Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2018 | Mar. 22, 2019 | Jun. 30, 2018 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2018 | ||
Document Fiscal Year Focus | 2018 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | TAT | ||
Entity Registrant Name | TRANSATLANTIC PETROLEUM LTD. | ||
Entity Central Index Key | 0001092289 | ||
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 | Non-accelerated Filer | ||
Entity Small Business | true | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 52,496,666 | ||
Entity Public Float | $ 41.9 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) | Dec. 31, 2018 | Dec. 31, 2017 |
Current assets: | ||
Cash and cash equivalents | $ 9,892,000 | $ 18,926,000 |
Accounts receivable, net | ||
Oil and natural gas sales | 12,912,000 | 15,808,000 |
Joint interest and other | 982,000 | 1,576,000 |
Related party | 878,000 | 1,023,000 |
Prepaid and other current assets | 8,696,000 | 3,866,000 |
Note receivable - related party | 5,828,000 | |
Inventory | 5,167,000 | 7,494,000 |
Total current assets | 44,355,000 | 48,693,000 |
Oil and natural gas properties (successful efforts method) | ||
Proved | 163,006,000 | 193,647,000 |
Unproved | 15,695,000 | 24,445,000 |
Equipment and other property | 14,408,000 | 14,075,000 |
Property and equipment, gross | 193,109,000 | 232,167,000 |
Less accumulated depreciation, depletion and amortization | (105,850,000) | (129,183,000) |
Property and equipment, net | 87,259,000 | 102,984,000 |
Other long-term assets: | ||
Other assets | 986,000 | 2,247,000 |
Note receivable - related party | 6,726,000 | |
Total other assets | 986,000 | 8,973,000 |
Total assets | 132,600,000 | 160,650,000 |
Current liabilities: | ||
Accounts payable | 3,896,000 | 4,853,000 |
Accounts payable - related party | 2,922,000 | 3,141,000 |
Accrued liabilities | 13,073,000 | 10,014,000 |
Derivative liability | 2,215,000 | |
Loans payable | 22,000,000 | 15,625,000 |
Total current liabilities | 41,891,000 | 35,848,000 |
Long-term liabilities: | ||
Asset retirement obligations | 4,667,000 | 4,727,000 |
Accrued liabilities | 7,259,000 | 8,810,000 |
Deferred income taxes | 20,314,000 | 19,611,000 |
Loans payable | 0 | 13,000,000 |
Total long-term liabilities | 32,240,000 | 46,148,000 |
Total liabilities | 74,131,000 | 81,996,000 |
Commitments and contingencies | ||
Shareholders' equity: | ||
Common shares, $0.10 par value, 200,000,000 shares authorized; 52,413,588 shares and 50,319,156 shares issued and outstanding as of December 31, 2018 and 2017, respectively | 5,241,000 | 5,032,000 |
Treasury shares | (970,000) | (970,000) |
Additional paid-in-capital | 577,488,000 | 575,411,000 |
Accumulated other comprehensive loss | (142,021,000) | (124,766,000) |
Accumulated deficit | (427,319,000) | (422,103,000) |
Total shareholders' equity | 12,419,000 | 32,604,000 |
Total liabilities, Series A preferred shares and shareholders' equity | 132,600,000 | 160,650,000 |
Series A Preferred Shares [Member] | ||
Long-term liabilities: | ||
Preferred shares, value | 21,300,000 | 21,300,000 |
Related Party [Member] | Series A Preferred Shares [Member] | ||
Long-term liabilities: | ||
Preferred shares, value | $ 24,750,000 | $ 24,750,000 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2018 | Dec. 31, 2017 |
Common shares, par value | $ 0.10 | $ 0.10 |
Common shares, authorized | 200,000,000 | 200,000,000 |
Common shares, issued | 52,413,588 | 50,319,156 |
Common shares, outstanding | 52,413,588 | 50,319,156 |
Unrelated Party [Member] | Series A Preferred Shares [Member] | ||
Preferred shares, par value | $ 0.01 | |
Preferred shares, authorized | 426,000 | |
Preferred shares, issued | 426,000 | |
Preferred shares, outstanding | 426,000 | |
Preferred shares, liquidation preference per share | $ 50 | |
Related Party [Member] | Series A Preferred Shares [Member] | ||
Preferred shares, par value | $ 0.01 | |
Preferred shares, authorized | 495,000 | |
Preferred shares, issued | 495,000 | |
Preferred shares, outstanding | 495,000 | |
Preferred shares, liquidation preference per share | $ 50 |
Consolidated Statements of Oper
Consolidated Statements of Operation and Comprehensive Loss - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Revenues: | ||
Total revenues | $ 70,789 | $ 56,639 |
Costs and expenses: | ||
Production | 10,769 | 12,249 |
Exploration, abandonment and impairment | 401 | 934 |
Seismic and other exploration | 489 | 4,723 |
General and administrative | 14,719 | 12,817 |
Depreciation, depletion and amortization | 14,059 | 16,925 |
Accretion of asset retirement obligations | 174 | 190 |
Total costs and expenses | 45,276 | 48,406 |
Operating income | 25,513 | 8,233 |
Other (expense) income: | ||
Loss on sale of TBNG | (15,226) | |
Interest and other expense | (10,048) | (8,838) |
Interest and other income | 1,082 | 1,098 |
Loss on commodity derivative contracts | (1,797) | (1,852) |
Foreign exchange loss | (10,292) | (1,861) |
Total other expense | (21,055) | (26,679) |
Income (loss) before income taxes | 4,458 | (18,446) |
Current income tax expense | (2,820) | (2,073) |
Deferred income tax expense | (6,854) | (3,356) |
Net loss | (5,216) | (23,875) |
Other comprehensive loss: | ||
Foreign currency translation adjustment | (17,255) | 15,550 |
Comprehensive loss | $ (22,471) | $ (8,325) |
Net loss per common share: | ||
Basic net loss per common share | $ (0.10) | $ (0.50) |
Weighted average common shares outstanding | 50,505 | 48,196 |
Diluted net loss per common share | $ (0.10) | $ (0.50) |
Weighted average common and common equivalent shares outstanding | 50,505 | 48,196 |
Oil and Natural Gas Sales [Member] | ||
Revenues: | ||
Total revenues | $ 70,268 | $ 55,523 |
Purchased Natural Gas [Member] | ||
Revenues: | ||
Total revenues | 654 | |
Costs and expenses: | ||
Cost of goods and services sold | 568 | |
Other [Member] | ||
Revenues: | ||
Total revenues | 521 | $ 462 |
Transportation Costs [Member] | ||
Costs and expenses: | ||
Cost of goods and services sold | $ 4,665 |
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, 2016 | $ 38,486 | $ 4,722 | $ (970) | $ 573,278 | $ (140,316) | $ (398,228) | |
Beginning balance, shares at Dec. 31, 2016 | 47,220,000 | 333,000 | 699,000 | ||||
Issuance of common shares | 1,842 | $ 259 | 1,584 | ||||
Issuance of common shares (in shares) | 2,591,000 | ||||||
Issuance of restricted stock units | $ 51 | (51) | |||||
Issuance of restricted stock units, shares | 507,000 | ||||||
Tax withholding on restricted stock units | (92) | (92) | |||||
Share-based compensation | 693 | 693 | |||||
Foreign currency translation adjustment | 15,550 | 15,550 | |||||
Net loss | (23,875) | (23,875) | |||||
Ending balance at Dec. 31, 2017 | $ 32,604 | $ 5,032 | $ (970) | 575,412 | (124,766) | (422,103) | |
Ending balance, shares at Dec. 31, 2017 | 50,319,156 | 50,319,000 | 333,000 | 699,000 | |||
Issuance of common shares | $ 1,842 | $ 181 | 1,660 | ||||
Issuance of common shares (in shares) | 1,808,000 | ||||||
Issuance of restricted stock units | $ 28 | (28) | |||||
Issuance of restricted stock units, shares | 286,000 | ||||||
Expiration of warrants | (699,000) | ||||||
Tax effect of restricted stock units | (11) | (11) | |||||
Share-based compensation | 455 | 455 | |||||
Foreign currency translation adjustment | (17,255) | (17,255) | |||||
Net loss | (5,216) | (5,216) | |||||
Ending balance at Dec. 31, 2018 | $ 12,419 | $ 5,241 | $ (970) | $ 577,488 | $ (142,021) | $ (427,319) | |
Ending balance, shares at Dec. 31, 2018 | 52,413,588 | 52,413,000 | 333,000 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2018 | Dec. 31, 2017 | ||||
Operating activities: | |||||
Net loss | $ (5,216) | $ (23,875) | |||
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||
Share-based compensation | 455 | 693 | |||
Foreign currency (income) loss | 13,299 | (440) | |||
Loss on commodity derivative contracts | 1,797 | 1,852 | |||
Cash settlement on commodity derivative contracts | (4,012) | 32 | |||
Amortization on loan financing costs | 42 | 82 | |||
Deferred income tax expense | 6,854 | 3,356 | |||
Exploration, abandonment and impairment | 401 | 934 | |||
Depreciation, depletion and amortization | 14,059 | 16,925 | |||
Accretion of asset retirement obligations | 174 | 190 | |||
Loss on Sale of TBNG | 15,226 | ||||
Changes in operating assets and liabilities: | |||||
Accounts receivable | (1,358) | 2,255 | |||
Prepaid expenses and other assets | (6,673) | (859) | |||
Accounts payable and accrued liabilities | 7,031 | (333) | |||
Net cash provided by operating activities | 28,695 | 17,880 | |||
Investing activities: | |||||
Additions to oil and natural gas properties | (23,517) | (15,478) | |||
Additions to equipment and other properties | (3,015) | (366) | |||
Proceeds from asset sale | 17,779 | ||||
Net cash provided by (used in) investing activities | (26,532) | 1,935 | |||
Financing activities: | |||||
Tax withholding on restricted share units | (11) | (92) | |||
Loan proceeds | 10,000 | 20,375 | |||
Loan repayment | (16,625) | (30,475) | |||
Loan repayment - related party | (3,219) | ||||
Net cash used in financing activities | (6,636) | (13,411) | |||
Effect of exchange rate on cash flows, cash equivalents and restricted cash | (5,931) | (1,044) | |||
Net increase (decrease) in cash, cash equivalents and restricted cash | (10,404) | 5,360 | |||
Cash, cash equivalents and restricted cash, beginning of year | [1] | 20,431 | [2] | 15,071 | |
Cash, cash equivalents and restricted cash, end of year | [2] | 10,027 | 20,431 | [1] | |
Supplemental disclosures: | |||||
Cash paid for interest | 7,917 | 5,620 | |||
Cash paid for taxes | 3,239 | 2,151 | |||
Series A Preferred Shares [Member] | |||||
Adjustments to reconcile net loss to net cash provided by operating activities: | |||||
Interest on Series A Preferred Shares paid in common shares | $ 1,842 | $ 1,842 | |||
[1] | The balance at January 1, 2017 includes cash and cash equivalents of $10.0 million, restricted cash of $3.5 million in other assets and TBNG cash held for sale of $1.6 million. The balance at January 1, 2018 includes cash and cash equivalents of $18.9 million and restricted cash of $1.5 million in other assets. | ||||
[2] | The end of period balance at December 31, 2017 includes cash and cash equivalents of $18.9 million and restricted cash of $1.5 million in other assets. The end of period balance at December 31, 2018 includes cash and cash equivalents of $9.9 million and restricted cash of $0.1 million in other assets. |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash and cash equivalents | $ 10,000 | $ 9,892 | $ 18,926 |
Thrace Basin Natural Gas (Turkiye) Corporation [Member] | |||
Cash held for sale | 1,600 | ||
Other Assets [Member] | |||
Restricted cash | $ 3,500 | $ 100 | $ 1,500 |
General
General | 12 Months Ended |
Dec. 31, 2018 | |
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 22, 2019, approximately 48% 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 two operating segments – Turkey and Bulgaria. Its assets consist of its ownership interests in subsidiaries that primarily own assets in Turkey and 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, stock based compensation and financial derivatives, collectability of accounts receivable, the recoverability and impairment of long-lived assets, contingencies and income taxes. Changes in facts and circumstances may result in revised estimates and actual results may differ from these estimates. On February 24, 2017, we closed the sale of our ownership interests in our subsidiary Thrace Basin Natural Gas (Turkiye) Corporation (“TBNG”) for gross proceeds of $20.7 million and net cash proceeds of $16.1 million, which reflect a $0.2 million post-closing purchase price adjustment. Although the sale of TBNG met the threshold to classify its assets and liabilities as held for sale, it did not meet the requirements to classify its operations as discontinued, as the sale was not considered a strategic shift in our operations. As such, TBNG’s results of operations are classified as continuing operations for all periods presented (see Note 17 “Divestitures and discontinued operations”). |
Liquidity
Liquidity | 12 Months Ended |
Dec. 31, 2018 | |
Liquidity [Abstract] | |
Liquidity | 2. Liquidity During 2018, we repaid the 2016 Term Loan in full in accordance with its terms and entered into the 2018 Term Loan with DenizBank, A.S. (“DenizBank”) for $10.0 million. (see Note 9 “Loans Payable”). As of December 31, 2018, we had no long-term debt, $22.0 million in short-term debt, $9.9 million in cash and a $2.5 million working capital surplus. Based on current forecasted oil prices for 2019 and beyond, we believe that our cash flows from operations and existing cash on hand are sufficient to conduct our planned operations and meet our contractual requirements, including license obligations through March 31, 2020. |
Significant Accounting Policies
Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2018 | |
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. Accounts receivable, net We have receivables for sales of oil and natural gas, as well as receivables related to joint interest accounts, which have a contractual maturity of one year or less. An allowance for doubtful accounts has been established based on management’s review of the collectability of the receivables in light of historical experience, the nature and volume of the receivables and other subjective factors. Accounts receivable are charged against the allowance, upon approval by management, when they are deemed uncollectible. Our allowance for doubtful accounts was $0.5 million at December 31, 2018 and 2017. 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. 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 and Bulgaria is the New Turkish Lira (“TRY”) and the Bulgarian Lev, 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) our history in exploring the area, (iii) our future drilling plans per our capital drilling program prepared by our 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. 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 As explained below (see Note 4 “New accounting pronouncements”), on January 1, 2018, we adopted FASB Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers The Company recognizes revenue in accordance with FASB, ASC 606, Revenue from Contracts with Customers Our revenue consists of sales under two contracts, one for crude oil and one for natural gas. The crude oil is delivered to the inlet of a processing center and control is passed through a custodian to the customer at that point. We are paid for crude oil at the inlet plus or minus an adjustment for quality. Our natural gas is metered at the inlet of a transportation pipeline and control is passed at that point. We record natural gas sales at the delivery point to the customer, net of any pricing differentials. There is no material inventory remaining at the end of each reporting period. We have previously deducted any transportation costs, processing fees, or adjustments from revenue and recorded the net amount. Under the new revenue guidance, on January 1, 2018, we now record the gross amount of the revenue and records any fees, or deductions as expenses. Our revenue excludes any amounts collected on behalf of third parties. During the years ended December 31, 2018 and 2017, we sold $68.2 million and $54.9 million, respectively, of oil to Türkiye Petrol Rafinerileri A.Ş. (“TUPRAS”), a privately-owned oil refinery in Turkey, which represented approximately 96.4%, and 97.0% of our total revenues, respectively. Share-based compensation We follow ASC 718, Compensation—Stock Compensation Series A Preferred Shares On November 4, 2016, we issued 921,000 shares of 12.0% Series A Convertible Redeemable Preferred Shares (the “Series A Preferred Shares”). Of the 921,000 Series A Preferred Shares, (i) 815,000 shares were issued in exchange for $40.75 million of our 13.0% Senior Convertible Notes due 2017 (the “2017 Notes”) Income taxes We follow the asset and liability method prescribed by ASC 740, Income Taxes As of December 31, 2018 and 2017, we have recorded a $6.7 million and $8.7 million liability, respectively, primarily due to uncertain tax positions related to the unwinding of all of our crude oil hedge collars and three-way contracts, which are 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 We follow 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, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
New accounting pronouncements | 4. New accounting pronouncements In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date. We adopted ASU 2014-09 on January 1, 2018 using the modified retrospective approach. We have a small number of contracts with customers and have identified transactions within the scope of the standard. As a result of adoption of ASU 2014-09, we have determined that it will change our method of recording certain transportation and processing charges that were previously recorded as a reduction of revenues to record such charges as an expense under the new standard. The result of this change was an increase to both revenue and expenses of $4.7 million for the twelve months ended December 31, 2018. The application of the new standard has no impact on our retained earnings and no impact to our net income on an ongoing basis. During the twelve months ended December 31, 2017, this standard would have increased both revenue and expenses by $4.4 million. Contracts for the sale of natural gas and crude oil are evidenced by (1) base contracts for the sale and purchase of natural gas or crude oil, which document the general terms and conditions for the sale, and (2) transaction confirmations, which document the terms of each specific sale. Revenue is measured based on consideration specified in the contract with the customer. We recognize revenue in the amount that reflects the consideration we expect to be entitled to in exchange for transferring control of those goods to the customer. Revenues are recognized for the sale of our net share of production volumes. Sales on behalf of other working interest owners and royalty interest owners are not recognized as revenues. The contract consideration in our contracts are typically allocated to specific performance obligations in the contract according to the price stated in the contract, which usually sets the base oil and natural gas prices based on benchmark prices based on volumes and adjustments for product quality. Payment is generally received one or two months after the sale has occurred. The following table displays the disaggregation of revenue by product type for the twelve months ended December 31, 2018 and 2017: 2018 2017 (in thousands) Oil $ 69,207 $ 58,109 Natural gas 1,061 1,807 Total revenue from customers $ 70,268 $ 59,916 All of our revenues from contracts with customers represent products transferred at the point in time control is transferred to the customer and are generated in Turkey. Transaction price allocated to remaining performance obligations . A significant number of our product sales are short-term in nature with a contract term of one year or less. For those contracts, we have utilized the practical expedient exempting us from disclosure of the transaction price allocated to remaining performance obligations if the performance obligation is part of a contract that has an original expected duration of one year or less. Contract balances . Receivables from contracts with customers are recorded when the right to consideration becomes unconditional, generally when control of the product has been transferred to the customer. Receivables from contracts with customers were $12.9 million and $15.8 million as of December 31, 2018 and December 31, 2017, respectively, and are reported in accounts receivable, net on our consolidated balance sheets. We currently have no assets or liabilities related to our revenue contracts, including no upfront or rights to deficiency payments. Practical expedients . We have made use of certain practical expedients in adopting the new revenue standard, including the value of unsatisfied performance obligations are not disclosed for (i) contracts with an original expected length of one year or less, (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice, (iii) variable consideration which is allocated entirely to a wholly unsatisfied performance obligation and meets the variable allocation criteria in the standard and (iv) only contracts that are not completed at transition. We have not adjusted the promised amount of consideration for the effects of a significant financing component if we expect, at contract inception, that the period between when we transfer a promised good or service to the customer and when the customer pays for that good or service will be one year or less. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash In May 2017, the FASB issued ASU 2017-09, Scope of Modification Accounting Compensation – Stock Compensation In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815) 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. |
