruptcy or insolvency, failure to meet the required financial covenant ratios and the occurrence of a material adverse effect. In addition, upon the occurrence of a change of control of TransAtlantic Albania, TransAtlantic Albania is required to notify Raiffeisen, and Raiffeisen would have the option to cancel loan commitments and accelerate all outstanding loans and other amounts payable. A change of control is defined under the Term Loan Facility as Stream ceasing to hold more than 75% of the shares in the issued share capital of TransAtlantic Albania carrying the right to vote. Stream must, upon the request of Raiffeisen when TransAtlantic Albania’s predicted expenditures exceed its predicted revenues for any period, inject cash into Stream by means of equity loan or other method acceptable to Raiffeisen to the extent necessary to remedy the cashflow shortfall or repay the total amount outstanding under the Term Loan Facility. As of December 31, 2015, TransAtlantic Albania had $6.1 million outstanding under the Term Loan Facility and no availability. As of December 31, 2015, TransAtlantic Albania was in default under the Term Loan Facility for failure to repay $1.1 million due on December 31, 2015. On February 29, 2016, we sold all the equity interest in Stream, the parent company of TransAtlantic Albania to GBC Oil, who assumed the Term Loan Facility. Prepayment Agreement Stream and TransAtlantic Albania were parties to the prepayment agreement (the “Prepayment Agreement”) with Trafigura PTE Ltd (“Trafigura”). In October 2013, Stream received a $7.0 million prepayment under the Prepayment Agreement. The prepayment was repaid by Stream’s delivery of oil to Trafigura in accordance with an oil sales contract between Stream and Trafigura and bore interest at a rate equal to LIBOR plus 6% (6.43% at December 31, 2015). On October 30, 2015, Stream repaid the Prepayment Agreement in full, and the agreement was terminated. Viking International note On September 16, 2014, Stream issued to Viking International a note in the principal amount of $6.8 million. The note was amended monthly to evidence additional advances. On March 12, 2015, we repaid the note in full. Shareholder loan In March 2014, Stream borrowed CAD $3.0 million from a shareholder of Stream. The loan bore interest at a fixed rate of 10.0% per annum, calculated and compounded monthly. On January 6, 2015, we repaid the shareholder loan in full with net proceeds from our private placement of Convertible Notes. Our operating results from discontinued operations for the years ended December 31, 2015, 2014 and 2013 are summarized as follows: Albania Morocco Total (in thousands) For the year ended December 31, 2015 Total revenues $ 8,565 $ – $ 8,565 Production and transportation expense 11,615 – 11,615 Exploration, abandonment and impairment 86,577 – 86,577 Total other costs and expenses 9,229 5 9,234 Total other income 1,819 – 1,819 Loss before income taxes $ (97,037 ) $ (5 ) $ (97,042 ) Income tax benefit 16,169 – 16,169 Loss from discontinued operations $ (80,868 ) $ (5 ) $ (80,873 ) For the year ended December 31, 2014 Total revenues $ 1,898 $ – $ 1,898 Total costs and expenses 2,984 20 3,004 Total other income 356 – 356 Loss before income taxes $ (730 ) $ (20 ) $ (750 ) Income tax benefit 612 – 612 Loss from discontinued operations $ (118 ) $ (20 ) $ (138 ) For the year ended December 31, 2013 Total revenues $ – $ – $ – Total costs and expenses – 505 505 Total other income – 63 63 Loss before income taxes $ – $ (442 ) $ (442 ) Income tax benefit – – – Loss from discontinued operations $ – $ (442 ) $ (442 ) |
Acquisitions
Acquisitions | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Acquisitions | 18. Acquisitions Stream On November 18, 2014, we acquired Stream in exchange for (i) 3.2 million of our common shares issued at closing, and (ii) an additional 0.6 million of our common shares issuable if certain conditions are met (at a deemed price of $7.41 per common share). We engaged independent valuation experts to assist in the determination of the fair value of the assets and liabilities acquired in the acquisition. We have completed our assessment of the assets acquired and liabilities assumed, and the values are presented below. The following tables summarize the consideration paid in the acquisition and the final amounts of assets acquired and liabilities assumed that have been recognized at the acquisition date: (in thousands) Consideration: Issuance of 3,218,641 common shares $ 23,850 Fair value of total consideration $ 23,850 Acquisition-Related Costs: Included in general and administrative expenses on our consolidated statements of comprehensive income (loss) for the year ended December 31, 2014 $ 1,129 Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed at Acquisition: Assets: Cash $ 66 Accounts receivable 6,672 Other current assets 1,418 Total current assets 8,156 Oil and natural gas properties: Proved properties 99,927 Unproved properties 12,854 Equipment and other property 2,386 Total oil and natural gas properties and other equipment 115,167 Total assets 123,323 Liabilities: Accounts payable 20,673 Accounts payable - related party 2,820 Other current liabilities 13,395 Viking International note - related party 6,800 Loans payable - current 11,732 Other non-current liabilities 5,036 Loans payable - non-current 6,123 Asset retirement obligations 827 Deferred income taxes 32,067 Total liabilities 99,473 Total identifiable net assets $ 23,850 During 2015, we were notified that the Albania government may seek to recover approximately $4.9 million in contractual obligations under our Delvina exploration work program. We have recorded $4.9 million in accrued liabilities associated with the acquisition of Stream related to this contractual work program liability. As of and for the year ended December 31, 2015, we have recorded the following purchase accounting adjustments, as allowed under ASU 2015-16: (i) reversed the $4.2 million of contingent shares as a result of not achieving the contingent share event within the prescribed period, (ii) increased our equipment and oil inventory by $2.5 million based on more accurate values, and (iii) increased our accrued liabilities by a net $3.3 million due to better estimates. These amounts have been adjusted in our December 31, 2015 consolidated balance sheet and, on a net basis, reduced our unproved property balance. The results of operations of Stream are included in our consolidated statement of comprehensive income (loss) beginning November 18, 2014 and have been classified as discontinued operations for the year ended December 31, 2015. The revenues and expenses of Stream included in our consolidated statement of comprehensive income (loss) for the year ended December 31, 2014 were: Revenue Loss (in thousands) Actual from November 18, 2014 through December 31, 2014 $ 1,898 $ (118 ) |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2015 | |
Subsequent Events [Abstract] | |
Subsequent events | 19. Subsequent events Sale of Albania Oil Operations In February 2016, we sold all of the outstanding equity in Stream to GBC Oil in exchange for (i) the future payment of $2.3 million to Raiffeisen to pay down the Term Loan Facility dated as of September 17, 2014 between TransAtlantic Albania and Raiffeisen, and (ii) the assumption of $29.2 million of liabilities owed by Stream, consisting of $23.1 million of accounts payable and accrued liabilities and $6.1 million of debt. TransAtlantic Albania owns all of our former Albanian assets and operations. In addition, GBC Oil issued us a warrant pursuant to which we have the option to acquire up to 25% of the fully diluted equity interests in TransAtlantic Albania for nominal consideration at any time on or before March 1, 2019. Prior to the sale of Stream to GBC Oil, TransAtlantic Albania entered into an assignment and assumption agreement pursuant to which TransAtlantic Albania will assign its Delvina natural gas assets and $12.9 million of associated liabilities (the “Delvina Gas Liabilities”) to Delvina Gas, our newly formed, wholly-owned subsidiary, to be effective immediately upon receipt of required contractual consents. There is no assurance that we will be able to obtain the required contractual consents. In addition, we agreed to indemnify GBC Oil and Stream for the Delvina Gas Liabilities. We are currently negotiating a joint venture with a third party for the purchase of a portion of Delvina Gas. There is no assurance that we will be able to complete a joint venture for the purchase of a portion of Delvina Gas. Dalea Promissory Note Modifications On March 30, 2016, we entered into an agreement to amend the Dalea Note. Pursuant to the agreed upon terms, the Company and Dalea acknowledged that the sale of Dalea’s interest in Viking Services B.V. was not intended to trigger acceleration of the repayment of the Dalea Note as long as certain oilfield services were provided by Viking Services B.V. to the Company in Turkey, which services will now be provided pursuant to the PSIL MSA. PSIL is beneficially owned by Dalea Investment Group, LLC, which is controlled by Mr. Mitchell. As a result, the amendment will revise the events triggering acceleration of the repayment of the Dalea Note to the following: (i) a reduction of ownership by Dalea and its affiliates of PSIL to less than In addition, the amendment will reduce the principal amount of the Dalea Note to $8.0 million in exchange for the cancellation of a payable of approximately $3.5 million owed by TransAtlantic Albania to Viking International, which is part of the Delvina Gas Liabilities and for which the Company has indemnified GBC Oil. The amendment will also require Dalea to pledge as security for the Dalea Note the approximately $2.1 million aggregate principal amount of Convertible Notes held by Dalea, including any securities exchanged or converted from the Convertible Notes. The amendment will provide that interest payable to Dalea under the Convertible Notes (or any future securities for which the Convertible Notes are converted or exchanged) will be credited against the outstanding principal balance of the Dalea Note. The maturity date of the Dalea Note was extended to June 13, 2019. The interest rate on the Dalea Note remains at 3.0% per annum and continues to be guaranteed by Mr. Mitchell. |
General (Policies)
General (Policies) | 12 Months Ended |
Dec. 31, 2015 | |
Accounting Policies [Abstract] | |
Nature of operations | Nature of operations TransAtlantic Petroleum Ltd. (together with its subsidiaries, “we,” “us,” “our,” the “Company” or “TransAtlantic”) is an international oil and natural gas company engaged in acquisition, exploration, development and production. We have focused our operations in countries that have established, yet underexplored petroleum systems, have stable governments, are net importers of petroleum, have an existing petroleum transportation infrastructure and provide favorable commodity pricing, royalty rates and tax rates to exploration and production companies. We hold interests in developed and undeveloped oil and natural gas properties in Turkey and Bulgaria. As of March 29, 2016, approximately 36% of our outstanding common shares were beneficially owned by N. Malone Mitchell 3rd, our chief executive officer and chairman of our board of directors. TransAtlantic is a holding company with three operating segments – Turkey, Bulgaria and Albania (presented as assets held for sale). Its assets consist of its ownership interests in subsidiaries that primarily own: · assets in Turkey; · assets in Albania that are classified as held for sale; and · assets in Bulgaria. |
Basis of presentation | Basis of presentation Our consolidated financial statements are expressed in U.S. Dollars and have been prepared by management in accordance with accounting principles generally accepted in the United States (“U.S. GAAP”). All amounts in these notes to the consolidated financial statements are in U.S. Dollars unless otherwise indicated. In preparing financial statements, management makes informed judgments and estimates that affect the reported amounts of assets and liabilities as of the date of the financial statements and affect the reported amounts of revenues and expenses during the reporting period. On an ongoing basis, management reviews estimates, including those related to fair value measurements associated with acquisitions and financial derivatives, the recoverability and impairment of long-lived assets and goodwill, contingencies and income taxes. Changes in facts and circumstances may result in revised estimates and actual results may differ from these estimates. |
Basis of preparation | Basis of preparation Our reporting standard for the presentation of our consolidated financial statements is U.S. GAAP. The consolidated financial statements include the accounts of the Company and all majority-owned, controlled subsidiaries. All significant intercompany balances and transactions have been eliminated in consolidation. During the year ended December 31, 2015, we reclassified certain balance sheet amounts previously reported on our consolidated balance sheet at December 31, 2014 to conform to current year presentation. |
