Document_and_Entity_Informatio
Document and Entity Information (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Feb. 18, 2014 | |
Document Documentand Entity Information [Abstract] | ' | ' |
Document Type | '10-K | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 31-Dec-13 | ' |
Document Fiscal Year Focus | '2013 | ' |
Document Fiscal Period Focus | 'FY | ' |
Trading Symbol | 'CXO | ' |
Entity Registrant Name | 'CONCHO RESOURCES INC | ' |
Entity Central Index Key | '0001358071 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Well-known Seasoned Issuer | 'No | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Common Stock, Shares Outstanding | ' | 105,161,741 |
Entity Public Float | $8,595,958,451 | ' |
Consolidated_Balance_Sheets
Consolidated Balance Sheets (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $21 | $2,880 |
Accounts receivable, net of allowance for doubtful accounts: | ' | ' |
Oil and natural gas | 223,790 | 198,053 |
Joint operations and other | 247,945 | 202,738 |
Derivative instruments | 590 | 35,942 |
Deferred income taxes | 30,069 | 0 |
Prepaid costs and other | 18,460 | 19,269 |
Total current assets | 520,875 | 458,882 |
Property and equipment: | ' | ' |
Oil and natural gas properties, successful efforts method | 11,215,373 | 9,455,599 |
Accumulated depletion and depreciation | -2,384,108 | -1,565,316 |
Total oil and natural gas properties, net | 8,831,265 | 7,890,283 |
Other property and equipment, net | 114,783 | 103,141 |
Total property and equipment, net | 8,946,048 | 7,993,424 |
Deferred loan costs, net | 73,048 | 77,609 |
Intangible asset - operating rights, net | 28,615 | 30,076 |
Inventory | 19,682 | 20,611 |
Noncurrent derivative instruments | 966 | 2,769 |
Other assets | 1,930 | 6,066 |
Total assets | 9,591,164 | 8,589,437 |
Accounts payable: | ' | ' |
Trade | 13,936 | 31,144 |
Related parties | 0 | 185 |
Bank overdrafts | 36,718 | 24,275 |
Revenue payable | 177,617 | 162,073 |
Accrued and prepaid drilling costs | 318,296 | 351,919 |
Derivative instruments | 53,701 | 1,584 |
Deferred income taxes | 0 | 8,566 |
Other current liabilities | 156,600 | 160,340 |
Total current liabilities | 756,868 | 740,086 |
Long-term debt | 3,630,421 | 3,101,103 |
Deferred income taxes | 1,334,653 | 1,186,621 |
Noncurrent derivative instruments | 14,088 | 12,049 |
Asset retirement obligations and other long-term liabilities | 97,185 | 83,382 |
Commitments and contingencies (Note J) | ' | ' |
Stockholders' equity: | ' | ' |
Common stock, $0.001 par value; 300,000,000 authorized; 105,222,765 and 104,668,427 shares issued at December 31, 2013 and 2012, respectively | 105 | 105 |
Additional paid-in capital | 2,027,162 | 1,982,714 |
Retained earnings | 1,741,566 | 1,490,563 |
Treasury stock, at cost; 127,305 and 86,861 shares at December 31, 2013 and 2012, respectively | 10,884 | 7,186 |
Total stockholders' equity | 3,757,949 | 3,466,196 |
Total liabilities and stockholders' equity | $9,591,164 | $8,589,437 |
Consolidated_Balance_Sheets_Pa
Consolidated Balance Sheets (Parenthetical) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
Statement of Financial Position [Abstract] | ' | ' |
Common stock, par value | $0.00 | $0.00 |
Common stock, shares authorized | 300,000,000 | 300,000,000 |
Common stock, shares issued | 105,222,765 | 104,668,427 |
Treasury shares | 127,305 | 86,861 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Operating revenues: | ' | ' | ' |
Oil sales | $1,938,433 | $1,482,998 | $1,228,167 |
Natural gas sales | 381,486 | 336,816 | 389,604 |
Total operating revenues | 2,319,919 | 1,819,814 | 1,617,771 |
Operating costs and expenses: | ' | ' | ' |
Oil and natural gas production | 455,436 | 343,743 | 277,929 |
Exploration and abandonments | 109,549 | 39,840 | 11,394 |
Depreciation, depletion and amortization | 772,608 | 575,128 | 400,022 |
Accretion of discount on asset retirement obligations | 6,047 | 4,187 | 2,444 |
Impairments of long-lived assets | 65,375 | 0 | 439 |
General and administrative (including non-cash stock-based compensation of $35,078, $29,872 and $19,271 for the years ended December 31, 2013, 2012 and 2011, respectively) | 169,815 | 133,796 | 98,525 |
(Gain) loss on derivatives not designated as hedges | 123,652 | -127,443 | 23,350 |
Total operating costs and expenses | 1,702,482 | 969,251 | 814,103 |
Income (loss) from continuing operations | 617,437 | 850,563 | 803,668 |
Other income (expense): | ' | ' | ' |
Interest expense | -218,581 | -182,705 | -118,360 |
Loss on extinguishment of debt | 28,616 | 0 | 0 |
Other, net | -13,081 | -8,587 | -3,974 |
Total other expense | -260,278 | -191,292 | -122,334 |
Income before income taxes | 357,159 | 659,271 | 681,334 |
Income tax expense | -118,237 | -251,041 | -261,800 |
Income from continuing operations | 238,922 | 408,230 | 419,534 |
Income from discontinued operations, net of tax | 12,081 | 23,459 | 128,603 |
Net income | $251,003 | $431,689 | $548,137 |
Basic earnings per share: | ' | ' | ' |
Income from continuing operations | $2.28 | $3.96 | $4.09 |
Income from discontinued operations, net of tax | $0.11 | $0.22 | $1.25 |
Net income | $2.39 | $4.18 | $5.34 |
Weighted average shares used in basic earnings per share | 103,744 | 103,190 | 102,581 |
Diluted earnings per share: | ' | ' | ' |
Income from continuing operations | $2.28 | $3.93 | $4.05 |
Income from discontinued operations, net of tax | $0.11 | $0.22 | $1.23 |
Net income | $2.39 | $4.15 | $5.28 |
Weighted average shares used in diluted earnings per share | 103,913 | 103,972 | 103,653 |
Consolidated_Statements_of_Ope1
Consolidated Statements of Operations (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Income Statement [Abstract] | ' | ' | ' |
Non-cash stock-based compensation | $35,078 | $29,872 | $19,271 |
Consolidated_Statement_of_Stoc
Consolidated Statement of Stockholders Equity (USD $) | Total | Common Stock [Member] | Additional Paid In Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] |
In Thousands, except Share data | |||||
BALANCE at Dec. 31, 2010 | $2,383,874 | $103 | $1,874,649 | $510,737 | ($1,615) |
BALANCE, Shares at Dec. 31, 2010 | ' | 102,842,000 | ' | ' | 32,000 |
Net income | 548,137 | 0 | 0 | 548,137 | 0 |
Stock options exercised | 7,801 | 1 | 7,800 | 0 | 0 |
Stock options exercised, shares | 666,825 | 667,000 | ' | ' | 0 |
Grants of restricted stock, shares | 306,891 | 307,000 | ' | ' | ' |
Cancellation of restricted stock, shares | ' | -60,000 | ' | ' | 0 |
Stock-based compensation | 19,271 | 0 | 19,271 | 0 | 0 |
Excess tax benefits related to stock-based compensation | 24,037 | 0 | 24,037 | 0 | 0 |
Purchase of treasury stock | -2,381 | 0 | 0 | 0 | -2,381 |