Series A Preferred Shares
Series A Preferred Shares | 12 Months Ended |
Dec. 31, 2018 | |
Temporary Equity Disclosure [Abstract] | |
Series A preferred shares | 5. Series A Preferred Shares Series A Preferred Shares On November 4, 2016, we issued 921,000 Series A Preferred Shares. Of the 921,000 Series A Preferred Shares, (i) 815,000 shares were issued in exchange for $40.75 million of the 2017 Notes, at an exchange rate of 20 Series A Preferred Shares for each $1,000 principal amount of 2017 Notes, and (ii) 106,000 shares were issued and sold for $5.3 million of cash to certain holders of the 2017 Notes. All of the Series A Preferred Shares were issued at a value of $50.00 per share. We used $4.3 million of the gross proceeds to redeem a portion of the remaining 2017 Notes on January 1, 2017. The remaining proceeds were used for general corporate purposes. The Series A Preferred Shares contain a substantive conversion option, are mandatorily redeemable and convert into a fixed number of common shares. As a result, under U.S GAAP, we have classified the Series A Preferred Shares within mezzanine equity in our consolidated balance sheet. As of December 31, 2018, there were $21.3 million of Series A Preferred Shares and $24.8 million of Series A Preferred Shares – related party outstanding (see Note 16 “Related party transactions”). Pursuant to the Certificate of Designations for the Series A Preferred Shares (the “Certificate of Designations”), each Series A Preferred Share may be converted at any time, at the option of the holder, into 45.754 common shares of the Company (which is equal to an initial conversion price of approximately $1.0928 per common share and is subject to customary adjustment for stock splits, stock dividends, recapitalizations or other fundamental changes). If not converted sooner, on November 4, 2024, we are required to redeem the outstanding Series A Preferred Shares in cash at a price per share equal to the liquidation preference plus accrued and unpaid dividends. At any time on or after November 4, 2020, we may redeem all or a portion of the Series A Preferred Shares at the redemption prices listed below (expressed as a percentage of the liquidation preference amount per share) plus accrued and unpaid dividends to the date of redemption, if the closing sale price of the common shares equals or exceeds 150% of the conversion price then in effect for at least 10 trading days (whether or not consecutive) in a period of 20 consecutive trading days, including the last trading day of such 20 trading day period, ending on, and including, the trading day immediately preceding the business day on which we issue a notice of optional redemption. The redemption prices for the 12-month period starting on the date below are: Period Commencing Redemption Price November 4, 2020 105.000% November 4, 2021 103.000% November 4, 2022 101.000% November 4, 2023 and thereafter 100.000% Additionally, upon the occurrence of a change of control, we are required to offer to redeem the Series A Preferred Shares within 120 days after the first date on which such change of control occurred, for cash at a redemption price equal to the liquidation preference per share, plus any accrued and unpaid dividends. Dividends on the Series A Preferred Shares are payable quarterly at our election in cash, common shares or a combination of cash and common shares at an annual dividend rate of 12.0% of the liquidation preference if paid all in cash or 16.0% of the liquidation preference if paid in common shares. If paid partially in cash and partially in common shares, the dividend rate on the cash portion is 12.0%, and the dividend rate on the common share portion is 16.0%. Dividends are payable quarterly, on June 30, September 30, December 31, and March 31 of each year. The holders of the Series A Preferred Shares also are entitled to participate pro-rata in any dividends paid on the common shares on an as-converted-to-common shares basis. As of December 31, 2018 and 2017, we paid $5.3 million and accrued $6.0 million, respectively, in dividends on the Series A Preferred Shares, which is recorded in our consolidated statements of comprehensive loss under the caption “Interest and other expense”. These amounts were paid in cash and common shares. Except as required by Bermuda law the holders of Series A Preferred Shares have no voting rights, except that for so long as at least 400,000 Series A Preferred Shares are outstanding, the holders of the Series A Preferred Shares voting as a separate class have the right to elect two directors to our board of directors. For so long as between 80,000 and 399,999 Series A Preferred Shares are outstanding, the holders of the Series A Preferred Shares voting as a separate class have the right to elect one director to our board of directors. Upon less than 80,000 Series A Preferred Shares remaining outstanding, any directors elected by the holders of Series A Preferred Shares shall immediately resign from our board of directors. The Certificate of Designation also provides that without the approval of the holders of a majority of the outstanding Series A Preferred Shares, we will not issue indebtedness for money borrowed or other securities which are senior to the Series A Preferred Shares in excess of the greater of (i) $100 million or (ii) 35% of our PV-10 of proved reserves as disclosed in our most recent independent reserve report filed or furnished by us on EDGAR. |
Property and equipment
Property and equipment | 12 Months Ended |
Dec. 31, 2018 | |
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: 2018 2017 (in thousands) Oil and natural gas properties, proved: Turkey $ 162,494 $ 193,111 Bulgaria 512 536 Total oil and natural gas properties, proved 163,006 193,647 Oil and natural gas properties, unproved: Turkey 14,965 24,445 Bulgaria 730 - Total oil and natural gas properties, unproved 15,695 24,445 Gross oil and natural gas properties 178,701 218,092 Accumulated depletion (100,582 ) (123,225 ) Net oil and natural gas properties $ 78,119 $ 94,867 The decline in oil and natural gas properties during the year ended December 31, 2018 was primarily driven by the devaluation of the Turkish Lira (“TRY”) versus the U.S. Dollar. For the year ended December 31, 2018 and 2017, 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, 2018 and 2017, we excluded $0.5 million At December 31, 2018, the capitalized costs of our oil and natural gas properties included $6.5 million relating to acquisition costs of proved properties, which are being amortized by the unit-of-production method using total proved reserves, and $53.4 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, 2017, the capitalized costs of our oil and natural gas properties included $11.2 million relating to acquisition costs of proved properties, which are being amortized by the unit-of-production method using total proved reserves, and $58.7 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. During the year ended December 31, 2018, we recorded $0.3 million of impairment of proved properties and exploratory well costs which are primarily measured using Level 3 inputs primarily relating to two of our gas fields. During the year ended December 31, 2017, we recorded $0.8 million of impairment of proved properties and exploratory well costs which are primarily measured using Level 3 inputs primarily relating to two of our gas fields. Capitalized costs greater than one year As of December 31, 2018, there were no capitalized exploratory well costs greater than one year. As of December 31, 2017, we had $4.0 million of exploratory well costs capitalized for the Pinar-1 well in Turkey. During the first quarter of 2018, the well began producing. Equipment and other property The historical cost of equipment and other property, presented on a gross basis with accumulated depreciation, is summarized as follows: 2018 2017 (in thousands) Other equipment $ 1,240 $ 1,764 Land 149 – Inventory 6,791 4,619 Gas gathering system and facilities 194 135 Vehicles 336 343 Leasehold improvements, office equipment and software 5,698 7,214 Gross equipment and other property 14,408 14,075 Accumulated depreciation (5,268 ) (5,958 ) Net equipment and other property $ 9,140 $ 8,118 At December 31, 2018 and 2017, we classified $5.2 million and $7.5 million of inventory, respectively, as a current asset, which represents our expected inventory consumption during the next twelve months. We classify the remainder of our materials and supply inventory 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, 2018 and 2017, we excluded $12.0 million and $12.1 million of inventory, respectively, from depreciation, as the inventory had not been placed into service. |
Derivative instruments
Derivative instruments | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative instruments | 7. Derivative instruments We use derivative instruments to manage certain risks related to commodity prices and foreign currency exchange rates. The use of derivative instruments for risk management is covered by operating policies and is closely monitored by our senior management. We do not hold any derivatives for speculative purposes and do not use derivatives with leveraged or complex features. 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. Commodity price derivatives 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 loss under the caption “(Loss) gain on derivative contracts.” Settlements of derivative contracts are included in operating activities on our consolidated statements of cash flows under the caption “Cash settlement on derivative contracts.” At December 31, 2018, we had no outstanding commodity derivative contracts with respect to our future crude oil production. At December 31, 2017, 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, 2017 Collars Weighted Average Weighted Minimum Average Quantity Price Maximum Price Estimated Fair Type Period (Bbl/day) (per Bbl) (per Bbl) Value of Liability (in thousands) Collar January 1, 2018— February 28, 2018 458 $ 50.00 $ 61.50 $ (178 ) Collar January 1, 2018— March 31, 2018 500 $ 47.00 $ 59.65 (376 ) Collar January 1, 2018— May 31, 2018 298 $ 47.50 $ 61.00 (286 ) Collar January 1, 2018— June 30, 2018 746 $ 47.50 $ 57.10 (1,375 ) Total Estimated Fair Value of Liability $ (2,215 ) Foreign currency derivatives 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 foreign exchange derivative contracts are settled based upon the contract rate. We recognize gains and losses related to these contracts on a fair value basis in our consolidated statements of comprehensive loss under the caption “(Loss) gain on derivative contracts.” Settlements of derivative contracts are included in operating activities on our consolidated statements of cash flows under the caption “Cash settlement on derivative contracts.” At December 31, 2018 and 2017, we had no outstanding derivative contracts with respect to our foreign exchange rates. During the years ended December 31, 2018 and 2017, we recorded a net loss on derivative contracts of $1.8 million and $1.9 million, respectively. 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, 2017, and (ii) the net recorded fair value as reflected on our consolidated balance sheets at December 31, 2017. At December 31, 2018, we did not have any commodity or foreign exchange derivative contracts. As of December 31, 2017 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 liabilities $ 2,215 $ – $ 2,215 |
Asset Retirement obligations
Asset Retirement obligations | 12 Months Ended |
Dec. 31, 2018 | |
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, 2018, the net present value of our total ARO was estimated to be $4.7 million, with the undiscounted value being $8.2 million. Total ARO at December 31, 2018 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 12.65% per annum for Turkey. These values are discounted to present value using our credit-adjusted risk-free rate of 7.55% per annum for Turkey for the year ended December 31, 2018. The following table summarizes the changes in our ARO for the years ended December 31, 2018 and 2017: 2018 2017 (in thousands) Asset retirement obligations at beginning of period $ 4,727 $ 4,833 Liabilities settled – (37 ) Foreign exchange change effect (1,270 ) (259 ) Additions 1,036 – Accretion expense 174 190 Asset retirement obligations at end of period 4,667 4,727 Long-term portion $ 4,667 $ 4,727 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, 2018 | |
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, 2018 2017 Fixed and floating rate loans (in thousands) Term Loan (1) $ 22,000 $ 28,625 Loans payable 22,000 28,625 Less: current portion 22,000 15,625 Long-term portion $ – $ 13,000 _______________________________________________________________________________________________________________ (1) Includes 2018, 2017 and 2016 Term Loans. 2016 Term Loan On August 31, 2016, DenizBank entered into a $30.0 million term loan (the “2016 Term Loan”) with TransAtlantic Exploration Mediterranean International Pty Ltd (“TEMI”) under our general credit agreement with DenizBank (the “Credit Agreement”). In addition, we and DenizBank entered into additional agreements with respect to up to $20.0 million of non-cash facilities, including guarantee letters and treasury instruments for future hedging transactions. The 2016 Term Loan bore interest at a fixed rate of 5.25% (plus 0.2625% for Banking and Insurance Transactions Tax per the Turkish government) per annum and was payable in six monthly installments of $1.25 million each through February 2017 and thereafter in twelve monthly installments of $1.88 million each through February 2018. On April 27, 2017, TEMI and DenizBank approved a revised amortization schedule for the 2016 Term Loan. Pursuant to the revised amortization schedule, the maturity date of the 2016 Term Loan was extended from February 2018 to June 2018, and the monthly principal payments were reduced from $1.88 million to $1.38 million. The other terms of the 2016 Term Loan remained unchanged. Amounts repaid under the 2016 Term Loan could not be re-borrowed and early repayments under the 2016 Term Loan were subject to early repayment fees. The 2016 Term Loan was guaranteed by DMLP, Ltd. (“DMLP”), TransAtlantic Turkey, Ltd. (“TransAtlantic Turkey”), Talon Exploration, Ltd. (“Talon Exploration”), and TransAtlantic Worldwide, Ltd. (“TransAtlantic Worldwide”). The 2016 Term Loan contained standard prohibitions on the activities of TEMI as the borrower, including prohibitions on granting of liens on its assets, incurring additional debt, dissolving, liquidating, merging, consolidating, paying dividends, making certain investments, selling assets or transferring revenue, and other similar matters. In addition, the 2016 Term Loan prohibited Amity Oil International Pty Ltd (“Amity”) and Petrogas Petrol Gaz ve Petrokimya Urunleri Insaat Sanayi ve Ticaret A.S. (“Petrogas”) from incurring additional debt. An event of default under the 2016 Term Loan included, among other events, failure to pay principal or interest when due, breach of certain covenants, representations, warranties and obligations, bankruptcy or insolvency and the occurrence of a material adverse effect. The 2016 Term Loan was secured by a pledge of (i) the stock of TEMI, DMLP, TransAtlantic Turkey, and Talon Exploration, (ii) substantially all of the assets of TEMI, (iii) certain real estate owned by Petrogas, (iv) the Gundem real estate and Muratli real estate owned by Gundem Turizm Yatirim ve Isletmeleri A.S. (“Gundem”) and (v) certain Diyarbakir real estate owned 80% by Mr. Mitchell and 20% by Mr. Uras. In addition, TEMI assigned its Turkish collection accounts and its receivables from the sale of oil to DenizBank as additional security for the 2016 Term Loan. Gundem is beneficially owned by Mr. Mitchell, his adult children, and Mr. Uras. Mr. Mitchell is our chief executive officer and chairman of our board of directors. Mr. Uras is our vice president, Turkey. On June 28, 2018, we repaid the 2016 Term Loan in full in accordance with its terms. 2017 Term Loan On November 17, 2017, DenizBank entered into a $20.4 million term loan (the “2017 Term Loan”) with TEMI under the Credit Agreement. The 2017 Term Loan bears interest at a fixed rate of 6.0% (plus 0.3% for Banking and Insurance Transactions Tax per the Turkish government) per annum. The 2017 Term Loan had a grace period which bore no interest or payments due until July 2018. Thereafter, the 2017 Term Loan is payable in one monthly installment of $1.38 million, nine monthly installments of $1.2 million each through April 2019 and thereafter in eight monthly installments of $1.0 million each through December 2019, with the exception of one monthly installment of $1.2 million occurring in October 2019. The 2017 Term Loan matures in December 2019. Amounts repaid under the 2017 Term Loan may not be re-borrowed, and early repayments under the 2017 Term Loan are subject to early repayment fees. The 2017 Term Loan is guaranteed by Petrogas, Amity, Talon Exploration, DMLP, and TransAtlantic Turkey. The 2017 Term Loan contains standard prohibitions on the activities of TEMI as the borrower, including prohibitions on granting of liens on its assets, incurring additional debt, dissolving, liquidating, merging, consolidating, paying dividends, making certain investments, selling assets or transferring revenue, and other similar matters. In addition, the 2017 Term Loan prohibits Amity and Petrogas from incurring additional debt. An event of default under the 2017 Term Loan includes, among other events, failure to pay principal or interest when due, breach of certain covenants, representations, warranties and obligations, bankruptcy or insolvency and the occurrence of a material adverse effect. The 2017 Term Loan is secured by a pledge of (i) the stock of TEMI, DMLP, TransAtlantic Turkey, and Talon Exploration, (ii) substantially all of the assets of TEMI, (iii) certain real estate owned by Petrogas, (iv) the Gundem real estate and Muratli real estate owned by Gundem, (v) certain Diyarbakir real estate owned 80% by Mr. Mitchell and 20% Mr. Uras, and (vi) certain Ankara real estate owned 100% by Mr. Uras. In addition, TEMI assigned its Turkish collection accounts and its receivables from the sale of oil to DenizBank as additional security for the 2017 Term Loan. Gundem is beneficially owned by Mr. Mitchell, his adult children, and Mr. Uras. Mr. Mitchell is our chief executive officer and chairman of our board of directors. Mr. Uras is our vice president, Turkey. At December 31, 2018, we had $13.0 million outstanding under the 2017 Term Loan and no availability, and we were in compliance with the covenants in the 2017 Term Loan. 2018 Term Loan On May 28, 2018, DenizBank entered into a $10.0 million term loan (the “2018 Term Loan”) with TEMI under the Credit Agreement. The 2018 Term Loan bears interest at a fixed rate of 7.25% (plus 0.3% for Banking and Insurance Transactions Tax per the Turkish government) per annum. The 2018 Term Loan had a grace period through July 2018 during which no payments were due. Thereafter, accrued interest on the 2018 Term Loan is payable monthly and the principal on the 2018 Term Loan is payable in five monthly installments of $0.2 million each through December 2018, four monthly installments of $0.5 million each through April 2019, four monthly installments of $1.0 million each through August 2019, and four monthly installments of $0.75 million each through December 2019. The 2018 Term Loan matures in December 2019. Amounts repaid under the 2018 Term Loan may not be reborrowed, and early repayments under the 2018 Term Loan are subject to early repayment fees. The 2018 Term Loan is guaranteed by Petrogas, Amity, Talon Exploration, DMLP, and TransAtlantic Turkey. The 2018 Term Loan contains standard prohibitions on the activities of TEMI as the borrower, including prohibitions on encumbering or creating restrictions or limitations on all or a part of its assets, revenues, or properties, giving guaranties or sureties, selling assets or transferring revenues, dissolving, liquidating, merging, or consolidating, incurring additional debt, paying dividends, making certain investments, undergoing a change of control, and other similar matters. In addition, the 2018 Term Loan prohibits Amity, Talon Exploration, DMLP, and TransAtlantic Turkey from incurring additional debt. An event of default under the 2018 Term Loan includes, among other events, failure to pay principal or interest when due, breach of certain covenants, representations, warranties, and obligations, bankruptcy or insolvency, and the occurrence of a material adverse effect. The 2018 Term Loan is secured by a pledge of (i) the stock of TEMI, DMLP, TransAtlantic Turkey, and Talon Exploration, (ii) substantially all of the assets of TEMI, (iii) certain real estate owned by Petrogas, (iv) certain Gundem real estate and Muratli real estate owned by Gundem, (v) certain Diyarbakir real estate owned 80% by Mr. Mitchell and 20% Mr. Uras, and (vi) certain Ankara real estate owned 100% by Mr. Uras. In addition, TEMI assigned its Turkish collection accounts and its receivables from the sale of oil to DenizBank as additional security for the 2018 Term Loan. Gundem is beneficially owned by Mr. Mitchell, his adult children, and Mr. Uras. Mr. Mitchell is our chief executive officer and chairman of our board of directors. Mr. Uras is our vice president, Turkey. At December 31, 2018, we had $9.0 million outstanding under the 2018 Term Loan and no availability, and we were in compliance with the covenants in the 2018 Term Loan. During the years ended December 31, 2018 and 2017, we recorded interest expense related to the 2016, 2017 and 2018 Term Loan of $1.8 million and $0.9 million, respectively. 