Cash and cash equivalents | Cash and cash equivalents Cash and cash equivalents include term deposits and investments with original maturities of three months or less at the date of acquisition. We consider all highly liquid debt instruments purchased with an original maturity of three months or less to be cash equivalents. We determine the appropriate classification of our investments in cash and cash equivalents and marketable securities at the time of purchase and reevaluate such designation at each balance sheet date. |
Commodity derivative instruments | Commodity derivative instruments Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) 815, Derivatives and Hedging |
Fair value measurements | Fair value measurements We follow ASC 820, Fair Value Measurements and Disclosures ASC 820 characterizes inputs used in determining fair value according to a hierarchy that prioritizes those inputs based upon the degree to which they are observable. The three levels of the fair value measurement hierarchy are as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. Level 3: Measured based on prices or valuation models that required inputs that are both significant to the fair value measurement and less observable for objective sources (i.e., supported by little or no market activity). As required by ASC 820, financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. Our assessment of the significance of a particular input to the fair value measurement requires judgment, which may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The determination of the fair values takes into account the market for our financial assets and liabilities, the associated credit risk and other factors as required by ASC 820. We consider active markets as those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. |
Foreign currency remeasurement and translation | Foreign currency remeasurement and translation The functional currency of our subsidiaries in Turkey, Bulgaria, Romania, Morocco, and Albania is the New Turkish Lira (“TRY”), the Bulgarian Lev, the Romanian New Leu, the Moroccan Dirham, and the U.S. Dollar (“USD”) respectively. We follow ASC 830, Foreign Currency Matters For certain subsidiaries, translation adjustments result from the process of translating the functional currency of subsidiary financial statements into the U.S. Dollar reporting currency. These translation adjustments are reported separately and accumulated in the consolidated balance sheets as a component of accumulated other comprehensive loss. |
Oil and natural gas properties | Oil and natural gas properties In accordance with the successful efforts method of accounting for oil and natural gas properties, costs of productive wells, developmental dry holes and productive leases are capitalized into appropriate groups of properties based on geographical and geological similarities. Acquisition costs of proved properties are amortized using the unit-of-production method based on total proved reserves, and exploration well costs and additional development costs are amortized using the unit-of-production method based on proved developed reserves. Proceeds from the sale of properties are credited to property costs, and a gain or loss is recognized when a significant portion of an amortization base is sold or abandoned. Exploration costs, such as exploratory geological and geophysical costs, delay rentals and exploration overhead, are charged to expense as incurred. Exploratory drilling costs, including the cost of stratigraphic test wells, are initially capitalized but charged to exploration expense if and when the well is determined to be non-productive. The determination of an exploratory well’s ability to produce must be made within one year from the completion of drilling activities. The acquisition costs of unproved acreage are initially capitalized and are carried at cost, net of accumulated impairment provisions, until such leases are transferred to proved properties or charged to exploration expense as impairments of unproved properties. |
Equipment and other property | Equipment and other property Equipment and other property are stated at cost, and inventory is stated at weighted average cost which does not exceed replacement cost. Depreciation is calculated using the straight-line method over the estimated useful lives (ranging from 3 to 7 years) of the respective assets. The costs of normal maintenance and repairs are charged to expense as incurred. Material expenditures that increase the life of an asset are capitalized and depreciated over the estimated remaining useful life of the asset. The cost of equipment sold, or otherwise disposed of, and the related accumulated depreciation, are removed from the accounts and any gain or loss is reflected in current earnings. |
Impairment of long-lived assets | Impairment of long-lived assets We follow the provisions of ASC 360, Property, Plant, and Equipment Unproved oil and natural gas properties do not have producing properties and are valued on acquisition by management, with the assistance of an independent expert when necessary. As reserves are proved through the successful completion of exploratory wells, the cost is transferred to proved properties. The cost of the remaining unproved basis is periodically evaluated by management to assess whether the value of a property has diminished. To do this assessment, management considers (i) estimated potential reserves and future net revenues from an independent expert, (ii) the Company’s history in exploring the area, (iii) the Company’s future drilling plans per its capital drilling program prepared by the Company’s reservoir engineers and operations management and (iv) other factors associated with the area. Impairment is taken on the unproved property value if it is determined that the costs are not likely to be recoverable. The valuation is subjective and requires management to make estimates and assumptions which, with the passage of time, may prove to be materially different from actual results. |
Goodwill | Goodwill In accordance with ASC 350, Intangibles-Goodwill and Other |
Joint interest activities | Joint interest activities Certain of our exploration, development and production activities are conducted jointly with other entities and, accordingly, the consolidated financial statements reflect only our proportionate interest in such activities. |
Asset retirement obligations | Asset retirement obligations We recognize a liability for the fair value of all legal obligations associated with the retirement of tangible, long-lived assets and capitalize an equal amount as a cost of the asset. The cost associated with the abandonment obligation is included in the computation of depreciation, depletion and amortization. The liability accretes until we settle the obligation. We use a credit-adjusted risk-free interest rate in our calculation of asset retirement obligations. |
Revenue recognition | Revenue recognition Revenue from the sale of crude oil and natural gas is recognized upon delivery to the purchaser when title passes. During the years ended December 31, 2015, 2014 and 2013, we sold $63.0 million, $102.8 million and $87.2 million, respectively, of oil to Türkiye Petrol Rafinerileri A.Ş. (“TUPRAS”), a privately owned oil refinery in Turkey, which represented approximately 74.0%, 74.1% and 66.7% of our total revenues, respectively. |
Share-based compensation | Share-based compensation We follow ASC 718, Compensation—Stock Compensation |
Income taxes | Income taxes We follow the asset and liability method prescribed by ASC 740, Income Taxes In connection with our acquisition of Amity Oil International Pty Ltd (“Amity”) and Petrogas Petrol Gaz ve Petrokimya Ürünleri Inşaat Sanayi ve Ticaret A.Ş. (“Petrogas”) in August 2010, at December 31, 2013, we recognized a liability due to an uncertain tax position and corresponding asset related to the transfer of Petrogas shares to Amity prior to the acquisition (see Note 11, “Income taxes”). As the statute of limitations has expired we have reversed this non-current asset and non-current liability, as of December 31, 2015. As of December 31, 2015, we recorded a $10.1 million liability due to an uncertain tax position related to the unwinding of all of our crude oil hedge collar and three-way contracts, which is included in long-term accrued liabilities on our consolidated balance sheet. We do not believe there will be any material changes in our unrecognized tax positions over the next twelve months. Our policy is that we recognize interest and penalties accrued on any unrecognized tax positions as a component of income tax expense. We are a Bermuda exempted company, and under current Bermuda law, we are not subject to tax on profits, income or dividends, nor is there any capital gains tax applicable to us in Bermuda. |
Comprehensive income | Comprehensive income ASC 220, Comprehensive Income |
Business combinations | Business combinations We follow ASC 805, Business Combinations Consolidation |
Per share information | Per share information Basic per share amounts are calculated using the weighted average common shares outstanding during the year, excluding unvested restricted stock units. We use the treasury stock method to determine the dilutive effect of stock options and other dilutive instruments. Under the treasury stock method, only “in the money” dilutive instruments impact the diluted calculations in computing diluted earnings per share. Diluted calculations reflect the weighted average incremental common shares that would be issued upon exercise of dilutive options assuming the proceeds would be used to repurchase shares at average market prices for the period. |
New Accounting Pronouncements | 4. New accounting pronouncements In August 2014, the FASB issued ASU 2014-15, Disclosure of Uncertainties about an Entity’s Ability to Continue as a Going Concern Presentation of Financial Statements In April 2015, the FASB issued ASU 2015-03, Interest - Imputation of Interest (Subtopic 835-30): Simplifying the Presentation of Debt Issuance Costs In July 2015, the FASB issued ASU 2015-11, Simplifying the Measurement of Inventory In September 2015, the FASB issued ASU 2015-16, Business Combinations (Topic 805) Simplifying the Accounting for Measurement-Period Adjustments In November 2015, the FASB issued ASU 2015-17, Income Taxes (Topic 740): Balance Sheet Classification of Deferred Taxes |
Goodwill (Tables)
Goodwill (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Goodwill | Goodwill was as follows at December 31, 2015 and 2014: 2015 2014 (in thousands) Goodwill at January 1 $ 6,935 $ 7,535 Foreign exchange effect (1,404 ) (600 ) Impairment (5,531 ) – Goodwill at December 31 $ – $ 6,935 |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Property Plant And Equipment [Abstract] | |
Capitalized Costs under Successful Efforts Method for Oil and Natural Gas Properties | The following table sets forth the capitalized costs under the successful efforts method for oil and natural gas properties: 2015 2014 (in thousands) Oil and natural gas properties, proved: Turkey $ 270,591 $ 323,442 Bulgaria 489 552 Total oil and natural gas properties, proved 271,080 323,994 Oil and natural gas properties, unproved: Turkey 31,135 43,090 Bulgaria – 4,047 Total oil and natural gas properties, unproved 31,135 47,137 Gross oil and natural gas properties 302,215 371,131 Accumulated depletion (139,002 ) (132,971 ) Net oil and natural gas properties $ 163,213 $ 238,160 |
Historical Cost of Equipment and Other Property on Gross Basis with Accumulated Depreciation | The historical cost of equipment and other property, presented on a gross basis with accumulated depreciation, is summarized as follows: 2015 2014 (in thousands) Other equipment $ 2,378 $ 2,983 Inventory 21,338 23,411 Gas gathering system and facilities 4,798 6,016 Vehicles 400 488 Leasehold improvements, office equipment and software 7,794 8,547 Gross equipment and other property 36,708 41,445 Accumulated depreciation (9,216 ) (8,673 ) Net equipment and other property $ 27,492 $ 32,772 |
Commodity derivative instrume29
Commodity derivative instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Fair Value of Derivative Instruments of Future Crude Oil Production | At December 31, 2015, we had outstanding commodity derivative contracts with respect to our future crude oil production as set forth in the tables below: Fair Value of Derivative Instruments as of December 31, 2015 Puts Weighted Average Minimum Estimated Fair Quantity Price Value of Type Period (Bbl/day) (per Bbl) Asset (in thousands) Put January 1, 2016— December 31, 2016 808 $ 50.00 3,235 Put January 1, 2017— December 31, 2017 610 $ 50.00 1,798 Put January 1, 2018— December 31, 2018 494 $ 50.00 1,292 Put January 1, 2019— March 31, 2019 443 $ 50.00 280 Total Estimated Fair Value of Asset $ 6,605 At December 31, 2014, we had outstanding commodity derivative contracts with respect to our future crude oil production as set forth in the tables below: Fair Value of Derivative Instruments as of December 31, 2014 Weighted Weighted Average Average Quantity Minimum Maximum Price Estimated Fair Type Period (Bbl/day) Price (per Bbl) (per Bbl) Value of Asset (in thousands) Collar January 1, 2015— December 31, 2015 1,410 $ 85.00 $ 97.25 $ 12,518 $ 12,518 Collars Additional Call Weighted Weighted Weighted Average Average Average Minimum Maximum Maximum Estimated Fair Quantity Price Price Price Value of Type Period (Bbl/day) (per Bbl) (per Bbl) (per Bbl) Asset (in thousands) Three-way collar contract January 1, 2016— December 31, 2016 1,066 $ 85.00 $ 97.25 $ 114.25 $ 7,609 Three-way collar contract January 1, 2017— December 31, 2017 888 $ 85.00 $ 97.25 $ 114.25 5,748 Three-way collar contract January 1, 2018— December 31, 2018 726 $ 85.00 $ 97.25 $ 114.25 4,659 Three-way collar contract January 1, 2019— March 31, 2019 663 $ 85.00 $ 97.25 $ 114.25 1,053 19,069 Total Estimated Fair Value of Asset $ 31,587 |
