Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2020 | Jul. 31, 2020 | |
Document and Entity Information | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-31899 | |
Entity Registrant Name | WHITING PETROLEUM CORP | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 20-0098515 | |
Entity Address, Address Line One | 1700 Lincoln Street, Suite 4700 | |
Entity Address, City or Town | Denver | |
Entity Address, State or Province | CO | |
Entity Address, Postal Zip Code | 80203-4547 | |
City Area Code | 303 | |
Local Phone Number | 837-1661 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | true | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 91,461,283 | |
Entity Central Index Key | 0001255474 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q2 | |
Amendment Flag | false | |
Common Stock [Member] | ||
Document and Entity Information | ||
Title of 12(b) Security | Common Stock | |
Trading Symbol | WLL | |
Security Exchange Name | NYSE | |
Preferred Stock Purchase Rights [Member] | ||
Document and Entity Information | ||
Title of 12(b) Security | Preferred Stock Purchase Rights | |
No Trading Symbol Flag | true | |
Security Exchange Name | NYSE |
CONSOLIDATED BALANCE SHEETS
CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 492,088 | $ 8,652 |
Restricted cash | 26,787 | |
Accounts receivable trade, net | 165,492 | 308,249 |
Prepaid expenses and other | 28,692 | 14,082 |
Total current assets | 713,059 | 330,983 |
Property and equipment: | ||
Oil and gas properties, successful efforts method | 4,820,221 | 12,812,007 |
Other property and equipment | 173,877 | 178,689 |
Total property and equipment | 4,994,098 | 12,990,696 |
Less accumulated depreciation, depletion and amortization | (2,016,619) | (5,735,239) |
Total property and equipment, net | 2,977,479 | 7,255,457 |
Other long-term assets | 41,665 | 50,281 |
TOTAL ASSETS | 3,732,203 | 7,636,721 |
Current liabilities: | ||
Current portion of long-term debt | 912,259 | |
Accounts payable trade | 31,485 | 80,100 |
Revenues and royalties payable | 136,401 | 202,010 |
Accrued capital expenditures | 18,533 | 64,263 |
Accrued liabilities and other | 48,830 | 85,007 |
Accrued lease operating expenses | 28,446 | 38,262 |
Accrued interest | 3,590 | 53,928 |
Taxes payable | 12,265 | 26,844 |
Total current liabilities | 1,191,809 | 550,414 |
Long-term debt | 2,799,885 | |
Asset retirement obligations | 91,543 | 131,208 |
Operating lease obligations | 31,722 | |
Deferred income taxes | 69,847 | 73,593 |
Other long-term liabilities | 7,745 | 24,928 |
Total debt not subject to compromise | 1,360,944 | 3,611,750 |
Liabilities subject to compromise | 2,549,538 | |
Total liabilities | 3,910,482 | 3,611,750 |
Commitments and contingencies | ||
Equity (Deficit): | ||
Common stock, $0.001 par value, 225,000,000 shares authorized; 91,636,883 issued and 91,461,283 outstanding as of June 30, 2020 and 91,743,571 issued and 91,326,469 outstanding as of December 31, 2019 | 92 | 92 |
Additional paid-in capital | 6,409,627 | 6,409,991 |
Accumulated deficit | (6,587,998) | (2,385,112) |
Total equity (deficit) | (178,279) | 4,024,971 |
TOTAL LIABILITIES AND EQUITY (DEFICIT) | $ 3,732,203 | $ 7,636,721 |
CONSOLIDATED BALANCE SHEETS (Pa
CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Jun. 30, 2020 | Dec. 31, 2019 |
CONSOLIDATED BALANCE SHEETS [Abstract] | ||
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 225,000,000 | 225,000,000 |
Common stock, shares issued | 91,636,883 | 91,743,571 |
Common stock, shares outstanding | 91,461,283 | 91,326,469 |
CONSOLIDATED STATEMENTS OF OPER
CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
OPERATING REVENUES | ||||
Oil, NGL and natural gas sales | $ 91,600 | $ 426,264 | $ 336,446 | $ 815,753 |
Revenue from Contract with Customer, Product and Service [Extensible List] | us-gaap:OilAndGasMember | us-gaap:OilAndGasMember | us-gaap:OilAndGasMember | us-gaap:OilAndGasMember |
OPERATING EXPENSES | ||||
Lease operating expenses | $ 53,242 | $ 86,987 | $ 125,582 | $ 171,064 |
Transportation, gathering, compression and other | 9,044 | 11,128 | 18,007 | 20,969 |
Production and ad valorem taxes | 8,419 | 39,420 | 30,842 | 67,576 |
Depreciation, depletion and amortization | 83,549 | 203,009 | 267,517 | 401,141 |
Exploration and impairment | 421,156 | 13,406 | 4,174,613 | 33,155 |
General and administrative | 28,136 | 32,573 | 75,303 | 67,547 |
Derivative (gain) loss, net | 6,632 | (24,877) | (224,739) | 38,028 |
(Gain) loss on sale of properties | 511 | 1,063 | (353) | 1,086 |
Amortization of deferred gain on sale | (1,908) | (2,326) | (3,945) | (4,697) |
Total operating expenses | 608,781 | 360,383 | 4,462,827 | 795,869 |
INCOME (LOSS) FROM OPERATIONS | (517,181) | 65,881 | (4,126,381) | 19,884 |
OTHER INCOME (EXPENSE) | ||||
Interest expense | (16,425) | (48,728) | (61,675) | (96,827) |
Gain on extinguishment of debt | 25,883 | |||
Interest income and other | 76 | 642 | 72 | 958 |
Reorganization items, net | (41,813) | (41,813) | ||
Total other expense | (58,162) | (48,086) | (77,533) | (95,869) |
INCOME (LOSS) BEFORE INCOME TAXES | (575,343) | 17,795 | (4,203,914) | (75,985) |
INCOME TAX EXPENSE (BENEFIT) | ||||
Current | (1,028) | 2,718 | ||
Deferred | 23,482 | (3,746) | (1,373) | |
Total income tax expense (benefit) | (1,028) | 23,482 | (1,028) | (1,373) |
NET LOSS | $ (574,315) | $ (5,687) | $ (4,202,886) | $ (74,612) |
INCOME (LOSS) PER COMMON SHARE | ||||
Basic (in dollars per share) | $ (6.28) | $ (0.06) | $ (45.98) | $ (0.82) |
Diluted (in dollars per share) | $ (6.28) | $ (0.06) | $ (45.98) | $ (0.82) |
WEIGHTED AVERAGE SHARES OUTSTANDING | ||||
Basic (in shares) | 91,429 | 91,286 | 91,409 | 91,261 |
Diluted (in shares) | 91,429 | 91,286 | 91,409 | 91,261 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
CASH FLOWS FROM OPERATING ACTIVITIES | ||
Net loss | $ (4,202,886) | $ (74,612) |
Adjustments to reconcile net loss to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 267,517 | 401,141 |
Deferred income tax benefit | (3,746) | (1,373) |
Amortization of debt issuance costs, debt discount and debt premium | 9,786 | 15,734 |
Stock-based compensation | 3,401 | 8,617 |
Amortization of deferred gain on sale | (3,945) | (4,697) |
(Gain) loss on sale of properties | (353) | 1,086 |
Oil and gas property impairments | 4,154,369 | 13,179 |
Gain on extinguishment of debt | (25,883) | |
Non-cash derivative (gain) loss | (178,525) | 42,371 |
Non-cash reorganization items, net | 38,145 | |
Other, net | 829 | 3,492 |
Changes in current assets and liabilities: | ||
Accounts receivable trade, net | 152,560 | (1,813) |
Prepaid expenses and other | (12,036) | 3,453 |
Accounts payable trade and accrued liabilities | (51,783) | 20,261 |
Revenues and royalties payable | (65,609) | (41,637) |
Taxes payable | (14,579) | (3,269) |
Net cash provided by operating activities | 67,262 | 381,933 |
CASH FLOWS FROM INVESTING ACTIVITIES | ||
Drilling and development capital expenditures | (223,905) | (425,349) |
Acquisition of oil and gas properties | (351) | (4,507) |
Other property and equipment | (423) | (8,233) |
Proceeds from sale of properties | 28,243 | 15,444 |
Net cash used in investing activities | (196,436) | (422,645) |
CASH FLOWS FROM FINANCING ACTIVITIES | ||
Borrowings under credit agreement | 1,185,000 | 1,160,000 |
Repayments of borrowings under credit agreement | (490,000) | (1,120,000) |
Repurchase of 1.25% Convertible Senior Notes due 2020 | (52,890) | |
Restricted stock used for tax withholdings | (304) | (3,693) |
Principal payments on finance lease obligations | (2,409) | (2,522) |
Net cash provided by financing activities | 639,397 | 33,785 |
NET CHANGE IN CASH, CASH EQUIVALENTS AND RESTRICTED CASH | 510,223 | (6,927) |
CASH, CASH EQUIVALENTS AND RESTRICTED CASH | ||
Beginning of period | 8,652 | 13,607 |
End of period | 518,875 | 6,680 |
SUPPLEMENTAL CASH FLOW DISCLOSURES | ||
Interest paid, net of amounts capitalized | 72,199 | 79,341 |
Cash paid for reorganization items | 3,668 | |
NONCASH INVESTING AND FINANCING ACTIVITIES | ||
Accrued capital expenditures and accounts payable related to property additions | 38,504 | $ 122,098 |
Derivative termination settlement payments used to repay borrowings under credit agreement | $ 157,741 |
CONSOLIDATED STATEMENTS OF CA_2
CONSOLIDATED STATEMENTS OF CASH FLOWS (Parenthetical) | Jun. 30, 2020 |
1.25% Convertible Senior Notes due 2020 [Member] | |
Interest Rate (as a percent) | 1.25% |
CONDENSED CONSOLIDATED STATEMEN
CONDENSED CONSOLIDATED STATEMENTS OF EQUITY (DEFICIT) - USD ($) shares in Thousands, $ in Thousands | Common Stock [Member] | Additional Paid-in Capital [Member] | Accumulated Deficit [Member] | Total |
BALANCES at Dec. 31, 2018 | $ 92 | $ 6,414,170 | $ (2,143,946) | $ 4,270,316 |
BALANCES (in shares) at Dec. 31, 2018 | 92,067 | |||
Increase (Decrease) in Shareholders' Equity | ||||
Net income (loss) | (68,925) | (68,925) | ||
Restricted stock forfeited (in shares) | (106) | |||
Restricted stock used for tax withholdings | (3,693) | (3,693) | ||
Restricted stock used for tax withholdings (in shares) | (130) | |||
Stock-based compensation | 4,651 | 4,651 | ||
BALANCES at Mar. 31, 2019 | $ 92 | 6,415,128 | (2,212,871) | 4,202,349 |
BALANCES (in shares) at Mar. 31, 2019 | 91,831 | |||
BALANCES at Dec. 31, 2018 | $ 92 | 6,414,170 | (2,143,946) | 4,270,316 |
BALANCES (in shares) at Dec. 31, 2018 | 92,067 | |||
Increase (Decrease) in Shareholders' Equity | ||||
Net income (loss) | (74,612) | |||
BALANCES at Jun. 30, 2019 | $ 92 | 6,419,093 | (2,218,558) | 4,200,627 |
BALANCES (in shares) at Jun. 30, 2019 | 91,891 | |||
BALANCES at Mar. 31, 2019 | $ 92 | 6,415,128 | (2,212,871) | 4,202,349 |
BALANCES (in shares) at Mar. 31, 2019 | 91,831 | |||
Increase (Decrease) in Shareholders' Equity | ||||
Net income (loss) | (5,687) | (5,687) | ||
Restricted stock issued (in shares) | 63 | |||
Restricted stock forfeited (in shares) | (3) | |||
Stock-based compensation | 3,965 | 3,965 | ||
BALANCES at Jun. 30, 2019 | $ 92 | 6,419,093 | (2,218,558) | 4,200,627 |
BALANCES (in shares) at Jun. 30, 2019 | 91,891 | |||
BALANCES at Dec. 31, 2019 | $ 92 | 6,409,991 | (2,385,112) | 4,024,971 |
BALANCES (in shares) at Dec. 31, 2019 | 91,744 | |||
Increase (Decrease) in Shareholders' Equity | ||||
Net income (loss) | (3,628,571) | (3,628,571) | ||
Restricted stock issued (in shares) | 185 | |||
Restricted stock forfeited (in shares) | (238) | |||
Restricted stock used for tax withholdings | (304) | (304) | ||
Restricted stock used for tax withholdings (in shares) | (54) | |||
Stock-based compensation | 2,068 | 2,068 | ||
Adjustment to equity component of 2020 Convertible Senior Notes upon extinguishment | (3,461) | (3,461) | ||
BALANCES at Mar. 31, 2020 | $ 92 | 6,408,294 | (6,013,683) | 394,703 |
BALANCES (in shares) at Mar. 31, 2020 | 91,637 | |||
BALANCES at Dec. 31, 2019 | $ 92 | 6,409,991 | (2,385,112) | 4,024,971 |
BALANCES (in shares) at Dec. 31, 2019 | 91,744 | |||
Increase (Decrease) in Shareholders' Equity | ||||
Net income (loss) | (4,202,886) | |||
BALANCES at Jun. 30, 2020 | $ 92 | 6,409,627 | (6,587,998) | (178,279) |
BALANCES (in shares) at Jun. 30, 2020 | 91,637 | |||
BALANCES at Mar. 31, 2020 | $ 92 | 6,408,294 | (6,013,683) | 394,703 |
BALANCES (in shares) at Mar. 31, 2020 | 91,637 | |||
Increase (Decrease) in Shareholders' Equity | ||||
Net income (loss) | (574,315) | (574,315) | ||
Stock-based compensation | 1,333 | 1,333 | ||
BALANCES at Jun. 30, 2020 | $ 92 | $ 6,409,627 | $ (6,587,998) | $ (178,279) |
BALANCES (in shares) at Jun. 30, 2020 | 91,637 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 6 Months Ended |
Jun. 30, 2020 | |
BASIS OF PRESENTATION [Abstract] | |
BASIS OF PRESENTATION | 1. BASIS OF PRESENTATION Description of Operations Voluntary Reorganization under Chapter 11 of the Bankruptcy Code In re Whiting Petroleum Corporation, et al. On July 1, 2020, the Bankruptcy Court entered an order approving the Debtors’ disclosure statement, allowing for solicitation of the Debtors’ chapter 11 plan of reorganization (the “Plan”) to commence. A Bankruptcy Court hearing to consider confirmation of the Plan is scheduled to be held on August 10, 2020. The commencement of a voluntary proceeding in bankruptcy constituted an immediate event of default under Whiting Oil and Gas’ credit agreement (the “Credit Agreement”) and the indentures governing the Company’s senior notes, resulting in the automatic and immediate acceleration of all of the Company’s debt outstanding. The Company has applied FASB ASC Topic 852 – Reorganizations which specifies the accounting and financial reporting requirements for entities reorganizing through chapter 11 bankruptcy proceedings. These requirements include distinguishing transactions associated with the reorganization separate from activities related to the ongoing operations of the business. Accordingly, pre-petition liabilities that may be impacted by the chapter 11 proceedings have been classified as liabilities subject to compromise on the condensed consolidated balance sheet as of June 30, 2020. Additionally, certain expenses, realized gains and losses and provisions for losses that are realized or incurred during the Chapter 11 Cases, including adjustments to the carrying value of certain indebtedness are recorded as reorganization items, net in the condensed consolidated statements of operations for the three and six months ended June 30, 2020. Ability to Continue as a Going Concern As discussed above, the filing of the Chapter 11 Cases constituted an event of default under the Company’s outstanding debt agreements, resulting in the automatic and immediate acceleration of all of the Company’s debt outstanding. The Company projects that it will not have sufficient cash on hand or available liquidity to repay such debt. These conditions and events raise substantial doubt about the Company’s ability to continue as a going concern. As part of the Chapter 11 Cases, the Company submitted the Plan to the Bankruptcy Court. The Company’s operations and its ability to develop and execute its business plan are subject to a high degree of risk and uncertainty associated with the Chapter 11 Cases. The outcome of the Chapter 11 Cases is subject to a high degree of uncertainty and is dependent upon factors that are outside of the Company’s control, including actions of the Bankruptcy Court and the Company’s creditors. There can be no assurance that the Company will confirm and consummate the plan of reorganization as contemplated by the restructuring support agreement (“RSA”) with certain holders of the Company’s senior notes or complete another plan of reorganization with respect to the Chapter 11 Cases. As a result, the Company has concluded that management’s plans do not alleviate substantial doubt about the Company’s ability to continue as a going concern. While operating as a debtor-in-possession, the Company may sell or otherwise dispose of or liquidate assets or settle liabilities, subject to the approval of the Bankruptcy Court or as otherwise permitted in the ordinary course of business, for amounts other than those reflected in the accompanying condensed consolidated financial statements. Further, the Plan or other bankruptcy proceedings could materially change the amounts and classifications of assets and liabilities reported in the condensed consolidated financial statements, including liabilities subject to compromise which will be resolved in connection with the Chapter 11 Cases. The accompanying condensed consolidated financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities or any other adjustments that might be necessary should the Company be unable to continue as a going concern or as a consequence of the Chapter 11 Cases. Condensed Consolidated Financial Statements Reclassifications — Cash, Cash Equivalents and Restricted Cash — Restricted cash as of June 30, 2020 includes $23 million of funds related to derivative termination settlements that were directed by the counterparty to be held in a segregated account until the Company emerges from chapter 11 bankruptcy, at which point the Company intends to apply the funds toward its outstanding borrowings under the Credit Agreement. Refer to the “Derivative Financial Instruments” footnote for additional information on terminated derivative settlements. Additionally, $4 million of the restricted cash balance as of June 30, 2020 consists of amounts set aside as adequate assurance for certain utility and credit card providers, which funds will also be restricted until the Company emerges from chapter 11 bankruptcy. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets and statements of cash flows (in thousands): June 30, December 31, 2020 2019 Cash and cash equivalents $ 492,088 $ 8,652 Restricted cash 26,787 - Total cash, cash equivalents and restricted cash $ 518,875 $ 8,652 Accounts Receivable Trade — The Company routinely evaluates expected credit losses for all material trade and other receivables to determine if an allowance for credit losses is warranted. Expected credit losses are estimated based on (i) historic loss experience for pools of receivable balances with similar characteristics, (ii) the length of time balances have been outstanding and (iii) the economic status of each counterparty. These loss estimates are then adjusted for current and expected future economic conditions, which may include an assessment of the probability of non-payment, financial distress or expected future commodity prices and the impact that any current or future conditions could have on a counterparty’s credit quality and liquidity. As of June 30, 2020 and December 31, 2019, the Company had an allowance for credit losses of $11 million and $9 million, respectively. |
CHAPTER 11 CASES
CHAPTER 11 CASES | 6 Months Ended |
Jun. 30, 2020 | |
CHAPTER 11 CASE [Abstract] | |
CHAPTER 11 CASES | 2. CHAPTER 11 CASES Plan of Reorganization under Chapter 11 of the Bankruptcy Code — On April 1, 2020, the Debtors commenced the Chapter 11 Cases as described in the “Basis of Presentation” footnote above. On April 23, 2020, the Debtors entered into the RSA with certain holders of the Company’s senior notes to support a restructuring in accordance with the terms set forth in the Plan. The Plan and the related disclosure statement were each filed with the Bankruptcy Court on April 23, 2020. Below is a summary of the treatment that the stakeholders of the Company would receive under the Plan: ● Holders of Credit Agreement Claims. The holders of obligations under the Credit Agreement would have such obligations refinanced or repaid in full in cash upon the Debtors’ emergence from chapter 11. ● Holders of Senior Notes, Rejection Damages Claims and Litigation Claims. The holders of Whiting’s senior notes and other general unsecured claims (including rejection damages claims and litigation claims) would receive 97% of the reorganized company’s equity interests. ● Trade and Other Claims. The holders of the Debtors’ other secured, priority and trade vendor claims would receive payment in full in cash following emergence. ● Existing Equity Holders. The holders of the Company’s existing stock would receive (a) 3% of the reorganized company’s equity interests and (b) warrants on the terms set forth in the Plan. Unsecured Creditors’ Committee the United States Trustee appointed the official committee for unsecured creditors (the “Creditors’ Committee”). The Creditors’ Committee and its legal representatives have a right to be heard on all matters affecting unsecured creditors that come before the Bankruptcy Court with respect to the Debtors. Solicitation of the Plan Executory Contracts Liabilities Subject to Compromise The following table summarizes the components of liabilities subject to compromise included in the condensed consolidated balance sheets (in thousands): June 30, 2020 Debt subject to compromise $ 2,368,497 Accounts payable trade 48,434 Accrued liabilities and other 63,557 Accrued interest on debt subject to compromise 30,028 Asset retirement obligations (1) 39,022 Total liabilities subject to compromise $ 2,549,538 (1) Amount relates to an executory contract for certain offshore facilities in California. Magnitude of Potential Claims The Debtors have received approximately 1,600 proofs of claim from third parties as of July 31, 2020 for an amount totaling approximately $2.8 billion. Such amount includes duplicate claims across multiple debtor legal entities. These claims will be reconciled to amounts recorded in the Company’s accounting records. Differences in amounts recorded and claims filed by creditors will be investigated and resolved, including through the filing of objections with the Bankruptcy Court, where appropriate. The Bankruptcy Court does not allow for claims that have been acknowledged as duplicates. In addition, the Company may ask the Bankruptcy Court to disallow claims that the Company believes have been later amended or superseded, are without merit, are overstated or should be disallowed for other reasons. As a result of this process, the Company may identify additional liabilities that will need to be recorded or reclassified to liabilities subject to compromise. In light of the substantial number of claims filed, and expected to be filed, the claims resolution process may take considerable time to complete and likely will continue after the Debtors emerge from bankruptcy. Interest Expense Reorganization Items, Net Three and Six Months Ended June 30, 2020 Legal and professional advisory fees (1) $ 26,668 Write-off of unamortized debt issuance costs and premium (2) 15,145 Total reorganization items, net $ 41,813 (1) As of June 30, 2020, $23 million of these fees are accrued and unpaid and are presented in accrued liabilities and other in the condensed consolidated balance sheet. The remaining $4 million represents cash charges for the three and six months ended June 30, 2020. (2) Non-cash reorganization item. Refer to the “Long-Term Debt” footnote for further information . |
OIL AND GAS PROPERTIES
OIL AND GAS PROPERTIES | 6 Months Ended |
Jun. 30, 2020 | |
OIL AND GAS PROPERTIES [Abstract] | |
OIL AND GAS PROPERTIES | 3. OIL AND GAS PROPERTIES Net capitalized costs related to the Company’s oil and gas producing activities at June 30, 2020 and December 31, 2019 are as follows (in thousands): June 30, December 31, 2020 2019 Costs of completed wells and facilities $ 4,267,233 $ 9,847,159 Proved leasehold costs 376,329 2,702,236 Unproved leasehold costs 90,561 103,278 Wells and facilities in progress 86,098 159,334 Total oil and gas properties, successful efforts method 4,820,221 12,812,007 Accumulated depletion (1,936,121) (5,656,929) Oil and gas properties, net $ 2,884,100 $ 7,155,078 The following table presents impairment expense for unproved properties for the three and six months ended June 30, 2020 and 2019, which is reported in exploration and impairment expense in the condensed consolidated statements of operations (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Impairment expense for unproved properties $ 132 $ 2,308 $ 12,483 $ 5,830 Refer to the “Fair Value Measurements” footnote for more information on proved property measurements recorded during the three and six months ended June 30, 2020 and 2019. |
ACQUISITIONS AND DIVESTITURES
ACQUISITIONS AND DIVESTITURES | 6 Months Ended |
Jun. 30, 2020 | |
ACQUISITIONS AND DIVESTITURES [Abstract] | |
ACQUISITIONS AND DIVESTITURES | 4. ACQUISITIONS AND DIVESTITURES 2020 Acquisitions and Divestitures On January 9, 2020, the Company completed the divestiture of its interests in 30 non-operated, producing oil and gas wells and related undeveloped acreage located in McKenzie County, North Dakota for aggregate sales proceeds of $25 million (before closing adjustments). There were no significant acquisitions during the six months ended June 30, 2020. 2019 Acquisitions and Divestitures On July 29, 2019, the Company completed the divestiture of its interests in 137 non-operated, producing oil and gas wells located in the McKenzie, Mountrail and Williams counties of North Dakota for aggregate sales proceeds of $27 million (before closing adjustments). On August 15, 2019, the Company completed the divestiture of its interests in 58 non-operated, producing oil and gas wells located in Richland County, Montana and Mountrail and Williams counties of North Dakota for aggregate sales proceeds of $26 million (before closing adjustments). There were no significant acquisitions during the six months ended June 30, 2019. |
LONG-TERM DEBT
LONG-TERM DEBT | 6 Months Ended |
Jun. 30, 2020 | |
LONG-TERM DEBT [Abstract] | |
LONG-TERM DEBT | 5. LONG-TERM DEBT Long-term debt, including the current portion, consisted of the following at June 30, 2020 and December 31, 2019 (in thousands): June 30, December 31, 2020 2019 Credit Agreement $ 912,259 $ 375,000 1.25% Convertible Senior Notes due 2020 186,592 262,075 5.75% Senior Notes due 2021 773,609 773,609 6.25% Senior Notes due 2023 408,296 408,296 6.625% Senior Notes due 2026 1,000,000 1,000,000 Total principal 3,280,756 2,818,980 Unamortized debt discounts and premiums (1) - (2,575) Unamortized debt issuance costs on notes (1) - (16,520) Total debt, prior to reclassification to liabilities subject to compromise 3,280,756 2,799,885 Less amounts reclassified to liabilities subject to compromise (2) (2,368,497) - Total debt not subject to compromise (3) 912,259 2,799,885 Less current portion of long-term debt (4) (912,259) - Total long-term debt $ - $ 2,799,885 (1) As a result of the Chapter 11 Cases and the adoption of ASC 852, the Company wrote off all unamortized premium and issuance cost balances to reorganization items, net in the condensed consolidated statements of operations for the three and six months ended June 30, 2020. Refer to the “Chapter 11 Cases” footnote for more information. (2) Debt subject to compromise includes the principal balances of all of the Company’s senior notes, which are unsecured claims in the Chapter 11 Cases. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information. (3) Debt not subject to compromise includes all borrowings outstanding under the Credit Agreement, which are secured claims in the Chapter 11 Cases. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information. (4) Due to uncertainties regarding the outcome of the Chapter 11 Cases, the Company has classified the borrowings outstanding under the Credit Agreement as current as of June 30, 2020. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information. Chapter 11 Cases and Effect of Automatic Stay On April 1, 2020, the Debtors filed for relief under chapter 11 of the Bankruptcy Code. The commencement of a voluntary proceeding in bankruptcy constituted an immediate event of default under the Credit Agreement and the indentures governing the Company’s senior notes, resulting in the automatic and immediate acceleration of all of the Company’s outstanding debt. In conjunction with the filing of the Chapter 11 Cases, the Company did not make the $187 million principal payment due on its 1.25% 2020 Convertible Senior Notes due April 1, 2020 (the “2020 Convertible Senior Notes”). Any efforts to enforce payment obligations related to the acceleration of the Company’s debt have been automatically stayed as a result of the filing of the Chapter 11 Cases, and the creditors’ rights of enforcement are subject to the applicable provisions of the Bankruptcy Code. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information on the Chapter 11 Cases. Credit Agreement Whiting Oil and Gas, the Company’s wholly owned subsidiary, has a credit agreement with a syndicate of banks that had a borrowing base of $2.05 billion and aggregate commitments of $1.75 billion prior to default. As of June 30, 2020, the Company had $912 million of borrowings outstanding under the Credit Agreement. As a result of the commencement of the Chapter 11 Cases, the Company is no longer in compliance with the covenants under the Credit Agreement and the lenders’ commitments under the Credit Agreement have been terminated. The Company is therefore unable to make additional borrowings or issue additional letters of credit under the Credit Agreement. Prior to default, a portion of the Credit Agreement in an aggregate amount not to exceed $50 million was available to issue letters of credit for the account of Whiting Oil and Gas or other designated subsidiaries of the Company. As of June 30, 2020, $2 million in letters of credit were outstanding under the agreement. Prior to default, the borrowing base under the Credit Agreement was determined at the discretion of the lenders, based on the collateral value of the Company’s proved reserves that have been mortgaged to such lenders, and is subject to regular redeterminations on May 1 and November 1 of each year, as well as special redeterminations described in the Credit Agreement. Such redeterminations have not occurred and are not expected to occur for the duration of the Chapter 11 Cases. The Credit Agreement provides for interest only payments until maturity, when the Credit Agreement expires and all outstanding borrowings are due. Interest under the Credit Agreement accrues at the Company’s option at either (i) a base rate for a base rate loan plus a margin between 0.50% and 1.50% based on the ratio of outstanding borrowings to the borrowing base, where the base rate is defined as the greatest of the prime rate, the federal funds rate plus 0.5% per annum, or an adjusted LIBOR rate plus 1.0% per annum, or (ii) an adjusted LIBOR rate for a Eurodollar loan plus a margin between 1.50% and 2.50% based on the ratio of outstanding borrowings to the borrowing base. Prior to the chapter 11 proceedings, the Company incurred commitment fees of 0.375% or 0.50% based on the ratio of outstanding borrowings to the borrowing base on the unused portion of the aggregate commitments of the lenders under the Credit Agreement, which were included as a component of interest expense. During the chapter 11 proceedings, the commitment fee has been terminated and instead all amounts outstanding under the Credit Agreement will bear interest per annum at the applicable rate stated in the agreement plus a 2.0% default rate. At June 30, 2020, the weighted average interest rate on the outstanding principal balance under the Credit Agreement was 4.7%. Prior to default, the Credit Agreement had a maturity date of April 12, 2023, provided that if at any time and for so