Purchase of treasury stock, shares | ' | 0 | ' | ' | 24,000 |
BALANCE at Dec. 31, 2011 | 2,980,739 | 104 | 1,925,757 | 1,058,874 | -3,996 |
BALANCE, Shares at Dec. 31, 2011 | ' | 103,756,000 | ' | ' | 56,000 |
Net income | 431,689 | 0 | 0 | 431,689 | 0 |
Stock options exercised | 8,123 | 1 | 8,122 | 0 | 0 |
Stock options exercised, shares | 500,299 | 500,000 | ' | ' | 0 |
Grants of restricted stock, shares | 470,633 | 471,000 | ' | ' | ' |
Cancellation of restricted stock, shares | ' | -59,000 | ' | ' | 0 |
Stock-based compensation | 29,872 | 0 | 29,872 | 0 | 0 |
Excess tax benefits related to stock-based compensation | 18,963 | 0 | 18,963 | 0 | 0 |
Purchase of treasury stock | -3,190 | 0 | 0 | 0 | -3,190 |
Purchase of treasury stock, shares | ' | 0 | ' | ' | 31,000 |
BALANCE at Dec. 31, 2012 | 3,466,196 | 105 | 1,982,714 | 1,490,563 | -7,186 |
BALANCE, Shares at Dec. 31, 2012 | ' | 104,668,000 | ' | ' | 87,000 |
Net income | 251,003 | 0 | 0 | 251,003 | 0 |
Stock options exercised | 3,223 | 0 | 3,223 | 0 | 0 |
Stock options exercised, shares | 174,342 | 174,000 | ' | ' | 0 |
Grants of restricted stock, shares | 498,468 | 499,000 | ' | ' | 0 |
Cancellation of restricted stock, shares | ' | -118,000 | ' | ' | 0 |
Stock-based compensation | 35,078 | 0 | 35,078 | 0 | 0 |
Excess tax benefits related to stock-based compensation | 6,147 | 0 | 6,147 | 0 | 0 |
Purchase of treasury stock | -3,698 | 0 | 0 | 0 | -3,698 |
Purchase of treasury stock, shares | ' | 0 | ' | ' | 40,000 |
BALANCE at Dec. 31, 2013 | $3,757,949 | $105 | $2,027,162 | $1,741,566 | ($10,884) |
BALANCE, Shares at Dec. 31, 2013 | ' | 105,223,000 | ' | ' | 127,000 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
CASH FLOWS FROM OPERATING ACTIVITIES: | ' | ' | ' |
Net income | $251,003 | $431,689 | $548,137 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' | ' |
Depreciation, depletion and amortization | 772,608 | 575,128 | 400,022 |
Impairments of long-lived assets | 65,375 | 0 | 439 |
Accretion of discount on asset retirement obligations | 6,047 | 4,187 | 2,444 |
Exploration and abandonments, including dry holes | 80,714 | 19,913 | 6,417 |
Non-cash compensation expense | 35,078 | 29,872 | 19,271 |
Deferred income taxes | 102,427 | 241,819 | 249,883 |
Loss on sale of assets, net | 1,268 | 372 | 1,139 |
(Gain) loss on derivatives not designated as hedges | 123,652 | -127,443 | 23,350 |
Discontinued operations | -12,250 | 49,011 | -35,084 |
Other non-cash items | 19,720 | 12,420 | 3,075 |
Changes in operating assets and liabilities, net of acquisitions: | ' | ' | ' |
Accounts receivable | -40,009 | -23,091 | -117,561 |
Prepaid costs and other | 4,945 | -8,200 | -1,730 |
Inventory | 509 | -1,587 | 7,749 |
Accounts payable | -18,469 | 4,165 | -25,381 |
Revenue payable | 28,593 | 16,012 | 84,850 |
Other current liabilities | -59,191 | 13,211 | 32,438 |
Net cash provided by operating activities | 1,362,020 | 1,237,478 | 1,199,458 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ' | ' | ' |
Capital expenditures on oil and natural gas properties | -1,850,992 | -2,717,283 | -1,707,939 |
Additions to other property and equipment | -28,678 | -56,588 | -37,651 |
Proceeds from the sale of assets | 15,217 | 492,497 | 196,420 |
Funds held in escrow | 0 | 17,394 | -17,394 |
Settlements paid on derivatives not designated as hedges | -32,341 | 23,536 | -84,854 |
Net cash used in investing activities | -1,896,794 | -2,240,444 | -1,651,418 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ' | ' | ' |
Proceeds from issuance of debt | 3,257,575 | 4,262,000 | 2,809,300 |
Payments of debt | -2,729,700 | -3,241,500 | -2,389,300 |
Exercise of stock options | 3,223 | 8,123 | 7,801 |
Excess tax benefit from stock-based compensation | 6,147 | 18,963 | 24,037 |
Payments for loan costs | -14,075 | -23,926 | -24,466 |
Purchase of treasury stock | -3,698 | -3,190 | -2,381 |
Bank overdrafts | 12,443 | -14,966 | 26,927 |
Net cash provided by financing activities | 531,915 | 1,005,504 | 451,918 |
Net increase in cash and cash equivalents | -2,859 | 2,538 | -42 |
Cash and cash equivalents at beginning of period | 2,880 | 342 | 384 |
Cash and cash equivalents at end of period | 21 | 2,880 | 342 |
SUPPLEMENTAL CASH FLOWS: | ' | ' | ' |
Cash paid for interest and fees, net of $73 capitalized interest in 2011 | 200,961 | 158,715 | 77,921 |
Cash paid for income taxes | $21,376 | $19,674 | $22,768 |
Consolidated_Statements_of_Cas1
Consolidated Statements of Cash Flows (Parenthetical) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Statement of Cash Flows [Abstract] | ' | ' | ' |
Cash paid for capitalized interest | $0 | $0 | $73 |
Organization_and_nature_of_ope
Organization and nature of operations | 12 Months Ended |
Dec. 31, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Organization and nature of operations | ' |
Note A. Organization and nature of operations | |
Concho Resources Inc. (the “Company”) is a Delaware corporation formed on February 22, 2006. The Company's principal business is the acquisition, development and exploration of oil and natural gas properties primarily located in the Permian Basin region of Southeast New Mexico and West Texas. | |
Summary_of_significant_account
Summary of significant accounting policies | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Accounting Policies [Abstract] | ' | ||||||||||
Summary of significant accounting policies | ' | ||||||||||
Note B. Summary of significant accounting policies | |||||||||||
Principles of consolidation. The consolidated financial statements of the Company include the accounts of the Company and its wholly-owned subsidiaries. In addition, from time to time, a third-party has formed entities to effectuate a tax-free exchange of assets for the Company. The Company has 100 percent control over the decisions of the entities, but has no direct ownership. The third-party conveys ownership to the Company upon completion of the tax-free exchange process. The Company consolidates the financial statements of these entities. All material intercompany balances and transactions have been eliminated. | |||||||||||
Discontinued operations. The Company made the following divestitures of assets during the periods covered by these consolidated financial statements: | |||||||||||
Asset Group | |||||||||||
Non-Core | Bakken | ||||||||||
(dollars in millions) | Assets | Assets | |||||||||
Date divested | Dec-12 | Mar-11 | |||||||||
Net proceeds | $ | 503.1 | $ | 195.9 | |||||||
Gain on disposition of assets | $ | 0.9 | $ | 135.9 | |||||||