Summary of Gross Fair Value of Commodity Derivative Instruments by Balance Sheet Classification | The following table summarizes both: (i) the gross fair value of our commodity derivative instruments by the appropriate balance sheet classification even when the commodity derivative instruments are subject to netting arrangements and qualify for net presentation in our consolidated balance sheets at December 31, 2015 and December 31, 2014, and (ii) the net recorded fair value as reflected on our consolidated balance sheets at December 31, 2015 and December 31, 2014. As of December 31, 2015 Gross Amount Net Amount of Gross Offset in the Assets Amount of Consolidated Presented in the Recognized Balance Consolidated Underlying Commodity Location on Balance Sheet Assets Sheet Balance Sheet (in thousands) Crude oil Current assets $ 3,235 $ – $ 3,235 Crude oil Long-term assets 3,370 – 3,370 As of December 31, 2014 Gross Amount Net Amount of Gross Offset in the Assets Amount of Consolidated Presented in the Recognized Balance Consolidated Underlying Commodity Location on Balance Sheet Assets Sheet Balance Sheet (in thousands) Crude oil Current assets $ 12,518 $ – $ 12,518 Crude oil Long-term assets 19,069 – 19,069 |
Asset Retirement obligations (T
Asset Retirement obligations (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Changes in Asset Retirement Obligations | The following table summarizes the changes in our ARO for the years ended December 31, 2015 and 2014: 2015 2014 (in thousands) Asset retirement obligations at beginning of period $ 10,543 $ 10,896 Change in estimates 385 – Liabilities settled – (373 ) Foreign exchange change effect (2,137 ) (899 ) Additions 78 513 Accretion expense 368 406 Asset retirement obligations at end of period 9,237 10,543 Less: current portion – 323 Long-term portion $ 9,237 $ 10,220 |
Loans payable (Tables)
Loans payable (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Debt Disclosure [Abstract] | |
Debt | As of the dates indicated, our third-party debt consisted of the following: December 31, December 31, 2015 2014 Fixed and floating rate loans (in thousands) Convertible Notes $ 34,400 $ 26,600 Senior Credit Facility 32,075 68,297 Convertible Notes - related party 20,600 20,800 TBNG credit facility 5,192 20,025 ANBE Promissory Note 3,592 – West Promissory Notes 1,000 – Loans payable 96,859 135,722 Less: current portion 41,859 34,833 Long-term portion $ 55,000 $ 100,889 |
Shareholders' equity (Tables)
Shareholders' equity (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Equity [Abstract] | |
Restricted Stock Units Activity | Share-based compensation of approximately $1.1 million and $1.4 million with respect to awards of RSUs was recorded for the years ended December 31, 2015 and 2014, respectively. As of December 31, 2015, we had approximately $1.1 million of unrecognized compensation expense related to unvested RSUs, which is expected to be recognized over a weighted average period of 1.5 years. The following table sets forth RSU activity for the year ended December 31, 2015: Number of RSUs (in thousands) Weighted Average Grant Date Fair Value Per RSU Unvested RSUs outstanding at December 31, 2014 223 $ 8.21 Granted 586 5.06 Forfeited (48 ) 6.26 Vested (332 ) 6.31 Unvested RSUs outstanding at December 31, 2015 429 $ 8.21 |
Details of Stock Option Activity | Details of stock option activity for the years ended December 31, 2015, 2014 and 2013 are presented below. 2015 2014 2013 Number of Options (in thousands) Weighted Average Exercise Price Per share Number of Options (in thousands) Weighted Average Exercise Price Per share Number of Options (in thousands) Weighted Average Exercise Price Per share Outstanding at beginning of year – $ – – $ – 16 $ 12.30 Granted – – – – – – Expired – – – – (16 ) 12.30 Exercised – – – – – – Outstanding at end of year – $ – – $ – – $ – Exercisable at end of year – $ – – $ – – $ – |
Basic and Diluted Earnings Per Common Share Computations | The following table presents the basic and diluted earnings per common share computations: (in thousands, except per share amounts) 2015 2014 2013 Net (loss) income from continuing operations $ (26,665 ) $ 29,214 $ (13,271 ) Net loss from discontinued operations $ (80,873 ) $ (138 ) $ (442 ) Basic net (loss) income per common share: Shares: Weighted average common shares outstanding 40,841 37,829 37,069 Basic net (loss) income per common share: Continuing operations $ (0.65 ) $ 0.77 $ (0.36 ) Discontinued operations $ (1.98 ) $ – $ (0.01 ) Diluted net (loss) income per common share: Shares: Weighted average shares outstanding 40,841 37,829 37,069 Dilutive effect of: Restricted share units – 152 – Convertible notes – 50 – Weighted average common and common equivalent shares outstanding 40,841 38,031 37,069 Diluted net (loss) income per common share: Continuing operations $ (0.65 ) $ 0.77 $ (0.36 ) Discontinued operations $ (1.98 ) $ – $ (0.01 ) |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of Bermuda Income Tax Expense to Actual Income Tax Expense | The income tax provision differs from the amount that would be obtained by applying the Bermuda statutory income tax rate of 0% for 2015, 2014 and 2013 to income (loss) from continuing operations for the year as follows: 2015 2014 2013 (in thousands except rates) Statutory rate 0.00 % 0.00 % 0.00 % (Loss) income from continuing operations before income taxes $ (4,436 ) $ 42,873 $ (12,164 ) Increase (decrease) resulting from: . Foreign tax rate differentials $ 1,676 $ 9,262 $ (1,443 ) Uncertain tax position 10,066 1,260 – Unremitted earnings 11,561 – – Derivative contracts (5,038 ) – – Change in valuation allowance 3,232 228 982 Expiration of non-capital tax loss carryovers 1,740 1,841 1,367 Other (1,008 ) 1,068 201 Total $ 22,229 $ 13,659 $ 1,107 |
Components of Net Deferred Income Tax Liability | The components of the net deferred income tax liability at December 31, 2015 and 2014 were as follows: 2015 2014 (in thousands) Deferred tax assets Property and equipment $ 3,749 $ 4,383 Timing of accruals 344 692 Non-capital loss carryovers 24,098 28,155 Valuation allowance (27,870 ) (27,391 ) Total deferred tax assets 321 5,839 Deferred tax liabilities Property and equipment (15,756 ) (23,124 ) Unremitted earnings (11,561 ) – Unrealized gains on derivative contracts – (6,318 ) Timing of accruals (364 ) – Total deferred tax liabilities (27,681 ) (29,442 ) Net deferred tax liabilities $ (27,360 ) $ (23,603 ) Components of net deferred tax liabilities Non-current assets $ – $ 1,343 Non-current liabilities (27,360 ) (24,946 ) Net deferred tax liabilities $ (27,360 ) $ (23,603 ) |
Segment information (Tables)
Segment information (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Segment Reporting [Abstract] | |
Financial Information of Geographic Segments | In accordance with ASC 280, Segment Reporting Corporate Turkey Bulgaria Total (in thousands) For the year ended December 31, 2015 Total revenues $ – $ 85,064 $ – $ 85,064 Production – 12,804 69 12,873 Exploration, abandonment, and impairment – 17,778 3,766 21,544 Cost of purchased gas – 2,082 – 2,082 Seismic and other exploration 55 264 51 370 General and administrative 12,729 11,132 277 24,138 Depreciation, depletion and amortization 306 37,401 – 37,707 Accretion of asset retirement obligations – 350 18 368 Total costs and expenses 13,090 81,811 4,181 99,082 Operating (loss) income (13,090 ) 3,253 (4,181 ) (14,018 ) Interest and other expense (7,383 ) (5,694 ) – (13,077 ) Interest income 354 500 1 855 Gain on commodity derivative contracts – 27,457 – 27,457 Foreign exchange loss (58 ) (5,589 ) (6 ) (5,653 ) (Loss) income from continuing operations before income taxes (20,177 ) 19,927 (4,186 ) (4,436 ) Income tax expense – (22,229 ) – (22,229 ) Net loss from continuing operations $ (20,177 ) $ (2,302 ) $ (4,186 ) $ (26,665 ) Total assets at December 31, 2015 $ 14,689 $ 232,648 $ 601 $ 247,938 (1) Capital expenditures for the year ended December 31, 2015 $ 163 $ 22,262 $ 41 $ 22,466 For the year ended December 31, 2014 Total revenues $ – $ 138,807 $ 23 $ 138,830 Production – 18,059 134 18,193 Exploration, abandonment, and impairment – 19,820 44 19,864 Cost of purchased gas – 2,055 – 2,055 Seismic and other exploration 178 4,106 1 4,285 Revaluation of contingent consideration – – (2,500 ) (2,500 ) General and administrative 14,418 14,984 1,669 31,071 Depreciation, depletion and amortization 124 48,452 18 48,594 Accretion of asset retirement obligations – 387 19 406 Total costs and expenses 14,720 107,863 (615 ) 121,968 Operating (loss) income (14,720 ) 30,944 638 16,862 Interest and other expense (36 ) (6,007 ) (1 ) (6,044 ) Interest income 350 770 4 1,124 Gain on commodity derivative contracts – 37,454 – 37,454 Foreign exchange loss (4 ) (6,497 ) (22 ) (6,523 ) (Loss) income from continuing operations before income taxes (14,410 ) 56,664 619 42,873 Income tax expense – (13,659 ) – (13,659 ) Net (loss) income from continuing operations $ (14,410 ) $ 43,005 $ 619 $ 29,214 Total assets at December 31, 2014 $ 51,919 $ 363,162 $ 4,675 $ 419,756 (1) Goodwill at December 31, 2014 $ – $ 6,935 $ – $ 6,935 Capital expenditures for the year ended December 31, 2014 $ 545 $ 109,563 $ 1,393 $ 111,501 For the year ended December 31, 2013 Total revenues $ – $ 130,701 $ 126 $ 130,827 Production 5 18,384 213 18,602 Exploration, abandonment, and impairment – 27,116 217 27,333 Cost of purchased gas – 2,247 – 2,247 Seismic and other exploration 100 13,909 – 14,009 Revaluation of contingent consideration – – (5,000 ) (5,000 ) General and administrative 12,685 16,068 267 29,020 Depreciation, depletion and amortization 69 41,196 57 41,322 Accretion of asset retirement obligations – 475 33 508 Total costs and expenses 12,859 119,395 (4,213 ) 128,041 Operating (loss) income (12,859 ) 11,306 4,339 2,786 Interest and other expense – (3,929 ) – (3,929 ) Interest income 284 1,056 – 1,340 Loss on commodity derivative contracts – (2,698 ) – (2,698 ) Foreign exchange (loss) gain (9 ) (9,664 ) 10 (9,663 ) (Loss) income loss from continuing operations before income taxes (12,584 ) (3,929 ) 4,349 (12,164 ) Income tax expense – (1,107 ) – (1,107 ) Net (loss) income from continuing operations $ (12,584 ) $ (5,036 ) $ 4,349 $ (13,271 ) (1) Total assets at December 31, 2013 $ 14,070 $ 321,749 $ 10,231 $ 346,050 Goodwill at December 31, 2013 $ – $ 7,535 $ – $ 7,535 Capital expenditures for the year ended December 31, 2013 $ 1,003 $ 96,206 $ 2,742 $ 99,951 (1) Excludes assets from our discontinued Albanian and Moroccan operations of $51.5 million, $126.6 million, and $0.5 million at December 31, 2015, 2014 and 2013, respectively. |
Financial instruments (Tables)
Financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Fair Value Disclosures [Abstract] | |
Valuation of Financial Assets and Liabilities | The following table summarizes the valuation of our financial assets and liabilities as of December 31, 2015: Fair Value Measurement Classification Quoted Prices in Active Markets for Identical Assets or Significant Other Significant Liabilities Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Total (in thousands) Measured on a recurring basis Assets: Commodity derivative contracts $ – $ 6,605 $ – $ 6,605 Disclosed but not carried at fair value Liabilities: Senior Credit Facility – – (30,050 ) (30,050 ) Convertible notes – – (44,489 ) (44,489 ) Total $ – $ 6,605 $ (74,539 ) $ (67,934 ) The following table summarizes the valuation of our financial assets and liabilities as of December 31, 2014: Fair Value Measurement Classification Quoted Prices in Active Markets for Identical Assets or Significant Other Significant Liabilities Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Total (in thousands) Measured on a recurring basis Assets: Commodity derivative contracts $ – $ 31,587 $ – $ 31,587 Disclosed but not carried at fair value Liabilities: Senior Credit Facility – (68,297 ) – (68,297 ) Convertible notes – (47,400 ) – (47,400 ) Total $ – $ (84,110 ) $ – $ (84,110 ) |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Commitments And Contingencies Disclosure [Abstract] | |
Aggregate Annual Commitments Other Than Debt | Our aggregate annual commitments, other than our loans payable, as of December 31, 2015 were as follows: Payments Due By Year Total 2016 2017 2018 2019 2020 Thereafter (in thousands) Interest $ 11,934 $ 8,359 $ 3,575 $ – $ – $ – $ – Leases 5,595 823 518 446 – – 3,808 Total $ 17,529 $ 9,182 $ 4,093 $ 446 $ – $ – $ 3,808 |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Related Party Transactions [Abstract] | |
Related Party Accounts Receivable and Accounts Payable | The following table summarizes related party accounts receivable and accounts payable as of December 31, 2015 and December 31, 2014: 2015 2014 (in thousands) Related party accounts receivable: Viking International master services agreement $ 220 $ 355 Riata Management Service Agreement 194 159 Dalea Note – 88 Total related party accounts receivable $ 414 $ 602 Related party accounts payable: Viking International master services agreement $ 2,300 $ 12,138 Riata Management Service Agreement 384 1,734 Total related party accounts payable $ 2,684 $ 13,872 |