2017 Notes The 2017 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 2017 Notes bore interest at an annual rate of 13.0%, payable semi-annually, in arrears, on January 1 and July 1 of each year. The 2017 Notes matured on July 1, 2017, and on July 3, 2017, we paid off and retired all remaining outstanding 2017 Notes. ANBE Note On December 30, 2015, TransAtlantic Petroleum (USA) Corp (“TransAtlantic USA”) entered into a $5.0 million draw down convertible promissory note (the “ANBE Note”) with ANBE Holdings, L.P. (“ANBE”), an entity owned by the adult children of our chairman and chief executive officer, Mr. Mitchell, and controlled by an entity managed by Mr. Mitchell and his wife. The ANBE Note bore interest at a rate of 13.0% per annum. On October 31, 2016, TransAtlantic USA entered into an amendment of the ANBE Note with ANBE (the “ANBE Amendment”). The ANBE Amendment extended the maturity date of the ANBE Note from October 31, 2016 to September 30, 2017, provided for the ANBE Note to be repaid in four quarterly installments of $0.9 million each in December 2016 and March, June and September 2017, and provided for monthly payments of interest. On February 27, 2017, we repaid the ANBE Note in full with proceeds from the sale of TBNG and terminated it. 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, 2018, 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. Amortization of loan financing costs totaled approximately $0.1 million during 2018 and 2017. |
Shareholders' equity
Shareholders' equity | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Shareholders' equity | 10. Shareholders’ equity Share issuances to holders of Series A Preferred Shares On October 2, 2017, we issued an aggregate of 2,591,384 common shares to holders of the Series A Preferred Shares as payment of the September 30, 2017 quarterly dividend on the Series A Preferred Shares. Each common share was issued at a value of $0.7108 per common share, which was equal to the 15-day volume weighted average price through the close of trading of the common shares on the NYSE American exchange on September 13, 2017. On December 31, 2018, we issued an aggregate of 1,808,001 common shares to holders of the Series A Preferred Shares as payment of the December 31, 2018 quarterly dividend on the Series A Preferred Shares. Each common share was issued at a value of $1.0188 per common share, which was equal to the 15-day volume weighted average price through the close of trading of the common shares on the NYSE American exchange on December 14, 2018. Restricted stock units Under our 2009 Long-Term Incentive Plan (the “Incentive Plan”), we awarded 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 $0.5 million and $0.7 million Number of RSUs (in thousands) Weighted Average Grant Date Fair Value Per RSU Unvested RSUs outstanding at December 31, 2017 513 $ 1.38 Granted 311 1.55 Forfeited (7 ) 1.18 Vested (363 ) 1.49 Unvested RSUs outstanding at December 31, 2018 454 $ 1.42 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) 2018 2017 Net loss $ (5,216 ) $ (23,875 ) Basic net loss per common share: Shares: Weighted average common shares outstanding 50,505 48,196 Basic net loss per common share: $ (0.10 ) $ (0.50 ) Diluted net loss per common share: Shares: Weighted average shares outstanding 50,505 48,196 Dilutive effect of: Restricted share units – – 2017 Notes – – Weighted average common and common equivalent shares outstanding 50,505 48,196 Diluted net loss per common share: $ (0.10 ) $ (0.50 ) Warrants On December 31, 2014, April 24, 2015 and August 13, 2015, we issued 233,334, 233,333 and 233,333 common share purchase warrants (“Warrants”), respectively, to the shareholders of Gundem as consideration for the pledge of Turkish real estate in exchange for an extension of the maturity of a credit agreement between us and a Turkish bank. As consideration for the pledge of Turkish real estate, the independent members of our 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 were immediately exercisable and entitled the holder to purchase one common share for each Warrant. The Warrants were issued in December 2014, April 2015 and August 2015 at an exercise price of $5.99, $5.65 and $2.99 per share, respectively. The Warrants expired, unexercised, pursuant to their terms on January 6, 2018. |
Income taxes
Income taxes | 12 Months Ended |
Dec. 31, 2018 | |
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 2018 and 2017 to income (loss) from operations as follows: 2018 2017 (in thousands except rates) Statutory rate 0.00 % 0.00 % Income (loss) before income taxes $ 4,458 $ (18,446 ) Increase (decrease) resulting from: Foreign tax rate differentials $ 4,720 $ 945 Uncertain tax position 935 1,050 Unremitted earnings 2,927 1,677 Change in valuation allowance (4,743 ) 640 Expiration of non-capital tax loss carryovers 4,793 792 Other 1,042 325 Total $ 9,674 $ 5,429 The components of the net deferred income tax liability at December 31, 2018 and 2017 were as follows: 2018 2017 (in thousands) Deferred tax assets Property and equipment $ 609 $ 1,279 Unrealized gains on derivative contracts 432 Timing of accruals 574 132 Non-capital loss carryovers 13,261 16,502 Valuation allowance (13,261 ) (17,731 ) Other – 47 Total deferred tax assets $ 1,183 $ 661 Deferred tax liabilities Property and equipment $ (9,728 ) $ (10,044 ) Unremitted earnings (9,401 ) (9,631 ) Timing of accruals (2,368 ) (597 ) Total deferred tax liabilities (21,497 ) (20,272 ) Net deferred tax liabilities $ (20,314 ) $ (19,611 ) Components of net deferred tax liabilities Non-current assets $ 1,183 $ 661 Non-current liabilities (21,497 ) (20,272 ) Net deferred tax liabilities $ (20,314 ) $ (19,611 ) 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, 2018, we had non-capital tax losses in Turkey of approximately 57.8 million TRY (approximately $11.0 million), which will begin to expire in 2019; non-capital tax losses in Romania of approximately 1.6 million Romanian New Leu (approximately $0.4 million), which will begin to expire in 2019; non-capital losses in Bulgaria of approximately 9.8 million Bulgarian Lev (approximately $5.7 million), which will begin to expire in 2019; and non-capital tax losses in the United States of approximately $53.7 million, which will begin to expire in 2019. As of December 31, 2018 and 2017, we recorded a valuation allowance of $13.3 million and $17.7 million, respectively, as a reduction to our net operating losses and deferred tax assets. Effective October 1, 2009, we continued to the jurisdiction of Bermuda under the Bermuda Companies Act 1981 We file income tax returns in the United States, Turkey, Bulgaria and Cyprus, with Turkey being the only jurisdiction with significant amounts of taxes due. Except for the outstanding examination of the 2011 income tax filings for Petrogas, Turkish income tax filings before 2012 are no longer subject to examination. As the result of 2016 Turkish legislation allowing us the option to enter into an agreement to exempt corporate income tax filings from examination, we were able to close additional years from examination. As of December 31, 2018 and 2017, we recorded a $6.7 million and $8.7 million liability, respectively, primarily due to uncertain tax positions related to the unwinding of all our crude oil hedge collars and three-way contracts, which are included in long-term accrued liabilities on our consolidated balance sheet. The unrecognized tax benefits at December 31, 2018 and 2017 were as follows: 2018 2017 (in thousands) Unrecognized tax benefits at beginning of period $ 8,663 $ 8,079 Gross increases - tax positions in prior period 935 1,125 Foreign exchange change effect (2,884 ) (541 ) Unrecognized tax benefits at end of period $ 6,714 $ 8,663 As of December 31, 2018, 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, 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 2017 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 135.2 million TRY of cumulative earnings generated by certain of our Turkish foreign subsidiaries through fiscal year 2015. We provided for Turkish dividend withholding taxes on the 135.2 million TRY of cumulative undistributed foreign Turkish earnings, resulting in the recognition of a deferred tax liability. Although the 2017 Notes were retired on July 3, 2017 (see Note 9 “Loans Payable”), due to our obligation to pay dividends on our Series A Preferred Shares issued on November 4, 2016 (see Note 5 “Series A Preferred Shares”), as of December 31, 2018 and 2017, we maintain the same position, and we provided for Turkish dividend, withholding taxes on 329.7 million and 242.1 million TRY, respectively, of cumulative undistributed foreign Turkish earnings, resulting in an additional increase in our deferred tax liability. There is no certainty as to the timing of when or if such Turkish foreign earnings will be distributed in whole or in part. |
Segment information
Segment information | 12 Months Ended |
Dec. 31, 2018 | |
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, 2018 Total revenues $ – $ 70,789 $ – $ 70,789 Production – 10,649 120 10,769 Transportation costs – 4,665 – 4,665 Exploration, abandonment, and impairment – 401 – 401 Seismic and other exploration – 488 1 489 General and administrative 9,222 5,344 153 14,719 Depreciation, depletion and amortization 142 13,917 – 14,059 Accretion of asset retirement obligations – 151 23 174 Total costs and expenses 9,364 35,615 297 45,276 Operating (loss) income (9,364 ) 35,174 (297 ) 25,513 Interest and other expense (7,026 ) (3,022 ) – (10,048 ) Interest and other income 184 897 1 1,082 Loss on commodity derivative contracts – (1,797 ) – (1,797 ) Foreign exchange gain (loss) (351 ) (9,932 ) (9 ) (10,292 ) (Loss) income before income taxes (16,557 ) 21,320 (305 ) 4,458 Income tax expense – (9,674 ) – (9,674 ) Net loss $ (16,557 ) $ 11,646 $ (305 ) $ (5,216 ) Total assets at December 31, 2018 $ 8,358 $ 122,325 $ 1,917 $ 132,600 Capital expenditures for the year ended December 31, 2018 $ – $ 23,517 $ – $ 23,517 For the year ended December 31, 2017 Total revenues $ – $ 56,639 $ – $ 56,639 Production 36 12,136 77 12,249 Exploration, abandonment, and impairment – 934 – 934 Cost of purchased natural gas – 568 – 568 Seismic and other exploration – 4,723 – 4,723 General and administrative 6,739 5,729 349 12,817 Depreciation, depletion and amortization 188 16,737 – 16,925 Accretion of asset retirement obligations – 169 21 190 Total costs and expenses 6,963 40,996 447 48,406 Operating (loss) income (6,963 ) 15,643 (447 ) 8,233 Loss on sale of TBNG (15,226 ) – – (15,226 ) Interest and other expense (7,794 ) (1,044 ) – (8,838 ) Interest and other income 250 847 1 1,098 Loss on commodity derivative contracts – (1,852 ) – (1,852 ) Foreign exchange gain (loss) 365 (2,239 ) 13 (1,861 ) (Loss) income before income taxes (29,368 ) 11,355 (433 ) (18,446 ) Income tax expense – (5,429 ) – (5,429 ) Net loss $ (29,368 ) $ 5,926 $ (433 ) $ (23,875 ) Total assets at December 31, 2017 $ 61,167 $ 109,699 $ (10,216 ) $ 160,650 Capital expenditures for the year ended December 31, 2017 $ – $ 15,854 $ – $ 15,854 |
Financial instruments
Financial instruments | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Financial instruments | 13. Financial instruments Foreign currency risk We have underlying foreign currency exchange rate exposure. Our currency exposures primarily relate to transactions denominated in the Bulgarian Lev, European Union Euro, 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, 2018 and 2017, we had 7.8 million TRY and $4.0 million TRY, respectively (approximately $1.5 million and $1.1 million, respectively) 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. 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 for TUPRAS. 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 and the ANBE Note were each estimated to have a fair value approximating the carrying amount at December 31, 2018 and 2017 due to the short maturity of those instruments. The financial assets and liabilities measured on a recurring basis at December 31, 2017 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 collar contracts purchased to hedge our oil production. We utilize 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 to determine the fair value of our commodity derivative contracts. We review prices received from our counterparty for unusual fluctuations to ensure that the prices represent a reasonable estimate of fair value. At December 31, 2018, the fair value of the 2018 Term Loan and 2017 Term Loan 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, 2018, the carrying value approximated the fair value for the 2018 Term Loan and 2017 Term Loan. The following table summarizes the valuation of our financial liabilities as of December 31, 2018: 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) Liabilities: 2017 Term Loan – – (11,938 ) (11,938 ) 2018 Term Loan – – (8,192 ) (8,192 ) Total $ – $ – $ (20,130 ) $ (20,130 ) The following table summarizes the valuation of our financial liabilities as of December 31, 2017: 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 Liabilities: Commodity derivative contracts $ – $ (2,215 ) $ – $ (2,215 ) Disclosed but not carried at fair value Liabilities: 2017 Term Loan – – (16,613 ) (16,613 ) 2016 Term Loan – – (7,866 ) (7,866 ) Total $ – $ (2,215 ) $ (24,479 ) $ (26,694 ) |
Commitments
Commitments | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments | 14. Commitments Our aggregate annual commitments, other than our loans payable, as of December 31, 2018 were as follows: Payments Due By Year Total 2019 2020 2021 2022 2023 Thereafter (in thousands) Series A Preferred Shares dividends (1) $ 37,822 $ 5,526 $ 5,526 $ 5,526 $ 5,526 $ 5,526 $ 10,192 Interest 800 800 - - - - - Leases 3,251 963 710 636 626 316 - Total $ 41,873 $ 7,289 $ 6,236 $ 6,162 $ 6,152 $ 5,842 $ 10,192 (1) Dividends on the Series A Preferred Shares may be paid by us, in our sole discretion, in cash at a rate of 12% per annum or in common shares at a rate of 16% per annum or in a combination of cash and common shares. The amounts in the table assume that we pay all future dividend payments solely in cash. 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, 2018 and 2017 was $1.3 million and $1.2 million, respectively. |
Contingencies
Contingencies | 12 Months Ended |
Dec. 31, 2018 | |
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. In September 2016, management determined that, because it had received no communication from the Moroccan government since early 2013, the probability of payment of this contingency is remote, and therefore we reversed the $6.0 million in contingent liabilities previously classified as liabilities held for sale. Bulgaria 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 Bulgarian 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. In October 2015, the Bulgarian Minister of Energy filed a suit in the Sofia City Court against Direct Petroleum Bulgaria EOOD (“Direct Bulgaria”), claiming $200,000 in liquidated damages for Direct Bulgaria’s alleged failure to fulfill its obligations under the Aglen exploration permit work program. In May 2018, the Sofia City Court concluded that Direct Bulgaria did not fail to fulfill its obligations under the Aglen exploration permit work program as Direct Bulgaria received a force majeure event recognition as a result of a fracture stimulation ban in 2012, imposed by the Bulgarian Parliament, which force majeure event had not been terminated before the expiry of Direct Bulgaria’s obligations under the Aglen exploration permit work program. Additionally, the Sofia City Court concluded that, even if Direct Bulgaria had failed to fulfill its obligations under the Aglen exploration permit work program, the Bulgarian Minister of Energy failed to file suit within the three-year limitation period. Therefore, the Sofia City Court dismissed all claims of the Bulgarian Minister of Energy and ordered the Bulgarian Minister of Energy to pay Direct Bulgaria’s attorney’s fees and legal costs for court experts. In June 2018, the Bulgarian Minister of Energy filed an appeal in the Sofia Court of Appeal. In November 2018, the Sofia Court of Appeal concluded that the judgement of the Sofia City Court was correct and, therefore, dismissed the Bulgarian Minister of Energy’s appeal. In January 2019, the Bulgarian Minister of Energy filed an appeal in the Supreme Court of Cassation. We continue to vigorously defend this claim. As a result of the judgement of the Sofia Court of Appeal, we are currently evaluating an adjustment to our contingencies relating to production leases and exploration permits. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2018 | |
Related Party Transactions [Abstract] | |