long as any senior notes (other than the 2020 Convertible Senior Notes) had a maturity date prior to 91 days after April 12, 2023, the maturity date shall be the date that is 91 days prior to the maturity of such senior notes. The Credit Agreement contains restrictive covenants that may limit the Company’s ability to, among other things, incur additional indebtedness, sell assets, make loans to others, make investments, enter into mergers, enter into hedging contracts, incur liens and engage in certain other transactions without the prior consent of its lenders. Except for limited exceptions, the Credit Agreement also restricts the Company’s ability to make any dividend payments or distributions on its common stock. These restrictions apply to all of the Company’s restricted subsidiaries (as defined in the Credit Agreement). As of June 30, 2020, there were no retained earnings free from restrictions. The Credit Agreement requires the Company, as of the last day of any quarter, to maintain the following ratios (as defined in the Credit Agreement): (i) a consolidated current assets to consolidated current liabilities ratio (which includes an add back of the available borrowing capacity under the credit agreement) of not less than 1.0 to 1.0 and (ii) a total debt to last four quarters’ EBITDAX ratio of not greater than 4.0 to 1.0. Under the Credit Agreement, a cross-default provision provides that a default under certain other debt of the Company or certain of its subsidiaries in an aggregate principal amount exceeding $100 million may constitute an event of default under such Credit Agreement. Additionally, under the indentures governing the Company’s senior notes and senior convertible notes, a cross-default provision provides that a default under certain other debt of the Company or certain of its subsidiaries in an aggregate principal amount exceeding $100 million (or $50 million in the case of the senior notes due in 2021) may constitute an event of default under such indenture. The obligations of Whiting Oil and Gas under the Credit Agreement are collateralized by a first lien on substantially all of Whiting Oil and Gas’ and Whiting Resource Corporation’s properties. The Company has guaranteed the obligations of Whiting Oil and Gas under the Credit Agreement and has pledged the stock of its subsidiaries as security for its guarantee. Senior Notes and Convertible Senior Notes Senior Notes In March 2015, the Company issued at par $750 million of 6.25% Senior Notes due April 1, 2023 (the “2023 Senior Notes”). In December 2017, the Company issued at par $1.0 billion of 6.625% Senior Notes due January 15, 2026 (the “2026 Senior Notes” and together with the 2021 Senior Notes and the 2023 Senior Notes, the “Senior Notes”). During 2016, the Company exchanged $326 million aggregate principal amount of 2021 Senior Notes and $342 million aggregate principal amount of 2023 Senior Notes for the same aggregate principal amount of convertible notes. Subsequently during 2016, all $668 million aggregate principal amount of these convertible notes was converted into approximately 16.3 million shares of the Company’s common stock pursuant to the terms of the notes. Repurchases of 2021 Senior Notes. In October 2019, the Company paid an additional $72 million to repurchase $75 million aggregate principal amount of the 2021 Senior Notes, which payment consisted of the average 95.467% purchase price plus all accrued and unpaid interest on the notes. The Company financed the repurchases with borrowings under the Credit Agreement. As a result of the repurchases, the Company recognized a $3 million gain on extinguishment of debt, which included a noncash charge for the acceleration of unamortized debt issuance costs and debt premium on the notes. As of June 30, 2020, $774 million of 2021 Senior Notes remained outstanding. 2020 Convertible Senior Notes In September 2019, the Company paid $299 million to complete a cash tender offer for $300 million aggregate principal amount of the 2020 Convertible Senior Notes, which payment consisted of the 99.0% purchase price plus all accrued and unpaid interest on the notes, which were allocated to the liability and equity components based on their relative fair values. The Company financed the tender offer with borrowings under the Credit Agreement. As a result of the tender offer, the Company recognized a $4 million gain on extinguishment of debt, which was net of a $7 million charge for the non-cash write-off of unamortized debt issuance costs and debt discount and a $1 million charge for transaction costs. In addition, the Company recorded an $8 million reduction to the equity component of the 2020 Convertible Senior Notes. There was no deferred tax impact associated with this reduction due to the full valuation allowance in effect as of September 30, 2019. In March 2020, the Company paid $53 million to repurchase $73 million aggregate principal amount of the 2020 Convertible Senior Notes, which payment consisted of the average 72.5% purchase price plus all accrued and unpaid interest on the notes, which were allocated to the liability and equity components based on their relative fair values. The Company financed the repurchases with borrowings under the Credit Agreement. As a result of these repurchases, the Company recognized a $23 million gain on extinguishment of debt, which was net of a $0.2 million charge for the non-cash write-off of unamortized debt issuance costs and debt discount. In addition, the Company recorded a $3 million reduction to the equity component of the 2020 Convertible Senior Notes. There was no deferred tax impact associated with this reduction due to the full valuation allowance in effect as of March 31, 2020. Prior to January 1, 2020, the 2020 Convertible Senior Notes were convertible only upon the achievement of certain contingent market conditions, which were not met. After January 1, 2020, the 2020 Convertible Senior Notes were convertible at any time until the second scheduled trading day immediately preceding the April 1, 2020 maturity date of the notes and holders of $3 million aggregate principal amount of 2020 Convertible Senior Notes timely elected to convert. Upon conversion, such holders of the converted 2020 Convertible Senior Notes were entitled to receive an insignificant cash payment on April 1, 2020, which the Company did not pay. As a result of such conversion the Company recognized a $3 million gain on extinguishment of debt for the six months ended June 30, 2020. Additionally, at maturity, the Company was obligated to pay in cash the $187 million outstanding principal amount of the 2020 Convertible Senior Notes that did not convert, which the Company did not pay. Under the Bankruptcy Code, the holders of the 2020 Convertible Senior Notes and the prior holders that converted their notes are stayed from taking any action against the Company as a result of the Company’s non-payment. Refer to “Chapter 11 Cases and Effect of Automatic Stay” above for more information. Upon issuance, the Company separately accounted for the liability and equity components of the 2020 Convertible Senior Notes. The liability component was recorded at the estimated fair value of a similar debt instrument without the conversion feature. The difference between the principal amount of the 2020 Convertible Senior Notes and the estimated fair value of the liability component was recorded as a debt discount and was amortized to interest expense over the term of the notes using the effective interest method, with an effective interest rate of 5.6% per annum. The fair value of the liability component of the 2020 Convertible Senior Notes as of the issuance date was estimated at $1.0 billion, resulting in a debt discount at inception of $238 million. The equity component, representing the value of the conversion option, was computed by deducting the fair value of the liability component from the initial proceeds of the 2020 Convertible Senior Notes issuance. This equity component was recorded, net of deferred taxes and issuance costs, in additional paid-in capital within shareholders’ equity, and will not be remeasured as long as it continues to meet the conditions for equity classification. Transaction costs related to the 2020 Convertible Senior Notes issuance were allocated to the liability and equity components based on their relative fair values. Issuance costs attributable to the liability component were recorded as a reduction to the carrying value of long-term debt on the consolidated balance sheets and were amortized to interest expense over the term of the notes using the effective interest method. Issuance costs attributable to the equity component were recorded as a charge to additional paid-in capital within shareholders’ equity. The 2020 Convertible Senior Notes consisted of the following at June 30, 2020 and December 31, 2019 (in thousands): June 30, December 31, 2020 2019 Liability component Principal $ 186,592 $ 262,075 Less: unamortized note discount - (2,829) Less: unamortized debt issuance costs - (220) Net carrying value $ 186,592 $ 259,026 Equity component (1) $ 125,009 $ 128,452 (1) Recorded in additional paid-in capital, net of $5 million of issuance costs and $50 million of deferred taxes. The following table presents the interest expense recognized on the 2020 Convertible Senior Notes related to the stated interest rate and amortization of the debt discount for the three and six months ended June 30, 2020 and June 30, 2019 (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Interest expense on 2020 Convertible Senior Notes $ - $ 7,574 $ 3,463 $ 15,068 Security and Guarantees The Senior Notes and the 2020 Convertible Senior Notes are unsecured obligations of Whiting Petroleum Corporation and these unsecured obligations are subordinated to all of the Company’s secured indebtedness, which consists of the Credit Agreement. The Company’s obligations under the Senior Notes and the 2020 Convertible Senior Notes are guaranteed by the Company’s 100%-owned subsidiaries, Whiting Oil and Gas, Whiting US Holding Company, Whiting Canadian Holding Company ULC and Whiting Resources Corporation (the “Guarantors”). These guarantees are full and unconditional and joint and several among the Guarantors. Any subsidiaries other than these Guarantors are minor subsidiaries as defined by Rule 3-10(h)(6) of Regulation S-X of the SEC. Whiting Petroleum Corporation has no assets or operations independent of this debt and its investments in its consolidated subsidiaries. |
ASSET RETIREMENT OBLIGATIONS
ASSET RETIREMENT OBLIGATIONS | 6 Months Ended |
Jun. 30, 2020 | |
ASSET RETIREMENT OBLIGATIONS [Abstract] | |
ASSET RETIREMENT OBLIGATIONS | 6. ASSET RETIREMENT OBLIGATIONS The Company’s asset retirement obligations represent the present value of estimated future costs associated with the plugging and abandonment of oil and gas wells, removal of equipment and facilities from leased acreage and land restoration (including removal of certain onshore and offshore facilities in California) in accordance with applicable local, state and federal laws. The current portions as of June 30, 2020 and December 31, 2019 were $5 million and $4 million, respectively, and have been included in accrued liabilities and other in the consolidated balance sheets. The following table provides a reconciliation of the Company’s asset retirement obligations for the six months ended June 30, 2020 (in thousands): Asset retirement obligation at January 1, 2020 $ 134,893 Additional liability incurred 58 Revisions to estimated cash flows (1,243) Accretion expense 6,107 Obligations on sold properties (693) Liabilities settled (2,788) Asset retirement obligations reclassified to liabilities subject to compromise (1) (39,022) Asset retirement obligation at June 30, 2020 $ 97,312 (1) Refer to the “Chapter 11 Cases” footnote for more information on liabilities subject to compromise . |
DERIVATIVE FINANCIAL INSTRUMENT
DERIVATIVE FINANCIAL INSTRUMENTS | 6 Months Ended |
Jun. 30, 2020 | |
DERIVATIVE FINANCIAL INSTRUMENTS [Abstract] | |
DERIVATIVE FINANCIAL INSTRUMENTS | 7. DERIVATIVE FINANCIAL INSTRUMENTS The Company is exposed to certain risks relating to its ongoing business operations, and it uses derivative instruments to manage its commodity price risk. In addition, the Company periodically enters into contracts that contain embedded features which are required to be bifurcated and accounted for separately as derivatives. Commodity Derivative Contracts — Crude Oil and Natural Gas Swaps and Collars. The table below details the Company’s swap derivatives entered into to hedge forecasted crude oil and natural gas production revenues as of June 30, 2020. Commodity Settlement Period Index Derivative Instrument Total Volumes (1) Units Weighted Average Swap Price Crude Oil Crude Oil 2020 NYMEX WTI Fixed Price Swaps 1,564,000 Bbl $40.96 Crude Oil 2021 NYMEX WTI Fixed Price Swaps 2,737,500 Bbl $40.05 Total 4,301,500 Bbl Natural Gas Natural Gas 2021 NYMEX Henry Hub Fixed Price Swaps 3,650,000 MMBtu $2.60 (1) Subsequent to June 30, 2020, the Company entered into additional swap contracts for 459,000 Bbl of crude oil volumes for the remainder of 2020 and additional collar contracts for 854,000 Bbl, 3,739,000 Bbl and 1,365,000 Bbl of crude oil volumes for the remainder of 2020, 2021 and the first nine months of 2022, respectively. The Company also entered into additional swap contracts for 3,650,000 MMBtu of natural gas volumes for 2021 and additional collar contracts for 3,660,000 MMBtu, 10,950,000 MMBtu and 8,190,000 MMBtu of natural gas volumes for the remainder of 2020, 2021 and the first nine months of 2022, respectively. Effect of Chapter 11 Cases Derivative Instrument Reporting (Gain) Loss Recognized in Income Not Designated as Statements of Operations Three Months Ended June 30, ASC 815 Hedges Classification 2020 2019 Commodity contracts Derivative (gain) loss, net $ 6,632 $ (24,877) Total $ 6,632 $ (24,877) (Gain) Loss Recognized in Income Not Designated as Statements of Operations Six Months Ended June 30, ASC 815 Hedges Classification 2020 2019 Commodity contracts Derivative (gain) loss, net $ (224,739) $ 38,028 Total $ (224,739) $ 38,028 Offsetting of Derivative Assets and Liabilities. June 30, 2020 (1) Net Gross Recognized Recognized Gross Fair Value Not Designated as Assets/ Amounts Assets/ ASC 815 Hedges Balance Sheet Classification Liabilities Offset Liabilities Derivative assets Commodity contracts - current Prepaid expenses and other $ 3,714 $ (289) $ 3,425 Commodity contracts - non-current Other long-term assets 77 (77) - Total derivative assets $ 3,791 $ (366) $ 3,425 Derivative liabilities Commodity contracts - current Accrued liabilities and other $ 1,730 $ (289) $ 1,441 Commodity contracts - non-current Other long-term liabilities 943 (77) 866 Total derivative liabilities $ 2,673 $ (366) $ 2,307 December 31, 2019 (1) Net Gross Recognized Recognized Gross Fair Value Not Designated as Assets/ Amounts Assets/ ASC 815 Hedges Balance Sheet Classification Liabilities Offset Liabilities Derivative assets Commodity contracts - current Prepaid expenses and other $ 75,654 $ (74,768) $ 886 Commodity contracts - non-current Other long-term assets 5,648 (5,648) - Total derivative assets $ 81,302 $ (80,416) $ 886 Derivative liabilities Commodity contracts - current Accrued liabilities and other $ 85,053 $ (74,768) $ 10,285 Commodity contracts - non-current Other long-term liabilities 6,534 (5,648) 886 Total derivative liabilities $ 91,587 $ (80,416) $ 11,171 (1) Because substantially all of the counterparties to the Company’s financial derivative contracts subject to master netting arrangements are lenders under the Credit Agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables. Contingent Features in Financial Derivative Instruments. |