As a result, the Company has reflected the results of operations of these divested assets as discontinued operations, rather than as a component of continuing operations. See Note N for additional information regarding these divestitures and their discontinued operations. | |||||||||||
Use of estimates in the preparation of financial statements. Preparation of financial statements in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from these estimates. Depletion of oil and natural gas properties are determined using estimates of proved oil and natural gas reserves. There are numerous uncertainties inherent in the estimation of quantities of proved reserves and in the projection of future rates of production and the timing of development expenditures. Similarly, evaluations for impairment of proved and unproved oil and natural gas properties are subject to numerous uncertainties including, among others, estimates of future recoverable reserves and commodity price outlooks. Other significant estimates include, but are not limited to, the asset retirement obligations, fair value of derivative financial instruments, the fair value of business combinations and fair value of stock-based compensation. | |||||||||||
Cash equivalents. The Company considers all cash on hand, depository accounts held by banks, money market accounts and investments with an original maturity of three months or less to be cash equivalents. The Company's cash and cash equivalents are held in financial institutions in amounts that exceed the insurance limits of the Federal Deposit Insurance Corporation. However, management believes that the Company's counterparty risks are minimal based on the reputation and history of the institutions selected. | |||||||||||
Accounts receivable. The Company sells oil and natural gas to various customers and participates with other parties in the drilling, completion and operation of oil and natural gas wells. Joint interest and oil and natural gas sales receivables related to these operations are generally unsecured. The Company determines joint interest operations accounts receivable allowances based on management's assessment of the creditworthiness of the joint interest owners and the Company's ability to realize the receivables through netting of anticipated future production revenues. Receivables are considered past due if full payment is not received by the contractual due date. Past due accounts are generally written off against the allowance for doubtful accounts only after all collection attempts have been exhausted. The Company had an allowance for doubtful accounts of approximately $0.7 million at both December 31, 2013 and 2012. | |||||||||||
Inventory. Inventory consists primarily of tubular goods and other oilfield equipment that the Company plans to utilize in its ongoing exploration and development activities and is carried at the lower of cost or market value, on a weighted average cost basis. | |||||||||||
Deferred loan costs. Deferred loan costs are stated at cost, net of amortization, which is computed using the effective interest and straight-line methods. The Company had deferred loan costs of $73.0 million and $77.6 million, net of accumulated amortization of $48.7 million and $38.8 million, at December 31, 2013 and December 31, 2012, respectively. | |||||||||||
Future amortization expense of deferred loan costs at December 31, 2013 is as follows: | |||||||||||
(in thousands) | |||||||||||
2014 | $ | 13,503 | |||||||||
2015 | 13,820 | ||||||||||
2016 | 8,476 | ||||||||||
2017 | 5,994 | ||||||||||
2018 | 6,376 | ||||||||||
Thereafter | 24,879 | ||||||||||
Total | $ | 73,048 | |||||||||
Oil and natural gas properties. The Company utilizes the successful efforts method of accounting for its oil and natural gas properties. Under this method all costs associated with productive wells and nonproductive development wells are capitalized, while nonproductive exploration costs are expensed. Capitalized acquisition costs relating to proved properties are depleted using the unit-of-production method based on proved reserves. The depletion of capitalized exploratory drilling and development costs is based on the unit-of-production method using proved developed reserves. During the years ended December 31, 2013, 2012 and 2011, the Company recognized depletion expense from continuing and discontinued operations of $756.0 million, $591.3 million and $423.2 million, respectively. | |||||||||||
The Company generally does not carry the costs of drilling an exploratory well as an asset in its consolidated balance sheets following the completion of drilling unless the exploratory well finds oil and natural gas reserves in an area requiring a major capital expenditure and both of the following conditions are met: | |||||||||||
the well has found a sufficient quantity of reserves to justify its completion as a producing well; and | |||||||||||
the Company is making sufficient progress assessing the reserves and the economic and operating viability of the project. | |||||||||||
Due to the capital intensive nature and the geographical location of certain projects, it may take the Company longer than one year to evaluate the future potential of the exploration well and economics associated with making a determination on its commercial viability. In these instances, the project's feasibility is not contingent upon price improvements or advances in technology, but rather the Company's ongoing efforts and expenditures related to accurately predicting the hydrocarbon recoverability based on well information, gaining access to other companies' production, transportation or processing facilities and/or getting partner approval to drill additional appraisal wells. These activities are ongoing and being pursued constantly. Consequently, the Company's assessment of suspended exploratory well costs is continuous until a decision can be made that the well has found proved reserves or is noncommercial and is charged to exploration and abandonments expense. See Note C for additional information regarding the Company's suspended exploratory well costs. | |||||||||||
Proceeds from the sales of individual properties and the capitalized costs of individual properties sold or abandoned are credited and charged, respectively, to accumulated depletion. Generally, no gain or loss is recognized until the entire amortization base is sold. However, gain or loss is recognized from the sale of less than an entire amortization base if the disposition is significant enough to materially impact the depletion rate of the remaining properties in the amortization base. Ordinary maintenance and repair costs are expensed as incurred. | |||||||||||