Discontinued Operations (Tables
Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Summary of Assets and Liabilities Held for Sale and Operating Results from Discontinued Operations | The assets and liabilities held for sale at December 31, 2015 and 2014 were as follows: Albania Morocco Total Held for Sale (in thousands) For the year ended December 31, 2015 Assets Cash $ 1,201 $ 16 $ 1,217 Other current assets 1,853 11 1,864 Property and equipment, net 48,430 – 48,430 Total current assets held for sale $ 51,484 $ 27 $ 51,511 Liabilities Accounts payable and other accrued liabilities $ 37,888 $ 6,352 $ 44,240 Accounts payable - related party 3,540 – 3,540 Loans payable 6,123 – 6,123 Loans payable - related party – – – Deferred tax liability 15,286 – 15,286 Total current liabilities held for sale $ 62,837 $ 6,352 $ 69,189 For the year ended December 31, 2014 Assets Cash $ 392 $ 16 $ 408 Other current assets 7,324 12 7,336 Total current assets held for sale 7,716 28 7,744 Property and equipment, net 118,903 – 118,903 Total assets held for sale $ 126,619 $ 28 $ 126,647 Liabilities Accounts payable and accrued liabilities $ 29,862 $ 6,928 $ 36,790 Accounts payable - related party 4,616 – 4,616 Loans payable 10,973 – 10,973 Loans payable - related party 6,800 – 6,800 Total current liabilities held for sale 52,251 6,928 59,179 Accrued liabilities 5,433 – 5,433 Loans payable 5,103 – 5,103 Deferred tax liability 31,455 – 31,455 Total long-term liabilities held for sale 41,991 – 41,991 Total liabilities held for sale $ 94,242 $ 6,928 $ 101,170 Our operating results from discontinued operations for the years ended December 31, 2015, 2014 and 2013 are summarized as follows: Albania Morocco Total (in thousands) For the year ended December 31, 2015 Total revenues $ 8,565 $ – $ 8,565 Production and transportation expense 11,615 – 11,615 Exploration, abandonment and impairment 86,577 – 86,577 Total other costs and expenses 9,229 5 9,234 Total other income 1,819 – 1,819 Loss before income taxes $ (97,037 ) $ (5 ) $ (97,042 ) Income tax benefit 16,169 – 16,169 Loss from discontinued operations $ (80,868 ) $ (5 ) $ (80,873 ) For the year ended December 31, 2014 Total revenues $ 1,898 $ – $ 1,898 Total costs and expenses 2,984 20 3,004 Total other income 356 – 356 Loss before income taxes $ (730 ) $ (20 ) $ (750 ) Income tax benefit 612 – 612 Loss from discontinued operations $ (118 ) $ (20 ) $ (138 ) For the year ended December 31, 2013 Total revenues $ – $ – $ – Total costs and expenses – 505 505 Total other income – 63 63 Loss before income taxes $ – $ (442 ) $ (442 ) Income tax benefit – – – Loss from discontinued operations $ – $ (442 ) $ (442 ) |
Debt | As of the dates indicated, our third-party debt consisted of the following: December 31, December 31, 2015 2014 Fixed and floating rate loans (in thousands) Convertible Notes $ 34,400 $ 26,600 Senior Credit Facility 32,075 68,297 Convertible Notes - related party 20,600 20,800 TBNG credit facility 5,192 20,025 ANBE Promissory Note 3,592 – West Promissory Notes 1,000 – Loans payable 96,859 135,722 Less: current portion 41,859 34,833 Long-term portion $ 55,000 $ 100,889 |
TransAtlantic Albania [Member] | |
Debt | As of the dates indicated, TransAtlantic Albania’s third-party debt consisted of the following: December 31, December 31, 2015 2014 Fixed and floating rate loans (in thousands) Term Loan Facility $ 6,123 $ 10,453 Viking International note - related party – 6,800 Prepayment Agreement – 3,043 Shareholder loan – 2,580 Loans payable $ 6,123 $ 22,876 |
Acquisitions (Tables)
Acquisitions (Tables) | 12 Months Ended |
Dec. 31, 2015 | |
Business Combinations [Abstract] | |
Consideration Paid in Acquisition and Final Recognized Amounts of Assets Acquired and Liabilities Assumed | We have completed our assessment of the assets acquired and liabilities assumed, and the values are presented below. The following tables summarize the consideration paid in the acquisition and the final amounts of assets acquired and liabilities assumed that have been recognized at the acquisition date: (in thousands) Consideration: Issuance of 3,218,641 common shares $ 23,850 Fair value of total consideration $ 23,850 Acquisition-Related Costs: Included in general and administrative expenses on our consolidated statements of comprehensive income (loss) for the year ended December 31, 2014 $ 1,129 Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed at Acquisition: Assets: Cash $ 66 Accounts receivable 6,672 Other current assets 1,418 Total current assets 8,156 Oil and natural gas properties: Proved properties 99,927 Unproved properties 12,854 Equipment and other property 2,386 Total oil and natural gas properties and other equipment 115,167 Total assets 123,323 Liabilities: Accounts payable 20,673 Accounts payable - related party 2,820 Other current liabilities 13,395 Viking International note - related party 6,800 Loans payable - current 11,732 Other non-current liabilities 5,036 Loans payable - non-current 6,123 Asset retirement obligations 827 Deferred income taxes 32,067 Total liabilities 99,473 Total identifiable net assets $ 23,850 |
Consolidated Results of Operation | The results of operations of Stream are included in our consolidated statement of comprehensive income (loss) beginning November 18, 2014 and have been classified as discontinued operations for the year ended December 31, 2015. The revenues and expenses of Stream included in our consolidated statement of comprehensive income (loss) for the year ended December 31, 2014 were: Revenue Loss (in thousands) Actual from November 18, 2014 through December 31, 2014 $ 1,898 $ (118 ) |
General - Additional Informatio
General - Additional Information (Detail) - Segment | 12 Months Ended | |
Dec. 31, 2015 | Mar. 29, 2016 | |
Nature Of Business [Line Items] | ||
Number of operating segments | 3 | |
Subsequent Event [Member] | ||
Nature Of Business [Line Items] | ||
Percentage of common shares owned | 36.00% |
Going Concern - Additional Info
Going Concern - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||||
Mar. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 30, 2016 | Dec. 30, 2015 | |
Going Concern [Line Items] | ||||||
Net income (loss) | $ (107,538,000) | $ 29,076,000 | $ (13,713,000) | |||
Adjustment for net loss from discontinued operations | 80,873,000 | 138,000 | $ 442,000 | |||
Outstanding principal debt | 96,900,000 | |||||
Working capital deficit | (30,100,000) | |||||
Line of credit facility outstanding | 96,859,000 | $ 135,722,000 | ||||
Debt service obligation, 2016 | 41,900,000 | |||||
Debt service obligation, 2017 | 55,000,000 | |||||
Senior Credit Facility [Member] | ||||||
Going Concern [Line Items] | ||||||
Line of credit facility borrowing capacity | $ 15,500,000 | |||||
Line of credit facility outstanding | 32,100,000 | |||||
Senior Credit Facility [Member] | Subsequent Event [Member] | ||||||
Going Concern [Line Items] | ||||||
Line of credit facility outstanding | $ 30,800,000 | |||||
Senior Credit Facility [Member] | Scenario, Forecast [Member] | ||||||
Going Concern [Line Items] | ||||||
Line of credit facility borrowing capacity | $ 0 | |||||
Line of Credit [Member] | Senior Credit Facility [Member] | Subsequent Event [Member] | ||||||
Going Concern [Line Items] | ||||||
Line of credit facility borrowing capacity | $ 14,200,000 | |||||
Line of Credit [Member] | Senior Credit Facility [Member] | Scenario, Forecast [Member] | ||||||
Going Concern [Line Items] | ||||||
Line of credit facility, repayment | $ 1,300,000 | |||||
Line of Credit [Member] | Senior Credit Facility [Member] | BNP Paribas and IFC [Member] | ||||||
Going Concern [Line Items] | ||||||
Line of credit facility borrowing capacity | $ 16,600,000 | $ 16,600,000 |
Significant Accounting Polici42
Significant Accounting Policies - Additional information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Significant Accounting Policies [Line Items] | |||
Determination of exploratory well's ability to produce, term | 1 year | ||
Goodwill impairment | $ 5,531 | ||
Sales revenue, crude oil and natural gas | 63,000 | $ 102,800 | $ 87,200 |
Liability for Uncertain Tax Positions, Current | $ 10,100 | ||
Sales Revenue, Goods, Net [Member] | Revenue from Rights Concentration Risk [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration Risk, Percentage | 74.00% | 74.10% | 66.70% |
Minimum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Equipment and other property, estimated useful lives | 3 years | ||
Maximum [Member] | |||
Significant Accounting Policies [Line Items] | |||
Equipment and other property, estimated useful lives | 7 years |
Goodwill - Additional Informati
Goodwill - Additional Information (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2015USD ($) | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill impairment | $ 5,531 |
Goodwill - Schedule of Goodwill
Goodwill - Schedule of Goodwill (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ||
Goodwill, Beginning balance | $ 6,935 | $ 7,535 |
Foreign exchange effect | (1,404) | (600) |
Impairment | $ (5,531) | |
Goodwill, Ending balance | $ 6,935 |
Property and Equipment - Capita
Property and Equipment - Capitalized Costs under Successful Efforts Method for Oil and Natural Gas Properties (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property Plant And Equipment [Line Items] | ||
Oil and natural gas properties, proved | $ 271,080 | $ 323,994 |
Oil and natural gas properties, unproved | 31,135 | 47,137 |
Gross oil and natural gas properties | 302,215 | 371,131 |
Accumulated depletion | (139,002) | (132,971) |
Net oil and natural gas properties | 163,213 | 238,160 |
Turkey [Member] | ||
Property Plant And Equipment [Line Items] | ||
Oil and natural gas properties, proved | 270,591 | 323,442 |
Oil and natural gas properties, unproved | 31,135 | 43,090 |
Bulgaria [Member] | ||
Property Plant And Equipment [Line Items] | ||
Oil and natural gas properties, proved | $ 489 | 552 |
Oil and natural gas properties, unproved | $ 4,047 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Property Plant And Equipment [Line Items] | |||
Proved development wells excluded from depletion | $ 0.7 | $ 1.2 | |
Acquisition costs of proved properties | 20 | 29 | |
Well costs and additional development costs | 111.4 | 160.8 | |
Exploratory dry hole costs | 16 | ||
Impairment charge on well | 19.9 | $ 16 | |
Cash spent during the period for dry hole cost | 4.9 | ||
Software [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment excluded from depreciation | 3 | ||
Inventory [Member] | |||
Property Plant And Equipment [Line Items] | |||
Property plant and equipment excluded from depreciation | 21.3 | 23.4 | |
Unproved Properties [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 13.8 | 27.3 | |
Proved properties [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | $ 27.3 | ||
Molla and Bakuk field | Turkey [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 5.8 | ||
Deventci-R2 well [Member] | Bulgaria [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 3.7 | ||
Pinar - 1 well [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 3.5 | ||
Pinar - 1 well [Member] | Turkey [Member] | |||
Property Plant And Equipment [Line Items] | |||
Exploratory drilling costs capitalized | 2.2 | ||
South Goksu-1 well | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 0.7 | ||
Catak-1 Well [Member] | Unproved Properties [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 3.5 | ||
Kazanci-5 Well [Member] | Unproved Properties [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | 2.8 | ||
Bahar-2 Side Track Well [Member] | Unproved Properties [Member] | |||
Property Plant And Equipment [Line Items] | |||
Impairment charge on well | $ 7.5 | ||
Hayrabolu-10 well [Member] | Turkey [Member] | |||
Property Plant And Equipment [Line Items] | |||
Exploratory drilling costs capitalized | $ 1.3 |
Property and Equipment - Histor
Property and Equipment - Historical Cost of Equipment and Other Property on Gross Basis with Accumulated Depreciation (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | $ 36,708 | $ 41,445 |
Accumulated depreciation | (9,216) | (8,673) |
Net equipment and other property | 27,492 | 32,772 |
Other equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 2,378 | 2,983 |
Inventory [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 21,338 | 23,411 |
Gas gathering system and facilities [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 4,798 | 6,016 |
Vehicles [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 400 | 488 |
Leasehold improvements, office equipment and software [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | $ 7,794 | $ 8,547 |
Commodity Derivative Instrume48
Commodity Derivative Instruments - Additional Information (Detail) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Nov. 17, 2015$ / bbl | Oct. 14, 2015$ / bbl | Sep. 14, 2015$ / bbl | |
Derivatives Fair Value [Line Items] | ||||||
Gain on commodity derivative contracts | $ 27,457 | $ 37,454 | $ (2,698) | |||
Cost of hedging | (4,638) | |||||
Senior Credit Facility [Member] | ||||||
Derivatives Fair Value [Line Items] | ||||||
Put option strike price | $ / bbl | 50 | 50 | 50 | |||