FAIR VALUE MEASUREMENTS
FAIR VALUE MEASUREMENTS | 6 Months Ended |
Jun. 30, 2020 | |
FAIR VALUE MEASUREMENTS [Abstract] | |
FAIR VALUE MEASUREMENTS | 8. FAIR VALUE MEASUREMENTS The Company follows FASB ASC Topic 820, Fair Value Measurement and Disclosure ● Level 1: Quoted Prices in Active Markets for Identical Assets – inputs to the valuation methodology are quoted prices (unadjusted) for identical assets or liabilities in active markets. ● Level 2: Significant Other Observable Inputs – inputs to the valuation methodology include quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. ● Level 3: Significant Unobservable Inputs – inputs to the valuation methodology are unobservable and significant to the fair value measurement. A financial instrument’s categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. Cash, cash equivalents, restricted cash, accounts receivable and accounts payable are carried at cost, which approximates their fair value because of the short-term maturity of these instruments. The Company’s Credit Agreement has a recorded value that approximates its fair value since its variable interest rate is tied to current market rates and the applicable margins represent market rates. The Company’s senior notes are recorded at cost and the convertible senior notes are recorded at fair value at the date of issuance. The following table summarizes the fair values and carrying values of these instruments as of June 30, 2020 and December 31, 2019 (in thousands): June 30, 2020 December 31, 2019 Fair Carrying Fair Carrying Value (1) Value (2) Value (1) Value (2) 1.25% Convertible Senior Notes due 2020 $ 35,452 $ 186,592 $ 260,214 $ 259,026 5.75% Senior Notes due 2021 148,920 773,609 732,995 772,080 6.25% Senior Notes due 2023 78,597 408,296 343,989 405,392 6.625% Senior Notes due 2026 192,500 1,000,000 681,250 988,387 Total $ 455,469 $ 2,368,497 $ 2,018,448 $ 2,424,885 (1) Fair values are based on quoted market prices for these debt securities, and such fair values are therefore designated as Level 1 within the valuation hierarchy. (2) Carrying values are presented net of unamortized debt issuance costs and debt discounts or premiums. All unamortized debt issuance costs and debt discounts and premiums were written off in April 2020 as a result of the Chapter 11 Cases and the adoption of ASC 852. Refer to the “Chapter 11 Cases” footnote for more information. The Company’s derivative financial instruments are recorded at fair value and include a measure of the Company’s own nonperformance risk or that of its counterparty, as appropriate. The following tables present information about the Company’s financial assets and liabilities measured at fair value on a recurring basis as of June 30, 2020 and December 31, 2019, and indicate the fair value hierarchy of the valuation techniques utilized by the Company to determine such fair values (in thousands): Total Fair Value Level 1 Level 2 Level 3 June 30, 2020 Financial Assets Commodity derivatives – current $ - $ 3,425 $ - $ 3,425 Total financial assets $ - $ 3,425 $ - $ 3,425 Financial Liabilities Commodity derivatives – current $ - $ 1,441 $ - $ 1,441 Commodity derivatives – non-current - 866 - 866 Total financial liabilities $ - $ 2,307 $ - $ 2,307 Total Fair Value Level 1 Level 2 Level 3 December 31, 2019 Financial Assets Commodity derivatives – current $ - $ 886 $ - $ 886 Total financial assets $ - $ 886 $ - $ 886 Financial Liabilities Commodity derivatives – current $ - $ 10,285 $ - $ 10,285 Commodity derivatives – non-current - 886 - 886 Total financial liabilities $ - $ 11,171 $ - $ 11,171 The following methods and assumptions were used to estimate the fair values of the Company’s financial assets and liabilities that are measured on a recurring basis: Commodity Derivatives Non-recurring Fair Value Measurements — Loss (Before Net Carrying Tax) Six Value as of Months Ended March 31, Fair Value Measurements Using June 30, 2020 Level 1 Level 2 Level 3 2020 Proved property (1) $ 816,234 $ - $ - $ 816,234 $ 3,732,096 (1) During the first quarter of 2020, certain proved oil and gas properties across the Company’s Williston Basin resource play with a previous carrying amount of $4.5 billion were written down to their fair value as of March 31, 2020 of $816 million, resulting in a non-cash impairment charge of $3.7 billion, which was recorded within exploration and impairment expense. These impaired properties were written down due to a reduction in anticipated future cash flows primarily driven by an expectation of sustained depressed oil prices and a resultant decline in future development plans for the properties. Loss (Before Net Carrying Tax) Three and Six Value as of Months Ended June 30, Fair Value Measurements Using June 30, 2020 Level 1 Level 2 Level 3 2020 Proved property (2) $ 85,418 $ - $ - $ 85,418 $ 409,079 (2) During the second quarter of 2020, other proved oil and gas properties in the Company’s Williston Basin resource play with a previous carrying amount of $494 million were written down to their fair value as of June 30, 2020 of $85 million, resulting in a non-cash impairment charge of $409 million, which was recorded within exploration and impairment expense. These impaired properties were written down due to a reduction in anticipated future cash flows primarily driven by an expectation of sustained depressed oil prices and a resultant decline in future development plans for the properties assessed during the second quarter of 2020. Proved Property Impairments 16% |
REVENUE RECOGNITION
REVENUE RECOGNITION | 6 Months Ended |
Jun. 30, 2020 | |
REVENUE RECOGNITION [Abstract] | |
REVENUE RECOGNITION | 9. REVENUE RECOGNITION The Company recognizes revenue in accordance with FASB ASC Topic 606 – Revenue from Contracts with Customers Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 OPERATING REVENUES Oil sales $ 91,904 $ 403,870 $ 323,849 $ 763,324 NGL and natural gas sales (1) (304) 22,394 12,597 52,429 Oil, NGL and natural gas sales $ 91,600 $ 426,264 $ 336,446 $ 815,753 (1) Negative NGL and natural gas sales revenue is a result of third-party transportation, gathering and processing costs exceeding the average price realized for certain NGL and natural gas volumes sold during the three months ended June 30, 2020. Whiting receives payment for product sales from one The Company has elected to utilize the practical expedient in ASC 606 that states the Company is not required to disclose the transaction price allocated to remaining performance obligations if the variable consideration is allocated entirely to a wholly unsatisfied performance obligation. Under the Company’s contracts, each monthly delivery of product represents a separate performance obligation, therefore, future volumes are wholly unsatisfied, and disclosure of the transaction price allocated to remaining performance obligations is not required. |
SHAREHOLDERS' EQUITY
SHAREHOLDERS' EQUITY | 6 Months Ended |
Jun. 30, 2020 | |
SHAREHOLDERS' EQUITY | |
SHAREHOLDERS' EQUITY | 10. SHAREHOLDERS’ EQUITY NOL Rights Plan — On March 26, 2020 the Company adopted a Section 382 Rights Agreement (the “Rights Agreement”) designed to preserve the Company’s ability to use its NOLs to offset possible future U.S. taxable income. The Rights Agreement is intended to reduce the likelihood that changes in the Company’s investor base would limit the future use of its tax benefits. On March 26, 2020, in connection with the adoption of the Rights Agreement, the Company’s Board of Directors declared a dividend of one preferred share purchase right (a “Right”) payable on April 6, 2020 to the stockholders of record on that date. Each Right is attached to and trades only with common shares until a triggering event, which is defined in the Rights Agreement as close of business on the tenth day following the public announcement or public disclosure of facts indicating that a person or group that already owns 4.9% or more of the Company’s common stock (“acquiring person or group”) acquires additional shares. A triggering event entitles the registered holder to purchase from the Company one $7.00 per one one-thousandth of a preferred share represented by a Right, subject to adjustment. Rights held by the acquiring person or group will become void and will not be exercisable. The Board of Directors has the discretion to exempt certain transactions, persons or entities from the operation of the Rights Agreement and also has the ability to amend or terminate the Rights Agreement prior to a triggering event. Additionally, the Board of Directors may cause the Company to redeem the Rights in whole, but not in part, at a price of $0.001 per Right. The Rights will expire on the day following the certification of the voting results for Whiting’s 2021 annual meeting of shareholders unless Whiting’s shareholders ratify the Rights Agreement at or prior to such meeting, in which case the Rights Agreement will continue in effect until March 26, 2023 unless terminated earlier in accordance with its terms. Final Order of the Bankruptcy Court — . Any actions in violation of the Procedures (including the notice requirements) are null and void ab initio ab initio ab initio |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 6 Months Ended |
Jun. 30, 2020 | |
STOCK-BASED COMPENSATION [Abstract] | |
STOCK-BASED COMPENSATION | 11. STOCK-BASED COMPENSATION Equity Incentive Plan under the 2013 Equity Plan will be cancelled and will not be available for future issuance. Under the amended and restated 2013 Equity Plan, during any calendar year no officer or other key employee participant may be granted options or stock appreciation rights for more than 500,000 shares of common stock or more than 500,000 shares of restricted stock (“RSAs”), restricted stock units (“RSUs”), performance shares (“PSAs”), or performance share units (“PSUs”), the value of which is based on the fair market value of a share of common stock. In addition, no non-employee director participant may be granted during any calendar year options or stock appreciation rights for more than 25,000 shares of common stock, or more than 25,000 shares of RSAs or RSUs. As of June 30, 2020, 3,886,734 shares of common stock remained available for grant under the 2013 Equity Plan. The Company has granted service-based RSAs and RSUs to executive officers and employees, which generally vest ratably over a three-year service period. The Company has granted service-based RSAs to directors, which generally vest over a one-year service period. In addition, the Company has granted PSAs and PSUs to executive officers that are subject to market-based vesting criteria, which generally vest over a three-year service period. The Company accounts for forfeitures of awards granted under these plans as they occur in determining compensation expense. The Company recognizes compensation expense for all awards subject to market-based vesting conditions regardless of whether it becomes probable that these conditions will be achieved or not, and compensation expense for share-settled awards is not reversed if vesting does not actually occur. During the six months ended June 30, 2020 and 2019, 53,198 and 389,303 shares, respectively, of service-based RSAs and RSUs were granted to executive officers and directors under the 2013 Equity Plan. The Company determines compensation expense for these share-settled awards using their fair value at the grant date, which is based on the closing bid price of the Company’s common stock on such date. The weighted average grant date fair value of service-based RSAs and RSUs was $4.94 per share and $27.97 per share for the six months ended June 30, 2020 and 2019, respectively. On March 31, 2020, all of the RSAs issued to executive officers in 2020 were forfeited and concurrently replaced with cash incentives. Refer to “2020 Compensation Adjustments” below for more information. During the six months ended June 30, 2020 and 2019, 1,616,504 and 308,432 shares, respectively, of service-based RSUs were granted to executive officers and employees under the 2013 Equity Plan. The Company determines compensation expense for cash-settled RSUs using the fair value at the end of each reporting period, which is based on the closing bid price of the Company’s common stock on such date. On March 31, 2020, all of the RSUs issued to executive officers in 2020 were forfeited and concurrently replaced with cash incentives. Refer to “2020 Compensation Adjustments” below for more information. During the six months ended June 30, 2020 and 2019, 1,665,153 and 317,512, respectively, of PSAs and PSUs subject to certain market-based vesting criteria were granted to executive officers under the 2013 Equity Plan. These market-based awards cliff vest on the third anniversary of the grant date, and the number of shares that will vest at the end of that three-year performance period is determined based on the rank of Whiting’s cumulative stockholder return compared to the stockholder return of a peer group of companies on each anniversary of the grant date over the three-year performance period. The number of awards earned could range from zero up to two times the number of shares initially granted. However, awards earned up to the target shares granted (or 100%) will be settled in shares, while awards earned in excess of the target shares granted will be settled in cash. The cash-settled component of such awards is recorded as a liability in the consolidated balance sheets and will be remeasured at fair value using a Monte Carlo valuation model at the end of each reporting period. On March 31, 2020, all of the PSAs and PSUs issued to executive officers in 2020 were forfeited and concurrently replaced with cash incentives. Refer to “2020 Compensation Adjustments” below for more information. For awards subject to market conditions, the grant date fair value is estimated using a Monte Carlo valuation model. The Monte Carlo model is based on random projections of stock price paths and must be repeated numerous times to achieve a probabilistic assessment. Expected volatility is calculated based on the historical volatility and implied volatility of Whiting’s common stock, and the risk-free interest rate is based on U.S. Treasury yield curve rates with maturities consistent with the three-year vesting period. The key assumptions used in valuing these market-based awards were as follows: 2020 2019 Number of simulations 2,500,000 2,500,000 Expected volatility 76.52% 72.95% Risk-free interest rate 1.51% 2.60% Dividend yield — — The weighted average grant date fair value of the market-based awards that will be settled in shares, as determined by the Monte Carlo valuation model, was $4.31 per share and $25.97 per share in 2020 and 2019, respectively. 2020 Compensation Adjustments. The following table shows a summary of the Company’s service-based and market-based awards activity for the six months ended June 30, 2020: Number of Awards Weighted Average Service ‑ Based Market-Based Grant Date RSAs & RSUs PSAs & PSUs Fair Value Nonvested awards, January 1 467,502 448,387 $ 28.28 Granted 53,198 1,665,153 4.33 Vested (181,728) - 27.52 Forfeited (128,870) (1,773,101) 7.53 Nonvested awards, June 30 210,102 340,439 $ 25.45 There was no significant stock option activity during the six months ended June 30, 2020 and 2019. Total stock compensation expense recognized for restricted stock was $1 million and $4 million for the three months ended June 30, 2020 and 2019, respectively, and $2 million and $10 million for the six months ended June 30, 2020 and 2019, respectively. |