Costs of significant nonproducing properties, wells in the process of being drilled and completed and development projects are excluded from depletion until such time as the related project is developed and proved reserves are established or impairment is determined. The Company capitalizes interest, if debt is outstanding, on expenditures for significant development projects until such projects are ready for their intended use. At December 31, 2013 and 2012, the Company had excluded $224.6 million and $222.7 million, respectively, of capitalized costs from depletion, and the Company had capitalized interest of $0.1 million, during 2011. The Company had no capitalized interest during 2013 or 2012. | |||||||||||
The Company reviews its long-lived assets to be held and used, including proved oil and natural gas properties, whenever events or circumstances indicate that the carrying value of those assets may not be recoverable. An impairment loss is indicated if the sum of the expected future cash flows is less than the carrying amount of the assets. In this circumstance, the Company recognizes an impairment loss for the amount by which the carrying amount of the asset exceeds the estimated fair value of the asset. The Company reviews its oil and natural gas properties by amortization base or by individual well for those wells not constituting part of an amortization base. For each property determined to be impaired, an impairment loss equal to the difference between the carrying value of the properties and the estimated fair value (discounted future cash flows) of the properties would be recognized at that time. Estimating future cash flows involves the use of judgments, including estimation of the proved and unproved oil and natural gas reserve quantities, timing of development and production, expected future commodity prices, capital expenditures and production costs. The Company recognized impairment expense from continuing and discontinued operations of $65.4 million and $0.4 million during the years ended December 31, 2013 and 2011, respectively, primarily related to its proved oil and natural gas properties. The Company did not recognize impairment expense related to its long-lived assets for the year ended December 31, 2012. | |||||||||||
Unproved oil and natural gas properties are each periodically assessed for impairment by considering future drilling plans, the results of exploration activities, commodity price outlooks, planned future sales or expiration of all or a portion of such projects. During the years ended December 31, 2013, 2012 and 2011, the Company recognized expense from continuing and discontinued operations of $49.8 million, $12.4 million and $5.7 million, respectively, related to abandoned prospects and expiring acreage, which is included in exploration and abandonments expense in the accompanying consolidated statements of operations. | |||||||||||
Other property and equipment. Other capital assets include buildings, transportation equipment, computer equipment and software, telecommunications equipment, leasehold improvements and furniture and fixtures. These items are recorded at cost, or fair value if acquired, and are depreciated using the straight-line method based on expected lives of the individual assets or group of assets ranging from two to 31 years. During the years ended December 31, 2013, 2012 and 2011, the Company recognized depreciation expense of $15.2 million, $12.4 million and $5.7 million, respectively. | |||||||||||
Intangible assets. The Company has capitalized certain operating rights acquired in an acquisition. The gross operating rights, which have no residual value, are amortized over the estimated economic life of 25 years. Impairment will be assessed if indicators of potential impairment exist or when there is a material change in the remaining useful economic life. The following table reflects the gross and net intangible assets at December 31, 2013 and 2012, respectively: | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Gross intangible - operating rights | $ | 36,557 | $ | 36,557 | |||||||
Accumulated amortization | -7,942 | -6,481 | |||||||||
Net intangible - operating rights | $ | 28,615 | $ | 30,076 | |||||||
The following table reflects amortization expense from continuing and discontinued operations for the years ended December 31, 2013, 2012 and 2011: | |||||||||||
Years Ending December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Amortization expense | $ | 1,461 | $ | 1,549 | $ | 1,549 | |||||
The following table reflects the estimated aggregate amortization expense for each of the periods presented below at December 31, 2013: | |||||||||||
(in thousands) | |||||||||||
2014 | $ | 1,461 | |||||||||
2015 | 1,461 | ||||||||||
2016 | 1,461 | ||||||||||
2017 | 1,461 | ||||||||||
2018 | 1,461 | ||||||||||
Thereafter | 21,310 | ||||||||||
Total | $ | 28,615 | |||||||||
Environmental. The Company is subject to extensive federal, state and local environmental laws and regulations. These laws, which are often changing, regulate the discharge of materials into the environment and may require the Company to remove or mitigate the environmental effects of the disposal or release of petroleum or chemical substances at various sites. Environmental expenditures are expensed. Expenditures that relate to an existing condition caused by past operations and that have no future economic benefits are expensed. Liabilities for expenditures of a noncapital nature are recorded when environmental assessment and/or remediation is probable and the costs can be reasonably estimated. Such liabilities are generally undiscounted unless the timing of cash payments is fixed and readily determinable. At December 31, 2013 and 2012, the Company has accrued approximately $2.3 million and $2.5 million, respectively, related to environmental liabilities. During the years ended December 31, 2013, 2012 and 2011, the Company recognized environmental charges of $3.4 million, $4.4 million and $9.6 million, respectively. | |||||||||||
Derivative instruments. The Company recognizes all derivative instruments as either assets or liabilities measured at fair value. The Company netted the fair value of derivative instruments by counterparty in the accompanying consolidated balance sheets where the right of offset exists. On January 1, 2013, the Company adopted the enhanced disclosure provisions issued by the Financial Accounting Standards Board in December 2011, which did not have a significant impact on the consolidated financial statements. See Note G for disclosures. The Company did not have any derivatives designated as fair value or cash flow hedges during the years ended December 31, 2013, 2012 or 2011. | |||||||||||