Cost of hedging | 4,600 | |||||
Proceeds from hedging transactions, gross | 41,800 | |||||
Proceeds from hedging transactions, net | $ 37,200 | |||||
Turkey [Member] | Senior Credit Facility [Member] | Minimum [Member] | ||||||
Derivatives Fair Value [Line Items] | ||||||
Percentage of hedge of anticipated production volume | 30.00% | |||||
Turkey [Member] | Senior Credit Facility [Member] | Maximum [Member] | ||||||
Derivatives Fair Value [Line Items] | ||||||
Percentage of hedge of anticipated production volume | 75.00% |
Commodity Derivative Instrume49
Commodity Derivative Instruments - Fair Value of Derivative Instruments of Future Crude Oil Production (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2015USD ($)$ / bblbbl | Dec. 31, 2014USD ($)$ / bblbbl | |
Derivatives Fair Value [Line Items] | ||
Estimated Fair Value of Asset | $ | $ 6,605 | $ 31,587 |
Put [Member] | January 1, 2016 - December 31, 2016 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 808 | |
Collars Weighted Average Minimum Price (per Bbl) | 50 | |
Estimated Fair Value of Asset | $ | $ 3,235 | |
Put [Member] | January 1, 2017 - December 31, 2017 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 610 | |
Collars Weighted Average Minimum Price (per Bbl) | 50 | |
Estimated Fair Value of Asset | $ | $ 1,798 | |
Put [Member] | January 1, 2018 - December 31, 2018 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 494 | |
Collars Weighted Average Minimum Price (per Bbl) | 50 | |
Estimated Fair Value of Asset | $ | $ 1,292 | |
Put [Member] | January 1, 2019 - March 31, 2019 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 443 | |
Collars Weighted Average Minimum Price (per Bbl) | 50 | |
Estimated Fair Value of Asset | $ | $ 280 | |
Collar [Member] | ||
Derivatives Fair Value [Line Items] | ||
Estimated Fair Value of Asset | $ | $ 12,518 | |
Collar [Member] | January 1, 2015 - December 31, 2015 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 1,410 | |
Collars Weighted Average Minimum Price (per Bbl) | 85 | |
Weighted Average Maximum Price (per Bbl) | 97.25 | |
Estimated Fair Value of Asset | $ | $ 12,518 | |
Three-way collar contract [Member] | ||
Derivatives Fair Value [Line Items] | ||
Estimated Fair Value of Asset | $ | $ 19,069 | |
Three-way collar contract [Member] | January 1, 2016 - December 31, 2016 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 1,066 | |
Collars Weighted Average Minimum Price (per Bbl) | 85 | |
Weighted Average Maximum Price (per Bbl) | 97.25 | |
Estimated Fair Value of Asset | $ | $ 7,609 | |
Three-way collar contract [Member] | January 1, 2016 - December 31, 2016 [Member] | Additional Call [Member] | ||
Derivatives Fair Value [Line Items] | ||
Weighted Average Maximum Price (per Bbl) | 114.25 | |
Three-way collar contract [Member] | January 1, 2017 - December 31, 2017 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 888 | |
Collars Weighted Average Minimum Price (per Bbl) | 85 | |
Weighted Average Maximum Price (per Bbl) | 97.25 | |
Estimated Fair Value of Asset | $ | $ 5,748 | |
Three-way collar contract [Member] | January 1, 2017 - December 31, 2017 [Member] | Additional Call [Member] | ||
Derivatives Fair Value [Line Items] | ||
Weighted Average Maximum Price (per Bbl) | 114.25 | |
Three-way collar contract [Member] | January 1, 2018 - December 31, 2018 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 726 | |
Collars Weighted Average Minimum Price (per Bbl) | 85 | |
Weighted Average Maximum Price (per Bbl) | 97.25 | |
Estimated Fair Value of Asset | $ | $ 4,659 | |
Three-way collar contract [Member] | January 1, 2018 - December 31, 2018 [Member] | Additional Call [Member] | ||
Derivatives Fair Value [Line Items] | ||
Weighted Average Maximum Price (per Bbl) | 114.25 | |
Three-way collar contract [Member] | January 1, 2019 - March 31, 2019 [Member] | ||
Derivatives Fair Value [Line Items] | ||
Quantity (Bbl/day) | bbl | 663 | |
Collars Weighted Average Minimum Price (per Bbl) | 85 | |
Weighted Average Maximum Price (per Bbl) | 97.25 | |
Estimated Fair Value of Asset | $ | $ 1,053 | |
Three-way collar contract [Member] | January 1, 2019 - March 31, 2019 [Member] | Additional Call [Member] | ||
Derivatives Fair Value [Line Items] | ||
Weighted Average Maximum Price (per Bbl) | 114.25 |
Commodity Derivative Instrume50
Commodity Derivative Instruments - Summary of Gross Fair Value of Commodity Derivative Instruments by Balance Sheet Classification (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Derivatives Fair Value [Line Items] | ||
Estimated Fair Value of Asset | $ 6,605 | $ 31,587 |
Net Amount of Assets Presented in the Consolidated Balance Sheet, Current assets | 3,235 | 12,518 |
Net Amount of Assets Presented in the Consolidated Balance Sheet, Long-term assets | 3,370 | 19,069 |
Crude Oil | Current Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Estimated Fair Value of Asset | 3,235 | 12,518 |
Crude Oil | Long Term Assets [Member] | ||
Derivatives Fair Value [Line Items] | ||
Estimated Fair Value of Asset | $ 3,370 | $ 19,069 |
Asset Retirement Obligations -
Asset Retirement Obligations - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Asset Retirement Obligations [Line Items] | |||
Asset retirement obligation, net present value | $ 9,237 | $ 10,543 | $ 10,896 |
Asset retirement obligation, undiscounted value | $ 15,100 | ||
Turkey [Member] | |||
Asset Retirement Obligations [Line Items] | |||
Inflation rate per annum used to adjust asset retirement obligation | 6.90% | ||
Credit-adjusted risk-free rate used to discount asset retirement obligation | 5.60% |
Asset Retirement Obligations 52
Asset Retirement Obligations - Changes in Asset Retirement Obligations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Asset Retirement Obligation Disclosure [Abstract] | |||
Asset retirement obligations at beginning of period | $ 10,543 | $ 10,896 | |
Change in estimates | 385 | ||
Liabilities settled | (373) | ||
Foreign exchange change effect | (2,137) | (899) | |
Additions | 78 | 513 | |
Accretion expense | 368 | 406 | $ 508 |
Asset retirement obligations at end of period | 9,237 | 10,543 | $ 10,896 |
Less: current portion | 323 | ||
Long-term portion | $ 9,237 | $ 10,220 |
Loans Payable - Debt (Detail)
Loans Payable - Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Loans payable | $ 96,859 | $ 135,722 |
Less: current portion | 41,859 | 34,833 |
Long-term portion | 55,000 | 100,889 |
Senior Credit Facility [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 32,075 | 68,297 |
TBNG credit facility [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 5,192 | 20,025 |
ANBE Promissory Note [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 3,592 | |
West Promissory Notes [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 1,000 | |
Convertible Notes [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 34,400 | 26,600 |
Convertible Notes - Related Party [Member] | Convertible Notes [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | $ 20,600 | $ 20,800 |
Loans Payable - Additional Info
Loans Payable - Additional Information (Detail) - USD ($) | Aug. 21, 2015 | May. 06, 2014 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Mar. 30, 2016 | Dec. 30, 2015 | Aug. 31, 2015 |
Line Of Credit Facility [Line Items] | ||||||||
Debt Instrument, Maturity Date | Mar. 31, 2019 | |||||||
Accelerated senior credit facility maturity trigger description | The last date of the borrowing base calculation period that immediately precedes the date that the semi-annual banking case of BNP Paribas and the Borrowers determines that the aggregate amount of hydrocarbons to be produced from the borrowing base assets in Turkey are less than 25% of the amount of hydrocarbons to be produced from the borrowing base assets shown in the initial banking case prepared by BNP Paribas and the Borrowers. | |||||||
Combined current ratio | 110.00% | |||||||
EBITDAX to Credit facility ratio | 150.00% | |||||||
EBITDAX to interest expense ratio | 400.00% | |||||||
Total debt to EBITDAX ratio | 250.00% | |||||||
Loans payable | $ 96,859,000 | $ 135,722,000 | ||||||
Convertible Notes [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Loans payable | 34,400,000 | 26,600,000 | ||||||
Maximum [Member] | Mr Mitchell And Affiliates [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Ownership percentage triggering default | 35.00% | |||||||
Minimum [Member] | Other Than Mr Mitchell And Affiliates [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Ownership percentage triggering default | 35.00% | |||||||
Turkey [Member] | Maximum [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Accelerated senior credit facility maturity trigger, remaining hydrocarbon percentage | 25.00% | |||||||
Senior Credit Facility [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 150,000,000 | |||||||
Individual commitments | 20,000,000 | |||||||
Lenders aggregate commitments | $ 40,000,000 | |||||||
Commitments reduction percentage | 7.69% | |||||||
Line of credit facility borrowing capacity | $ 15,500,000 | |||||||
Description of variable rate basis | LIBOR plus 5.00% per annum (5.61% at December 31, 2015) | |||||||
Debt instrument basis spread on variable rate | 5.00% | 5.61% | ||||||
Commitment fee percentage, unused | 2.00% | |||||||
Commitment fee percentage, unused | 1.00% | |||||||
Hedge designations used for price of oil | As of December 31, 2015, TEMI had put contracts with BNP Paribas, which hedge the price of oil through March 2019 | |||||||
Loans payable | $ 32,100,000 | |||||||
Senior Credit Facility [Member] | Subsequent Event [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Loans payable | $ 30,800,000 | |||||||
Senior Credit Facility [Member] | Maximum [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Anticipated oil production volume hedging percentage | 75.00% | |||||||
Senior Credit Facility [Member] | Minimum [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Anticipated oil production volume hedging percentage | 30.00% | |||||||
Senior Credit Facility [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Percentage of Fronting Fee | 1.00% | |||||||
13.0% convertible notes due in 2017 [Member] | Convertible Debt [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Notes Payable | $ 55,000,000 | |||||||
13.0% convertible notes due in 2017 [Member] | Convertible Notes [Member] | Convertible Debt [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Debt Instrument, Maturity Date | Jul. 1, 2017 | |||||||
Debt instrument interest rate stated percentage | 13.00% | |||||||
Debt Instrument, Convertible, Conversion Ratio | $ 6.80 | |||||||
West Promissory Notes [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Loans payable | $ 1,000,000 | |||||||
West Promissory Notes [Member] | TransAtlantic USA [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 1,500,000 | |||||||
Line of credit facility borrowing capacity | 1,000,000 | |||||||
Debt Instrument, Maturity Date | Oct. 1, 2016 | |||||||
Loans payable | $ 500,000 | |||||||
Debt instrument interest rate stated percentage | 9.00% | |||||||
ANBE Promissory Note [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Loans payable | $ 3,592,000 | |||||||
ANBE Promissory Note [Member] | Convertible Promissory Note [Member] | TransAtlantic USA [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line Of Credit Facility Maximum Borrowing Capacity | 5,000,000 | |||||||
Line of credit facility borrowing capacity | $ 3,600,000 | |||||||
Debt Instrument, Maturity Date | Jun. 30, 2016 | |||||||
Debt instrument interest rate stated percentage | 13.00% | |||||||
Debt Instrument, Convertible, Conversion Ratio | $ 1.3755 | $ 1.3755 | ||||||
Borrowings, description | Each Subsequent Advance must be in a multiple of $500,000, or if the amount remaining for advance under the Note is less than $500,000, such lesser amount. | |||||||
Line of credit facility subsequent advance in multiple | $ 500,000 | |||||||
Line of credit facility minimum subsequent advance of multiple | 500,000 | |||||||
Debit instrument, percentage of conversion price per common share | 105.00% | |||||||
Unsecured lines of credit [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Loans payable | $ 0 | |||||||
Line of Credit [Member] | Senior Credit Facility [Member] | Subsequent Event [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line of credit facility borrowing capacity | $ 14,200,000 | |||||||
Letter of Credit [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 10,000,000 | |||||||
Percentage of Fronting Fee | 0.25% | |||||||
Letter Of Credit Other Than Cash Collateralized [Member] | Senior Credit Facility [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Percentage of Fronting Fee | 5.00% | |||||||
Loan Financing Costs [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Deferred Finance Costs, Current, Net | 1,600,000 | 2,700,000 | ||||||
Amortization of Deferred Loan Origination Fees, Net | $ 1,600,000 | $ 1,000,000 | $ 500,000 | |||||
BNP Paribas and IFC [Member] | Line of Credit [Member] | Senior Credit Facility [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line of credit facility, initiation date | May 6, 2014 | |||||||
Borrowing base deficiency | $ 15,500,000 | |||||||
Line of credit facility borrowing capacity | $ 16,600,000 | $ 16,600,000 | ||||||
Field life coverage ratio for debt value calculation | 150.00% | |||||||