INCOME TAXES
INCOME TAXES | 6 Months Ended |
Jun. 30, 2020 | |
INCOME TAXES [Abstract] | |
INCOME TAXES | 12. INCOME TAXES Income tax expense during interim periods is based on applying an estimated annual effective income tax rate to year-to-date income, plus any significant unusual or infrequently occurring items which are recorded in the interim period. The provision for income taxes for the three and six months ended June 30, 2020 and 2019 differs from the amount that would be provided by applying the statutory U.S. federal income tax rate of 21% to pre-tax income primarily due to (i) an alternative minimum tax refund received for the three months ended June 30, 2020, (ii) a full valuation allowance in effect on the Company’s U.S. deferred tax assets (“DTAs”) for the three months ended June 30, 2020 and June 30, 2019 and (iii) state income taxes and the effects of permanent taxable differences for the six months ended June 30, 2019. In assessing the realizability of DTAs, management considers whether it is more likely than not that some portion, or all, of the Company’s DTAs will not be realized. In making such determination, the Company considers all available positive and negative evidence, including future reversals of temporary differences, tax-planning strategies and projected future taxable income and results of operations. If the Company concludes that it is more likely than not that some portion, or all, of its DTAs will not be realized, the tax asset is reduced by a valuation allowance. The Company assesses the appropriateness of its valuation allowance on a quarterly basis. At June 30, 2020, the Company had a full valuation allowance on its U.S. DTAs. The computation of the annual estimated effective tax rate at each interim period requires certain estimates and significant judgment including, but not limited to, the expected operating income for the year, projections of the proportion of income earned and taxed in various jurisdictions, permanent and temporary differences, and the likelihood of recovering deferred tax assets generated in the current year. The accounting estimates used to compute the provision for income taxes may change as new events occur, more experience is obtained, additional information becomes known or as the tax environment changes. On March 26, 2020 the Company adopted a Rights Agreement and on April 1, 2020 the Bankruptcy Court entered an Order containing certain Procedures, each of which are intended to preserve the Company’s ability to use its net operating losses to offset possible future U.S. taxable income by reducing the likelihood of an ownership change under Section 382 of the IRC. Refer to the “Shareholders’ Equity” footnote for more information on the Rights Agreement and the Order. |
EARNINGS PER SHARE
EARNINGS PER SHARE | 6 Months Ended |
Jun. 30, 2020 | |
EARNINGS PER SHARE [Abstract] | |
EARNINGS PER SHARE | 13. EARNINGS PER SHARE The reconciliations between basic and diluted earnings (loss) per share are as follows (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Basic Loss Per Share Net loss $ (574,315) $ (5,687) $ (4,202,886) $ (74,612) Weighted average shares outstanding 91,429 91,286 91,409 91,261 Loss per common share $ (6.28) $ (0.06) $ (45.98) $ (0.82) Diluted Loss Per Share Net loss $ (574,315) $ (5,687) $ (4,202,886) $ (74,612) Weighted average shares outstanding 91,429 91,286 91,409 91,261 Loss per common share $ (6.28) $ (0.06) $ (45.98) $ (0.82) During the periods presented, the Company had a net loss and therefore the diluted earnings per share calculations exclude the anti-dilutive effect of (i) 270,058 shares of service-based awards for the three months ended June 30, 2020, (ii) 182,583 shares of service-based awards and 96,241 shares of market-based awards for the three months ended June 30, 2019, (iii) 342,299 shares of service-based awards for the six months ended June 30, 2020, and (iv) 293,305 shares of service-based awards and 206,475 market-based awards for the six months ended June 30, 2019. In addition, the diluted earnings per share calculations exclude the effect of (i) 28,505 and 31,805 common shares for the three and six months ended June 30, 2020, respectively, for stock options that were out-of-the-money as of June 30, 2020 and (ii) 46,396 and 46,502 common shares for the three and six months ended June 30, 2019, respectively, for stock options that were out-of-the-money as of June 30, 2019. Refer to the “Stock-Based Compensation” footnote for more information on the Company’s service-based awards, market-based awards and stock options. The Company had the option to settle conversions of the 2020 Convertible Senior Notes with cash, shares of common stock or any combination thereof. As the conversion value of the 2020 Convertible Senior Notes did not exceed the principal amount of the notes for any time during the conversion period ending April 1, 2020, there was no impact to diluted earnings per share or the related disclosures for the periods ending June 30, 2020 and 2019. |
COMMITMENTS AND CONTINGENCIES
COMMITMENTS AND CONTINGENCIES | 6 Months Ended |
Jun. 30, 2020 | |
COMMITMENTS AND CONTINGENCIES [Abstract] | |
COMMITMENTS AND CONTINGENCIES | 14. COMMITMENTS AND CONTINGENCIES Chapter 11 Proceedings — Delivery Commitments — Litigation — it is the opinion of the Company’s management that the loss for any litigation matters and claims that are reasonably possible to occur will not have a material adverse effect, individually or in the aggregate, on its consolidated financial position, cash flows or results of operations. The Company was involved in litigation related to a payment arrangement with a third party. In June 2020, the Company and the third party reached a settlement agreement resulting in the Company paying the third party a settlement amount of $14 million. Certain amounts were recognized in accrued liabilities and other in the consolidated balance sheets as of December 31, 2019 and general and administrative expenses in the consolidated statements of operations for the year ended December 31, 2019 as it was determined that a loss as a result of this litigation was probable. The Company recorded $3 million of additional litigation settlement expense in general and administrative expenses in the condensed consolidated statements of operations for the three and six months ended June 30, 2020 upon settling this litigation. Upon settlement, the Company agreed to indemnify a party involved in the litigation for any further claims resulting from the matters involved in the case up to $25 million. This indemnity will terminate on the later of: (i) June 30, 2021 or (ii) the date on which the statute of limitations for the relevant claims expires. The Company does not expect to pay additional amounts to this party as a result of this indemnity, and thus has not recorded any liability related to the indemnity as of June 30, 2020. |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 6 Months Ended |
Jun. 30, 2020 | |
BASIS OF PRESENTATION [Abstract] | |
Voluntary Reorganization under Chapter 11 of the Bankruptcy Code | Voluntary Reorganization under Chapter 11 of the Bankruptcy Code In re Whiting Petroleum Corporation, et al. On July 1, 2020, the Bankruptcy Court entered an order approving the Debtors’ disclosure statement, allowing for solicitation of the Debtors’ chapter 11 plan of reorganization (the “Plan”) to commence. A Bankruptcy Court hearing to consider confirmation of the Plan is scheduled to be held on August 10, 2020. The commencement of a voluntary proceeding in bankruptcy constituted an immediate event of default under Whiting Oil and Gas’ credit agreement (the “Credit Agreement”) and the indentures governing the Company’s senior notes, resulting in the automatic and immediate acceleration of all of the Company’s debt outstanding. The Company has applied FASB ASC Topic 852 – Reorganizations which specifies the accounting and financial reporting requirements for entities reorganizing through chapter 11 bankruptcy proceedings. These requirements include distinguishing transactions associated with the reorganization separate from activities related to the ongoing operations of the business. Accordingly, pre-petition liabilities that may be impacted by the chapter 11 proceedings have been classified as liabilities subject to compromise on the condensed consolidated balance sheet as of June 30, 2020. Additionally, certain expenses, realized gains and losses and provisions for losses that are realized or incurred during the Chapter 11 Cases, including adjustments to the carrying value of certain indebtedness are recorded as reorganization items, net in the condensed consolidated statements of operations for the three and six months ended June 30, 2020. |
Ability to Continue as a Going Concern | Ability to Continue as a Going Concern As discussed above, the filing of the Chapter 11 Cases constituted an event of default under the Company’s outstanding debt agreements, resulting in the automatic and immediate acceleration of all of the Company’s debt outstanding. The Company projects that it will not have sufficient cash on hand or available liquidity to repay such debt. These conditions and events raise substantial doubt about the Company’s ability to continue as a going concern. As part of the Chapter 11 Cases, the Company submitted the Plan to the Bankruptcy Court. The Company’s operations and its ability to develop and execute its business plan are subject to a high degree of risk and uncertainty associated with the Chapter 11 Cases. The outcome of the Chapter 11 Cases is subject to a high degree of uncertainty and is dependent upon factors that are outside of the Company’s control, including actions of the Bankruptcy Court and the Company’s creditors. There can be no assurance that the Company will confirm and consummate the plan of reorganization as contemplated by the restructuring support agreement (“RSA”) with certain holders of the Company’s senior notes or complete another plan of reorganization with respect to the Chapter 11 Cases. As a result, the Company has concluded that management’s plans do not alleviate substantial doubt about the Company’s ability to continue as a going concern. While operating as a debtor-in-possession, the Company may sell or otherwise dispose of or liquidate assets or settle liabilities, subject to the approval of the Bankruptcy Court or as otherwise permitted in the ordinary course of business, for amounts other than those reflected in the accompanying condensed consolidated financial statements. Further, the Plan or other bankruptcy proceedings could materially change the amounts and classifications of assets and liabilities reported in the condensed consolidated financial statements, including liabilities subject to compromise which will be resolved in connection with the Chapter 11 Cases. The accompanying condensed consolidated financial statements do not include any adjustments related to the recoverability and classification of assets or the amounts and classification of liabilities or any other adjustments that might be necessary should the Company be unable to continue as a going concern or as a consequence of the Chapter 11 Cases. |
Condensed Consolidated Financial Statements | Condensed Consolidated Financial Statements |
Reclassifications | Reclassifications — |
Cash, Cash Equivalents and Restricted Cash | Cash, Cash Equivalents and Restricted Cash — Restricted cash as of June 30, 2020 includes $23 million of funds related to derivative termination settlements that were directed by the counterparty to be held in a segregated account until the Company emerges from chapter 11 bankruptcy, at which point the Company intends to apply the funds toward its outstanding borrowings under the Credit Agreement. Refer to the “Derivative Financial Instruments” footnote for additional information on terminated derivative settlements. Additionally, $4 million of the restricted cash balance as of June 30, 2020 consists of amounts set aside as adequate assurance for certain utility and credit card providers, which funds will also be restricted until the Company emerges from chapter 11 bankruptcy. The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets and statements of cash flows (in thousands): June 30, December 31, 2020 2019 Cash and cash equivalents $ 492,088 $ 8,652 Restricted cash 26,787 - Total cash, cash equivalents and restricted cash $ 518,875 $ 8,652 |
Accounts Receivable Trade | Accounts Receivable Trade — The Company routinely evaluates expected credit losses for all material trade and other receivables to determine if an allowance for credit losses is warranted. Expected credit losses are estimated based on (i) historic loss experience for pools of receivable balances with similar characteristics, (ii) the length of time balances have been outstanding and (iii) the economic status of each counterparty. These loss estimates are then adjusted for current and expected future economic conditions, which may include an assessment of the probability of non-payment, financial distress or expected future commodity prices and the impact that any current or future conditions could have on a counterparty’s credit quality and liquidity. As of June 30, 2020 and December 31, 2019, the Company had an allowance for credit losses of $11 million and $9 million, respectively. |
BASIS OF PRESENTATION (Tables)
BASIS OF PRESENTATION (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
BASIS OF PRESENTATION [Abstract] | |
Reconciliation Of cash, cash equivalents and restricted cash | The following table provides a reconciliation of cash, cash equivalents and restricted cash reported within the condensed consolidated balance sheets and statements of cash flows (in thousands): June 30, December 31, 2020 2019 Cash and cash equivalents $ 492,088 $ 8,652 Restricted cash 26,787 - Total cash, cash equivalents and restricted cash $ 518,875 $ 8,652 |
CHAPTER 11 CASES (Tables)
CHAPTER 11 CASES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
CHAPTER 11 CASE [Abstract] | |