Asset retirement obligations. The Company records the fair value of a liability for an asset retirement obligation in the period in which it is incurred and a corresponding increase in the carrying amount of the related long-lived asset. Subsequently, the asset retirement cost included in the carrying amount of the related asset is allocated to expense through depletion of the asset. Changes in the liability due to passage of time are generally recognized as an increase in the carrying amount of the liability and as corresponding accretion expense. | |||||||||||
Treasury stock. Treasury stock purchases are recorded at cost. Upon reissuance, the cost of treasury shares held is reduced by the average purchase price per share of the aggregate treasury shares held. | |||||||||||
Revenue recognition. Oil and natural gas revenues are recorded at the time of physical transfer of such products to the purchaser, which for the Company is primarily at the wellhead. The Company follows the sales method of accounting for oil and natural gas sales, recognizing revenues based on the Company's share of actual proceeds from the oil and natural gas sold to purchasers. | |||||||||||
Oil and natural gas sales and imbalances. Oil and natural gas imbalances are generated on properties for which two or more owners have the right to take production “in-kind” and, in doing so, take more or less than their respective entitled percentage. Imbalances are tracked by well, but the Company does not record any receivable from or payable to the other owners unless the imbalance has reached a level at which it exceeds the remaining reserves in the respective well. If reserves are insufficient to offset the imbalance and the Company is in an overtake position, a liability is recorded for the amount of shortfall in reserves valued at a contract price or the market price in effect at the time the imbalance is generated. If the Company is in an undertake position, a receivable is recorded for an amount that is reasonably expected to be received, not to exceed the current market value of such imbalance. The Company had no significant imbalances at December 31, 2013 or 2012. | |||||||||||
General and administrative expense. The Company receives fees for the operation of jointly owned oil and natural gas properties and records such reimbursements as reductions of general and administrative expense. Such fees from continuing and discontinued operations totaled approximately $18.5 million, $16.8 million and $13.4 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||
Stock-based compensation. For stock-based compensation awards granted, stock-based compensation expense is being recognized in the Company's financial statements on an accelerated basis over the awards' vesting periods based on their fair values on the dates of grant. The stock-based compensation awards generally vest over a period ranging from one to five years. The Company utilizes (i) the Black-Scholes option pricing model to measure the fair value of stock options, (ii) the average of the grant date's high and low stock prices for the fair value of restricted stock and (iii) the Monte Carlo simulation method for the fair value of performance unit awards. | |||||||||||
Income taxes. The Company recognizes deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rate is recognized in income in the period that includes the enactment date. A valuation allowance is established to reduce deferred tax assets if it is more likely than not that the related tax benefits will not be realized. | |||||||||||
The Company evaluates uncertain tax positions for recognition and measurement in the consolidated financial statements. To recognize a tax position, the Company determines whether it is more likely than not that the tax positions will be sustained upon examination, including resolution of any related appeals or litigation, based on the technical merits of the position. A tax position that meets the more likely than not threshold is measured to determine the amount of benefit to be recognized in the consolidated financial statements. The amount of tax benefit recognized with respect to any tax position is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon settlement. The Company had no material uncertain tax positions that required recognition in the consolidated financial statements at December 31, 2013 and 2012. Any interest or penalties would be recognized as a component of income tax expense. | |||||||||||
Reclassifications. Certain prior period amounts have been reclassified to conform to the 2013 presentation. These reclassifications had no impact on net income (loss), total stockholders' equity or cash flows. |
Exploratory_well_costs
Exploratory well costs | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Disclosure Exploratory Well Costs Capitalized Exploratory Well Activity [Abstract] | ' | ||||||||||
Exploratory well costs | ' | ||||||||||
Note C. Exploratory well costs | |||||||||||
The Company capitalizes exploratory well costs until a determination is made that the well has either found proved reserves or that it is impaired. The capitalized exploratory well costs are carried in unproved oil and natural gas properties. See Unaudited Supplementary Data for the proved and unproved components of oil and natural gas properties. If the exploratory well is determined to be impaired, the well costs are charged to exploration and abandonments expense in the consolidated statements of operations. | |||||||||||
The following table reflects the Company's net capitalized exploratory well activity during each of the years ended December 31, 2013, 2012 and 2011: | |||||||||||
Years Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Beginning capitalized exploratory well costs | $ | 118,806 | $ | 107,767 | $ | 46,826 | |||||
Additions to exploratory well costs pending the determination of proved reserves | 130,967 | 112,529 | 106,195 | ||||||||
Reclassifications due to determination of proved reserves | -94,114 | -99,514 | -45,254 | ||||||||
Exploratory well costs charged to expense | -11,155 | -1,976 | - | ||||||||
Ending capitalized exploratory well costs | $ | 144,504 | $ | 118,806 | $ | 107,767 | |||||
The following table provides an aging at December 31, 2013 and 2012 of capitalized exploratory well costs based on the date drilling was completed: | |||||||||||
December 31, | |||||||||||
(dollars in thousands) | 2013 | 2012 | |||||||||
Capitalized exploratory well costs that have been capitalized for a period of one year or less | $ | 122,753 | $ | 103,243 | |||||||