Related party transactions | 16. Related party transactions Series A Preferred Shares transactions On November 4, 2016, we issued 921,000 Series A Preferred Shares. Of the 921,000 Series A Preferred Shares, (i) 815,000 shares were issued in exchange for $40.75 million of our 2017 Notes, at an exchange rate of 20 Series A Preferred Shares for each $1,000 principal amount of 2017 Notes (the “Exchange Offer”), and (ii) 106,000 shares were issued and sold for $5.3 million of cash to certain holders of the 2017 Notes (the “Offering”). In the Exchange Offer, Pinon Foundation, a non-profit charitable organization directed by Mr. Mitchell’s spouse exchanged $10.0 million of the 2017 Notes for 200,000 Series A Preferred Shares; Dalea exchanged $2.1 million of the 2017 Notes for 41,000 Series A Preferred Shares; and trusts benefitting Mr. Mitchell’s four adult children each exchanged $2.0 million of the 2017 Notes for 40,000 Series A Preferred Shares. In the Offering, the Pinon Foundation purchased 5,000 Series A Preferred Shares for $250,000; and each of Mr. Mitchell’s four adult children purchased 1,000 Series A Preferred Shares for $50,000. Pinon Foundation subsequently sold its Series A Preferred Shares to Longfellow Energy, LP, an affiliate of Mr. Mitchell. For more information see Note 5 “Series A Preferred Shares”. Equity transactions On December 31, 2014, April 24, 2015 and August 13, 2015, we issued 134,169, 134,168 and 134,168 Warrants, respectively, to Mr. Mitchell and 23,333, 23,333 and 23,333 Warrants, respectively, to each of Mr. Mitchell’s children, as shareholders of Gundem, as consideration for the pledge of Turkish real estate in exchange for an extension of the maturity date of a credit agreement between us and a Turkish bank. As consideration for the pledge of Turkish real estate, the independent members of our 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 were immediately exercisable and entitled the holder to purchase one common share for each Warrant. The Warrants issued in December 2014, April 2015 and August 2015 an exercise price of $5.99, $5.65 and $2.99 per share, respectively. The Warrants expired, unexercised, pursuant to their terms on January 6, 2018. On June 30, 2016, we issued an aggregate of 5,773,305 common shares in private placements under the Securities Act. Of the 5,773,305 common shares, (i) 1,974,452 common shares were issued to Dalea On December 5, 2016, Randy Rochman, chief executive officer of West Family Investments, and Jonathon Fite, co-owner of the general partner of KMF Investment Partners, LP, were appointed to our board of directors. Randy Rochman and KMF Investment Partners, LP held, and currently hold, 15,000 and 69,000 Series A Preferred Shares, respectively. On March 31, 2017, these 84,000 shares ($4.2 million in value) were re-classified to related party. On October 2, 2017, we issued an aggregate of 2,591,384 common shares to holders of the Series A Preferred Shares as payment of the September 30, 2017 quarterly dividend on the Series A Preferred Shares (see Note 10 “Shareholder’s Equity”). Of the 2,591,384 common shares, 1,392,768 common shares were issued to Dalea, the trusts of Mr. Mitchell’s four children, Pinon Foundation, a nonprofit entity controlled by Mrs. Mitchell, KMF Investment Partners, LP, and Randy Rochman. On December 31, 2018, we issued an aggregate of 1,808,001 common shares to holders of the Series A Preferred Shares as payment of the December 31, 2018 quarterly dividend on the Series A Preferred Shares (see Note 10 “Shareholder’s Equity”). Of the 1,808,001 common shares, 971,724 common shares were issued to Dalea, the trusts of Mr. Mitchell’s four children, Longfellow Energy, an entity controlled by Mr. Mitchell, KMF Investment Partners, LP, and Randy Rochman. Dalea Amended Note and Pledge Agreement On April 19, 2016, we entered into a note amendment agreement (the “Note Amendment Agreement”) with Mr. Mitchell, and Dalea, pursuant to which Dalea agreed to deliver an amended and restated promissory note (the “Amended Note”) in favor of us, in the principal sum of $7,964,053, which Amended Note would amend and restate that certain promissory note, dated June 13, 2012, made by Dalea in favor of us in the principal amount of $11.5 million (the “Original Note”). The Note Amendment Agreement reduced the principal amount of the Original Note to $8.0 million in exchange for the cancellation of an account payable of approximately $3.5 million (the “Account Payable”) owed by TransAtlantic Albania Ltd. (“TransAtlantic Albania”), our former subsidiary, to Viking International Limited (“Viking International”) Pursuant to the Note Amendment Agreement, on April 19, 2016, we entered into the Amended Note, which amended and restated the Original Note that was issued in connection with our sale of our former subsidiaries, Viking International and Viking Geophysical Services Ltd. (“Viking Geophysical”) Viking Services B.V., the beneficial owner of Viking International, VOS and Viking Geophysical (“Viking Services”) Master Services Agreement, dated March 3, 2016, by and between Production Solutions International Petrol Arama Hizmetleri Anomin Sirketi (“PSI”), an affiliate of Mr. Mitchell, and TEMI (the “PSI MSA”) In addition, pursuant to the Note Amendment Agreement, on April 19, 2016, we entered into a pledge agreement (the “Pledge Agreement”) with Dalea, whereby Dalea pledged the $2.0 million principal amount of the 2017 Notes owned by Dalea (the “Dalea Convertible Notes”), including any future securities for which the Dalea Convertible Notes are converted or exchanged, as security for the performance of Dalea’s obligations under the Amended Note. The Pledge Agreement provides that interest payable to Dalea under the Dalea Convertible Notes (or any future securities for which the Dalea Convertible Notes are converted or exchanged) will be credited first against the outstanding principal balance of the Amended Note and, upon full repayment of the outstanding principal balance of the Amended Note, any accrued and unpaid interest on the Amended Note. The Pledge Agreement contains customary events of default. On November 4, 2016, Dalea exchanged $2.0 million of the 2017 Notes for 40,000 Series A Preferred Shares. On June 30, 2016, we entered into a waiver with Dalea, whereby we waived our right under the Pledge Agreement to receive the interest payment due July 1, 2016 under the Dalea Convertible Notes in connection with the payment of 201,459 common shares to Dalea with respect to the 2017 Note interest payment paid on June 30, 2016. As of December 31, 2018 and 2017, the amount receivable under the Amended Note was $5.8 million and $6.7 million, respectively. On February 28, 2019, we and Dalea entered into an amendment (the “Note Amendment”) to the Amended Note (as amended by the Note Amendment, the “Note”), pursuant to which we and Dalea agreed to extend the maturity date of the Note to February 26, 2021 (unless otherwise accelerated in accordance with the terms of the Note). Pledge fee agreements In connection with the pledge of the Gundem real estate and Muratli real estate to DenizBank as collateral for the 2016 Term Loan, on August 31, 2016, we entered into a pledge fee agreement with Gundem (the “Gundem Fee Agreement”) pursuant to which we pay Gundem a fee equal to 5% per annum of the collateral value of the Gundem real estate and Muratli real estate. Pursuant to the Gundem Fee Agreement, the Gundem real estate has a deemed collateral value of $10.0 million and the Muratli real estate has a deemed collateral value of $5.0 million. In connection with the pledge of certain Diyarbakir real estate to DenizBank as collateral for the 2016 Term Loan, on August 31, 2016, we entered into a pledge fee agreement with Messrs. Mitchell and Uras (the “Diyarbakir Fee Agreement”) pursuant to which we pay Messrs. Mitchell and Uras a fee of 5% per annum of the collateral value of the Diyarbakir real estate. Pursuant to the Diyarbakir Fee Agreement, the Diyarbakir real estate has a deemed collateral value of $5.0 million. Amounts payable to Mr. Mitchell under the Gundem Fee Agreement and the Diyarbakir Fee Agreement will be used to reduce the outstanding principal amount of the Amended Note. During the year ended December 31, 2018 and 2017, we reduced the principal amount of the Amended Note by $0.6 million 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 100% 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. 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, with automatic one-year extensions absent notice of termination from either party. 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 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 is owned and operated by PSI. PSI is beneficially owned by Dalea Investment Group, LLC, which is controlled by Mr. Mitchell. Consequently, on March 3, 2016, TEMI entered into the PSI MSA on substantially similar terms to our prior master services agreements with Viking International, VOS and VGS. Pursuant to the PSI MSA, PSI will perform services on behalf of TEMI and its affiliates. On February 28, 2019, TEMI and PSI entered into an amendment (the “PSI MSA Amendment”) to the PSI MSA, pursuant to which PSI and TEMI agreed to extend the primary term of the PSI MSA to February 26, 2021, with automatic successive renewal terms of one (1) year each, unless terminated by PSI or TEMI by written notice at least sixty (60) days prior to the end of the primary term or any successive renewal term. The master services agreements with each of Viking International, VOS and Viking Geophysical currently remain in effect. On August 7, 2018 and effective as of June 14, 2018, our wholly owned subsidiary, TransAtlantic USA, entered into a sublease agreement (the “Sublease”) with Longfellow to lease corporate office space located at 16803 North Dallas Parkway, Addison, Texas. TransAtlantic USA subleases approximately 10,000 square feet of corporate office space in Addison, Texas. The initial lease term under the Sublease commenced on June 14, 2018 (the “Commencement Date”) and expires on June 30, 2020, unless earlier terminated in accordance with the Sublease. From the Commencement Date until June 30, 2019, TransAtlantic USA is required to pay monthly rent of $18,333.33 to Longfellow, plus utilities, real property taxes, and liability insurance (to the extent that TransAtlantic USA does not obtain its own liability insurance). The monthly rent increases by $416.67 for the period commencing June 30, 2019 and ending June 30, 2021. On March 20, 2017, we entered into a second amendment to the Master Services Agreement among us and Longfellow Energy, LP, a Texas limited partnership, Viking Drilling, LLC, a Nevada limited liability company, RIATA Management, LLC, an Oklahoma limited liability company, Longfellow Nemaha, LLC, a Texas limited liability company, Red Rock Minerals, LP, a Delaware limited partnership, Red Rock Advisors, LLC, a Texas limited liability company, Production Solutions International Limited , a Bermuda exempted company, and Nexlube Operating, LLC, a Delaware limited liability company, and their subsidiaries (collectively, the “Riata Entities”), adding and removing certain of the Riata Entities and expanding the scope of services. For the years ended December 31, 2018 and 2017, we incurred capital and operating expenditures of $10.6 million and $9.3 million, respectively, related to our various related party agreements. ANBE Note On December 30, 2015, TransAtlantic USA entered into the $5.0 million Note with ANBE, an entity owned by the children of our chairman and chief executive officer, Mr. Mitchell and controlled by an entity managed by Mr. Mitchell and his wife. The ANBE Note bears interest at a rate of 13.0% per annum. On December 30, 2015, we borrowed the Initial Advance of $3.6 million for general corporate purposes. On June 30, 2016, we issued 355,826 common shares in a private placement to On October 31, 2016, TransAtlantic USA entered into an amendment of the ANBE Note with ANBE (the “ANBE Amendment”). The ANBE Amendment extended the maturity date of the ANBE Note from October 31, 2016 to September 30, 2017, provided for the ANBE Note to be repaid in four quarterly installments of $0.9 million each in December 2016 and March, June and September 2017, and provided for monthly payments of interest. On February 27, 2017, we repaid the ANBE Note in full and terminated it with proceeds from the sale of TBNG. The following table summarizes related party accounts receivable and accounts payable as of December 31, 2018 and December 31, 2017: 2018 2017 (in thousands) Related party accounts receivable: Riata Management Service Agreement $ 526 $ 576 PSI MSA 352 447 Total related party accounts receivable $ 878 $ 1,023 Related party accounts payable: Riata Management Service Agreement $ 372 $ 341 PSI MSA 2,439 2,119 Board of Directors 111 – Interest payable on Series A Preferred Shares – 681 Total related party accounts payable $ 2,922 $ 3,141 |
Divestitures and Discontinued O
Divestitures and Discontinued Operations | 12 Months Ended |
Dec. 31, 2018 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Divestitures and discontinued operations | 17. Divestitures and discontinued operations TBNG On October 13, 2016, we entered into a share purchase agreement (the “Purchase Agreement”) with Valeura Energy Netherlands B.V. (“Valeura”) for the sale of all of the equity interests in TBNG, our wholly-owned subsidiary. TBNG owned a portion our interests in the Thrace Basin area in Turkey. Although the sale of TBNG met the threshold to classify its assets and liabilities as held for sale, it did not meet the requirements to classify its operations as discontinued as the sale was not considered a strategic shift in our operations. As such, TBNG’s results of operations are classified as continuing operations for all periods presented. On February 24, 2017, we closed on the sale of TBNG for gross proceeds of $20.7 million and net cash proceeds of $16.1 million, effective as of March 31, 2016. The purchase price was subject to post-closing adjustments, and we agreed to escrow $3.1 million of the purchase price for 30 days to satisfy any agreed upon purchase price adjustments. We agreed to a $0.2 million reduction to the purchase price, and on April 10, 2017, we collected $2.9 million of the escrowed funds. For the year ended December 31, 2017, we recorded a non-cash net loss of $15.2 million on the sale of TBNG. The loss related to the reclassification of the TBNG accumulated foreign currency translation adjustment that was realized into earnings from accumulated other comprehensive loss within shareholders’ equity. The calculation of the loss on sale is presented below: Loss on Sale (in thousands) Total cash proceeds for TBNG $ 20,707 Less: TBNG net assets 12,869 Gain on sale before accumulated foreign currency translation adjustment 7,838 Less: TBNG accumulated foreign currency translation adjustment (23,064 ) Net loss on sale of TBNG $ (15,226 ) Discontinued operations in Albania As of December 31, 2015, we 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 our wholly-owned subsidiary, Stream Oil & Gas Ltd. (“Stream”), to GBC Oil Company. On September 1, 2016, we completed a joint venture transaction with respect to the assets in the Delvina gas field in Albania (the “Delvina Assets”). We transferred (the “Transfer”) 75% of the outstanding shares of Delvina Gas Company Ltd. (“DelvinaCo”), which owned the Delvina Assets, to Ionian Gas Company Ltd. (“Ionian”) in exchange for Ionian’s agreement to pay $12.0 million to DelvinaCo, which was to be used primarily to repay debt and for general corporate purposes with respect to the Delvina Assets. After the Transfer, we retained a 25% equity interest in DelvinaCo and agreed to pay 25% of the operating costs of DelvinaCo, subject to a three-year deferral of capital expenditures. On August 9, 2017, due to continued failures by our joint venture partners to timely meet their obligations, uncompleted local governmental ratifications, and our prioritization of funds, we transferred our 25% equity interest in DelvinaCo to Delvina Investment Partners Ltd. in exchange for a release of all claims with respect to DelvinaCo and a cash payment of $300,000 for amounts owed to us under agreements entered into in connection with the DelvinaCo joint venture transaction. Additionally, we terminated all of our responsibilities as operator and our obligations to pay any operating costs or any other expenditures with respect to DelvinaCo. This divestiture completed our departure from all Albanian operations and assets. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2018 | |
Subsequent Events [Abstract] | |
Subsequent Events | 18. Subsequent events 2019 Term Loan On February 22, 2019, TEMI entered into a $20.0 million term loan (the “2019 Term Loan”) with DenizBank under the Credit Agreement. The 2019 Term Loan bears interest at a fixed rate of 7.5% (plus 0.375% for Banking and Insurance Transactions Tax per the Turkish government) per annum. The 2019 Term Loan has a ten-month grace period during which the 2019 Term Loan bears interest but no payments are due other than a single interest only payment of $0.76 million in August 2019. After the ten-month grace period, the 2019 Term Loan is payable in fourteen monthly principal installments of $1.43 million plus interest. The 2019 Term Loan matures in February 2021. Amounts repaid under the 2019 Term Loan may not be re-borrowed, and early repayments under the 2019 Term Loan are subject to early repayment fees. The 2019 Term Loan is guaranteed by Petrogas, Amity, Talon Exploration, DMLP, and TransAtlantic Turkey. The 2019 Term Loan contains standard prohibitions on the activities of TEMI as the borrower, including prohibitions on encumbering or creating restrictions or limitations on all or a part of its assets, revenues, or properties, giving guaranties or sureties, selling assets or transferring revenues, dissolving, liquidating, merging, or consolidating, incurring additional debt, paying dividends, making certain investments, undergoing a change of control, and other similar matters. In addition, the 2019 Term Loan prohibits Amity, Talon Exploration, DMLP, and Transatlantic Turkey from incurring additional debt. An event of default under the 2019 Term Loan includes, among other events, failure to pay principal or interest when due, breach of certain covenants, representations, warranties, and obligations, bankruptcy or insolvency, and the occurrence of a material adverse effect. The 2019 Term Loan is secured by a pledge of (i) the stock of TEMI, DMLP, TransAtlantic Turkey, and Talon Exploration, (ii) substantially all of the assets of TEMI, (iii) certain real estate owned by Petrogas, (iv) certain Gundem real estate and Muratli real estate owned by Gundem, (v) certain Diyarbakir real estate owned 80% by Mr. Mitchell and 20% by Mr. Uras, and (vi) certain Ankara real estate owned 100% by Mr. Uras. In addition, TEMI has assigned its Turkish collection accounts and its receivables from the sale of oil to the Lender as additional security for the 2019 Term Loan. Gundem is beneficially owned by Mr. Mitchell, his adult children, and Mr. Uras. Mr. Mitchell is our Chief Executive Officer and Chairman of the Board. Mr. Uras is our Vice President, Turkey. Note Amendment On February 28, 2019, we and Dalea entered into the Note Amendment to the Amended Note, pursuant to which we and Dalea agreed to extend the maturity date of the Note to February 26, 2021 (unless otherwise accelerated in accordance with the terms of the Note). PSI MSA Amendment On February 28, 2019, TEMI and PSI entered into an amendment (the “PSI MSA Amendment”) to the PSI MSA, pursuant to which PSI and TEMI agreed to extend the primary term of the PSI MSA to February 26, 2021, with automatic successive renewal terms of one year each, unless terminated by PSI or TEMI by written notice at least 60 days prior to the end of the primary term or any successive renewal term. |
General (Policies)
General (Policies) | 12 Months Ended |
Dec. 31, 2018 | |
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 22, 2019, approximately 48% 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 two operating segments – Turkey and Bulgaria. Its assets consist of its ownership interests in subsidiaries that primarily own assets in Turkey and 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, stock based compensation and financial derivatives, collectability of accounts receivable, the recoverability and impairment of long-lived assets, contingencies and income taxes. Changes in facts and circumstances may result in revised estimates and actual results may differ from these estimates. On February 24, 2017, we closed the sale of our ownership interests in our subsidiary Thrace Basin Natural Gas (Turkiye) Corporation (“TBNG”) for gross proceeds of $20.7 million and net cash proceeds of $16.1 million, which reflect a $0.2 million post-closing purchase price adjustment. Although the sale of TBNG met the threshold to classify its assets and liabilities as held for sale, it did not meet the requirements to classify its operations as discontinued, as the sale was not considered a strategic shift in our operations. As such, TBNG’s results of operations are classified as continuing operations for all periods presented (see Note 17 “Divestitures and discontinued operations”). |
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. |