Schedule of liabilities subject to compromise | The following table summarizes the components of liabilities subject to compromise included in the condensed consolidated balance sheets (in thousands): June 30, 2020 Debt subject to compromise $ 2,368,497 Accounts payable trade 48,434 Accrued liabilities and other 63,557 Accrued interest on debt subject to compromise 30,028 Asset retirement obligations (1) 39,022 Total liabilities subject to compromise $ 2,549,538 (1) Amount relates to an executory contract for certain offshore facilities in California. |
Components of reorganization items | Three and Six Months Ended June 30, 2020 Legal and professional advisory fees (1) $ 26,668 Write-off of unamortized debt issuance costs and premium (2) 15,145 Total reorganization items, net $ 41,813 (1) As of June 30, 2020, $23 million of these fees are accrued and unpaid and are presented in accrued liabilities and other in the condensed consolidated balance sheet. The remaining $4 million represents cash charges for the three and six months ended June 30, 2020. (2) Non-cash reorganization item. Refer to the “Long-Term Debt” footnote for further information . |
OIL AND GAS PROPERTIES (Tables)
OIL AND GAS PROPERTIES (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
OIL AND GAS PROPERTIES [Abstract] | |
Net capitalized costs related to the Company's oil and gas producing activities | Net capitalized costs related to the Company’s oil and gas producing activities at June 30, 2020 and December 31, 2019 are as follows (in thousands): June 30, December 31, 2020 2019 Costs of completed wells and facilities $ 4,267,233 $ 9,847,159 Proved leasehold costs 376,329 2,702,236 Unproved leasehold costs 90,561 103,278 Wells and facilities in progress 86,098 159,334 Total oil and gas properties, successful efforts method 4,820,221 12,812,007 Accumulated depletion (1,936,121) (5,656,929) Oil and gas properties, net $ 2,884,100 $ 7,155,078 |
Schedule of impairment expense | Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Impairment expense for unproved properties $ 132 $ 2,308 $ 12,483 $ 5,830 |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
LONG-TERM DEBT [Abstract] | |
Schedule of long-term debt | June 30, December 31, 2020 2019 Credit Agreement $ 912,259 $ 375,000 1.25% Convertible Senior Notes due 2020 186,592 262,075 5.75% Senior Notes due 2021 773,609 773,609 6.25% Senior Notes due 2023 408,296 408,296 6.625% Senior Notes due 2026 1,000,000 1,000,000 Total principal 3,280,756 2,818,980 Unamortized debt discounts and premiums (1) - (2,575) Unamortized debt issuance costs on notes (1) - (16,520) Total debt, prior to reclassification to liabilities subject to compromise 3,280,756 2,799,885 Less amounts reclassified to liabilities subject to compromise (2) (2,368,497) - Total debt not subject to compromise (3) 912,259 2,799,885 Less current portion of long-term debt (4) (912,259) - Total long-term debt $ - $ 2,799,885 (1) As a result of the Chapter 11 Cases and the adoption of ASC 852, the Company wrote off all unamortized premium and issuance cost balances to reorganization items, net in the condensed consolidated statements of operations for the three and six months ended June 30, 2020. Refer to the “Chapter 11 Cases” footnote for more information. (2) Debt subject to compromise includes the principal balances of all of the Company’s senior notes, which are unsecured claims in the Chapter 11 Cases. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information. (3) Debt not subject to compromise includes all borrowings outstanding under the Credit Agreement, which are secured claims in the Chapter 11 Cases. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information. (4) Due to uncertainties regarding the outcome of the Chapter 11 Cases, the Company has classified the borrowings outstanding under the Credit Agreement as current as of June 30, 2020. Refer to the “Basis of Presentation” and “Chapter 11 Cases” footnotes for more information. |
Schedule of convertible senior notes | The 2020 Convertible Senior Notes consisted of the following at June 30, 2020 and December 31, 2019 (in thousands): June 30, December 31, 2020 2019 Liability component Principal $ 186,592 $ 262,075 Less: unamortized note discount - (2,829) Less: unamortized debt issuance costs - (220) Net carrying value $ 186,592 $ 259,026 Equity component (1) $ 125,009 $ 128,452 (1) Recorded in additional paid-in capital, net of $5 million of issuance costs and $50 million of deferred taxes. |
Interest expense on convertible senior notes | The following table presents the interest expense recognized on the 2020 Convertible Senior Notes related to the stated interest rate and amortization of the debt discount for the three and six months ended June 30, 2020 and June 30, 2019 (in thousands): Three Months Ended Six Months Ended June 30, June 30, 2020 2019 2020 2019 Interest expense on 2020 Convertible Senior Notes $ - $ 7,574 $ 3,463 $ 15,068 |
ASSET RETIREMENT OBLIGATIONS (T
ASSET RETIREMENT OBLIGATIONS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
ASSET RETIREMENT OBLIGATIONS [Abstract] | |
Schedule of reconciliation of the Company's asset retirement obligations | Asset retirement obligation at January 1, 2020 $ 134,893 Additional liability incurred 58 Revisions to estimated cash flows (1,243) Accretion expense 6,107 Obligations on sold properties (693) Liabilities settled (2,788) Asset retirement obligations reclassified to liabilities subject to compromise (1) (39,022) Asset retirement obligation at June 30, 2020 $ 97,312 (1) Refer to the “Chapter 11 Cases” footnote for more information on liabilities subject to compromise . |
DERIVATIVE FINANCIAL INSTRUME_2
DERIVATIVE FINANCIAL INSTRUMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
DERIVATIVE FINANCIAL INSTRUMENTS [Abstract] | |
Derivative instruments | The table below details the Company’s swap derivatives entered into to hedge forecasted crude oil and natural gas production revenues as of June 30, 2020. Commodity Settlement Period Index Derivative Instrument Total Volumes (1) Units Weighted Average Swap Price Crude Oil Crude Oil 2020 NYMEX WTI Fixed Price Swaps 1,564,000 Bbl $40.96 Crude Oil 2021 NYMEX WTI Fixed Price Swaps 2,737,500 Bbl $40.05 Total 4,301,500 Bbl Natural Gas Natural Gas 2021 NYMEX Henry Hub Fixed Price Swaps 3,650,000 MMBtu $2.60 (1) Subsequent to June 30, 2020, the Company entered into additional swap contracts for 459,000 Bbl of crude oil volumes for the remainder of 2020 and additional collar contracts for 854,000 Bbl, 3,739,000 Bbl and 1,365,000 Bbl of crude oil volumes for the remainder of 2020, 2021 and the first nine months of 2022, respectively. The Company also entered into additional swap contracts for 3,650,000 MMBtu of natural gas volumes for 2021 and additional collar contracts for 3,660,000 MMBtu, 10,950,000 MMBtu and 8,190,000 MMBtu of natural gas volumes for the remainder of 2020, 2021 and the first nine months of 2022, respectively. |
Schedule of effects of commodity derivative instruments | (Gain) Loss Recognized in Income Not Designated as Statements of Operations Three Months Ended June 30, ASC 815 Hedges Classification 2020 2019 Commodity contracts Derivative (gain) loss, net $ 6,632 $ (24,877) Total $ 6,632 $ (24,877) (Gain) Loss Recognized in Income Not Designated as Statements of Operations Six Months Ended June 30, ASC 815 Hedges Classification 2020 2019 Commodity contracts Derivative (gain) loss, net $ (224,739) $ 38,028 Total $ (224,739) $ 38,028 |
Location and fair value of derivative instruments | June 30, 2020 (1) Net Gross Recognized Recognized Gross Fair Value Not Designated as Assets/ Amounts Assets/ ASC 815 Hedges Balance Sheet Classification Liabilities Offset Liabilities Derivative assets Commodity contracts - current Prepaid expenses and other $ 3,714 $ (289) $ 3,425 Commodity contracts - non-current Other long-term assets 77 (77) - Total derivative assets $ 3,791 $ (366) $ 3,425 Derivative liabilities Commodity contracts - current Accrued liabilities and other $ 1,730 $ (289) $ 1,441 Commodity contracts - non-current Other long-term liabilities 943 (77) 866 Total derivative liabilities $ 2,673 $ (366) $ 2,307 December 31, 2019 (1) Net Gross Recognized Recognized Gross Fair Value Not Designated as Assets/ Amounts Assets/ ASC 815 Hedges Balance Sheet Classification Liabilities Offset Liabilities Derivative assets Commodity contracts - current Prepaid expenses and other $ 75,654 $ (74,768) $ 886 Commodity contracts - non-current Other long-term assets 5,648 (5,648) - Total derivative assets $ 81,302 $ (80,416) $ 886 Derivative liabilities Commodity contracts - current Accrued liabilities and other $ 85,053 $ (74,768) $ 10,285 Commodity contracts - non-current Other long-term liabilities 6,534 (5,648) 886 Total derivative liabilities $ 91,587 $ (80,416) $ 11,171 (1) Because substantially all of the counterparties to the Company’s financial derivative contracts subject to master netting arrangements are lenders under the Credit Agreement, which eliminates its need to post or receive collateral associated with its derivative positions, columns for cash collateral pledged or received have not been presented in these tables. |
FAIR VALUE MEASUREMENTS (Tables
FAIR VALUE MEASUREMENTS (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
FAIR VALUE MEASUREMENTS [Abstract] | |
Summary of the fair values and carrying value of debt instruments | June 30, 2020 December 31, 2019 Fair Carrying Fair Carrying Value (1) Value (2) Value (1) Value (2) 1.25% Convertible Senior Notes due 2020 $ 35,452 $ 186,592 $ 260,214 $ 259,026 5.75% Senior Notes due 2021 148,920 773,609 732,995 772,080 6.25% Senior Notes due 2023 78,597 408,296 343,989 405,392 6.625% Senior Notes due 2026 192,500 1,000,000 681,250 988,387 Total $ 455,469 $ 2,368,497 $ 2,018,448 $ 2,424,885 (1) Fair values are based on quoted market prices for these debt securities, and such fair values are therefore designated as Level 1 within the valuation hierarchy. (2) Carrying values are presented net of unamortized debt issuance costs and debt discounts or premiums. All unamortized debt issuance costs and debt discounts and premiums were written off in April 2020 as a result of the Chapter 11 Cases and the adoption of ASC 852. Refer to the “Chapter 11 Cases” footnote for more information. |
Fair value assets and liabilities measured on a recurring basis | Total Fair Value Level 1 Level 2 Level 3 June 30, 2020 Financial Assets Commodity derivatives – current $ - $ 3,425 $ - $ 3,425 Total financial assets $ - $ 3,425 $ - $ 3,425 Financial Liabilities Commodity derivatives – current $ - $ 1,441 $ - $ 1,441 Commodity derivatives – non-current - 866 - 866 Total financial liabilities $ - $ 2,307 $ - $ 2,307 Total Fair Value Level 1 Level 2 Level 3 December 31, 2019 Financial Assets Commodity derivatives – current $ - $ 886 $ - $ 886 Total financial assets $ - $ 886 $ - $ 886 Financial Liabilities Commodity derivatives – current $ - $ 10,285 $ - $ 10,285 Commodity derivatives – non-current - 886 - 886 Total financial liabilities $ - $ 11,171 $ - $ 11,171 |
Non-financial assets and liabilities measured at fair value on a nonrecurring basis | Loss (Before Net Carrying Tax) Six Value as of Months Ended March 31, Fair Value Measurements Using June 30, 2020 Level 1 Level 2 Level 3 2020 Proved property (1) $ 816,234 $ - $ - $ 816,234 $ 3,732,096 (1) During the first quarter of 2020, certain proved oil and gas properties across the Company’s Williston Basin resource play with a previous carrying amount of $4.5 billion were written down to their fair value as of March 31, 2020 of $816 million, resulting in a non-cash impairment charge of $3.7 billion, which was recorded within exploration and impairment expense. These impaired properties were written down due to a reduction in anticipated future cash flows primarily driven by an expectation of sustained depressed oil prices and a resultant decline in future development plans for the properties. Loss (Before Net Carrying Tax) Three and Six Value as of Months Ended June 30, Fair Value Measurements Using June 30, 2020 Level 1 Level 2 Level 3 2020 Proved property (2) $ 85,418 $ - $ - $ 85,418 $ 409,079 (2) During the second quarter of 2020, other proved oil and gas properties in the Company’s Williston Basin resource play with a previous carrying amount of $494 million were written down to their fair value as of June 30, 2020 of $85 million, resulting in a non-cash impairment charge of $409 million, which was recorded within exploration and impairment expense. These impaired properties were written down due to a reduction in anticipated future cash flows primarily driven by an expectation of sustained depressed oil prices and a resultant decline in future development plans for the properties assessed during the second quarter of 2020. |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
REVENUE RECOGNITION [Abstract] | |
Summary of revenue disaggregation | Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 OPERATING REVENUES Oil sales $ 91,904 $ 403,870 $ 323,849 $ 763,324 NGL and natural gas sales (1) (304) 22,394 12,597 52,429 Oil, NGL and natural gas sales $ 91,600 $ 426,264 $ 336,446 $ 815,753 (1) Negative NGL and natural gas sales revenue is a result of third-party transportation, gathering and processing costs exceeding the average price realized for certain NGL and natural gas volumes sold during the three months ended June 30, 2020. |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
STOCK-BASED COMPENSATION [Abstract] | |
Assumption for valuing market based restricted shares | 2020 2019 Number of simulations 2,500,000 2,500,000 Expected volatility 76.52% 72.95% Risk-free interest rate 1.51% 2.60% Dividend yield — — |
Summary of nonvested shares | Number of Awards Weighted Average Service ‑ Based Market-Based Grant Date RSAs & RSUs PSAs & PSUs Fair Value Nonvested awards, January 1 467,502 448,387 $ 28.28 Granted 53,198 1,665,153 4.33 Vested (181,728) - 27.52 Forfeited (128,870) (1,773,101) 7.53 Nonvested awards, June 30 210,102 340,439 $ 25.45 |
EARNINGS PER SHARE (Tables)
EARNINGS PER SHARE (Tables) | 6 Months Ended |
Jun. 30, 2020 | |
EARNINGS PER SHARE [Abstract] | |
Reconciliations between basic and diluted earnings per share | The reconciliations between basic and diluted earnings (loss) per share are as follows (in thousands, except per share data): Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Basic Loss Per Share Net loss $ (574,315) $ (5,687) $ (4,202,886) $ (74,612) Weighted average shares outstanding 91,429 91,286 91,409 91,261 Loss per common share $ (6.28) $ (0.06) $ (45.98) $ (0.82) Diluted Loss Per Share Net loss $ (574,315) $ (5,687) $ (4,202,886) $ (74,612) Weighted average shares outstanding 91,429 91,286 91,409 91,261 Loss per common share $ (6.28) $ (0.06) $ (45.98) $ (0.82) |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) - USD ($) $ in Millions | Jun. 30, 2020 | Apr. 30, 2020 | Dec. 31, 2019 |
BASIS OF PRESENTATION [Abstract] | |||
Derivative instrument proceeds held in escrow | $ 23 | $ 23 | |
Restricted cash for utility and credit card providers | 4 | ||
Allowance for credit losses | $ 11 | $ 9 |
BASIS OF PRESENTATION (Reconcil
BASIS OF PRESENTATION (Reconciliation) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
BASIS OF PRESENTATION [Abstract] | ||||
Cash and cash equivalents | $ 492,088 | $ 8,652 | ||
Restricted cash | 26,787 | |||