Capitalized exploratory well costs that have been capitalized for a period greater than one year | 21,751 | 15,563 | |||||||||
Total capitalized exploratory well costs | $ | 144,504 | $ | 118,806 | |||||||
Number of projects with exploratory well costs that have been capitalized for a period greater | |||||||||||
than one year | 10 | 4 | |||||||||
Southern Delaware Basin projects. At December 31, 2013, the Company had approximately $13.8 million of suspended well costs greater than one year recorded for three vertical wells where multiple zones are being evaluated in the Company's Southern Delaware Basin project. The Company is assessing options to drill horizontal laterals to continue evaluation of the targets. | |||||||||||
Other projects. At December 31, 2013, the Company had approximately $5.0 million of suspended well costs greater than one year recorded for four wells that have encountered technical difficulties that the Company plans to recomplete. | |||||||||||
Projects operated by others. At December 31, 2013, the Company had approximately $3.0 million of suspended well costs greater than one year recorded for three wells that are operated by others and waiting on completion. | |||||||||||
Acquisitions_and_business_comb
Acquisitions and business combinations | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||
Acquisitions and business combinations | ' | ||||||||||||
Note D. Business combinations | |||||||||||||
Three Rivers Acquisition. In July 2012, the Company acquired certain producing and non-producing assets from Three Rivers Operating Company LLC and certain affiliated entities (collectively, the “Three Rivers Acquisition”) for cash consideration of approximately $1.0 billion. The Three Rivers Acquisition was primarily funded with borrowings under the Company's credit facility. The Company recognized transaction costs of approximately $4.5 million related to the acquisition, which is presented in other expense in the consolidated statement of operations for the year ended December 31, 2012. The Company's results of operations prior to July 2012 do not include results from the Three Rivers Acquisition. | |||||||||||||
The following table reflects the fair value of the acquired assets and liabilities associated with the Three Rivers Acquisition: | |||||||||||||
(in thousands) | |||||||||||||
Fair value of net assets: | |||||||||||||
Proved oil and natural gas properties | $ | 683,482 | |||||||||||
Unproved oil and natural gas properties | 359,109 | ||||||||||||
Total assets acquired | 1,042,591 | ||||||||||||
Current liabilities, including current portion of asset retirement obligations | -2,229 | ||||||||||||
Asset retirement obligations assumed | -26,002 | ||||||||||||
Fair value of net assets acquired | $ | 1,014,360 | |||||||||||
Fair value of consideration paid for net assets: | |||||||||||||
Cash consideration | $ | 1,014,360 | |||||||||||
PDC Acquisition. In February 2012, the Company acquired certain producing and non-producing assets from Petroleum Development Corporation (the “PDC Acquisition”) for cash consideration of approximately $189.2 million. The PDC Acquisition was primarily funded with borrowings under the Company's credit facility. The Company recognized transaction costs of approximately $0.5 million related to the acquisition, which is presented in other expenses in the consolidated statement of operations for the year ended December 31, 2012. The Company's results of operations prior to March 2012 do not include results from the PDC Acquisition. | |||||||||||||
The following table reflects the fair value of the acquired assets and liabilities associated with the PDC Acquisition: | |||||||||||||
(in thousands) | |||||||||||||
Fair value of net assets: | |||||||||||||
Current assets | $ | 2,366 | |||||||||||
Proved oil and natural gas properties | 159,314 | ||||||||||||
Unproved oil and natural gas properties | 29,687 | ||||||||||||
Total assets acquired | 191,367 | ||||||||||||
Current liabilities | -123 | ||||||||||||
Asset retirement obligations assumed | -2,050 | ||||||||||||
Fair value of net assets acquired | $ | 189,194 | |||||||||||
Fair value of consideration paid for net assets: | |||||||||||||
Cash consideration | $ | 189,194 | |||||||||||
OGX Acquisition. In November 2011, the Company acquired three entities affiliated with OGX Holdings II, LLC (collectively, the “OGX Acquisition”) for cash consideration of approximately $252.0 million. The OGX Acquisition was primarily funded with borrowings under the Company's credit facility. The Company recognized transaction costs of approximately $1.9 million related to the acquisition, which is presented in other expense in the consolidated statement of operations for the year ended December 31, 2011. The Company's results of operations prior to December 2011 do not include results from the OGX Acquisition. | |||||||||||||
The following table reflects the fair value of the acquired assets and liabilities associated with the OGX Acquisition: | |||||||||||||
(in thousands) | |||||||||||||
Fair value of net assets: | |||||||||||||
Current assets, net of cash acquired of $205 | $ | 5,579 | |||||||||||
Proved oil and natural gas properties | 98,383 | ||||||||||||
Unproved oil and natural gas properties | 164,798 | ||||||||||||
Total assets acquired | 268,760 | ||||||||||||
Current liabilities | -16,438 | ||||||||||||
Asset retirement obligations | -321 | ||||||||||||
Fair value of net assets acquired | $ | 252,001 | |||||||||||
Fair value of consideration paid for net assets: | |||||||||||||
Cash consideration, net of cash acquired of $205 | $ | 252,001 | |||||||||||
Pro forma data. The following unaudited pro forma combined condensed financial data for the years ended December 31, 2012 and 2011, were derived from the historical financial statements of the Company giving effect to the Three Rivers Acquisition, as if it had occurred on January 1, 2012 and on January 1, 2011. The results of operations for the Three Rivers Acquisition are included in the Company's results of operations since the closing in July 2012 through December 31, 2013. The pro forma financial data does not include the results of operations for the OGX Acquisition or PDC Acquisition prior to their acquisition, as their results of operations were not deemed material. The unaudited pro forma combined condensed financial data has been included for comparative purposes only and is not necessarily indicative of the results that might have occurred had the Three Rivers Acquisition taken place as of the date indicated and is not intended to be a projection of future results. | |||||||||||||