Accounts receivable, net | Accounts receivable, net We have receivables for sales of oil and natural gas, as well as receivables related to joint interest accounts, which have a contractual maturity of one year or less. An allowance for doubtful accounts has been established based on management’s review of the collectability of the receivables in light of historical experience, the nature and volume of the receivables and other subjective factors. Accounts receivable are charged against the allowance, upon approval by management, when they are deemed uncollectible. Our allowance for doubtful accounts was $0.5 million at December 31, 2018 and 2017. |
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. |
Derivative instruments | 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 and Bulgaria is the New Turkish Lira (“TRY”) and the Bulgarian Lev, 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) our history in exploring the area, (iii) our future drilling plans per our capital drilling program prepared by our 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. |
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 As explained below (see Note 4 “New accounting pronouncements”), on January 1, 2018, we adopted FASB Accounting Standards Update (“ASU”) No. 2014-09, Revenue from Contracts with Customers The Company recognizes revenue in accordance with FASB, ASC 606, Revenue from Contracts with Customers Our revenue consists of sales under two contracts, one for crude oil and one for natural gas. The crude oil is delivered to the inlet of a processing center and control is passed through a custodian to the customer at that point. We are paid for crude oil at the inlet plus or minus an adjustment for quality. Our natural gas is metered at the inlet of a transportation pipeline and control is passed at that point. We record natural gas sales at the delivery point to the customer, net of any pricing differentials. There is no material inventory remaining at the end of each reporting period. We have previously deducted any transportation costs, processing fees, or adjustments from revenue and recorded the net amount. Under the new revenue guidance, on January 1, 2018, we now record the gross amount of the revenue and records any fees, or deductions as expenses. Our revenue excludes any amounts collected on behalf of third parties. During the years ended December 31, 2018 and 2017, we sold $68.2 million and $54.9 million, respectively, of oil to Türkiye Petrol Rafinerileri A.Ş. (“TUPRAS”), a privately-owned oil refinery in Turkey, which represented approximately 96.4%, and 97.0% of our total revenues, respectively. |
Share-based compensation | Share-based compensation We follow ASC 718, Compensation—Stock Compensation |
Series A Preferred Shares | Series A Preferred Shares On November 4, 2016, we issued 921,000 shares of 12.0% Series A Convertible Redeemable Preferred Shares (the “Series A Preferred Shares”). Of the 921,000 Series A Preferred Shares, (i) 815,000 shares were issued in exchange for $40.75 million of our 13.0% Senior Convertible Notes due 2017 (the “2017 Notes”) |
Income taxes | Income taxes We follow the asset and liability method prescribed by ASC 740, Income Taxes As of December 31, 2018 and 2017, we have recorded a $6.7 million and $8.7 million liability, respectively, primarily due to uncertain tax positions related to the unwinding of all of our crude oil hedge collars and three-way contracts, which are 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 We follow 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 | In May 2014, the FASB issued ASU 2014-09, Revenue from Contracts with Customers Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date. We adopted ASU 2014-09 on January 1, 2018 using the modified retrospective approach. We have a small number of contracts with customers and have identified transactions within the scope of the standard. As a result of adoption of ASU 2014-09, we have determined that it will change our method of recording certain transportation and processing charges that were previously recorded as a reduction of revenues to record such charges as an expense under the new standard. The result of this change was an increase to both revenue and expenses of $4.7 million for the twelve months ended December 31, 2018. The application of the new standard has no impact on our retained earnings and no impact to our net income on an ongoing basis. During the twelve months ended December 31, 2017, this standard would have increased both revenue and expenses by $4.4 million. Contracts for the sale of natural gas and crude oil are evidenced by (1) base contracts for the sale and purchase of natural gas or crude oil, which document the general terms and conditions for the sale, and (2) transaction confirmations, which document the terms of each specific sale. Revenue is measured based on consideration specified in the contract with the customer. We recognize revenue in the amount that reflects the consideration we expect to be entitled to in exchange for transferring control of those goods to the customer. Revenues are recognized for the sale of our net share of production volumes. Sales on behalf of other working interest owners and royalty interest owners are not recognized as revenues. The contract consideration in our contracts are typically allocated to specific performance obligations in the contract according to the price stated in the contract, which usually sets the base oil and natural gas prices based on benchmark prices based on volumes and adjustments for product quality. Payment is generally received one or two months after the sale has occurred. The following table displays the disaggregation of revenue by product type for the twelve months ended December 31, 2018 and 2017: 2018 2017 (in thousands) Oil $ 69,207 $ 58,109 Natural gas 1,061 1,807 Total revenue from customers $ 70,268 $ 59,916 All of our revenues from contracts with customers represent products transferred at the point in time control is transferred to the customer and are generated in Turkey. Transaction price allocated to remaining performance obligations . A significant number of our product sales are short-term in nature with a contract term of one year or less. For those contracts, we have utilized the practical expedient exempting us from disclosure of the transaction price allocated to remaining performance obligations if the performance obligation is part of a contract that has an original expected duration of one year or less. Contract balances . Receivables from contracts with customers are recorded when the right to consideration becomes unconditional, generally when control of the product has been transferred to the customer. Receivables from contracts with customers were $12.9 million and $15.8 million as of December 31, 2018 and December 31, 2017, respectively, and are reported in accounts receivable, net on our consolidated balance sheets. We currently have no assets or liabilities related to our revenue contracts, including no upfront or rights to deficiency payments. Practical expedients . We have made use of certain practical expedients in adopting the new revenue standard, including the value of unsatisfied performance obligations are not disclosed for (i) contracts with an original expected length of one year or less, (ii) contracts for which we recognize revenue at the amount to which we have the right to invoice, (iii) variable consideration which is allocated entirely to a wholly unsatisfied performance obligation and meets the variable allocation criteria in the standard and (iv) only contracts that are not completed at transition. We have not adjusted the promised amount of consideration for the effects of a significant financing component if we expect, at contract inception, that the period between when we transfer a promised good or service to the customer and when the customer pays for that good or service will be one year or less. In February 2016, the FASB issued ASU No. 2016-02, Leases (Topic 842), In June 2016, the FASB issued ASU 2016-13, Financial Instruments - Credit Losses In August 2016, the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments In November 2016, the FASB issued ASU 2016-18, Statement of Cash Flows (Topic 230): Restricted Cash In May 2017, the FASB issued ASU 2017-09, Scope of Modification Accounting Compensation – Stock Compensation In August 2017, the FASB issued ASU 2017-12, Derivatives and Hedging (Topic 815) 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. |
New Accounting Pronouncements (
New Accounting Pronouncements (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Accounting Changes And Error Corrections [Abstract] | |
Summary of Disaggregation of Revenue | The following table displays the disaggregation of revenue by product type for the twelve months ended December 31, 2018 and 2017: 2018 2017 (in thousands) Oil $ 69,207 $ 58,109 Natural gas 1,061 1,807 Total revenue from customers $ 70,268 $ 59,916 |
Series A Preferred Shares (Tabl
Series A Preferred Shares (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Temporary Equity Disclosure [Abstract] | |
Schedule of Redemption Prices | The redemption prices for the 12-month period starting on the date below are: Period Commencing Redemption Price November 4, 2020 105.000% November 4, 2021 103.000% November 4, 2022 101.000% November 4, 2023 and thereafter 100.000% |
Property and Equipment (Tables)
Property and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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: 2018 2017 (in thousands) Oil and natural gas properties, proved: Turkey $ 162,494 $ 193,111 Bulgaria 512 536 Total oil and natural gas properties, proved 163,006 193,647 Oil and natural gas properties, unproved: Turkey 14,965 24,445 Bulgaria 730 - Total oil and natural gas properties, unproved 15,695 24,445 Gross oil and natural gas properties 178,701 218,092 Accumulated depletion (100,582 ) (123,225 ) Net oil and natural gas properties $ 78,119 $ 94,867 |
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: 2018 2017 (in thousands) Other equipment $ 1,240 $ 1,764 Land 149 – Inventory 6,791 4,619 Gas gathering system and facilities 194 135 Vehicles 336 343 Leasehold improvements, office equipment and software 5,698 7,214 Gross equipment and other property 14,408 14,075 Accumulated depreciation (5,268 ) (5,958 ) Net equipment and other property $ 9,140 $ 8,118 |
Derivative instruments (Tables)
Derivative instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Fair Value of Derivative Instruments of Future Crude Oil Production | At December 31, 2017, 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, 2017 Collars Weighted Average Weighted Minimum Average Quantity Price Maximum Price Estimated Fair Type Period (Bbl/day) (per Bbl) (per Bbl) Value of Liability (in thousands) Collar January 1, 2018— February 28, 2018 458 $ 50.00 $ 61.50 $ (178 ) Collar January 1, 2018— March 31, 2018 500 $ 47.00 $ 59.65 (376 ) Collar January 1, 2018— May 31, 2018 298 $ 47.50 $ 61.00 (286 ) Collar January 1, 2018— June 30, 2018 746 $ 47.50 $ 57.10 (1,375 ) Total Estimated Fair Value of Liability $ (2,215 ) |
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, 2017, and (ii) the net recorded fair value as reflected on our consolidated balance sheets at December 31, 2017. At December 31, 2018, we did not have any commodity or foreign exchange derivative contracts. As of December 31, 2017 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 liabilities $ 2,215 $ – $ 2,215 |
Asset Retirement obligations (T
Asset Retirement obligations (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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, 2018 and 2017: 2018 2017 (in thousands) Asset retirement obligations at beginning of period $ 4,727 $ 4,833 Liabilities settled – (37 ) Foreign exchange change effect (1,270 ) (259 ) Additions 1,036 – Accretion expense 174 190 Asset retirement obligations at end of period 4,667 4,727 Long-term portion $ 4,667 $ 4,727 |
Loans payable (Tables)
Loans payable (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Debt Disclosure [Abstract] | |
Debt | As of the dates indicated, our third-party debt consisted of the following: December 31, December 31, 2018 2017 Fixed and floating rate loans (in thousands) Term Loan (1) $ 22,000 $ 28,625 Loans payable 22,000 28,625 Less: current portion 22,000 15,625 Long-term portion $ – $ 13,000 _______________________________________________________________________________________________________________ (1) Includes 2018, 2017 and 2016 Term Loans. |
Shareholders' equity (Tables)
Shareholders' equity (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Equity [Abstract] | |
Restricted Stock Units Activity | Share-based compensation of approximately $0.5 million and $0.7 million Number of RSUs (in thousands) Weighted Average Grant Date Fair Value Per RSU Unvested RSUs outstanding at December 31, 2017 513 $ 1.38 Granted 311 1.55 Forfeited (7 ) 1.18 Vested (363 ) 1.49 Unvested RSUs outstanding at December 31, 2018 454 $ 1.42 |
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) 2018 2017 Net loss $ (5,216 ) $ (23,875 ) Basic net loss per common share: Shares: Weighted average common shares outstanding 50,505 48,196 Basic net loss per common share: $ (0.10 ) $ (0.50 ) Diluted net loss per common share: Shares: Weighted average shares outstanding 50,505 48,196 Dilutive effect of: Restricted share units – – 2017 Notes – – Weighted average common and common equivalent shares outstanding 50,505 48,196 Diluted net loss per common share: $ (0.10 ) $ (0.50 ) |
Income taxes (Tables)
Income taxes (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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 2018 and 2017 to income (loss) from operations as follows: 2018 2017 (in thousands except rates) Statutory rate 0.00 % 0.00 % Income (loss) before income taxes $ 4,458 $ (18,446 ) Increase (decrease) resulting from: Foreign tax rate differentials $ 4,720 $ 945 Uncertain tax position 935 1,050 Unremitted earnings 2,927 1,677 Change in valuation allowance (4,743 ) 640 Expiration of non-capital tax loss carryovers 4,793 792 Other 1,042 325 Total $ 9,674 $ 5,429 |
Components of Net Deferred Income Tax Liability | The components of the net deferred income tax liability at December 31, 2018 and 2017 were as follows: 2018 2017 (in thousands) Deferred tax assets Property and equipment $ 609 $ 1,279 Unrealized gains on derivative contracts 432 Timing of accruals 574 132 Non-capital loss carryovers 13,261 16,502 Valuation allowance (13,261 ) (17,731 ) Other – 47 Total deferred tax assets $ 1,183 $ 661 Deferred tax liabilities Property and equipment $ (9,728 ) $ (10,044 ) Unremitted earnings (9,401 ) (9,631 ) Timing of accruals (2,368 ) (597 ) Total deferred tax liabilities (21,497 ) (20,272 ) Net deferred tax liabilities $ (20,314 ) $ (19,611 ) Components of net deferred tax liabilities Non-current assets $ 1,183 $ 661 Non-current liabilities (21,497 ) (20,272 ) Net deferred tax liabilities $ (20,314 ) $ (19,611 ) |
Schedule of Unrecognized Tax Benefits | The unrecognized tax benefits at December 31, 2018 and 2017 were as follows: 2018 2017 (in thousands) Unrecognized tax benefits at beginning of period $ 8,663 $ 8,079 Gross increases - tax positions in prior period 935 1,125 Foreign exchange change effect (2,884 ) (541 ) Unrecognized tax benefits at end of period $ 6,714 $ 8,663 |
Segment information (Tables)
Segment information (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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, 2018 Total revenues $ – $ 70,789 $ – $ 70,789 Production – 10,649 120 10,769 Transportation costs – 4,665 – 4,665 Exploration, abandonment, and impairment – 401 – 401 Seismic and other exploration – 488 1 489 General and administrative 9,222 5,344 153 14,719 Depreciation, depletion and amortization 142 13,917 – 14,059 Accretion of asset retirement obligations – 151 23 174 Total costs and expenses 9,364 35,615 297 45,276 Operating (loss) income (9,364 ) 35,174 (297 ) 25,513 Interest and other expense (7,026 ) (3,022 ) – (10,048 ) Interest and other income 184 897 1 1,082 Loss on commodity derivative contracts – (1,797 ) – (1,797 ) Foreign exchange gain (loss) (351 ) (9,932 ) (9 ) (10,292 ) (Loss) income before income taxes (16,557 ) 21,320 (305 ) 4,458 Income tax expense – (9,674 ) – (9,674 ) Net loss $ (16,557 ) $ 11,646 $ (305 ) $ (5,216 ) Total assets at December 31, 2018 $ 8,358 $ 122,325 $ 1,917 $ 132,600 Capital expenditures for the year ended December 31, 2018 $ – $ 23,517 $ – $ 23,517 For the year ended December 31, 2017 Total revenues $ – $ 56,639 $ – $ 56,639 Production 36 12,136 77 12,249 Exploration, abandonment, and impairment – 934 – 934 Cost of purchased natural gas – 568 – 568 Seismic and other exploration – 4,723 – 4,723 General and administrative 6,739 5,729 349 12,817 Depreciation, depletion and amortization 188 16,737 – 16,925 Accretion of asset retirement obligations – 169 21 190 Total costs and expenses 6,963 40,996 447 48,406 Operating (loss) income (6,963 ) 15,643 (447 ) 8,233 Loss on sale of TBNG (15,226 ) – – (15,226 ) Interest and other expense (7,794 ) (1,044 ) – (8,838 ) Interest and other income 250 847 1 1,098 Loss on commodity derivative contracts – (1,852 ) – (1,852 ) Foreign exchange gain (loss) 365 (2,239 ) 13 (1,861 ) (Loss) income before income taxes (29,368 ) 11,355 (433 ) (18,446 ) Income tax expense – (5,429 ) – (5,429 ) Net loss $ (29,368 ) $ 5,926 $ (433 ) $ (23,875 ) Total assets at December 31, 2017 $ 61,167 $ 109,699 $ (10,216 ) $ 160,650 Capital expenditures for the year ended December 31, 2017 $ – $ 15,854 $ – $ 15,854 |
Financial instruments (Tables)
Financial instruments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Fair Value Disclosures [Abstract] | |
Valuation of Financial Liabilities | The following table summarizes the valuation of our financial liabilities as of December 31, 2018: 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) Liabilities: 2017 Term Loan – – (11,938 ) (11,938 ) 2018 Term Loan – – (8,192 ) (8,192 ) Total $ – $ – $ (20,130 ) $ (20,130 ) The following table summarizes the valuation of our financial liabilities as of December 31, 2017: 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 Liabilities: Commodity derivative contracts $ – $ (2,215 ) $ – $ (2,215 ) Disclosed but not carried at fair value Liabilities: 2017 Term Loan – – (16,613 ) (16,613 ) 2016 Term Loan – – (7,866 ) (7,866 ) Total $ – $ (2,215 ) $ (24,479 ) $ (26,694 ) |
Commitments (Tables)
Commitments (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Commitments And Contingencies Disclosure [Abstract] | |
Aggregate Annual Commitments Other Than Debt | Our aggregate annual commitments, other than our loans payable, as of December 31, 2018 were as follows: Payments Due By Year Total 2019 2020 2021 2022 2023 Thereafter (in thousands) Series A Preferred Shares dividends (1) $ 37,822 $ 5,526 $ 5,526 $ 5,526 $ 5,526 $ 5,526 $ 10,192 Interest 800 800 - - - - - Leases 3,251 963 710 636 626 316 - Total $ 41,873 $ 7,289 $ 6,236 $ 6,162 $ 6,152 $ 5,842 $ 10,192 (1) Dividends on the Series A Preferred Shares may be paid by us, in our sole discretion, in cash at a rate of 12% per annum or in common shares at a rate of 16% per annum or in a combination of cash and common shares. The amounts in the table assume that we pay all future dividend payments solely in cash. |
Related Party Transactions (Tab
Related Party Transactions (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
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, 2018 and December 31, 2017: 2018 2017 (in thousands) Related party accounts receivable: Riata Management Service Agreement $ 526 $ 576 PSI MSA 352 447 Total related party accounts receivable $ 878 $ 1,023 Related party accounts payable: Riata Management Service Agreement $ 372 $ 341 PSI MSA 2,439 2,119 Board of Directors 111 – Interest payable on Series A Preferred Shares – 681 Total related party accounts payable $ 2,922 $ 3,141 |
Divestitures and Discontinued_2
Divestitures and Discontinued Operations (Tables) | 12 Months Ended |
Dec. 31, 2018 | |
Discontinued Operations And Disposal Groups [Abstract] | |