Loan life coverage ratio for debt value calculation | 130.00% | |||||||
Turkish Bank [Member] | Line of Credit [Member] | TBNG Credit Facility [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Loans payable | $ 5,200,000 | |||||||
Debt instrument interest rate stated percentage | 7.00% | |||||||
Monthly principal installment payment start date | Mar. 29, 2016 | |||||||
Line of credit facility expiration date | Jun. 29, 2016 | |||||||
Turkish Bank [Member] | Line of Credit [Member] | TBNG Credit Facility [Member] | Mitchell, and his Children [Member] | ||||||||
Line Of Credit Facility [Line Items] | ||||||||
Line of credit facility ownership percentage | 97.50% |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Detail) - USD ($) | Aug. 13, 2015 | Apr. 24, 2015 | Nov. 30, 2014 | Jul. 31, 2013 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | Dec. 31, 2012 |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Issuance of common shares (in shares) | 3,218,641 | 351,074 | ||||||
Issuance of common shares, price per share | $ 7.41 | $ 7.12 | ||||||
Options previously outstanding, term | 5 years | |||||||
Number of options outstanding | 0 | 0 | 16,000 | |||||
Share-based compensation expense, stock option | $ 0 | $ 0 | $ 0 | |||||
Antidilutive securities excluded from computation of earnings per share amount | 8,900,000 | 0 | 800,000 | |||||
Common share purchase warrants issued | 233,333 | 233,333 | ||||||
Common share purchase warrants issued, expiration period | 18 months | 18 months | ||||||
Common share purchase | 1 | |||||||
Common share purchase warrants, exercise price | $ 2.99 | $ 5.65 | $ 5.99 | |||||
Mr. Mitchell [Member] | ||||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Common share purchase warrants issued | 134,169 | |||||||
Mitchell, and his Children [Member] | ||||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Common share purchase warrants issued | 23,333 | |||||||
Mitchell And Other Related Parties [Member] | ||||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Share-based compensation expense | $ 500,000 | |||||||
Common share purchase warrants issued | 233,333 | 233,333 | ||||||
Common share purchase warrants issued, expiration period | 18 months | 18 months | ||||||
Common share purchase warrants, exercise price | $ 2.99 | $ 5.65 | ||||||
Warrants [Member] | ||||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Share-based compensation expense | $ 500,000 | |||||||
Common share purchase | 1 | |||||||
Restricted Stock Units [Member] | ||||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Estimated forfeiture rate of RSUs | 12.50% | |||||||
Share-based compensation expense | $ 1,100,000 | $ 1,400,000 | ||||||
Unrecognized compensation expense | $ 1,100,000 | |||||||
Unrecognized compensation expense recognition period | 1 year 6 months | |||||||
Restricted Stock Units [Member] | Maximum [Member] | ||||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | ||||||||
Restricted stock unit, vesting period | 4 years |
Shareholders' Equity - Restrict
Shareholders' Equity - Restricted Stock Unit Activity (Detail) - Restricted Stock Units [Member] shares in Thousands | 12 Months Ended |
Dec. 31, 2015$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unvested RSUs outstanding, beginning balance | shares | 223 |
Granted | shares | 586 |
Forfeited | shares | (48) |
Vested | shares | (332) |
Unvested RSUs outstanding, ending balance | shares | 429 |
Unvested RSUs, weighted average grant date fair value Per RSU, beginning balance | $ / shares | $ 8.21 |
Granted, weighted average grant date fair value Per RSU | $ / shares | 5.06 |
Forfeited, weighted average grant date fair value Per RSU | $ / shares | 6.26 |
Vested, weighted average grant date fair value Per RSU | $ / shares | 6.31 |
Unvested RSUs weighted average grant date fair value Per RSU, ending balance | $ / shares | $ 8.21 |
Shareholders' Equity - Details
Shareholders' Equity - Details of Stock Options Activity (Detail) shares in Thousands | 12 Months Ended |
Dec. 31, 2013$ / sharesshares | |
Equity [Abstract] | |
Number of Options, Outstanding, Beginning Balance | shares | 16 |
Number of Options, Expired | shares | (16) |
Outstanding, Weighted Average Exercise Price Per Share, Beginning balance | $ / shares | $ 12.30 |
Expired, Weighted Average Exercise Price Per Share | $ / shares | $ 12.30 |
Shareholders' Equity - Basic an
Shareholders' Equity - Basic and Diluted Earnings Per Common Share Computations (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |||
Equity [Abstract] | |||||
Net (loss) income from continuing operations | $ (26,665) | $ 29,214 | [1] | $ (13,271) | [1] |
Net loss from discontinued operations | $ (80,873) | $ (138) | $ (442) | ||
Weighted average common shares outstanding | 40,841 | 37,829 | 37,069 | ||
Continuing operations | $ (0.65) | $ 0.77 | $ (0.36) | ||
Discontinued operations | $ (1.98) | $ (0.01) | |||
Restricted share units | 152 | ||||
Convertible notes | 50 | ||||
Weighted average common and common equivalent shares outstanding | 40,841 | 38,031 | 37,069 | ||
Continuing operations | $ (0.65) | $ 0.77 | $ (0.36) | ||
Discontinued operations | $ (1.98) | $ (0.01) | |||
[1] | Excludes assets from our discontinued Albanian and Moroccan operations of $51.5 million, $126.6 million, and $0.5 million at December 31, 2015, 2014 and 2013, respectively. |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Bermuda Income Tax Expense to Actual Income Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Income Tax Disclosure [Abstract] | |||
Statutory rate | 0.00% | 0.00% | 0.00% |
(Loss) income from continuing operations before income taxes | $ (4,436) | $ 42,873 | $ (12,164) |
Increase (decrease) resulting from: | |||
Foreign tax rate differentials | 1,676 | 9,262 | (1,443) |
Uncertain tax position | 10,066 | 1,260 | |
Unremitted earnings | 11,561 | ||
Derivative contracts | (5,038) | ||
Change in valuation allowance | 3,232 | 228 | 982 |
Expiration of non-capital tax loss carryovers | 1,740 | 1,841 | 1,367 |
Other | (1,008) | 1,068 | 201 |
Total | $ 22,229 | $ 13,659 | $ 1,107 |
Income Taxes - Components of Ne
Income Taxes - Components of Net Deferred Income Tax Liability (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Deferred tax assets | ||
Property and equipment | $ 3,749 | $ 4,383 |
Timing of accruals | 344 | 692 |
Non-capital loss carryovers | 24,098 | 28,155 |
Valuation allowance | (27,870) | (27,391) |
Total deferred tax assets | 321 | 5,839 |
Deferred tax liabilities | ||
Property and equipment | (15,756) | (23,124) |
Unremitted earnings | (11,561) | |
Unrealized gains on derivative contracts | (6,318) | |
Timing of accruals | (364) | |
Total deferred tax liabilities | (27,681) | (29,442) |
Net deferred tax liabilities | (27,360) | (23,603) |
Components of net deferred tax liabilities | ||
Non-current assets | 1,343 | |
Non-current liabilities | (27,360) | (24,946) |
Net deferred tax liabilities | $ (27,360) | $ (23,603) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) TRY in Millions, RON in Millions, BGN in Millions | 12 Months Ended | ||||
Dec. 31, 2015USD ($) | Dec. 31, 2015TRY | Dec. 31, 2015RON | Dec. 31, 2015BGN | Dec. 31, 2014USD ($) | |
Income Tax [Line Items] | |||||
Valuation allowance | $ 27,870,000 | $ 27,391,000 | |||
Reversal of non-current asset and non-current liability including interest and penalties | 6,100,000 | ||||
Liability for Uncertain Tax Positions, Current | 10,100,000 | ||||
Unrecognized Tax Benefits, Period Increase (Decrease) | 0 | ||||
Deferred tax liabilities | 11,561,000 | ||||
13.0% convertible notes due in 2017 [Member] | Convertible Debt [Member] | |||||
Income Tax [Line Items] | |||||
Notes Payable | 55,000,000 | ||||
Turkish Foreign Subsidiaries [Member] | |||||
Income Tax [Line Items] | |||||
Withdrew reinvestment assertion | 77,100,000 | ||||
Dividend withholding taxes | 77,100,000 | ||||
Deferred tax liabilities | 11,600,000 | ||||
Turkey [Member] | |||||
Income Tax [Line Items] | |||||
Non-capital tax losses | $ 33,300,000 | TRY 96.9 | |||
Non-capital tax losses, expiration date | 2,016 | ||||
Romania [Member] | |||||
Income Tax [Line Items] | |||||
Non-capital tax losses | $ 1,900,000 | RON 7.9 | |||
Non-capital tax losses, expiration date | 2,018 | ||||
Bulgaria [Member] | |||||
Income Tax [Line Items] | |||||
Non-capital tax losses | $ 7,200,000 | BGN 12.7 | |||
Non-capital tax losses, expiration date | 2,016 | ||||
U.S | |||||
Income Tax [Line Items] | |||||
Non-capital tax losses | $ 46,900,000 | ||||
Non-capital tax losses, expiration date | 2,018 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2015Segment | |
Segment Reporting [Abstract] | |
Number of reportable geographic segments | 3 |
Segment Information - Financial
Segment Information - Financial Information of Geographic Segments (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | ||||
Segment Reporting Information [Line Items] | ||||||
Total revenues | $ 85,064 | $ 138,830 | $ 130,827 | |||
Production | 12,873 | 18,193 | 18,602 | |||
Exploration, abandonment and impairment | 21,544 | 19,864 | 27,333 | |||
Cost of purchased gas | 2,082 | 2,055 | 2,247 | |||
Seismic and other exploration | 370 | 4,285 | 14,009 | |||
Revaluation of contingent consideration | (2,500) | (5,000) | ||||
General and administrative | 24,138 | 31,071 | 29,020 | |||
Depreciation, depletion and amortization | 37,707 | 48,594 | 41,322 | |||
Accretion of asset retirement obligations | 368 | 406 | 508 | |||
Total costs and expenses | 99,082 | 121,968 | 128,041 | |||
Operating (loss) income | (14,018) | 16,862 | 2,786 | |||
Interest and other expense | (13,077) | (6,044) | (3,929) | |||
Interest income | 855 | 1,124 | 1,340 | |||
Gain on commodity derivative contracts | 27,457 | 37,454 | (2,698) | |||
Foreign exchange (loss) gain | (5,653) | (6,523) | (9,663) | |||
Income (loss) from continuing operations before income taxes | (4,436) | 42,873 | (12,164) | |||
Income tax expense | (22,229) | (13,659) | (1,107) | |||
Net (loss) income from continuing operations | (26,665) | 29,214 | [1] | (13,271) | [1] | |
Total assets | 247,938 | [1] | 419,756 | 346,050 | ||
Capital expenditures | 22,466 | 111,501 | 99,951 | |||
Goodwill | 6,935 | 7,535 | ||||
Corporate, Non-Segment [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Production | 5 | |||||
Seismic and other exploration | 55 | 178 | 100 | |||
General and administrative | 12,729 | 14,418 | 12,685 | |||
Depreciation, depletion and amortization | 306 | 124 | 69 | |||
Total costs and expenses | 13,090 | 14,720 | 12,859 | |||
Operating (loss) income | (13,090) | (14,720) | (12,859) | |||
Interest and other expense | (7,383) | (36) | ||||
Interest income | 354 | 350 | 284 | |||
Foreign exchange (loss) gain | (58) | (4) | (9) | |||
Income (loss) from continuing operations before income taxes | (20,177) | (14,410) | (12,584) | |||
Net (loss) income from continuing operations | (20,177) | (14,410) | (12,584) | |||
Total assets | 14,689 | 51,919 | 14,070 | |||
Capital expenditures | 163 | 545 | 1,003 | |||
Operating Segments [Member] | Turkey [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total revenues | 85,064 | 138,807 | 130,701 | |||
Production | 12,804 | 18,059 | 18,384 | |||
Exploration, abandonment and impairment | 17,778 | 19,820 | 27,116 | |||
Cost of purchased gas | 2,082 | 2,055 | 2,247 | |||
Seismic and other exploration | 264 | 4,106 | 13,909 | |||
General and administrative | 11,132 | 14,984 | 16,068 | |||
Depreciation, depletion and amortization | 37,401 | 48,452 | 41,196 | |||
Accretion of asset retirement obligations | 350 | 387 | 475 | |||
Total costs and expenses | 81,811 | 107,863 | 119,395 | |||
Operating (loss) income | 3,253 | 30,944 | 11,306 | |||
Interest and other expense | (5,694) | (6,007) | (3,929) | |||
Interest income | 500 | 770 | 1,056 | |||
Gain on commodity derivative contracts | 27,457 | 37,454 | (2,698) | |||
Foreign exchange (loss) gain | (5,589) | (6,497) | (9,664) | |||
Income (loss) from continuing operations before income taxes | 19,927 | 56,664 | (3,929) | |||
Income tax expense | (22,229) | (13,659) | (1,107) | |||
Net (loss) income from continuing operations | (2,302) | 43,005 | (5,036) | |||
Total assets | 232,648 | 363,162 | 321,749 | |||
Capital expenditures | 22,262 | 109,563 | 96,206 | |||
Goodwill | 6,935 | 7,535 | ||||
Operating Segments [Member] | Bulgaria [Member] | ||||||
Segment Reporting Information [Line Items] | ||||||
Total revenues | 23 | 126 | ||||
Production | 69 | 134 | 213 | |||
Exploration, abandonment and impairment | 3,766 | 44 | 217 | |||
Seismic and other exploration | 51 | 1 | ||||
Revaluation of contingent consideration | (2,500) | (5,000) | ||||
General and administrative | 277 | 1,669 | 267 | |||
Depreciation, depletion and amortization | 18 | 57 | ||||
Accretion of asset retirement obligations | 18 | 19 | 33 | |||
Total costs and expenses | 4,181 | (615) | (4,213) | |||
Operating (loss) income | (4,181) | 638 | 4,339 | |||
Interest and other expense | (1) | |||||
Interest income | 1 | 4 | ||||
Foreign exchange (loss) gain | (6) | (22) | 10 | |||
Income (loss) from continuing operations before income taxes | (4,186) | 619 | 4,349 | |||
Net (loss) income from continuing operations | (4,186) | 619 | 4,349 | |||
Total assets | 601 | 4,675 | 10,231 | |||
Capital expenditures | $ 41 | $ 1,393 | $ 2,742 | |||