Years Ended December 31, | |||||||||||||
(in thousands, except per share amounts) | 2012 | 2011 | |||||||||||
(unaudited) | |||||||||||||
Operating revenues | $ | 1,885,821 | $ | 1,767,806 | |||||||||
Net income | $ | 374,569 | $ | 423,320 | |||||||||
Earnings per common share: | |||||||||||||
Basic | $ | 3.63 | $ | 4.13 | |||||||||
Diluted | $ | 3.6 | $ | 4.08 | |||||||||
Asset_retirement_obligations
Asset retirement obligations | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||||
Asset retirement obligations | ' | ||||||||||
Note E. Asset retirement obligations | |||||||||||
The Company's asset retirement obligations represent the estimated present value of the estimated cash flows the Company will incur to plug, abandon and remediate its producing properties at the end of their productive lives, in accordance with applicable state laws. Market risk premiums associated with asset retirement obligations are estimated to represent a component of the Company's credit-adjusted risk-free rate that is utilized in the calculations of asset retirement obligations. | |||||||||||
The Company's asset retirement obligation transactions during the years ended December 31, 2013, 2012 and 2011 are summarized in the table below: | |||||||||||
Years Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Asset retirement obligations, beginning of period | $ | 86,261 | $ | 59,685 | $ | 43,326 | |||||
Liabilities incurred from new wells | 6,338 | 7,729 | 7,178 | ||||||||
Liabilities assumed in acquisitions | 593 | 29,113 | 527 | ||||||||
Accretion expense for continuing operations | 6,047 | 4,187 | 2,444 | ||||||||
Accretion expense for discontinued operations | - | 1,004 | 529 | ||||||||
Disposition of wells | - | -24,614 | -463 | ||||||||
Liabilities settled upon plugging and abandoning wells | -3,447 | -1,261 | -686 | ||||||||
Revision of estimates | 5,801 | 10,418 | 6,830 | ||||||||
Asset retirement obligations, end of period | $ | 101,593 | $ | 86,261 | $ | 59,685 | |||||
Incentive_plans
Incentive plans | 12 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||||
Incentive plans | ' | |||||||||||||||||
Note F. Incentive plans | ||||||||||||||||||
Defined contribution plan. The Company sponsors a 401(k) defined contribution plan for the benefit of substantially all employees. During the years ended December 31, 2013 and 2012, the Company matched 100 percent of employee contributions, not to exceed 10 percent of the employee's annual salary. During the year ended December 31, 2011, the Company matched 100 percent of employee contributions, not to exceed 6 percent of the employee's annual salary. The Company's contributions to the plan for the years ended December 31, 2013, 2012 and 2011 were approximately $6.6 million, $5.3 million and $2.5 million, respectively, of which a portion was recoverable from other working interest owners. | ||||||||||||||||||
Stock incentive plan. The Company's 2006 Stock Incentive Plan, as amended and restated (the “Plan”), provides for granting stock options, restricted stock awards and performance awards to directors, officers and employees of the Company. The following table shows the number of existing awards and awards available under the Plan at December 31, 2013: | ||||||||||||||||||
Number of | ||||||||||||||||||
Common Shares | ||||||||||||||||||
Approved and authorized awards | 7,500,000 | |||||||||||||||||
Restricted stock grants, net of forfeitures | -2,362,158 | |||||||||||||||||
Stock option grants, net of forfeitures | -3,463,720 | |||||||||||||||||
Performance unit grants (a) | -332,667 | |||||||||||||||||
Treasury shares | 127,305 | |||||||||||||||||
Awards available for future grant | 1,468,760 | |||||||||||||||||
(a) | This amount represents the 110,889 performance units granted multiplied by the maximum potential payout of 300 percent. The actual payout of shares may be between zero percent and 300 percent of the performance units granted depending on the Company's performance at the end of the performance period. | |||||||||||||||||
Restricted stock awards. All restricted shares are legally issued and outstanding. If an employee terminates employment prior to the restriction lapse date, the awarded shares are forfeited and cancelled and are no longer considered issued and outstanding. A summary of the Company's restricted stock award activity for the years ended December 31, 2013, 2012 and 2011 is presented below: | ||||||||||||||||||
Weighted | ||||||||||||||||||
Average | ||||||||||||||||||
Number of | Grant Date | |||||||||||||||||
Restricted | Fair Value | |||||||||||||||||
Shares | Per Share | |||||||||||||||||
Restricted stock: | ||||||||||||||||||
Outstanding at January 1, 2011 | 820,884 | |||||||||||||||||
Shares granted | 306,891 | $ | 95.41 | |||||||||||||||
Shares cancelled / forfeited | -59,576 | |||||||||||||||||
Lapse of restrictions | -156,186 | |||||||||||||||||
Outstanding at December 31, 2011 | 912,013 | |||||||||||||||||
Shares granted | 470,633 | $ | 98.31 | |||||||||||||||
Shares cancelled / forfeited | -58,727 | |||||||||||||||||
Lapse of restrictions | -251,392 | |||||||||||||||||
Outstanding at December 31, 2012 | 1,072,527 | |||||||||||||||||
Shares granted | 498,468 | $ | 88.19 | |||||||||||||||
Shares cancelled / forfeited | -118,472 | |||||||||||||||||
Lapse of restrictions | -236,074 | |||||||||||||||||
Outstanding at December 31, 2013 | 1,216,449 | |||||||||||||||||
For restricted stock awards granted, stock-based compensation expense is being recognized in the Company's financial statements on an accelerated basis over the awards' vesting periods based on their fair values on the dates of grant. The restricted stock-based compensation awards generally vest over a period ranging from one to five years. The Company utilizes the average of the grant date's high and low stock prices for the fair value of restricted stock. | ||||||||||||||||||
The following table summarizes information about stock-based compensation for the Company's restricted stock awards activity under the Plan for years ended December 31, 2013, 2012 and 2011: | ||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||
Grant date fair value for awards during the period (a) | $ | 44,947 | $ | 46,268 | $ | 29,280 | ||||||||||||
Stock-based compensation expense from restricted stock | $ | 30,984 | $ | 29,685 | $ | 18,391 | ||||||||||||
Income taxes and other information: | ||||||||||||||||||
Income tax benefit related to restricted stock | $ | 11,650 | $ | 11,349 | $ | 7,030 | ||||||||||||
Deductions in current taxable income related to restricted stock vestings | $ | 20,883 | $ | 23,570 | $ | 15,273 | ||||||||||||