Reclassification of Accumulated Foreign Currency Translation Adjustment Realized Into Earnings from Accumulated Other Comprehensive Loss | The loss related to the reclassification of the TBNG accumulated foreign currency translation adjustment that was realized into earnings from accumulated other comprehensive loss within shareholders’ equity. The calculation of the loss on sale is presented below: Loss on Sale (in thousands) Total cash proceeds for TBNG $ 20,707 Less: TBNG net assets 12,869 Gain on sale before accumulated foreign currency translation adjustment 7,838 Less: TBNG accumulated foreign currency translation adjustment (23,064 ) Net loss on sale of TBNG $ (15,226 ) |
General - Additional Informatio
General - Additional Information (Detail) $ in Millions | Feb. 24, 2017USD ($) | Dec. 31, 2018Segment | Mar. 22, 2019 |
Nature Of Business [Line Items] | |||
Number of operating segments | Segment | 2 | ||
Purchase price reduction amount | $ 0.2 | ||
Thrace Basin Natural Gas (Turkiye) Corporation [Member] | |||
Nature Of Business [Line Items] | |||
Gross proceeds on sale of ownership interests | 20.7 | ||
Net cash proceeds on sale of ownership interests | $ 16.1 | ||
Subsequent Event [Member] | |||
Nature Of Business [Line Items] | |||
Percentage of common shares owned | 48.00% |
Liquidity - Additional Informat
Liquidity - Additional Information (Detail) - USD ($) | Dec. 31, 2018 | May 28, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Liquidity [Line Items] | ||||
Long-term debt | $ 0 | $ 13,000,000 | ||
Short-term debt | 22,000,000 | 15,625,000 | ||
Cash | 9,892,000 | $ 18,926,000 | $ 10,000,000 | |
Working capital surplus | $ 2,500,000 | |||
2018 Term Loan [Member] | Credit Agreement [Member] | DenizBank [Member] | ||||
Liquidity [Line Items] | ||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 10,000,000 |
Significant Accounting Polici_2
Significant Accounting Policies - Additional information (Detail) | Nov. 04, 2016USD ($)$ / sharesshares | Dec. 31, 2018USD ($)Contract | Dec. 31, 2017USD ($) |
Significant Accounting Policies [Line Items] | |||
Allowance for doubtful accounts | $ 500,000 | $ 500,000 | |
Determination of exploratory well's ability to produce, term | 1 year | ||
Number of sales contracts consists revenue | Contract | 2 | ||
Liability for Uncertain Tax Positions, Current | $ 6,700,000 | 8,700,000 | |
Series A Preferred Shares [Member] | |||
Significant Accounting Policies [Line Items] | |||
Preferred shares, issued | shares | 921,000 | ||
Preferred stock, dividend rate, percentage | 12.00% | ||
Preferred stock, shares issued value per share | $ / shares | $ 50 | ||
Series A Preferred Shares [Member] | 13.0% Senior Convertible Notes Due 2017 [Member] | |||
Significant Accounting Policies [Line Items] | |||
Preferred shares, issued | shares | 815,000 | ||
Proceeds from issuance of preferred stock | $ 40,750,000 | ||
Convertible preferred shares issued upon conversion | shares | 20 | ||
Value of principal amount on conversion | $ 1,000,000 | ||
Series A Preferred Shares [Member] | 13.0% Senior Convertible Notes Due 2017 [Member] | Convertible Debt [Member] | |||
Significant Accounting Policies [Line Items] | |||
Debt instrument interest rate stated percentage | 13.00% | ||
Series A Preferred Shares [Member] | 13.0% Senior Convertible Notes Due 2017 [Member] | Certain Holders [Member] | |||
Significant Accounting Policies [Line Items] | |||
Preferred shares, issued | shares | 106,000 | ||
Proceeds from issuance of preferred stock | $ 5,300,000 | ||
TUPRAS [Member] | |||
Significant Accounting Policies [Line Items] | |||
Allowance for doubtful accounts | 0 | ||
Oil and Natural Gas Sales [Member] | |||
Significant Accounting Policies [Line Items] | |||
Sales revenue, crude oil and natural gas | 70,268,000 | 55,523,000 | |
Oil and Natural Gas Sales [Member] | TUPRAS [Member] | |||
Significant Accounting Policies [Line Items] | |||
Sales revenue, crude oil and natural gas | $ 68,200,000 | $ 54,900,000 | |
Sales Revenue, Goods, Net [Member] | Revenue from Rights Concentration Risk [Member] | |||
Significant Accounting Policies [Line Items] | |||
Concentration Risk, Percentage | 96.40% | 97.00% | |
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 |
New Accounting Pronouncements -
New Accounting Pronouncements - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Increased in expenses | $ 45,276,000 | $ 48,406,000 |
Accumulated deficit | (427,319,000) | (422,103,000) |
Impact on net income | (5,216,000) | (23,875,000) |
Receivables from contracts with customers | 12,912,000 | 15,808,000 |
Accounting Standards Update 2016-02 [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Operating lease, right-of-use asset | 2,700,000 | |
Operating lease, liability | 2,700,000 | |
Accounting Standards Update 2014-09 [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Sales revenue, crude oil and natural gas | $ 70,268,000 | 59,916,000 |
Revenue, remaining performance obligation, optional exemption, performance obligation | true | |
Receivables from contracts with customers | $ 12,900,000 | 15,800,000 |
Assets related to revenue contracts | 0 | |
Liabilities related to revenue contracts | 0 | |
Upfront or rights to deficiency payments from contract with customers | $ 0 | |
Revenue, practical expedient, initial application and transition, nondisclosure of transaction price allocation to remaining performance obligation | true | |
Revenue, practical expedient, financing component | true | |
Accounting Standards Update 2014-09 [Member] | Minimum [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Term of payment received after sale | 1 month | |
Accounting Standards Update 2014-09 [Member] | Maximum [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Term of payment received after sale | 2 months | |
Transaction price allocated to remaining performance obligations contract term | 1 year | |
Exemption period from disclosure | 1 year | |
Difference between Revenue Guidance in Effect before and after Topic 606 [Member] | Accounting Standards Update 2014-09 [Member] | ||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||
Sales revenue, crude oil and natural gas | $ 4,700,000 | 4,400,000 |
Increased in expenses | 4,700,000 | $ 4,400,000 |
Accumulated deficit | 0 | |
Impact on net income | $ 0 |
New Accounting Pronouncements_2
New Accounting Pronouncements - Summary of Disaggregation of Revenue (Detail) - Accounting Standards Update 2014-09 [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Disaggregation of revenue | ||
Total revenue from customers | $ 70,268 | $ 59,916 |
Oil [Member] | ||
Disaggregation of revenue | ||
Total revenue from customers | 69,207 | 58,109 |
Natural Gas [Member] | ||
Disaggregation of revenue | ||
Total revenue from customers | $ 1,061 | $ 1,807 |
Series A Preferred Shares - Add
Series A Preferred Shares - Additional Information (Detail) | Dec. 31, 2018USD ($)shares | Oct. 02, 2017 | Mar. 31, 2017USD ($)shares | Jan. 02, 2017USD ($) | Nov. 04, 2016USD ($)Director$ / sharesshares | Dec. 31, 2018USD ($)shares | Dec. 31, 2017USD ($) |
Series A Preferred Shares [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, issued | 921,000 | ||||||
Convertible preferred shares issued upon conversion | 45.754 | ||||||
Preferred stock, shares issued value per share | $ / shares | $ 50 | ||||||
Preferred shares, value | $ | $ 21,300,000 | $ 21,300,000 | $ 21,300,000 | ||||
Convertible preferred stock, terms of conversion | each Series A Preferred Share may be converted at any time, at the option of the holder, into 45.754 common shares of the Company (which is equal to an initial conversion price of approximately $1.0928 per common share and is subject to customary adjustment for stock splits, stock dividends, recapitalizations or other fundamental changes). | ||||||
Conversion of stock, per share | $ / shares | $ 1.0928 | ||||||
Preferred stock redemption period end date | Nov. 4, 2024 | ||||||
Preferred stock redemption period start date | Nov. 4, 2020 | ||||||
Maximum closing sale price of common shares on conversion price | 150.00% | ||||||
Preferred stock, redemption description | At any time on or after November 4, 2020, we may redeem all or a portion of the Series A Preferred Shares at the redemption prices listed below (expressed as a percentage of the liquidation preference amount per share) plus accrued and unpaid dividends to the date of redemption, if the closing sale price of the common shares equals or exceeds 150% of the conversion price then in effect for at least 10 trading days (whether or not consecutive) in a period of 20 consecutive trading days, including the last trading day of such 20 trading day period, ending on, and including, the trading day immediately preceding the business day on which we issue a notice of optional redemption. | ||||||
Change in control, offering redemption period | 120 days | ||||||
Preferred stock, dividend payment terms | Each common share was issued at a value of $1.0188 per common share, which was equal to the 15-day volume weighted average price through the close of trading of the common shares on the NYSE American exchange on December 14, 2018. | Each common share was issued at a value of $0.7108 per common share, which was equal to the 15-day volume weighted average price through the close of trading of the common shares on the NYSE American exchange on September 13, 2017 | Dividends on the Series A Preferred Shares are payable quarterly at our election in cash, common shares or a combination of cash and common shares at an annual dividend rate of 12.0% of the liquidation preference if paid all in cash or 16.0% of the liquidation preference if paid in common shares. If paid partially in cash and partially in common shares, the dividend rate on the cash portion is 12.0%, and the dividend rate on the common share portion is 16.0%. | ||||
Preferred stock, dividend rate, percentage | 12.00% | ||||||
Dividend payment description | Dividends are payable quarterly, on June 30, September 30, December 31, and March 31 of each year. | ||||||
Preferred stock dividends paid | $ | $ 5,300,000 | ||||||
Preferred stock accrued dividends | $ | 6,000,000 | ||||||
Preferred stock voting rights | no voting rights | ||||||
Certificate of designation description | The Certificate of Designation also provides that without the approval of the holders of a majority of the outstanding Series A Preferred Shares, we will not issue indebtedness for money borrowed or other securities which are senior to the Series A Preferred Shares in excess of the greater of (i) $100 million or (ii) 35% of our PV-10 of proved reserves as disclosed in our most recent independent reserve report filed or furnished by us on EDGAR. | ||||||
Maximum amount of indebtedness for borrowed money allowed under certificate of designation | $ | $ 100,000,000 | ||||||
PV10 reserve value percentage | 35.00% | ||||||
Series A Preferred Shares [Member] | Maximum [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Right to elect number of directors | Director | 2 | ||||||
Series A Preferred Shares [Member] | Minimum [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Right to elect number of directors | Director | 1 | ||||||
Series A Preferred Shares [Member] | Dividend Paid in Cash [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred stock, dividend rate, percentage | 12.00% | ||||||
Series A Preferred Shares [Member] | Dividend Paid in Common Shares [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred stock, dividend rate, percentage | 16.00% | ||||||
Series A Preferred Shares [Member] | 13.0% Convertible Notes Due 2017 [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, issued | 815,000 | ||||||
Amount of notes exchanged | $ | $ 40,750,000 | ||||||
Convertible preferred shares issued upon conversion | 20 | ||||||
Value of principal amount on conversion | $ | $ 1,000 | ||||||
Redemption of notes | $ | $ 4,300,000 | ||||||
Series A Preferred Shares [Member] | Certain Holders [Member] | 13.0% Convertible Notes Due 2017 [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, issued | 106,000 | ||||||
Proceeds from issuance of preferred stocks | $ | $ 5,300,000 | ||||||
Series A Preferred Shares [Member] | Two Director [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, outstanding | 400,000 | ||||||
Series A Preferred Shares [Member] | One Director [Member] | Maximum [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, outstanding | 80,000 | ||||||
Series A Preferred Shares [Member] | One Director [Member] | Minimum [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, outstanding | 399,999 | ||||||
Related Party [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, issued | 84,000 | ||||||
Proceeds from issuance of preferred stocks | $ | $ 4,200,000 | ||||||
Related Party [Member] | Series A Preferred Shares [Member] | |||||||
Redeemable Noncontrolling Interest [Line Items] | |||||||
Preferred shares, issued | 495,000 | 495,000 | |||||
Preferred shares, value | $ | $ 24,750,000 | $ 24,750,000 | $ 24,750,000 | ||||
Preferred shares, outstanding | 495,000 | 495,000 |
Series A Preferred Shares - Sch
Series A Preferred Shares - Schedule of Redemption Prices (Detail) - Series A Preferred Shares [Member] | Nov. 04, 2016 |
Redeemable Noncontrolling Interest [Line Items] | |
November 4, 2020 | 105.00% |
November 4, 2021 | 103.00% |
November 4, 2022 | 101.00% |
November 4, 2023 and thereafter | 100.00% |
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, 2018 | Dec. 31, 2017 |
Property Plant And Equipment [Line Items] | ||
Oil and natural gas properties, proved | $ 163,006 | $ 193,647 |
Oil and natural gas properties, unproved | 15,695 | 24,445 |
Gross oil and natural gas properties | 178,701 | 218,092 |
Accumulated depletion | (100,582) | (123,225) |
Net oil and natural gas properties | 78,119 | 94,867 |
Turkey [Member] | ||
Property Plant And Equipment [Line Items] | ||
Oil and natural gas properties, proved | 162,494 | 193,111 |
Oil and natural gas properties, unproved | 14,965 | 24,445 |
Bulgaria [Member] | ||
Property Plant And Equipment [Line Items] | ||
Oil and natural gas properties, proved | 512 | $ 536 |
Oil and natural gas properties, unproved | $ 730 |
Property and Equipment - Additi
Property and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Property Plant And Equipment [Line Items] | ||
Proved development wells excluded from depletion | $ 500 | $ 500 |
Acquisition costs of proved properties | 6,500 | 11,200 |
Well costs and additional development costs | 53,400 | 58,700 |
Exploratory dry hole costs | 300 | 800 |
Capitalized exploratory cost greater than one year | 0 | |
Inventory | 5,167 | 7,494 |
Inventory [Member] | ||
Property Plant And Equipment [Line Items] | ||
Property plant and equipment excluded from depreciation | $ 12,000 | 12,100 |
Pinar - 1 well [Member] | Turkey [Member] | ||
Property Plant And Equipment [Line Items] | ||
Capitalized exploratory cost greater than one year | $ 4,000 |
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, 2018 | Dec. 31, 2017 |
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | $ 14,408 | $ 14,075 |
Accumulated depreciation | (5,268) | (5,958) |
Net equipment and other property | 9,140 | 8,118 |
Other equipment [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 1,240 | 1,764 |
Land [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 149 | |
Inventory [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 6,791 | 4,619 |
Gas gathering system and facilities [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 194 | 135 |
Vehicles [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | 336 | 343 |
Leasehold improvements, office equipment and software [Member] | ||
Property Plant And Equipment [Line Items] | ||
Gross equipment and other property | $ 5,698 | $ 7,214 |
Derivative Instruments - Additi
Derivative Instruments - Additional Information (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018USD ($)DerivativeContract | Dec. 31, 2017USD ($)DerivativeContract | |
Derivatives Fair Value [Line Items] | ||
Loss on derivative contracts | $ | $ 1,797 | $ 1,852 |
Foreign Exchange Rates [Member] | ||
Derivatives Fair Value [Line Items] | ||
Outstanding derivative contracts | 0 | 0 |
Crude Oil [Member] | Commodity [Member] | ||
Derivatives Fair Value [Line Items] | ||
Outstanding derivative contracts | 0 |
Derivative Instruments - Fair V
Derivative Instruments - Fair Value of Derivative Instruments of Future Crude Oil Production (Detail) - Commodity Price [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2017USD ($)$ / bblbbl | |
Derivatives Fair Value [Line Items] | |
Estimated Fair Value of Liability | $ | $ (2,215) |
Collar - January 1, 2018 - February 28, 2018 [Member] | |
Derivatives Fair Value [Line Items] | |
Quantity (Bbl/day) | bbl | 458 |
Collars Weighted Average Minimum Price (per Bbl) | 50 |
Weighted Average Maximum Price (per Bbl) | 61.50 |
Estimated Fair Value of Liability | $ | $ (178) |
Collar - January 1, 2018 - March 31, 2018 [Member] | |
Derivatives Fair Value [Line Items] | |
Quantity (Bbl/day) | bbl | 500 |
Collars Weighted Average Minimum Price (per Bbl) | 47 |
Weighted Average Maximum Price (per Bbl) | 59.65 |
Estimated Fair Value of Liability | $ | $ (376) |
Collar - January 1, 2018 - May 31, 2018 [Member] | |
Derivatives Fair Value [Line Items] | |
Quantity (Bbl/day) | bbl | 298 |
Collars Weighted Average Minimum Price (per Bbl) | 47.50 |
Weighted Average Maximum Price (per Bbl) | 61 |
Estimated Fair Value of Liability | $ | $ (286) |
Collar - January 1, 2018 - June 30, 2018 [Member] | |
Derivatives Fair Value [Line Items] | |
Quantity (Bbl/day) | bbl | 746 |
Collars Weighted Average Minimum Price (per Bbl) | 47.50 |
Weighted Average Maximum Price (per Bbl) | 57.10 |
Estimated Fair Value of Liability | $ | $ (1,375) |
Derivative Instruments - Summar
Derivative Instruments - Summary of Gross Fair Value of Commodity Derivative Instruments by Balance Sheet Classification (Detail) $ in Thousands | Dec. 31, 2017USD ($) |
Derivatives Fair Value [Line Items] | |
Net Amount of Liabilities Presented in the Consolidated Balance Sheet, Current Liabilities | $ 2,215 |
Commodity [Member] | |
Derivatives Fair Value [Line Items] | |
Gross Amount of Recognized Liabilities | 2,215 |
Crude Oil [Member] | Current Liabilities [Member] | Commodity [Member] | |
Derivatives Fair Value [Line Items] | |
Gross Amount of Recognized Liabilities | 2,215 |
Net Amount of Liabilities Presented in the Consolidated Balance Sheet, Current Liabilities | $ 2,215 |
Asset Retirement Obligations -
Asset Retirement Obligations - Additional Information (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Asset Retirement Obligations [Line Items] | |||
Asset retirement obligation, net present value | $ 4,667 | $ 4,727 | $ 4,833 |
Asset retirement obligation, undiscounted value | $ 8,200 | ||
Turkey [Member] | |||
Asset Retirement Obligations [Line Items] | |||
Inflation rate per annum used to adjust asset retirement obligation | 12.65% | ||
Turkey [Member] | Measurement Input, Discount Rate [Member] | |||
Asset Retirement Obligations [Line Items] | |||
Credit-adjusted risk-free rate used to discount asset retirement obligation | 0.0755 |
Asset Retirement Obligations _2
Asset Retirement Obligations - Changes in Asset Retirement Obligations (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Asset Retirement Obligation Disclosure [Abstract] | ||
Asset retirement obligations at beginning of period | $ 4,727 | $ 4,833 |
Liabilities settled | (37) | |
Foreign exchange change effect | (1,270) | (259) |
Additions | 1,036 | |
Accretion expense | 174 | 190 |
Asset retirement obligations at end of period | 4,667 | 4,727 |
Long-term portion | $ 4,667 | $ 4,727 |
Loans Payable - Debt (Detail)
Loans Payable - Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Debt Instrument [Line Items] | ||
Loans payable | $ 22,000 | $ 28,625 |
Less: current portion | 22,000 | 15,625 |
Long-term portion | 13,000 | |
Term Loan [Member] | ||
Debt Instrument [Line Items] | ||
Loans payable | $ 22,000 | $ 28,625 |
Loans Payable - Additional Info
Loans Payable - Additional Information (Detail) | Apr. 27, 2017USD ($) | Oct. 31, 2016Installment | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($) | Dec. 31, 2016USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | May 28, 2018USD ($) | Nov. 17, 2017USD ($) | Aug. 31, 2016USD ($) | Dec. 30, 2015USD ($) |