[1] | Excludes assets from our discontinued Albanian and Moroccan operations of $51.5 million, $126.6 million, and $0.5 million at December 31, 2015, 2014 and 2013, respectively. |
Segment Information - Financi64
Segment Information - Financial Information of Geographic Segments (Parenthetical) (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Segment Reporting [Abstract] | |||
Assets from discontinued operations and services | $ 51,511 | $ 126,647 | $ 500 |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) - 12 months ended Dec. 31, 2015 TRY in Millions | USD ($)Institution | TRY |
Financial Statement Line Items With Differences In Reported Amount And Reporting Currency Denominated Amounts [Line Items] | ||
Currency risk descriptions | We have underlying foreign currency exchange rate exposure. Our currency exposures relate to transactions denominated in the Bulgarian Lev, European Union Euro, Albanian Lek, and TRY. We are also subject to foreign currency exposures resulting from translating the functional currency of our subsidiary financial statements into the U.S. Dollar reporting currency. We have not used foreign currency forward contracts to manage exchange rate fluctuations. At December 31, 2015, we had 32.8 million TRY (approximately $11.3 million) in cash and cash equivalents, which exposes us to exchange rate risk based on fluctuations in the value of the TRY. | |
Allowance for doubtful accounts | $ | $ 0 | |
Number of financial institutions | Institution | 3 | |
Cash and cash equivalents [Member] | ||
Financial Statement Line Items With Differences In Reported Amount And Reporting Currency Denominated Amounts [Line Items] | ||
Cash and cash equivalents | $ 11,300,000 | TRY 32.8 |
Financial Instruments - Valuati
Financial Instruments - Valuation of Financial Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (liabilities), fair value | $ (67,934) | $ (84,110) |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (liabilities), fair value | 6,605 | (84,110) |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (liabilities), fair value | (74,539) | |
Measured on a recurring basis [Member] | Derivative Financial Instruments (commodity) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, fair value | 6,605 | 31,587 |
Measured on a recurring basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | Derivative Financial Instruments (commodity) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets, fair value | 6,605 | 31,587 |
Disclosed but not carried at fair value [Member] | Convertible Notes [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (44,489) | (47,400) |
Disclosed but not carried at fair value [Member] | Senior Credit Facility [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (30,050) | (68,297) |
Disclosed but not carried at fair value [Member] | Significant Other Observable Inputs (Level 2) [Member] | Convertible Notes [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (47,400) | |
Disclosed but not carried at fair value [Member] | Significant Other Observable Inputs (Level 2) [Member] | Senior Credit Facility [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | $ (68,297) | |
Disclosed but not carried at fair value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Convertible Notes [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (44,489) | |
Disclosed but not carried at fair value [Member] | Significant Unobservable Inputs (Level 3) [Member] | Senior Credit Facility [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | $ (30,050) |
Commitments - Aggregate Annual
Commitments - Aggregate Annual Commitments Other Than Debt (Detail) $ in Thousands | Dec. 31, 2015USD ($) |
Other Commitments [Line Items] | |
Total | $ 17,529 |
2,016 | 9,182 |
2,017 | 4,093 |
2,018 | 446 |
Thereafter | 3,808 |
Interest [Member] | |
Other Commitments [Line Items] | |
Total | 11,934 |
2,016 | 8,359 |
2,017 | 3,575 |
Leases [Member] | |
Other Commitments [Line Items] | |
Total | 5,595 |
2,016 | 823 |
2,017 | 518 |
2,018 | 446 |
Thereafter | $ 3,808 |
Commitments - Additional Inform
Commitments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Commitments And Contingencies Disclosure [Abstract] | |||
Normal operations purchase arrangements, notice period | 30 days | ||
Rent expense | $ 1.8 | $ 2.2 | $ 3.3 |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||||||
Dec. 31, 2014USD ($) | Apr. 30, 2014USD ($) | Feb. 28, 2013USD ($) | Dec. 31, 2015USD ($)a | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Dec. 31, 2012USD ($) | Mar. 15, 2016USD ($) | Oct. 31, 2015USD ($) | |
Loss Contingencies [Line Items] | |||||||||
General and administrative | $ 24,138,000 | $ 31,071,000 | $ 29,020,000 | ||||||
Direct Petroleum Exploration, LLC [Member] | Deventci-R2 well [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Contingent liability reversed | $ 2,500,000 | ||||||||
Amendment [Member] | Stefenetz Concession Area [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Area of land leased under the production | a | 200,000 | ||||||||
Stock issued, non cash consideration, value | $ 10,000,000 | ||||||||
Amendment [Member] | Direct Petroleum Exploration, LLC [Member] | Subsequent Event [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Settlement agreement on common shares issued, value | $ 225,000 | ||||||||
Amendment [Member] | Direct Petroleum Exploration, LLC [Member] | Common Shares [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Liquidated damages of common shares, value | $ 5,000,000 | ||||||||
Amendment [Member] | Direct Petroleum Exploration, LLC [Member] | Deventci-R2 well [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Contingency, Purchase obligation | $ 7,500,000 | ||||||||
Morocco | Government | |||||||||
Loss Contingencies [Line Items] | |||||||||
Recovery of contractual obligations | $ 5,500,000 | ||||||||
Bank guarantee | $ 1,000,000 | ||||||||
Accrued liabilities relating to our Tselfat exploration permit | 5,000,000 | ||||||||
Bulgaria [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
Recovery of contractual obligations | 2,000,000 | ||||||||
Estimated Litigation Liability | $ 200,000 | ||||||||
Bulgaria [Member] | Aglen Exploration Permit Work Program [Member] | |||||||||
Loss Contingencies [Line Items] | |||||||||
General and administrative | $ 2,000,000 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) | Aug. 13, 2015$ / sharesshares | Apr. 24, 2015$ / sharesshares | Mar. 26, 2014USD ($) | Apr. 05, 2013USD ($)ft² | Jun. 13, 2012USD ($) | Aug. 23, 2011USD ($)ft² | Dec. 31, 2015USD ($)Room$ / shares | Dec. 31, 2014USD ($)$ / sharesshares | Dec. 30, 2015USD ($)$ / shares | Feb. 20, 2015USD ($) |
Related Party Transaction [Line Items] | ||||||||||
Common share purchase warrants issued | shares | 233,333 | 233,333 | ||||||||
Common share purchase warrants issued, expiration period | 18 months | 18 months | ||||||||
Common share purchase | shares | 1 | |||||||||
Common share purchase warrants, exercise price | $ / shares | $ 2.99 | $ 5.65 | $ 5.99 | |||||||
Aggregate purchase price in promissory note | $ 11,500,000 | $ 11,500,000 | ||||||||
Amount due to related party | 6,000 | |||||||||
Capital and operating expenditures | $ 20,000,000 | 96,400,000 | ||||||||
Notes sold | $ 55,000,000 | |||||||||
Debt Instrument, Maturity Date | Mar. 31, 2019 | |||||||||
ANBE Promissory Note [Member] | TransAtlantic USA [Member] | Convertible Promissory Note [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Debt instrument interest rate stated percentage | 13.00% | |||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 5,000,000 | |||||||||
Debt Instrument, Maturity Date | Jun. 30, 2016 | |||||||||
Line of credit facility borrowing capacity | 3,600,000 | |||||||||
Borrowings, description | Each Subsequent Advance must be in a multiple of $500,000, or if the amount remaining for advance under the Note is less than $500,000, such lesser amount. | |||||||||
Line of credit facility subsequent advance in multiple | 500,000 | |||||||||
Line of credit facility minimum subsequent advance of multiple | $ 500,000 | |||||||||
Debit instrument, percentage of conversion price per common share | 105.00% | |||||||||
Debt Instrument, Convertible, Conversion Ratio | $ / shares | $ 1.3755 | $ 1.3755 | ||||||||
Lease Agreement With Gundem [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Number of rooms leased | Room | 6 | |||||||||
Longfellow [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Lease agreement area, additional office space leased | ft² | 5,300 | |||||||||
Lease expiration period | 5 years | |||||||||
Lease rent payable | $ 6,625 | |||||||||
Longfellow [Member] | First Floor Commencement Date [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Lease agreement area, additional office space leased | ft² | 4,700 | |||||||||
Lease expiration period | 5 years | |||||||||
Lease rent payable | $ 7,533 | |||||||||
TransAtlantic Exploration Mediterranean International Pty Ltd [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Monthly rent on equipment yard | $ 17,250 | |||||||||
Thrace Basin Natural Gas (Turkiye) Corporation [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Monthly rent on equipment yard | $ 17,250 | |||||||||
Roxanna [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Geology consulting services | $ 60,000 | |||||||||
Mr. Mitchell [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Common share purchase warrants issued | shares | 134,169 | |||||||||
Mitchell, and his Children [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Common share purchase warrants issued | shares | 23,333 | |||||||||
Purchase of notes | 2,000,000 | |||||||||
Joint Venture [Member] | Dalea and Funds [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Sale of business, aggregate sales price | $ 168,500,000 | |||||||||
Cash received from sale of business | $ 157,000,000 | |||||||||
Debt instrument interest rate stated percentage | 3.00% | |||||||||
Joint Venture [Member] | Dalea and Funds [Member] | Promissory Note [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Aggregate purchase price in promissory note | $ 11,500,000 | |||||||||
Promissory note payable, term | 5 years | |||||||||
Mitchell, his wife and his children [Member] | Riata Management [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Percentage of ownership interest owned by related party | 100.00% | |||||||||
Mitchell, his wife and his children [Member] | Longfellow [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Percentage of ownership interest owned by related party | 100.00% | |||||||||
MedOil Supply, LLC [Member] | Riata Management [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Percentage of ownership interest owned by related party | 100.00% | |||||||||
Dalea [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchase of notes | 2,000,000 | |||||||||
Dalea [Member] | Viking Drilling [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Percentage of ownership interest owned by related party | 85.00% | |||||||||
Viking International Master Service Agreement [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Service agreement term | 5 years | |||||||||
Pinon Foundation [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchase of notes | 10,000,000 | |||||||||
Brian Bailey and his children [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchase of notes | 100,000 | |||||||||
Wil Saqueton [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchase of notes | 100,000 | |||||||||
Matthew McGann [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchase of notes | 200,000 | |||||||||
Barbara And Terry Pope [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Purchase of notes | $ 200,000 | |||||||||
Warrants [Member] | ||||||||||
Related Party Transaction [Line Items] | ||||||||||
Common share purchase | shares | 1 | |||||||||
Share-based compensation expense | $ 500,000 |
Related Party Transactions - Re
Related Party Transactions - Related Party Accounts Receivable and Accounts Payable (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | $ 414 | $ 602 |
Total related party accounts payable | 2,684 | 13,872 |
Viking International Master Service Agreement [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | 220 | 355 |
Total related party accounts payable | 2,300 | 12,138 |
Riata Management Service Agreement [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | 194 | 159 |
Total related party accounts payable | $ 384 | 1,734 |
Dalea Note [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | $ 88 |
Discontinued Operations - Addit
Discontinued Operations - Additional Information (Detail) $ in Thousands, CAD in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
Oct. 31, 2013USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | Feb. 29, 2016USD ($) | Dec. 31, 2015CAD | Feb. 20, 2015USD ($) | Sep. 16, 2014USD ($) | |
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Disposal group, liabilities | $ 101,170 | ||||||||
Disposal group, accounts payable and accrued liabilities | $ 44,240 | $ 44,240 | 36,790 | ||||||
Disposal group, debt | 6,123 | 6,123 | 10,973 | ||||||
General and administrative | 24,138 | 31,071 | $ 29,020 | ||||||
Loans payable | 96,859 | 96,859 | 135,722 | ||||||
Debt instrument, face amount | $ 55,000 | ||||||||
TransAtlantic Albania [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Loans payable | 6,123 | 6,123 | 22,876 | ||||||
TransAtlantic Albania [Member] | Viking International [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Loans payable | 6,800 | ||||||||