Total cash, cash equivalents and restricted cash | $ 518,875 | $ 8,652 | $ 6,680 | $ 13,607 |
CHAPTER 11 CASES (Details)
CHAPTER 11 CASES (Details) $ in Thousands | Jul. 31, 2020USD ($)claim | Jun. 30, 2020USD ($) | Apr. 23, 2020 |
Liabilities Subject to Compromise | |||
Debt subject to compromise | $ 2,368,497 | ||
Accounts payable trade | 48,434 | ||
Accrued liabilities and other | 63,557 | ||
Accrued interest on debt subject to compromise | 30,028 | ||
Asset retirement obligations | 39,022 | ||
Total liabilities subject to compromise | 2,549,538 | ||
Number of claims filed | claim | 1,600 | ||
Amount of claims filed | $ 2,800,000 | ||
Interest expense not recognized | $ 34,000 | ||
Whiting Petroleum Corporation [Member] | Senior Notes Holders [Member] | |||
Chapter 11 Cases | |||
Majority ownership (as a percent) | 97.00% | ||
Whiting Petroleum Corporation [Member] | Existing Stockholders [Member] | |||
Chapter 11 Cases | |||
Minority ownership (as a percent) | 3.00% |
CHAPTER 11 CASES - Reorganizati
CHAPTER 11 CASES - Reorganization Items (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended |
Jun. 30, 2020 | Jun. 30, 2020 | |
CHAPTER 11 CASE [Abstract] | ||
Legal and professional advisory fees | $ 26,668 | |
Write-off of unamortized debt issuance costs and premium | 15,145 | |
Total reorganization items, net | $ 41,813 | 41,813 |
Reorganization legal and professional fees accrued | 23,000 | |
Reorganization legal and professional fees paid | $ 4,000 |
OIL AND GAS PROPERTIES (Details
OIL AND GAS PROPERTIES (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | |
Oil and gas properties | |||||
Costs of completed wells and facilities | $ 4,267,233 | $ 4,267,233 | $ 9,847,159 | ||
Proved leasehold costs | 376,329 | 376,329 | 2,702,236 | ||
Unproved leasehold costs | 90,561 | 90,561 | 103,278 | ||
Wells and facilities in progress | 86,098 | 86,098 | 159,334 | ||
Total oil and gas properties, successful efforts method | 4,820,221 | 4,820,221 | 12,812,007 | ||
Accumulated depletion | (1,936,121) | (1,936,121) | (5,656,929) | ||
Oil and gas properties, net | 2,884,100 | 2,884,100 | $ 7,155,078 | ||
Unproved Properties [Member] | |||||
Oil and gas properties | |||||
Impairment of properties | $ 132 | $ 2,308 | $ 12,483 | $ 5,830 |
ACQUISITIONS AND DIVESTITURES (
ACQUISITIONS AND DIVESTITURES (Divestitures) (Details) $ in Thousands | Jan. 09, 2020USD ($)item | Aug. 15, 2019USD ($)item | Jul. 29, 2019USD ($)item | Jun. 30, 2020USD ($) | Jun. 30, 2019USD ($) |
Dispositions | |||||
Proceeds from sale of properties | $ 28,243 | $ 15,444 | |||
Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | McKenzie, Mountrail And Williams Counties [Member] | |||||
Dispositions | |||||
Number of well sold | item | 30 | 137 | |||
Proceeds from sale of properties | $ 25,000 | ||||
Proceeds from sale of oil and gas properties | $ 27,000 | ||||
Disposal Group, Disposed of by Sale, Not Discontinued Operations [Member] | Richland County, Montana And Mountrail and Williams Counties [Member] | |||||
Dispositions | |||||
Number of well sold | item | 58 | ||||
Proceeds from sale of oil and gas properties | $ 26,000 |
LONG-TERM DEBT (Schedule of lon
LONG-TERM DEBT (Schedule of long-term debt) (Details) - USD ($) $ in Thousands | Apr. 01, 2020 | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2017 | Mar. 31, 2015 | Sep. 30, 2013 |
Debt Instrument [Line Items] | ||||||
Total principal | $ 3,280,756 | $ 2,818,980 | ||||
Unamortized debt discounts and premiums | (2,575) | |||||
Unamortized debt issuance costs on notes | (16,520) | |||||
Total debt, prior to reclassification to liabilities subject to compromise | 3,280,756 | 2,799,885 | ||||
Less amounts reclassified to liabilities subject to compromise | (2,368,497) | |||||
Total debt not subject to compromise | 912,259 | 2,799,885 | ||||
Less current portion of long-term debt | (912,259) | |||||
Total long-term debt | 2,799,885 | |||||
Credit Agreement [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total principal | 912,259 | 375,000 | ||||
1.25% Convertible Senior Notes due 2020 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total principal | $ 186,592 | 262,075 | ||||
Unamortized debt issuance costs on notes | (220) | $ (25,000) | ||||
Interest rate on debt instrument (as a percent) | 1.25% | |||||
Payment due and not made | $ 187,000 | |||||
5.75% Senior Notes due 2021 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total principal | $ 773,609 | 773,609 | ||||
Interest rate on debt instrument (as a percent) | 5.75% | 5.75% | ||||
6.25% Senior Notes due 2023 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total principal | $ 408,296 | 408,296 | ||||
Interest rate on debt instrument (as a percent) | 6.25% | 6.25% | ||||
6.625% Senior Notes due 2026 [Member] | ||||||
Debt Instrument [Line Items] | ||||||
Total principal | $ 1,000,000 | $ 1,000,000 | ||||
Interest rate on debt instrument (as a percent) | 6.625% | 6.625% |
LONG-TERM DEBT (Credit agreemen
LONG-TERM DEBT (Credit agreement) (Details) $ in Thousands | 6 Months Ended |
Jun. 30, 2020USD ($) | |
Credit Agreement [Member] | |
Debt Instrument [Line Items] | |
Maximum borrowing capacity of credit facility | $ 2,050,000 |
Maximum aggregate commitments | 1,750,000 |
Outstanding borrowings under credit facility | 912,000,000 |
Portion of line of credit available for issuance of letters of credit | 50,000 |
Letters of credit borrowings outstanding | $ 2,000 |
Default basis spread (as a percent) | 2.00% |
Weighted average interest rate | 4.70% |
Retained earnings free from restrictions | $ 0 |
Minimum consolidated current assets to consolidated current liabilities ratio | 1 |
Total debt to EBITDAX ratio | 4 |
Aggregate principal amount | $ 100,000 |
Credit Agreement [Member] | Minimum [Member] | |
Debt Instrument [Line Items] | |
Commitment Fee (as a percent) | 0.375% |
Credit Agreement [Member] | Maximum [Member] | |
Debt Instrument [Line Items] | |
Commitment Fee (as a percent) | 0.50% |
Credit Agreement [Member] | Base Rate [Member] | Minimum [Member] | |
Debt Instrument [Line Items] | |
Basis points added to reference rate (as a percent) | 0.50% |
Credit Agreement [Member] | Base Rate [Member] | Maximum [Member] | |
Debt Instrument [Line Items] | |
Basis points added to reference rate (as a percent) | 1.50% |
Credit Agreement [Member] | Fed Funds Rate [Member] | |
Debt Instrument [Line Items] | |
Basis points added to reference rate (as a percent) | 0.50% |
Credit Agreement [Member] | LIBOR [Member] | |
Debt Instrument [Line Items] | |
Basis points added to reference rate (as a percent) | 1.00% |
Credit Agreement [Member] | Eurodollar [Member] | Minimum [Member] | |
Debt Instrument [Line Items] | |
Basis points added to reference rate (as a percent) | 1.50% |
Credit Agreement [Member] | Eurodollar [Member] | Maximum [Member] | |
Debt Instrument [Line Items] | |
Basis points added to reference rate (as a percent) | 2.50% |
Senior Notes And Senior Convertible Notes [Member] | |
Debt Instrument [Line Items] | |
Aggregate principal amount | $ 100,000 |
Senior Notes 2021 [Member] | |
Debt Instrument [Line Items] | |
Aggregate principal amount | $ 50,000 |
Credit Agreement Maturing April 12, 2023 [Member] | |
Debt Instrument [Line Items] | |
Maturity period | 91 days |
LONG-TERM DEBT (Senior notes) (
LONG-TERM DEBT (Senior notes) (Details) - USD ($) $ in Thousands, shares in Millions | 1 Months Ended | 6 Months Ended | 12 Months Ended | ||||||
Oct. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2020 | Dec. 31, 2016 | Apr. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2017 | Mar. 31, 2015 | Sep. 30, 2013 | |
Debt Instrument [Line Items] | |||||||||
Gain (loss) on extinguishment of debt | $ 25,883 | ||||||||
Total principal | $ 3,280,756 | $ 2,818,980 | |||||||
Senior Notes [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate on debt instrument (as a percent) | 1.25% | ||||||||
Aggregate principal amount converted into shares | $ 668,000 | ||||||||
Number of shares upon settlement of conversion | 16.3 | ||||||||
5.75% Senior Notes due 2021 [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Interest rate on debt instrument (as a percent) | 5.75% | 5.75% | |||||||
Debt, effective interest rate | 5.50% | ||||||||
Aggregate principal amount converted into shares | $ 326,000 | ||||||||
Notes repurchased, principal amount | $ 75,000 | $ 25,000 | |||||||
Percentage of redemption price | 95.467% | 94.708% | |||||||
Gain (loss) on extinguishment of debt | $ 3,000 | $ 1,000 | |||||||
Repurchase of notes | $ 72,000 | $ 24,000 | |||||||
Total principal | $ 773,609 | 773,609 | |||||||
5.75% Senior Notes due 2021, Par [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Notes Issued | $ 800,000 | ||||||||
Interest rate on debt instrument (as a percent) | 5.75% | ||||||||
5.75% Senior Notes due 2021, Premium [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Notes Issued | $ 400,000 | ||||||||
Premium as a percentage of par | 101.00% | ||||||||
6.25% Senior Notes due 2023 [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Notes Issued | $ 750,000 | ||||||||
Interest rate on debt instrument (as a percent) | 6.25% | 6.25% | |||||||
Aggregate principal amount converted into shares | $ 342,000 | ||||||||
Total principal | $ 408,296 | 408,296 | |||||||
6.625% Senior Notes due 2026 [Member] | |||||||||
Debt Instrument [Line Items] | |||||||||
Notes Issued | $ 1,000,000 | ||||||||
Interest rate on debt instrument (as a percent) | 6.625% | 6.625% | |||||||
Total principal | $ 1,000,000 | $ 1,000,000 |
LONG-TERM DEBT (2020 Convertibl
LONG-TERM DEBT (2020 Convertible senior notes) (Details) - USD ($) $ in Thousands, shares in Millions | Apr. 01, 2020 | Mar. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Mar. 31, 2015 | Mar. 31, 2020 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2016 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||||||||||
Debt finance cost | $ 16,520 | |||||||||
Gain (loss) on extinguishment of debt | $ 25,883 | |||||||||
Amortization of debt issuance costs, debt discount and debt premium | 9,786 | $ 15,734 | ||||||||
Adjustment to equity component of 2020 Convertible Senior Notes | $ 3,461 | |||||||||
Carrying value of debt instrument | 3,280,756 | 2,818,980 | ||||||||
1.25% Convertible Senior Notes due 2020 [Member] | ||||||||||
Debt Instrument [Line Items] | ||||||||||
Principal | $ 1,250,000 | $ 186,592 | 262,075 | |||||||
Interest rate on debt instrument (as a percent) | 1.25% | |||||||||
Net proceeds | 1,200,000 | |||||||||
Debt finance cost | 25,000 | 220 | ||||||||
Aggregate principal amount converted into shares | $ 3,000 | $ 688,000 | ||||||||
Number of shares upon settlement of conversion | 17.8 | |||||||||
Repurchase of notes | $ 53,000 | $ 299,000 | ||||||||
Notes repurchased, principal amount | $ 73,000 | $ 300,000 | $ 73,000 | |||||||
Principal amount of debt redeemed (as a percent) | 72.50% | |||||||||
Percentage of redemption price | 99.00% | |||||||||
Gain (loss) on extinguishment of debt | $ 23,000 | $ 4,000 | $ 3,000 | |||||||
Non cash charges | 200 | 7,000 | ||||||||
Transaction costs | 1,000 | |||||||||
Adjustment to equity component of 2020 Convertible Senior Notes | $ 3,000 | 8,000 | ||||||||
Equity component of convertible debt, deferred taxes | $ 0 | |||||||||
Carrying value of debt instrument | $ 186,592 | 262,075 | ||||||||
Payment due and not made | $ 187,000 | |||||||||
Debt, effective interest rate | 5.60% | |||||||||
Estimated fair value of Notes | 1,000,000 | |||||||||
Debt discount | $ 238,000 | $ 2,829 |
LONG-TERM DEBT (Schedule of con
LONG-TERM DEBT (Schedule of convertible senior notes) (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
Sep. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | Dec. 31, 2019 | Mar. 31, 2015 | |
Debt Instrument [Line Items] | |||||||
Less: unamortized debt issuance costs | $ (16,520) | ||||||
Interest expense | $ 16,425 | $ 48,728 | $ 61,675 | $ 96,827 | |||
Percentage of owned subsidiaries | 100.00% | ||||||
1.25% Convertible Senior Notes due 2020 [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Principal | 186,592 | $ 186,592 | 262,075 | $ 1,250,000 | |||
Less: unamortized note discount | (2,829) | (238,000) | |||||
Less: unamortized debt issuance costs | (220) | $ (25,000) | |||||
Net carrying value | 186,592 | 186,592 | 259,026 | ||||
Equity component of convertible debt, deferred taxes | $ 0 | ||||||
Interest expense | $ 7,574 | 3,463 | $ 15,068 | ||||
Equity Component Of Convertible Senior Note [Member] | |||||||
Debt Instrument [Line Items] | |||||||
Less: unamortized debt issuance costs | (5,000) | (5,000) | (5,000) | ||||
Equity component | $ 125,009 | 125,009 | 128,452 | ||||
Equity component of convertible debt, deferred taxes | $ 50,000 | $ 50,000 |
ASSET RETIREMENT OBLIGATIONS (D
ASSET RETIREMENT OBLIGATIONS (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Asset Retirement Obligations | ||
Asset retirement obligations, current portion | $ 5,000 | $ 4,000 |
Reconciliation of the Company's asset retirement obligations | ||
Balance at the beginning of the period | 134,893 | |
Additional liability incurred | 58 | |
Revisions to estimated cash flows | (1,243) | |
Accretion expense | 6,107 | |
Obligations on sold properties | (693) | |
Liabilities settled | (2,788) | |
Asset retirement obligations reclassified to liabilities subject to compromise | (39,022) | |
Balance at the end of the period | $ 97,312 |
DERIVATIVE FINANCIAL INSTRUME_3
DERIVATIVE FINANCIAL INSTRUMENTS (Instruments) (Details) $ in Thousands | 1 Months Ended | 3 Months Ended | 6 Months Ended | |||
Apr. 30, 2020USD ($) | Jun. 30, 2020USD ($)bblMMBTU$ / MMBTU$ / bbl | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)bblMMBTU$ / MMBTU$ / bbl | Jun. 30, 2019USD ($) | Jul. 01, 2020bblMMBTU | |
Derivative Financial Instruments [Line Items] | ||||||
Derivative settlement | $ | $ 145,000 | |||||
Derivative gain (loss), net | $ | $ (6,632) | $ 24,877 | $ 224,739 | $ (38,028) | ||
Derivative instrument proceeds held in escrow | $ | 23,000 | $ 23,000 | $ 23,000 | |||
March 2020 [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Derivative gain (loss), net | $ | $ 13,000 | |||||
Crude Oil [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 4,301,500 | 4,301,500 | ||||
Crude Oil [Member] | 2020 [Member] | Fixed Price Swaps [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 1,564,000 | 1,564,000 | 459,000 | |||
Weighted Average Swap Price | $ / bbl | 40.96 | 40.96 | ||||
Crude Oil [Member] | 2020 [Member] | Two-way Collars [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 854,000 | |||||
Crude Oil [Member] | 2021 [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 3,739,000 | |||||
Crude Oil [Member] | 2021 [Member] | Fixed Price Swaps [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 2,737,500 | 2,737,500 | ||||
Weighted Average Swap Price | $ / bbl | 40.05 | 40.05 | ||||
Crude Oil [Member] | 2022 [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 1,365,000 | |||||
Natural Gas [Member] | 2020 [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | MMBTU | 3,660,000 | |||||
Natural Gas [Member] | 2021 [Member] | Fixed Price Swaps [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | MMBTU | 3,650,000 | 3,650,000 | 3,650,000 | |||