Line Of Credit Facility [Line Items] | ||||||||||||
Loans payable | $ 22,000,000 | $ 28,625,000 | ||||||||||
Interest expense | 10,048,000 | 8,838,000 | ||||||||||
Non-cash Facilities [Member] | DenizBank [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 20,000,000 | |||||||||||
Loan Financing Costs [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Amortization of Deferred Loan Origination Fees, Net | $ 100,000 | 100,000 | ||||||||||
2016 TEMI Term Loan [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument interest rate stated percentage | 5.25% | |||||||||||
Debt instrument interest rate basis for effective rate | The 2016 Term Loan bore interest at a fixed rate of 5.25% (plus 0.2625% for Banking and Insurance Transactions Tax per the Turkish government | |||||||||||
Debt instrument payment terms | Payable in six monthly installments of $1.25 million each through February 2017 and thereafter in twelve monthly installments of $1.88 million each through February 2018 | |||||||||||
Amount of each installment payable through February 2017 | $ 1,250,000 | |||||||||||
Amount of each installment payable through February 2018 | $ 1,880,000 | |||||||||||
Line of credit facility, expiration date | Feb. 28, 2018 | |||||||||||
2016 TEMI Term Loan [Member] | Turkish Banking and Insurance Transactions Tax Rate [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument basis spread on variable rate | 0.2625% | |||||||||||
2016 TEMI Term Loan [Member] | Credit Agreement [Member] | DenizBank [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, initiation date | Aug. 31, 2016 | |||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 30,000,000 | |||||||||||
Line of credit facility, expiration date | Jun. 30, 2018 | |||||||||||
Debt instrument, monthly payments | $ 1,380,000 | |||||||||||
2016 TEMI Term Loan [Member] | Line of Credit [Member] | Mr. Mitchell [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 80.00% | |||||||||||
2016 TEMI Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 20.00% | |||||||||||
2017 Term Loan [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument interest rate stated percentage | 6.00% | |||||||||||
Debt instrument interest rate basis for effective rate | The 2017 Term Loan bears interest at a fixed rate of 6.0% (plus 0.3% for Banking and Insurance Transactions Tax per the Turkish government) per annum | |||||||||||
Debt instrument payment terms | The 2017 Term Loan had a grace period which bore no interest or payments due until July 2018. Thereafter, the 2017 Term Loan is payable in one monthly installment of $1.38 million, nine monthly installments of $1.2 million each through April 2019 and thereafter in eight monthly installments of $1.0 million each through December 2019, with the exception of one monthly installment of $1.2 million occurring in October 2019 | |||||||||||
Line of credit facility, expiration date | Dec. 31, 2019 | |||||||||||
2017 Term Loan [Member] | Due until July 2018 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument interest rate stated percentage | 0.00% | |||||||||||
Debt instrument, principal installments | $ 0 | |||||||||||
2017 Term Loan [Member] | One Monthly Installment Payable through April 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | 1,380,000 | |||||||||||
2017 Term Loan [Member] | Nine Monthly Installments Payable through April 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | 1,200,000 | |||||||||||
2017 Term Loan [Member] | Eight Monthly Installments Payable through December 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | 1,000,000 | |||||||||||
2017 Term Loan [Member] | One Monthly Installment Occurring in October 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Amount of each installment payable occurring in October 2019 | $ 1,200,000 | |||||||||||
2017 Term Loan [Member] | Turkish Banking and Insurance Transactions Tax Rate [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument basis spread on variable rate | 0.30% | |||||||||||
2017 Term Loan [Member] | Credit Agreement [Member] | DenizBank [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, initiation date | Nov. 17, 2017 | |||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 20,400,000 | |||||||||||
2017 Term Loan [Member] | Line of Credit [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Loans payable | $ 13,000,000 | |||||||||||
2017 Term Loan [Member] | Line of Credit [Member] | Mr. Mitchell [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 80.00% | |||||||||||
2017 Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 20.00% | |||||||||||
2017 Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 100.00% | |||||||||||
2018 Term Loan [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument interest rate stated percentage | 7.25% | |||||||||||
Debt instrument interest rate basis for effective rate | The 2018 Term Loan bears interest at a fixed rate of 7.25% (plus 0.3% for Banking and Insurance Transactions Tax per the Turkish government) per annum | |||||||||||
Debt instrument payment terms | The 2018 Term Loan bears interest at a fixed rate of 7.25% (plus 0.3% for Banking and Insurance Transactions Tax per the Turkish government) per annum | |||||||||||
Line of credit facility, expiration date | Dec. 31, 2019 | |||||||||||
2018 Term Loan [Member] | Due through July 2018 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | $ 0 | |||||||||||
2018 Term Loan [Member] | Five Monthly Installments Payable through December 2018 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | 200,000 | |||||||||||
2018 Term Loan [Member] | Four Monthly Installments Payable through April 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | 500,000 | |||||||||||
2018 Term Loan [Member] | Four Monthly Installments Payable through August 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | 1,000,000 | |||||||||||
2018 Term Loan [Member] | Four Monthly Installments Payable through December 2019 [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | $ 750,000 | |||||||||||
2018 Term Loan [Member] | Turkish Banking and Insurance Transactions Tax Rate [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument basis spread on variable rate | 0.30% | |||||||||||
2018 Term Loan [Member] | Credit Agreement [Member] | DenizBank [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility, initiation date | May 28, 2018 | |||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 10,000,000 | |||||||||||
2018 Term Loan [Member] | Line of Credit [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Loans payable | $ 9,000,000 | |||||||||||
2018 Term Loan [Member] | Line of Credit [Member] | Mr. Mitchell [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 80.00% | |||||||||||
2018 Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 20.00% | |||||||||||
2018 Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line of credit facility ownership percentage | 100.00% | |||||||||||
2016, 2017 and 2018 Term Loan [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Interest expense | $ 1,800,000 | $ 900,000 | ||||||||||
13.0% Convertible Notes Due 2017 [Member] | Convertible Debt [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument interest rate stated percentage | 13.00% | |||||||||||
Frequency of payments | semi-annually | |||||||||||
Debt instrument, maturity date | Jul. 1, 2017 | |||||||||||
ANBE Note [Member] | TransAtlantic USA [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, principal installments | $ 900,000 | $ 900,000 | $ 900,000 | $ 900,000 | ||||||||
Number of installments | Installment | 4 | |||||||||||
ANBE Note [Member] | TransAtlantic USA [Member] | Convertible Promissory Note [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Line Of Credit Facility Maximum Borrowing Capacity | $ 5,000,000 | |||||||||||
Debt instrument interest rate stated percentage | 13.00% | |||||||||||
Line of credit facility borrowing capacity | $ 3,600,000 | |||||||||||
Extender ANBE Note [Member] | TransAtlantic USA [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Debt instrument, maturity date | Sep. 30, 2017 | |||||||||||
Unsecured lines of credit [Member] | ||||||||||||
Line Of Credit Facility [Line Items] | ||||||||||||
Loans payable | $ 0 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | Dec. 31, 2018 | Oct. 02, 2017 | Aug. 13, 2015 | Apr. 24, 2015 | Dec. 31, 2014 | Dec. 31, 2018 | Dec. 31, 2017 |
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||||||
Antidilutive securities excluded from computation of earnings per share amount | 42,000,000 | 43,700,000 | |||||
Common share purchase warrants issued | 233,333 | 233,333 | 233,334 | ||||
Common share purchase | 1 | 1 | |||||
Common share purchase warrants, exercise price | $ 2.99 | $ 5.65 | $ 5.99 | ||||
Warrants [Member] | |||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||||||
Common share purchase | 1 | 1 | |||||
Restricted Stock Units [Member] | |||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||||||
Estimated forfeiture rate of RSUs | 12.50% | ||||||
Restricted stock unit, vesting period | 4 years | ||||||
Share-based compensation expense | $ 0.5 | $ 0.7 | |||||
Unrecognized compensation expense | $ 0.3 | $ 0.3 | |||||
Unrecognized compensation expense recognition period | 6 months | ||||||
Series A Preferred Shares [Member] | |||||||
Employee Service Share Based Compensation Allocation Of Recognized Period Costs [Line Items] | |||||||
Aggregate number of common shares issued to preferred share holders as payment of dividend | 1,808,001 | 2,591,384 | 1,808,001 | ||||
Common shares issued, price per share | $ 1.0188 | $ 0.7108 | $ 1.0188 | ||||
Preferred stock, dividend payment terms | Each common share was issued at a value of $1.0188 per common share, which was equal to the 15-day volume weighted average price through the close of trading of the common shares on the NYSE American exchange on December 14, 2018. | Each common share was issued at a value of $0.7108 per common share, which was equal to the 15-day volume weighted average price through the close of trading of the common shares on the NYSE American exchange on September 13, 2017 | Dividends on the Series A Preferred Shares are payable quarterly at our election in cash, common shares or a combination of cash and common shares at an annual dividend rate of 12.0% of the liquidation preference if paid all in cash or 16.0% of the liquidation preference if paid in common shares. If paid partially in cash and partially in common shares, the dividend rate on the cash portion is 12.0%, and the dividend rate on the common share portion is 16.0%. |
Shareholders' Equity - Restrict
Shareholders' Equity - Restricted Stock Unit Activity (Detail) - Restricted Stock Units [Member] shares in Thousands | 12 Months Ended |
Dec. 31, 2018$ / sharesshares | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unvested RSUs outstanding, beginning balance | shares | 513 |
Granted | shares | 311 |
Forfeited | shares | (7) |
Vested | shares | (363) |
Unvested RSUs outstanding, ending balance | shares | 454 |
Unvested RSUs, weighted average grant date fair value Per RSU, beginning balance | $ / shares | $ 1.38 |
Granted, weighted average grant date fair value Per RSU | $ / shares | 1.55 |
Forfeited, weighted average grant date fair value Per RSU | $ / shares | 1.18 |
Vested, weighted average grant date fair value Per RSU | $ / shares | 1.49 |
Unvested RSUs weighted average grant date fair value Per RSU, ending balance | $ / shares | $ 1.42 |
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, 2018 | Dec. 31, 2017 | |
Equity [Abstract] | ||
Net loss | $ (5,216) | $ (23,875) |
Weighted average common shares outstanding | 50,505 | 48,196 |
Basic net loss per common share | $ (0.10) | $ (0.50) |
Weighted average shares outstanding | 50,505 | 48,196 |
Weighted average common and common equivalent shares outstanding | 50,505 | 48,196 |
Diluted net loss per common share | $ (0.10) | $ (0.50) |
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, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Statutory rate | 0.00% | 0.00% |
Income (loss) before income taxes | $ 4,458 | $ (18,446) |
Increase (decrease) resulting from: | ||
Foreign tax rate differentials | 4,720 | 945 |
Uncertain tax position | 935 | 1,050 |
Unremitted earnings | 2,927 | 1,677 |
Change in valuation allowance | (4,743) | 640 |
Expiration of non-capital tax loss carryovers | 4,793 | 792 |
Other | 1,042 | 325 |
Total | $ 9,674 | $ 5,429 |
Income Taxes - Components of Ne
Income Taxes - Components of Net Deferred Income Tax Liability (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Deferred tax assets | ||
Property and equipment | $ 609 | $ 1,279 |
Unrealized gains on derivative contracts | 432 | |
Timing of accruals | 574 | 132 |
Non-capital loss carryovers | 13,261 | 16,502 |
Valuation allowance | (13,261) | (17,731) |
Other | 47 | |
Total deferred tax assets | 1,183 | 661 |
Deferred tax liabilities | ||
Property and equipment | (9,728) | (10,044) |
Unremitted earnings | (9,401) | (9,631) |
Timing of accruals | (2,368) | (597) |
Total deferred tax liabilities | (21,497) | (20,272) |
Net deferred tax liabilities | (20,314) | (19,611) |
Components of net deferred tax liabilities | ||
Non-current assets | 1,183 | 661 |
Non-current liabilities | (21,497) | (20,272) |
Net deferred tax liabilities | $ (20,314) | $ (19,611) |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) ₺ in Millions, лв in Millions, in Millions | 12 Months Ended | |||||||||
Dec. 31, 2018USD ($) | Dec. 31, 2018TRY (₺) | Dec. 31, 2017TRY (₺) | Dec. 31, 2015TRY (₺) | Dec. 31, 2018TRY (₺) | Dec. 31, 2018RON ( ) | Dec. 31, 2018BGN (лв) | Dec. 31, 2017USD ($) | Dec. 31, 2015USD ($) | Dec. 31, 2015TRY (₺) | |
Income Tax [Line Items] | ||||||||||
Valuation allowance | $ 13,261,000 | $ 17,731,000 | ||||||||
Liability for Uncertain Tax Positions, Current | 6,700,000 | $ 8,700,000 | ||||||||
Unrecognized Tax Benefits, Period Increase (Decrease) | 0 | |||||||||
13.0% convertible notes due in 2017 [Member] | 2017 Notes [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Notes Payable | $ 55,000,000 | |||||||||
Turkish Foreign Subsidiaries [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Withdrew reinvestment assertion | ₺ | ₺ 135.2 | |||||||||
Dividend withholding taxes | ₺ | ₺ 329.7 | ₺ 242.1 | ₺ 135.2 | |||||||
Turkey [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Non-capital tax losses | $ 11,000,000 | ₺ 57.8 | ||||||||
Non-capital tax losses, expiration date | 2019 | 2019 | ||||||||
Romania [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Non-capital tax losses | $ 400,000 | 1.6 | ||||||||
Non-capital tax losses, expiration date | 2019 | 2019 | ||||||||
Bulgaria [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Non-capital tax losses | $ 5,700,000 | лв 9.8 | ||||||||
Non-capital tax losses, expiration date | 2019 | 2019 | ||||||||
U.S [Member] | ||||||||||
Income Tax [Line Items] | ||||||||||
Non-capital tax losses | $ 53,700,000 | |||||||||
Non-capital tax losses, expiration date | 2019 | 2019 |
Income Taxes - Schedule of Unre
Income Taxes - Schedule of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | ||
Unrecognized tax benefits at beginning of period | $ 8,663 | $ 8,079 |
Gross increases - tax positions in prior period | 935 | 1,125 |
Foreign exchange change effect | (2,884) | (541) |
Unrecognized tax benefits at end of period | $ 6,714 | $ 8,663 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2018Segment | |
Segment Reporting [Abstract] | |
Number of reportable geographic segments | 2 |
Segment Information - Financial
Segment Information - Financial Information of Geographic Segments (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | ||
Total revenues | $ 70,789 | $ 56,639 |
Production | 10,769 | 12,249 |
Exploration, abandonment and impairment | 401 | 934 |
Seismic and other exploration | 489 | 4,723 |
General and administrative | 14,719 | 12,817 |
Depreciation, depletion and amortization | 14,059 | 16,925 |
Accretion of asset retirement obligations | 174 | 190 |
Total costs and expenses | 45,276 | 48,406 |
Operating income | 25,513 | 8,233 |
Loss on sale of TBNG | (15,226) | |
Interest and other expense | (10,048) | (8,838) |
Interest and other income | 1,082 | 1,098 |
Loss on commodity derivative contracts | (1,797) | (1,852) |
Foreign exchange gain (loss) | (10,292) | (1,861) |
Income (loss) before income taxes | 4,458 | (18,446) |
Income tax expense | (9,674) | (5,429) |
Net loss | (5,216) | (23,875) |
Total assets | 132,600 | 160,650 |
Capital expenditures | 23,517 | 15,854 |
Transportation Costs [Member] | ||
Segment Reporting Information [Line Items] | ||
Cost of goods and services sold | 4,665 | |
Cost of Purchased Natural Gas [Member] | ||
Segment Reporting Information [Line Items] | ||
Cost of goods and services sold | 568 | |
Corporate, Non-Segment [Member] | ||
Segment Reporting Information [Line Items] | ||
Production | 36 | |
General and administrative | 9,222 | 6,739 |
Depreciation, depletion and amortization | 142 | 188 |
Total costs and expenses | 9,364 | 6,963 |
Operating income | (9,364) | (6,963) |
Loss on sale of TBNG | (15,226) | |
Interest and other expense | (7,026) | (7,794) |
Interest and other income | 184 | 250 |
Foreign exchange gain (loss) | (351) | 365 |
Income (loss) before income taxes | (16,557) | (29,368) |
Net loss | (16,557) | (29,368) |
Total assets | 8,358 | 61,167 |
Operating Segments [Member] | Turkey [Member] | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 70,789 | 56,639 |
Production | 10,649 | 12,136 |
Exploration, abandonment and impairment | 401 | 934 |
Seismic and other exploration | 488 | 4,723 |
General and administrative | 5,344 | 5,729 |
Depreciation, depletion and amortization | 13,917 | 16,737 |
Accretion of asset retirement obligations | 151 | 169 |
Total costs and expenses | 35,615 | 40,996 |
Operating income | 35,174 | 15,643 |
Interest and other expense | (3,022) | (1,044) |
Interest and other income | 897 | 847 |
Loss on commodity derivative contracts | (1,797) | (1,852) |
Foreign exchange gain (loss) | (9,932) | (2,239) |
Income (loss) before income taxes | 21,320 | 11,355 |
Income tax expense | (9,674) | (5,429) |
Net loss | 11,646 | 5,926 |
Total assets | 122,325 | 109,699 |
Capital expenditures | 23,517 | 15,854 |
Operating Segments [Member] | Turkey [Member] | Transportation Costs [Member] | ||
Segment Reporting Information [Line Items] | ||
Cost of goods and services sold | 4,665 | |
Operating Segments [Member] | Turkey [Member] | Cost of Purchased Natural Gas [Member] | ||
Segment Reporting Information [Line Items] | ||
Cost of goods and services sold | 568 | |
Operating Segments [Member] | Bulgaria [Member] | ||
Segment Reporting Information [Line Items] | ||
Production | 120 | 77 |
Seismic and other exploration | 1 | |
General and administrative | 153 | 349 |
Accretion of asset retirement obligations | 23 | 21 |
Total costs and expenses | 297 | 447 |
Operating income | (297) | (447) |
Interest and other income | 1 | 1 |
Foreign exchange gain (loss) | (9) | 13 |
Income (loss) before income taxes | (305) | (433) |
Net loss | (305) | (433) |
Total assets | $ 1,917 | $ (10,216) |
Financial Instruments - Additio
Financial Instruments - Additional Information (Detail) ₺ in Millions | 12 Months Ended | |||
Dec. 31, 2018USD ($)Institution | Dec. 31, 2018TRY (₺) | Dec. 31, 2017USD ($) | Dec. 31, 2017TRY (₺) | |
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 primarily relate to transactions denominated in the Bulgarian Lev, European Union Euro, 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, 2018 and 2017, we had 7.8 million TRY and $4.0 million TRY, respectively (approximately $1.5 million and $1.1 million, respectively) 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 | $ 500,000 | $ 500,000 | ||
Number of financial institutions | Institution | 3 | |||
TUPRAS [Member] | ||||
Financial Statement Line Items With Differences In Reported Amount And Reporting Currency Denominated Amounts [Line Items] | ||||
Allowance for doubtful accounts | $ 0 | |||
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 | $ 1,500,000 | ₺ 7.8 | $ 1,100,000 | ₺ 4 |
Financial Instruments - Valuati