TransAtlantic Albania [Member] | Shareholder Loan [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Loans payable | 2,580 | ||||||||
TransAtlantic Albania [Member] | Term Loan Facility [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
General and administrative | $ 500,000 | ||||||||
Earnings before interest, taxes, depreciation and amortization | $ 10,000 | ||||||||
Voting right | 75.00% | 75.00% | 75.00% | ||||||
Loans payable | $ 6,100 | $ 6,100 | |||||||
Debt failure to paid, amount | $ 1,100 | $ 1,100 | |||||||
TransAtlantic Albania [Member] | Prepayment Agreement [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Loans payable | 3,043 | ||||||||
TransAtlantic Albania [Member] | Raiffeisen Bank Sh A | Term Loan Facility [Member] | Line of Credit [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Line of credit facility expiration date | Dec. 31, 2016 | ||||||||
Line of Credit Facility, Frequency of Payments | TransAtlantic Albania was a party to a Term Loan Facility (the “Term Loan Facility”) with Raiffeisen Bank Sh.A. (“Raiffeisen”).The loan matures on December 31, 2016 and bears interest at the rate of LIBOR plus 5.5%, with a minimum interest rate of 7.0%. TransAtlantic Albania is required to pay 1/16th of the total commitment each quarter on the last business day of each of March, June, September and December each year. | ||||||||
Penalty Plus Breakage Costs | 3.00% | ||||||||
TransAtlantic Albania [Member] | Raiffeisen Bank Sh A | Term Loan Facility [Member] | Line of Credit [Member] | LIBOR [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Debt instrument basis spread on variable rate | 5.50% | ||||||||
Revolving Credit Facility With Company Libor Minimum Rate | 7.00% | ||||||||
Stream Oil and Gas Ltd [Member] | TransAtlantic Albania [Member] | Trafigura PTE Ltd | Prepayment Agreement [Member] | Line of Credit [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Payments to Acquire Receivables | $ 7,000 | ||||||||
Stream Oil and Gas Ltd [Member] | TransAtlantic Albania [Member] | Trafigura PTE Ltd | Prepayment Agreement [Member] | Line of Credit [Member] | LIBOR [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Debt instrument basis spread on variable rate | 6.00% | ||||||||
Debt instrument effective rate | 6.43% | 6.43% | 6.43% | ||||||
Albania [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Disposal group, liabilities | 94,242 | ||||||||
Disposal group, accounts payable and accrued liabilities | $ 37,888 | $ 37,888 | 29,862 | ||||||
Disposal group, debt | $ 6,123 | 6,123 | $ 10,973 | ||||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Net book value of the assets held for sale to their fair value | $ 73,000 | ||||||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Viking International [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Debt instrument, face amount | $ 6,800 | ||||||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Shareholder Loan [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Debt instrument, face amount | CAD | CAD 3 | ||||||||
Debt instrument interest rate stated percentage | 10.00% | 10.00% | 10.00% | ||||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Subsequent Event [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Receivable from sale of outstanding equities | $ 2,300 | ||||||||
Disposal group, liabilities | 29,200 | ||||||||
Disposal group, accounts payable and accrued liabilities | 23,100 | ||||||||
Disposal group, debt | 6,100 | ||||||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Subsequent Event [Member] | Delvina Natural Gas [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Disposal group, liabilities | 12,900 | ||||||||
Disposal group, liabilities indemnified | $ 12,900 | ||||||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Subsequent Event [Member] | Maximum [Member] | |||||||||
Discontinued Operations And Disposal Groups [Line Items] | |||||||||
Option to acquire ownership interest, percentage | 25.00% |
Discontinued Operations - Asset
Discontinued Operations - Assets and Liabilities Held for Sale (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets | |||
Cash | $ 1,217 | $ 408 | |
Other current assets | 1,864 | 7,336 | |
Property and equipment, net | 48,430 | 118,903 | |
Total current assets held for sale | 51,511 | 7,744 | |
Total assets held for sale | 51,511 | 126,647 | $ 500 |
Liabilities | |||
Accounts payable and other accrued liabilities | 44,240 | 36,790 | |
Accounts payable - related party | 3,540 | 4,616 | |
Loans payable | 6,123 | 10,973 | |
Loans payable - related party | 6,800 | ||
Accrued liabilities | 5,433 | ||
Loans payable | 5,103 | ||
Deferred tax liability | 15,286 | 31,455 | |
Total long-term liabilities held for sale | 41,991 | ||
Total current liabilities held for sale | 69,189 | 59,179 | |
Total liabilities held for sale | 101,170 | ||
Albania [Member] | |||
Assets | |||
Cash | 1,201 | 392 | |
Other current assets | 1,853 | 7,324 | |
Property and equipment, net | 48,430 | 118,903 | |
Total current assets held for sale | 51,484 | 7,716 | |
Total assets held for sale | 126,619 | ||
Liabilities | |||
Accounts payable and other accrued liabilities | 37,888 | 29,862 | |
Accounts payable - related party | 3,540 | 4,616 | |
Loans payable | 6,123 | 10,973 | |
Loans payable - related party | 6,800 | ||
Accrued liabilities | 5,433 | ||
Loans payable | 5,103 | ||
Deferred tax liability | 15,286 | 31,455 | |
Total long-term liabilities held for sale | 41,991 | ||
Total current liabilities held for sale | 62,837 | 52,251 | |
Total liabilities held for sale | 94,242 | ||
Morocco | |||
Assets | |||
Cash | 16 | 16 | |
Other current assets | 11 | 12 | |
Total current assets held for sale | 27 | 28 | |
Total assets held for sale | 28 | ||
Liabilities | |||
Accounts payable and other accrued liabilities | 6,352 | 6,928 | |
Total current liabilities held for sale | $ 6,352 | 6,928 | |
Total liabilities held for sale | $ 6,928 |
Discontinued Operations - Summa
Discontinued Operations - Summary of Third Party Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2015 | Dec. 31, 2014 |
Debt Instrument [Line Items] | ||
Loans payable | $ 96,859 | $ 135,722 |
TransAtlantic Albania [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 6,123 | 22,876 |
TransAtlantic Albania [Member] | Term Loan Facility [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | $ 6,123 | 10,453 |
TransAtlantic Albania [Member] | Shareholder Loan [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 2,580 | |
TransAtlantic Albania [Member] | Viking International Note - Related Party [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | 6,800 | |
TransAtlantic Albania [Member] | Prepayment Agreement [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | $ 3,043 |
Discontinued Operations - Opera
Discontinued Operations - Operating Results from Discontinued Operations (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Discontinued Operations And Disposal Groups [Line Items] | |||
Total revenues | $ 8,565 | $ 1,898 | |
Production and transportation expense | 11,615 | ||
Exploration, abandonment and impairment | 86,577 | ||
Total other costs and expenses | 9,234 | 3,004 | $ 505 |
Total other income | 1,819 | 356 | 63 |
Loss before income taxes | (97,042) | (750) | (442) |
Income tax benefit | 16,169 | 612 | |
Net loss from discontinued operations | (80,873) | (138) | (442) |
Albania [Member] | |||
Discontinued Operations And Disposal Groups [Line Items] | |||
Total revenues | 8,565 | 1,898 | |
Production and transportation expense | 11,615 | ||
Exploration, abandonment and impairment | 86,577 | ||
Total other costs and expenses | 9,229 | 2,984 | |
Total other income | 1,819 | 356 | |
Loss before income taxes | (97,037) | (730) | |
Income tax benefit | 16,169 | 612 | |
Net loss from discontinued operations | (80,868) | (118) | |
Morocco | |||
Discontinued Operations And Disposal Groups [Line Items] | |||
Total other costs and expenses | 5 | 20 | 505 |
Total other income | 63 | ||
Loss before income taxes | (5) | (20) | (442) |
Net loss from discontinued operations | $ (5) | $ (20) | $ (442) |
Acquisitions - Additional Infor
Acquisitions - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | Nov. 18, 2014 | Dec. 31, 2015 |
Business Acquisition [Line Items] | ||
Estimated liability of the acquisition date | $ 3.3 | |
Non Performance Shares [Member] | ||
Business Acquisition [Line Items] | ||
Contingent consideration settlement | 4.2 | |
Equipment and Oil Inventory [Member] | ||
Business Acquisition [Line Items] | ||
Inventory | 2.5 | |
Albania [Member] | ||
Business Acquisition [Line Items] | ||
Recovery of contractual obligations | 4.9 | |
Albania [Member] | Delvina Exploration Work Program [Member] | ||
Business Acquisition [Line Items] | ||
Accrued liabilities relating to our Tselfat exploration permit | $ 4.9 | |
Stream [Member] | ||
Business Acquisition [Line Items] | ||
Business acquisition, effective date of acquisition | Nov. 18, 2014 | |
Common shares issued | 3,218,641 | |
Issuable of additional common shares | 600,000 | |
Common shares issued, price per share | $ 7.41 |
Acquisitions - Consideration Pa
Acquisitions - Consideration Paid in Acquisition and Final Recognized Amounts of Assets Acquired and Liabilities Assumed, Stream Oil & Gas Ltd (Detail) - Stream [Member] $ in Thousands | Nov. 18, 2014USD ($) |
Business Acquisition [Line Items] | |
Issuance of 3,218,641 common shares | $ 23,850 |
Fair value of total consideration | 23,850 |
Acquisition related costs included in general and administrative expenses | 1,129 |
Cash | 66 |
Accounts receivable | 6,672 |
Other current assets | 1,418 |
Total current assets | 8,156 |
Proved properties | 99,927 |
Unproved properties | 12,854 |
Equipment and other property | 2,386 |
Total oil and natural gas properties and other equipment | 115,167 |
Total assets | 123,323 |
Accounts payable | 20,673 |
Accounts payable - related party | 2,820 |
Other current liabilities | 13,395 |
Viking International note - related party | 6,800 |
Loans payable - current | 11,732 |
Other non-current liabilities | 5,036 |
Loans payable - non-current | 6,123 |
Asset retirement obligations | 827 |
Deferred income taxes | 32,067 |
Total liabilities | 99,473 |
Total identifiable net assets | $ 23,850 |
Consideration Paid in Acquisiti
Consideration Paid in Acquisition and Final Recognized Amounts of Assets Acquired and Liabilities Assumed, Stream Oil & Gas Ltd (Parenthetical) (Detail) | Nov. 18, 2014shares |
Stream [Member] | |
Business Acquisition [Line Items] | |
Common shares issued | 3,218,641 |
Acquisitions - Consolidated Res
Acquisitions - Consolidated Results of Operation (Detail) - Stream [Member] $ in Thousands | 2 Months Ended |
Dec. 31, 2014USD ($) | |
Business Acquisition [Line Items] | |
Revenue | $ 1,898 |
Loss | $ (118) |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ in Thousands | Mar. 30, 2016 | Dec. 31, 2015 | Feb. 29, 2016 | Dec. 31, 2014 | Jun. 13, 2012 |
Subsequent Event [Line Items] | |||||
Disposal group, liabilities | $ 101,170 | ||||
Disposal group, accounts payable and accrued liabilities | $ 44,240 | 36,790 | |||
Disposal group, debt | 6,123 | 10,973 | |||
Note receivable - related party | $ 11,500 | 11,500 | |||
Debt Instrument, Maturity Date | Mar. 31, 2019 | ||||
Joint Venture [Member] | Dalea and Funds [Member] | |||||
Subsequent Event [Line Items] | |||||
Debt instrument interest rate stated percentage | 3.00% | ||||
Joint Venture [Member] | Dalea and Funds [Member] | Promissory Note [Member] | |||||
Subsequent Event [Line Items] | |||||
Note receivable - related party | $ 11,500 | ||||
Subsequent Event [Member] | Dalea Promissory Note | |||||
Subsequent Event [Line Items] | |||||
Promissory notes default remedy period | 30 days | ||||
Subsequent Event [Member] | Joint Venture [Member] | Dalea and Funds [Member] | Promissory Note [Member] | |||||
Subsequent Event [Line Items] | |||||
Note receivable - related party | $ 8,000 | ||||
Cancellation of purchase price in promissory note | 3,500 | ||||
Promissory note, collateral amount | $ 2,100 | ||||
Debt Instrument, Maturity Date | Jun. 13, 2019 | ||||
Debt instrument interest rate stated percentage | 3.00% | ||||
Subsequent Event [Member] | Maximum [Member] | Dalea Promissory Note | |||||
Subsequent Event [Line Items] | |||||
Noncontrolling equity voting interest percentage | 50.00% | ||||
Albania [Member] | |||||
Subsequent Event [Line Items] | |||||
Disposal group, liabilities | 94,242 | ||||
Disposal group, accounts payable and accrued liabilities | $ 37,888 | 29,862 | |||
Disposal group, debt | $ 6,123 | $ 10,973 | |||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Subsequent Event [Member] | |||||
Subsequent Event [Line Items] | |||||
Receivable from sale of outstanding equities | $ 2,300 | ||||
Disposal group, liabilities | 29,200 | ||||
Disposal group, accounts payable and accrued liabilities | 23,100 | ||||
Disposal group, debt | 6,100 | ||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Subsequent Event [Member] | Delvina Natural Gas [Member] | |||||
Subsequent Event [Line Items] | |||||
Disposal group, liabilities | $ 12,900 | ||||
Albania [Member] | Stream Oil and Gas Ltd [Member] | Subsequent Event [Member] | Maximum [Member] | |||||
Subsequent Event [Line Items] | |||||
Option to acquire equity interest, percentage | 25.00% |