Weighted Average Swap Price | $ / MMBTU | 2.60 | 2.60 | ||||
Natural Gas [Member] | 2021 [Member] | Two-way Collars [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | MMBTU | 10,950,000 | |||||
Natural Gas [Member] | 2022 [Member] | ||||||
Derivative Financial Instruments [Line Items] | ||||||
Aggregate notional amount of price risk derivatives | 8,190,000 |
DERIVATIVE FINANCIAL INSTRUME_4
DERIVATIVE FINANCIAL INSTRUMENTS (Effects of derivatives) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Derivative Financial Instruments [Line Items] | ||||
Derivative (gain) loss, net | $ 6,632 | $ (24,877) | $ (224,739) | $ 38,028 |
Not Designated as ASC 815 Hedges [Member] | ||||
Derivative Financial Instruments [Line Items] | ||||
Derivative (gain) loss, net | 6,632 | (24,877) | ||
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | ||||
Derivative Financial Instruments [Line Items] | ||||
Derivative (gain) loss, net | $ 6,632 | $ (24,877) | $ (224,739) | $ 38,028 |
DERIVATIVE FINANCIAL INSTRUME_5
DERIVATIVE FINANCIAL INSTRUMENTS (Asset location) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Gross amounts of derivative assets and gross amounts offset [Line Items] | ||
Total financial assets | $ 3,425 | $ 886 |
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | ||
Gross amounts of derivative assets and gross amounts offset [Line Items] | ||
Gross Amounts of Recognized Assets | 3,791 | 81,302 |
Gross Amounts Offset | (366) | (80,416) |
Total financial assets | 3,425 | 886 |
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | Prepaid Expenses and Other [Member] | ||
Gross amounts of derivative assets and gross amounts offset [Line Items] | ||
Gross Amounts of Recognized Assets | 3,714 | 75,654 |
Gross Amounts Offset | (289) | (74,768) |
Total financial assets | 3,425 | 886 |
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | Other long-term assets [Member] | ||
Gross amounts of derivative assets and gross amounts offset [Line Items] | ||
Gross Amounts of Recognized Assets | 77 | 5,648 |
Gross Amounts Offset | $ (77) | $ (5,648) |
DERIVATIVE FINANCIAL INSTRUME_6
DERIVATIVE FINANCIAL INSTRUMENTS (Liability location) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Gross amounts of derivative liabilities and gross amounts offset [Line Items] | ||
Total financial liabilities | $ 2,307 | $ 11,171 |
Commodity contracts [Member] | Not Designated as ASC 815 Hedges [Member] | ||
Gross amounts of derivative liabilities and gross amounts offset [Line Items] | ||
Gross Amounts of Recognized Liabilities | 2,673 | 91,587 |
Gross Amounts Offset | (366) | (80,416) |
Total financial liabilities | 2,307 | 11,171 |
Commodity contracts [Member] | Accrued liabilities and other [Member] | Not Designated as ASC 815 Hedges [Member] | ||
Gross amounts of derivative liabilities and gross amounts offset [Line Items] | ||
Gross Amounts of Recognized Liabilities | 1,730 | 85,053 |
Gross Amounts Offset | (289) | (74,768) |
Total financial liabilities | 1,441 | 10,285 |
Commodity contracts [Member] | Other long-term liabilities [Member] | Not Designated as ASC 815 Hedges [Member] | ||
Gross amounts of derivative liabilities and gross amounts offset [Line Items] | ||
Gross Amounts of Recognized Liabilities | 943 | 6,534 |
Gross Amounts Offset | (77) | (5,648) |
Total financial liabilities | $ 866 | $ 886 |
FAIR VALUE MEASUREMENTS (Debt i
FAIR VALUE MEASUREMENTS (Debt instruments) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 | Dec. 31, 2017 | Mar. 31, 2015 | Sep. 30, 2013 |
Fair Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 455,469 | $ 2,018,448 | |||
Carrying Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 2,368,497 | 2,424,885 | |||
1.25% Convertible Senior Notes due 2020 [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 1,000,000 | ||||
Interest Rate (as a percent) | 1.25% | ||||
1.25% Convertible Senior Notes due 2020 [Member] | Fair Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 35,452 | 260,214 | |||
1.25% Convertible Senior Notes due 2020 [Member] | Carrying Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 186,592 | 259,026 | |||
5.75% Senior Notes due 2021 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest Rate (as a percent) | 5.75% | 5.75% | |||
5.75% Senior Notes due 2021 [Member] | Fair Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 148,920 | 732,995 | |||
5.75% Senior Notes due 2021 [Member] | Carrying Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 773,609 | 772,080 | |||
6.25% Senior Notes due 2023 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest Rate (as a percent) | 6.25% | 6.25% | |||
6.25% Senior Notes due 2023 [Member] | Fair Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 78,597 | 343,989 | |||
6.25% Senior Notes due 2023 [Member] | Carrying Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 408,296 | 405,392 | |||
6.625% Senior Notes due 2026 [Member] | |||||
Debt Instrument [Line Items] | |||||
Interest Rate (as a percent) | 6.625% | 6.625% | |||
6.625% Senior Notes due 2026 [Member] | Fair Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 192,500 | 681,250 | |||
6.625% Senior Notes due 2026 [Member] | Carrying Value [Member] | |||||
Debt Instrument [Line Items] | |||||
Debt Instrument, Fair Value Disclosure | $ 1,000,000 | $ 988,387 |
FAIR VALUE MEASUREMENTS (Recurr
FAIR VALUE MEASUREMENTS (Recurring basis) (Details) - USD ($) $ in Thousands | Jun. 30, 2020 | Dec. 31, 2019 |
Financial Assets | ||
Total financial assets | $ 3,425 | $ 886 |
Financial Liabilities | ||
Financial liabilities - current | 1,441 | |
Financial liabilities - non-current | 866 | |
Total financial liabilities | 2,307 | 11,171 |
Commodity contracts [Member] | ||
Financial Assets | ||
Financial assets - current | 3,425 | 886 |
Financial Liabilities | ||
Financial liabilities - current | 10,285 | |
Financial liabilities - non-current | 886 | |
Level 2 [Member] | ||
Financial Assets | ||
Total financial assets | 3,425 | 886 |
Financial Liabilities | ||
Financial liabilities - current | 1,441 | |
Financial liabilities - non-current | 866 | |
Total financial liabilities | 2,307 | 11,171 |
Level 2 [Member] | Commodity contracts [Member] | ||
Financial Assets | ||
Financial assets - current | $ 3,425 | 886 |
Financial Liabilities | ||
Financial liabilities - current | 10,285 | |
Financial liabilities - non-current | $ 886 |
FAIR VALUE MEASUREMENTS (Non-re
FAIR VALUE MEASUREMENTS (Non-recurring) (Details) - Proved Properties [Member] - USD ($) $ in Thousands | 3 Months Ended | ||
Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Proved property | $ 85,000 | $ 494,000 | |
Non-recurring assets at fair value, impairment loss (before tax) | $ 409,000 | $ 3,700,000 | |
Measurement Input, Discount Rate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Value of measurement input | 17.00% | 0.16% | |
Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Proved property | $ 85,418 | $ 816,234 | $ 4,500,000 |
Non-recurring assets at fair value, impairment loss (before tax) | 409,079 | 3,732,096 | |
Nonrecurring [Member] | Level 3 [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Proved property | $ 85,418 | $ 816,234 |
REVENUE RECOGNITION (Revenue Re
REVENUE RECOGNITION (Revenue Reclassification) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Revenue | ||||
Sales | $ 91,600 | $ 426,264 | $ 336,446 | $ 815,753 |
Oil sales [Member] | ||||
Revenue | ||||
Sales | 91,904 | 403,870 | 323,849 | 763,324 |
NGL and natural gas sales [Member] | ||||
Revenue | ||||
Sales | $ (304) | $ 22,394 | $ 12,597 | $ 52,429 |
REVENUE RECOGNITION (Narrative)
REVENUE RECOGNITION (Narrative) (Details) - USD ($) $ in Millions | 6 Months Ended | |
Jun. 30, 2020 | Dec. 31, 2019 | |
Revenue | ||
Receivable balance | $ 54 | $ 161 |
Revenue, Practical Expedient, Initial Application and Transition, Nondisclosure of Transaction Price Allocation to Remaining Performance Obligation [true false] | true | |
Minimum [Member] | ||
Revenue | ||
Payment received for product sales, period | 1 month | |
Maximum [Member] | ||
Revenue | ||
Payment received for product sales, period | 3 months |
SHAREHOLDERS' EQUITY (Narrative
SHAREHOLDERS' EQUITY (Narrative) (Details) - USD ($) $ / shares in Units, $ in Millions | Mar. 26, 2020 | Dec. 31, 2019 |
Class of Stock [Line Items] | ||
Federal operating loss carryforwards | $ 3.4 | |
Maximum ownership threshold (as a percent) | 4.90% | |
Preferred Stock Purchase Rights [Member] | ||
Class of Stock [Line Items] | ||
Stock dividend (in shares) | 1 | |
Redemption price (in dollars per share) | $ 0.001 | |
Preferred Stock [Member] | ||
Class of Stock [Line Items] | ||
Stock entitled to purchase upon triggering event (in shares) | 0.001 | |
Stock Entitled To Purchase Upon Triggering Event Share | 0.001 | |
Preferred Stock, par value (in dollars per share) | $ 0.001 | |
Share price (in dollars per share) | $ 0.007 |
STOCK-BASED COMPENSATION (Narra
STOCK-BASED COMPENSATION (Narrative) (Details) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | 12 Months Ended | |||
May 31, 2019shares | Jun. 30, 2020USD ($)shares | Jun. 30, 2019USD ($) | Jun. 30, 2020USD ($)item$ / sharesshares | Jun. 30, 2019USD ($)$ / sharesshares | Dec. 31, 2016shares | Dec. 31, 2013shares | |
Share-based compensation disclosures [Line Items] | |||||||
Number of shares authorized upon shareholder's approval | 1,325,000 | ||||||
Number of additional shares authorized | 3,000,000 | 1,375,000 | |||||
Number of shares available for grant | 3,886,734 | 3,886,734 | |||||
Granted (in dollars per share) | $ / shares | $ 4.33 | ||||||
Stock Option [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Maximum number of Shares per employee | 500,000 | ||||||
Maximum number of Shares per non-employee | 25,000 | ||||||
Non Option award [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Maximum number of Shares per employee | 500,000 | ||||||
Service-based [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Maximum number of Shares per non-employee | 25,000 | ||||||
Granted (in shares) | 53,198 | 389,303 | |||||
Granted (in dollars per share) | $ / shares | $ 4.94 | $ 27.97 | |||||
Stock compensation expense | $ | $ 1 | $ 4 | $ 2 | $ 10 | |||
Service-based [Member] | Share-based Payment Arrangement, Employee [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Vesting (service) period | 3 years | ||||||
RSA [Member] | Share-based Payment Arrangement, Nonemployee [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Vesting (service) period | 1 year | ||||||
RSU [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Granted (in shares) | 1,616,504 | 308,432 | |||||
Market-based [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Granted (in shares) | 1,665,153 | 317,512 | |||||
Granted (in dollars per share) | $ / shares | $ 4.31 | $ 25.97 | |||||
Target share granted percent, will be share-settled | 100.00% | ||||||
Market-based [Member] | Minimum [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Possible multiplier of shares earned | item | 0 | ||||||
Market-based [Member] | Maximum [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Possible multiplier of shares earned | item | 2 | ||||||
PSA [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Vesting (service) period | 3 years | ||||||
PSU [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Vesting (service) period | 3 years | ||||||
Cash Retention Incentives [Member] | |||||||
Share-based compensation disclosures [Line Items] | |||||||
Replacement award fair value | $ | $ 12 | ||||||
Cash bonus paid | $ | 9 | ||||||
Stock compensation expense | $ | $ 7 | $ 7 |
STOCK-BASED COMPENSATION (Assum
STOCK-BASED COMPENSATION (Assumptions) (Details) - Market-based [Member] - item | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of simulations | 2,500,000 | 2,500,000 |
Expected volatility (as a percent) | 76.52% | 72.95% |
Risk-free interest rate (as a percent) | 1.51% | 2.60% |
Dividend yield (as a percent) | 0.00% | 0.00% |
STOCK-BASED COMPENSATION (Summa
STOCK-BASED COMPENSATION (Summary of nonvested awards) (Details) - $ / shares | 6 Months Ended | |
Jun. 30, 2020 | Jun. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance at the beginning of the period (in dollars per share) | $ 28.28 | |
Granted (in dollars per share) | 4.33 | |
Vested (in dollars per share) | 27.52 | |
Forfeited (in dollars per share) | 7.53 | |
Balance at the end of the period (in dollars per share) | $ 25.45 | |
Service-based [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance at the beginning of the period (in shares) | 467,502 | |
Granted (in shares) | 53,198 | 389,303 |
Vested (in shares) | (181,728) | |
Forfeited (in shares) | (128,870) | |
Balance at the end of the period (in shares) | 210,102 | |
Granted (in dollars per share) | $ 4.94 | $ 27.97 |
Market-based [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Balance at the beginning of the period (in shares) | 448,387 | |
Granted (in shares) | 1,665,153 | 317,512 |
Forfeited (in shares) | (1,773,101) | |
Balance at the end of the period (in shares) | 340,439 | |
Granted (in dollars per share) | $ 4.31 | $ 25.97 |
INCOME TAXES (Narrative) (Detai
INCOME TAXES (Narrative) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
INCOME TAXES [Abstract] | ||||
U.S. statutory income tax rate (as a percent) | 21.00% | 21.00% | 21.00% | 21.00% |
Income tax expense | $ (1,028) | $ 23,482 | $ (1,028) | $ (1,373) |
EARNINGS PER SHARE (Reconciliat
EARNINGS PER SHARE (Reconciliation) (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Basic Loss Per Share | ||||
Net loss | $ (574,315) | $ (5,687) | $ (4,202,886) | $ (74,612) |
Weighted average shares outstanding | 91,429 | 91,286 | 91,409 | 91,261 |
Loss per common share | $ (6.28) | $ (0.06) | $ (45.98) | $ (0.82) |
Diluted Loss Per Share | ||||
Net loss | $ (574,315) | $ (5,687) | $ (4,202,886) | $ (74,612) |
Weighted average shares outstanding | 91,429 | 91,286 | 91,409 | 91,261 |
Loss per common share | $ (6.28) | $ (0.06) | $ (45.98) | $ (0.82) |
EARNINGS PER SHARE (Narrative)
EARNINGS PER SHARE (Narrative) (Details) - shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2020 | Jun. 30, 2019 | Jun. 30, 2020 | Jun. 30, 2019 | |
Service-based [Member] | ||||
Shares excluded from Earnings Per Share calculation [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share | 270,058 | 182,583 | 342,299 | 293,305 |
Market-based [Member] | ||||
Shares excluded from Earnings Per Share calculation [Line Items] | ||||
Antidilutive securities excluded from computation of earnings per share | 96,241 | 206,475 | ||
Stock Option [Member] | ||||
Shares excluded from Earnings Per Share calculation [Line Items] | ||||
Stock options excluded from earnings per share calculation (in shares) | 28,505 | 46,396 | 31,805 | 46,502 |
COMMITMENTS AND CONTINGENCIES (
COMMITMENTS AND CONTINGENCIES (Narrative) (Details) $ in Millions | 1 Months Ended | 3 Months Ended | 6 Months Ended | |
Jul. 31, 2020MBbls | Jun. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2020USD ($)MBbls | |
COMMITMENTS AND CONTINGENCIES [Abstract] | ||||
Delivery commitments, volume per day | MBbls | 0 | 10 | ||
Agreement term | 7 years | |||
Payment made | $ 14 | |||
Additional litigation settlement expense | $ 3 | $ 3 |