Financial Instruments - Valuation of Financial Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (liabilities), fair value | $ (20,130) | $ (26,694) |
Measured on a recurring basis [Member] | Derivative Financial Instruments (commodity) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (2,215) | |
Disclosed but not carried at fair value [Member] | 2017 Term Loan [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (11,938) | (16,613) |
Disclosed but not carried at fair value [Member] | 2018 Term Loan [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (8,192) | |
Disclosed but not carried at fair value [Member] | 2016 Term Loan [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (7,866) | |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (liabilities), fair value | (2,215) | |
Significant Other Observable Inputs (Level 2) [Member] | Measured on a recurring basis [Member] | Derivative Financial Instruments (commodity) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (2,215) | |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Assets (liabilities), fair value | (20,130) | (24,479) |
Significant Unobservable Inputs (Level 3) [Member] | Disclosed but not carried at fair value [Member] | 2017 Term Loan [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | (11,938) | (16,613) |
Significant Unobservable Inputs (Level 3) [Member] | Disclosed but not carried at fair value [Member] | 2018 Term Loan [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | $ (8,192) | |
Significant Unobservable Inputs (Level 3) [Member] | Disclosed but not carried at fair value [Member] | 2016 Term Loan [Member] | ||
Fair Value Assets And Liabilities Measured On Recurring And Nonrecurring Basis [Line Items] | ||
Liabilities, fair value | $ (7,866) |
Commitments - Aggregate Annual
Commitments - Aggregate Annual Commitments Other Than Debt (Detail) $ in Thousands | Dec. 31, 2018USD ($) | |
Other Commitments [Line Items] | ||
Total | $ 41,873 | |
2019 | 7,289 | |
2020 | 6,236 | |
2021 | 6,162 | |
2022 | 6,152 | |
2023 | 5,842 | |
Thereafter | 10,192 | |
Series A Preferred Shares Dividends [Member] | ||
Other Commitments [Line Items] | ||
Total | 37,822 | [1] |
2019 | 5,526 | [1] |
2020 | 5,526 | [1] |
2021 | 5,526 | [1] |
2022 | 5,526 | [1] |
2023 | 5,526 | [1] |
Thereafter | 10,192 | [1] |
Interest [Member] | ||
Other Commitments [Line Items] | ||
Total | 800 | |
2019 | 800 | |
Leases [Member] | ||
Other Commitments [Line Items] | ||
Total | 3,251 | |
2019 | 963 | |
2020 | 710 | |
2021 | 636 | |
2022 | 626 | |
2023 | $ 316 | |
[1] | Dividends on the Series A Preferred Shares may be paid by us, in our sole discretion, in cash at a rate of 12% per annum or in common shares at a rate of 16% per annum or in a combination of cash and common shares. The amounts in the table assume that we pay all future dividend payments solely in cash. |
Commitments - Aggregate Annua_2
Commitments - Aggregate Annual Commitments Other Than Debt (Parenthetical) (Detail) - Series A Preferred Shares [Member] | Dec. 31, 2018 |
Other Commitments [Line Items] | |
Cash dividend rate, percentage | 12.00% |
Common share dividend rate, percentage | 16.00% |
Commitments - Additional Inform
Commitments - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Commitments And Contingencies Disclosure [Abstract] | ||
Normal operations purchase arrangements, notice period | 30 days | |
Rent expense | $ 1.3 | $ 1.2 |
Contingencies - Additional Info
Contingencies - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | ||||
Oct. 31, 2015 | Feb. 28, 2013 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2012 | Sep. 30, 2016 | |
Loss Contingencies [Line Items] | ||||||
General and administrative | $ 14,719,000 | $ 12,817,000 | ||||
Morocco [Member] | Government [Member] | ||||||
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 | |||||
Reversed amount in contingent liabilities previously classified as liabilities held for sale | $ 6,000,000 | |||||
Bulgaria [Member] | ||||||
Loss Contingencies [Line Items] | ||||||
Recovery of contractual obligations | 2,000,000 | |||||
Liquidated damages, claim amount | $ 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) | Dec. 31, 2018USD ($)Installmentshares | Oct. 02, 2017shares | Mar. 31, 2017USD ($)shares | Nov. 04, 2016USD ($)shares | Jun. 30, 2016shares | Apr. 19, 2016USD ($) | Aug. 13, 2015$ / sharesshares | Apr. 24, 2015$ / sharesshares | Dec. 31, 2014$ / sharesshares | Sep. 30, 2017USD ($) | Jun. 30, 2017USD ($) | Mar. 31, 2017USD ($)shares | Dec. 31, 2016USD ($) | Dec. 31, 2018USD ($)Installmentshares | Dec. 31, 2017USD ($) | Dec. 31, 2014$ / sharesshares | Jun. 14, 2018ft² | Aug. 31, 2016USD ($) | Dec. 30, 2015USD ($) | Jun. 13, 2012USD ($) |
Related Party Transaction [Line Items] | ||||||||||||||||||||
Common share purchase warrants issued | 233,333 | 233,333 | 233,334 | |||||||||||||||||
Common share purchase | 1 | 1 | ||||||||||||||||||
Common share purchase warrants, exercise price | $ / shares | $ 2.99 | $ 5.65 | $ 5.99 | $ 5.99 | ||||||||||||||||
Common share purchase warrants issued, expiration period | Jan. 6, 2018 | |||||||||||||||||||
Note receivable - related party | $ | $ 6,726,000 | $ 11,500,000 | ||||||||||||||||||
Capital and operating expenditures | $ | $ 10,600,000 | 9,300,000 | ||||||||||||||||||
Dalea [Member] | Viking Drilling [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Percentage of ownership interest owned by related party | 100.00% | 100.00% | ||||||||||||||||||
Mitchell, and his Children [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Common share purchase warrants issued | 23,333 | 23,333 | 23,333 | |||||||||||||||||
Mr. Mitchell [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Common share purchase warrants issued | 134,168 | 134,168 | 134,169 | |||||||||||||||||
Randy Rochman [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 15,000 | 15,000 | ||||||||||||||||||
Jonathon Fite [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 69,000 | 69,000 | ||||||||||||||||||
Related Party [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 84,000 | 84,000 | ||||||||||||||||||
Proceeds from issuance of preferred stocks | $ | $ 4,200,000 | |||||||||||||||||||
Joint Venture [Member] | Dalea and Funds [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Convertible preferred shares issued upon conversion | 40,000 | |||||||||||||||||||
Joint Venture [Member] | Dalea and Funds [Member] | Promissory Note [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Note receivable - related party | $ | $ 7,964,053 | |||||||||||||||||||
Cancellation of purchase price in promissory note | $ | $ 3,500,000 | |||||||||||||||||||
Debt instrument, maturity date | Jun. 13, 2019 | |||||||||||||||||||
Debt instrument interest rate stated percentage | 3.00% | |||||||||||||||||||
Promissory note, collateral amount | $ | $ 2,000,000 | |||||||||||||||||||
Dalea Promissory Note [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Promissory notes default remedy period | 30 days | |||||||||||||||||||
Dalea Promissory Note [Member] | PSIL [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Noncontrolling equity voting interest percentage | 50.00% | |||||||||||||||||||
Gundem Fee Agreement [Member] | Gundem Real Estate [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Debt instrument interest rate stated percentage | 5.00% | |||||||||||||||||||
Promissory note, collateral amount | $ | $ 10,000,000 | |||||||||||||||||||
Gundem Fee Agreement [Member] | Muratli Real Estate [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Debt instrument interest rate stated percentage | 5.00% | |||||||||||||||||||
Promissory note, collateral amount | $ | $ 5,000,000 | |||||||||||||||||||
Diyarbakir Fee Agreement [Member] | Diyarbakir Real Estate [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Debt instrument interest rate stated percentage | 5.00% | |||||||||||||||||||
Promissory note, collateral amount | $ | $ 5,000,000 | |||||||||||||||||||
Gundem Fee Agreement and the Diyarbakir Fee Agreement [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Decrease in principal amount of Amended Note | $ | $ 600,000 | 600,000 | ||||||||||||||||||
Mitchell and his wife [Member] | Riata Management [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Percentage of ownership interest owned by related party | 100.00% | 100.00% | ||||||||||||||||||
Mitchell and Family [Member] | Longfellow [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Percentage of ownership interest owned by related party | 100.00% | 100.00% | ||||||||||||||||||
MedOil Supply, LLC [Member] | Riata Management [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Percentage of ownership interest owned by related party | 100.00% | 100.00% | ||||||||||||||||||
Viking International Master Service Agreement [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Service agreement term | 5 years | |||||||||||||||||||
Service agreement automatic extension term | 1 year | |||||||||||||||||||
Amendment renewal term description | On February 28, 2019, TEMI and PSI entered into an amendment (the “PSI MSA Amendment”) to the PSI MSA, pursuant to which PSI and TEMI agreed to extend the primary term of the PSI MSA to February 26, 2021, with automatic successive renewal terms of one (1) year each, unless terminated by PSI or TEMI by written notice at least sixty (60) days prior to the end of the primary term or any successive renewal term | |||||||||||||||||||
Longfellow [Member] | TransAtlantic USA [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Office sub lease space | ft² | 10,000 | |||||||||||||||||||
Office sub lease commencement date | Jun. 14, 2018 | |||||||||||||||||||
Office sub Lease Expiration Date | Jun. 30, 2020 | |||||||||||||||||||
Office sub lease monthly rent payable during first twelve months | $ | $ 18,333.33 | $ 18,333.33 | ||||||||||||||||||
Increase in office sub lease monthly rent payable from first year | $ | 416.67 | $ 416.67 | ||||||||||||||||||
Increase in office sub lease monthly rent payable, commencement date | Jun. 30, 2019 | |||||||||||||||||||
Increase in office sub lease monthly rent payable, expiration date | Jun. 30, 2021 | |||||||||||||||||||
Private Placement [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Issuance of common shares | 5,773,305 | |||||||||||||||||||
Private Placement [Member] | Cash [Member] | Dalea and Funds [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Issuance of common shares | 814,627 | |||||||||||||||||||
2017 Notes [Member] | Dalea and Funds [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Payment of common shares | 201,459 | |||||||||||||||||||
Interest receivable | $ | $ 5,800,000 | $ 5,800,000 | $ 6,700,000 | |||||||||||||||||
2017 Notes [Member] | Private Placement [Member] | Dalea and Funds [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Issuance of common shares | 1,974,452 | |||||||||||||||||||
ANBE Note [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Issuance of common shares | 355,826 | |||||||||||||||||||
Number of installments | Installment | 4 | 4 | ||||||||||||||||||
Repayments of notes Payable | $ | $ 900,000 | $ 900,000 | $ 900,000 | $ 900,000 | ||||||||||||||||
ANBE 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 | |||||||||||||||||||
Line of credit facility borrowing capacity | $ | $ 3,600,000 | |||||||||||||||||||
ANBE Note [Member] | Private Placement [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Issuance of common shares | 355,826 | |||||||||||||||||||
Series A Preferred Shares [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 921,000 | |||||||||||||||||||
Convertible preferred shares issued upon conversion | 45.754 | |||||||||||||||||||
Aggregate number of common shares issued to preferred share holders as payment of dividend | 1,808,001 | 2,591,384 | 1,808,001 | |||||||||||||||||
Series A Preferred Shares [Member] | Dalea [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Aggregate number of common shares issued to preferred share holders as payment of dividend | 971,724 | 1,392,768 | ||||||||||||||||||
Series A Preferred Shares [Member] | Related Party [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 495,000 | 495,000 | ||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement Exchange Offer [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 815,000 | |||||||||||||||||||
Amount of notes exchanged | $ | $ 40,750,000 | |||||||||||||||||||
Convertible preferred shares issued upon conversion | 20 | |||||||||||||||||||
Value of principal amount on conversion | $ | $ 1,000,000 | |||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement Exchange Offer [Member] | Pinon Foundation [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 200,000 | |||||||||||||||||||
Amount of notes exchanged | $ | $ 10,000,000 | |||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement Exchange Offer [Member] | Dalea [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 41,000 | |||||||||||||||||||
Amount of notes exchanged | $ | $ 2,100,000 | |||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement Exchange Offer [Member] | Mitchell, and his Children [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 40,000 | |||||||||||||||||||
Amount of notes exchanged | $ | $ 2,000,000 | |||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement [Member] | Pinon Foundation [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 5,000 | |||||||||||||||||||
Proceeds from issuance of preferred stocks | $ | $ 250,000 | |||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement [Member] | Mitchell, and his Children [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 1,000 | |||||||||||||||||||
Proceeds from issuance of preferred stocks | $ | $ 50,000 | |||||||||||||||||||
Series A Preferred Shares [Member] | 2017 Notes [Member] | Private Placement [Member] | Certain Holders [Member] | ||||||||||||||||||||
Related Party Transaction [Line Items] | ||||||||||||||||||||
Preferred shares, issued | 106,000 | |||||||||||||||||||
Proceeds from issuance of preferred stocks | $ | $ 5,300,000 |
Related Party Transactions - Re
Related Party Transactions - Related Party Accounts Receivable and Accounts Payable (Detail) - USD ($) $ in Thousands | Dec. 31, 2018 | Dec. 31, 2017 |
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | $ 878 | $ 1,023 |
Total related party accounts payable | 2,922 | 3,141 |
Riata Management Service Agreement [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | 526 | 576 |
Total related party accounts payable | 372 | 341 |
PSI MSA [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts receivable | 352 | 447 |
Total related party accounts payable | 2,439 | 2,119 |
Board of Directors [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts payable | $ 111 | |
Interest payable on Series A Preferred Shares [Member] | ||
Related Party Transaction [Line Items] | ||
Total related party accounts payable | $ 681 |
Divestitures and Discontinued_3
Divestitures and Discontinued Operations - Additional Information (Detail) - USD ($) | Apr. 10, 2017 | Feb. 24, 2017 | Dec. 31, 2017 | Aug. 09, 2017 | Sep. 01, 2016 |
Discontinued Operations And Disposal Groups [Line Items] | |||||
Purchase price reduction amount | $ 200,000 | ||||
Proceeds from escrow funds | $ 2,900,000 | ||||
Loss on sale of TBNG | $ 15,200,000 | ||||
Delvina Gas Company Ltd [Member] | |||||
Discontinued Operations And Disposal Groups [Line Items] | |||||
Percentage of outstanding shares transferred | 25.00% | ||||
Payment receivable in exchange for transfer of outstanding shares | $ 300,000 | ||||
Albania [Member] | Delvina Gas Company Ltd [Member] | |||||
Discontinued Operations And Disposal Groups [Line Items] | |||||
Percentage of outstanding shares transferred | 75.00% | ||||
Payment receivable in exchange for transfer of outstanding shares | $ 12,000,000 | ||||
Thrace Basin Natural Gas (Turkiye) Corporation [Member] | |||||
Discontinued Operations And Disposal Groups [Line Items] | |||||
Gross proceeds on sale of ownership interests | 20,700,000 | ||||
Net cash proceeds on sale of ownership interests | 16,100,000 | ||||
Escrow deposit | $ 3,100,000 |
Divestitures and Discontinued_4
Divestitures and Discontinued Operations - Reclassification of Accumulated Foreign Currency Translation Adjustment Realized Into Earnings from Accumulated Other Comprehensive Loss (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2017 | |
Discontinued Operations And Disposal Groups [Line Items] | ||
Net loss on sale of TBNG | $ (15,200) | |
Thrace Basin Natural Gas (Turkiye) Corporation [Member] | ||
Discontinued Operations And Disposal Groups [Line Items] | ||
Total cash proceeds for TBNG | $ 20,707 | |
Less: TBNG net assets | 12,869 | |
Gain on sale before accumulated foreign currency translation adjustment | 7,838 | |
Less: TBNG accumulated foreign currency translation adjustment | (23,064) | |
Net loss on sale of TBNG | $ (15,226) |
Subsequent Events - Additional
Subsequent Events - Additional Information (Detail) - USD ($) $ in Thousands | Feb. 28, 2019 | Feb. 22, 2019 | Apr. 19, 2016 |
Joint Venture [Member] | Dalea and Funds [Member] | Promissory Note [Member] | |||
Subsequent Event [Line Items] | |||
Debt instrument interest rate stated percentage | 3.00% | ||
Debt instrument, maturity date | Jun. 13, 2019 | ||
Subsequent Event [Member] | Joint Venture [Member] | Dalea and Funds [Member] | Promissory Note [Member] | |||
Subsequent Event [Line Items] | |||
Debt instrument, maturity date | Feb. 26, 2021 | ||
Subsequent Event [Member] | PSI MSA [Member] | |||
Subsequent Event [Line Items] | |||
Service agreement automatic extension term | 1 year | ||
Amendment Renewal Term Description | On February 28, 2019, TEMI and PSI entered into an amendment (the “PSI MSA Amendment”) to the PSI MSA, pursuant to which PSI and TEMI agreed to extend the primary term of the PSI MSA to February 26, 2021, with automatic successive renewal terms of one year each, unless terminated by PSI or TEMI by written notice at least 60 days prior to the end of the primary term or any successive renewal term | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | |||
Subsequent Event [Line Items] | |||
Debt instrument interest rate stated percentage | 7.50% | ||
Debt instrument interest rate basis for effective rate | The 2019 Term Loan bears interest at a fixed rate of 7.5% (plus 0.375% for Banking and Insurance Transactions Tax per the Turkish government) per annum. | ||
Debt instrument payment terms | The 2019 Term Loan has a ten-month grace period during which the 2019 Term Loan bears interest but no payments are due other than a single interest only payment of $0.76 million in August 2019. After the ten-month grace period, the 2019 Term Loan is payable in fourteen monthly principal installments of $1.43 million plus interest. | ||
Debt instrument, payment grace period | 10 months | ||
Line of credit facility, expiration date | Feb. 28, 2021 | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Turkish Banking and Insurance Transactions Tax Rate [Member] | |||
Subsequent Event [Line Items] | |||
Debt instrument basis spread on variable rate | 0.375% | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Single Interest Payment in August 2019 [Member] | |||
Subsequent Event [Line Items] | |||
Amount of interest payable | $ 760 | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Fourteen Monthly Installments [Member] | |||
Subsequent Event [Line Items] | |||
Debt instrument, monthly principal installments | $ 1,430 | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Credit Agreement [Member] | DenizBank [Member] | |||
Subsequent Event [Line Items] | |||
Line of credit facility, initiation date | Feb. 22, 2019 | ||
Line Of Credit Facility Maximum Borrowing Capacity | $ 20,000 | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Line of Credit [Member] | Mr. Mitchell [Member] | |||
Subsequent Event [Line Items] | |||
Line of credit facility ownership percentage | 80.00% | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | |||
Subsequent Event [Line Items] | |||
Line of credit facility ownership percentage | 20.00% | ||
Subsequent Event [Member] | 2019 Term Loan [Member] | Line of Credit [Member] | Mr. Uras [Member] | Ankara Real Estate [Member] | |||
Subsequent Event [Line Items] | |||
Line of credit facility ownership percentage | 100.00% |