(a) The year ended December 31, 2013 includes the effects of $1 million due to modifications of certain stock-based awards. | ||||||||||||||||||
Stock option awards. A summary of the Company's stock option award activity under the Plan for the years ended December 31, 2013, 2012 and 2011 is presented below: | ||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||
Weighted | Weighted | Weighted | ||||||||||||||||
Average | Average | Average | ||||||||||||||||
Number of | Exercise | Number of | Exercise | Number of | Exercise | |||||||||||||
Options | Price | Options | Price | Options | Price | |||||||||||||
Stock options: | ||||||||||||||||||
Outstanding at beginning of period | 429,879 | $ | 20.28 | 930,178 | $ | 18.1 | 1,597,003 | $ | 15.43 | |||||||||
Options exercised | -174,342 | $ | 18.48 | -500,299 | $ | 16.24 | -666,825 | $ | 11.7 | |||||||||
Outstanding at end of period | 255,537 | $ | 21.5 | 429,879 | $ | 20.28 | 930,178 | $ | 18.1 | |||||||||
Vested and exercisable at end of period | 255,537 | $ | 21.5 | 403,077 | $ | 20.24 | 771,074 | $ | 17.37 | |||||||||
The following table summarizes information about the Company's vested and exercisable stock options outstanding at December 31, 2013, 2012 and 2011: | ||||||||||||||||||
Weighted | ||||||||||||||||||
Average | Weighted | Intrinsic | ||||||||||||||||
Range of | Remaining | Average | Value | |||||||||||||||
Exercise | Number | Contractual | Exercise | of | ||||||||||||||
Prices | Vested | Life | Price | Options | ||||||||||||||
(in thousands) | ||||||||||||||||||
31-Dec-13 | ||||||||||||||||||
Vested and exercisable options: | ||||||||||||||||||
$8.00 | 600 | 0.62 years | $ | 8 | $ | 60 | ||||||||||||
$12.00 | 15,587 | 1.91 years | $ | 12 | 1,496 | |||||||||||||
$12.50 - $15.50 | 15,000 | 3.62 years | $ | 12.85 | 1,427 | |||||||||||||
$20.00 - $23.00 | 192,895 | 4.53 years | $ | 21.4 | 16,705 | |||||||||||||
$28.00 - $37.27 | 31,455 | 4.40 years | $ | 31.24 | 2,415 | |||||||||||||
255,537 | 4.29 years | $ | 21.5 | $ | 22,103 | |||||||||||||
31-Dec-12 | ||||||||||||||||||
Vested and exercisable options: | ||||||||||||||||||
$8.00 | 15,244 | 1.62 years | $ | 8 | $ | 1,105 | ||||||||||||
$12.00 | 40,911 | 2.82 years | $ | 12 | 2,805 | |||||||||||||
$12.50 - $15.50 | 77,500 | 3.86 years | $ | 14.91 | 5,088 | |||||||||||||
$20.00 - $23.00 | 209,687 | 5.42 years | $ | 21.57 | 12,369 | |||||||||||||
$28.00 - $37.27 | 59,735 | 5.42 years | $ | 31.25 | 2,946 | |||||||||||||
403,077 | 4.67 years | $ | 20.24 | $ | 24,313 | |||||||||||||
31-Dec-11 | ||||||||||||||||||
Vested and exercisable options: | ||||||||||||||||||
$8.00 | 125,781 | 2.62 years | $ | 8 | $ | 10,786 | ||||||||||||
$12.00 | 52,911 | 3.80 years | $ | 12 | 4,325 | |||||||||||||
$12.50 - $15.50 | 240,000 | 5.02 years | $ | 14.18 | 19,097 | |||||||||||||
$20.00 - $23.00 | 280,087 | 6.31 years | $ | 21.67 | 20,188 | |||||||||||||
$28.00 - $37.27 | 72,295 | 6.45 years | $ | 31.55 | 4,497 | |||||||||||||
771,074 | 5.15 years | $ | 17.37 | $ | 58,893 | |||||||||||||
The following table summarizes information about stock-based compensation for stock options for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||
Stock-based compensation expense from stock options | $ | 14 | $ | 187 | $ | 880 | ||||||||||||
Income taxes and other information: | ||||||||||||||||||
Income tax benefit related to stock options | $ | 6 | $ | 72 | $ | 337 | ||||||||||||
Deductions in current taxable income related to stock options exercised | $ | 13,193 | $ | 39,828 | $ | 58,772 | ||||||||||||
Performance unit awards. During the year ended December 31, 2013, the Company awarded performance units to its officers under the Plan. The number of shares of common stock that will ultimately be issued will be determined by a combination of (i) comparing the Company's total shareholder return relative to the total shareholder return of a predetermined group of peer companies at the end of the performance period and (ii) the Company's absolute total shareholder return at the end of the performance period. The performance period is 36 months. The grant date fair value was determined using the Monte Carlo simulation method and is being expensed ratably over the performance period. Expected volatilities utilized in the model were estimated using a historical period consistent with the remaining performance period of approximately three years. The risk-free interest rate was based on the United States Treasury rate for a term commensurate with the expected life of the grant. | ||||||||||||||||||
The Company used the following assumptions to estimate the fair value of performance unit awards granted during the year ended December 31, 2013: | ||||||||||||||||||
Risk-free interest rate | 0.37% | |||||||||||||||||
Range of volatilities | 31.5% - 45.1% | |||||||||||||||||
The following table summarizes the performance unit activity for the year ended December 31, 2013: | ||||||||||||||||||
Number of | Grant Date | |||||||||||||||||
Units (a) | Fair Value | |||||||||||||||||
Performance units: | ||||||||||||||||||
Outstanding at December 31, 2012 | - | |||||||||||||||||
Units granted | 110,889 | $ | 111.4 | |||||||||||||||
Outstanding at December 31, 2013 | 110,889 | |||||||||||||||||
(a) | Reflects the amount of performance units granted. The actual payout of shares will be between zero and 300 percent of the performance units granted depending on the Company's performance at the end of the performance period. | |||||||||||||||||
The following table summarizes information about stock-based compensation expense for performance units for the year ended December 31, 2013 | ||||||||||||||||||
Year Ended | ||||||||||||||||||
December 31, | ||||||||||||||||||
(in thousands) | 2013 | |||||||||||||||||
Grant date fair value for awards during the period | $ | 12,352 | ||||||||||||||||
Stock-based compensation expense from performance units | $ | 4,080 | ||||||||||||||||
Income tax benefit related to performance units | $ | 1,560 | ||||||||||||||||
Future stock-based compensation expense. The following table reflects the future stock-based compensation expense to be recorded for all the stock-based compensation awards that were outstanding at December 31, 2013: | ||||||||||||||||||
Restricted | Performance | |||||||||||||||||
(in thousands) | Stock | Units | Total | |||||||||||||||
2014 | $ | 27,468 | $ | 4,118 | $ | 31,586 | ||||||||||||
2015 | 14,817 | 4,154 | 18,971 | |||||||||||||||
2016 | 5,477 | - | 5,477 | |||||||||||||||
2017 | 755 | - | 755 | |||||||||||||||
2018 | 45 | - | 45 | |||||||||||||||
Total | $ | 48,562 | $ | 8,272 | $ | 56,834 | ||||||||||||
Disclosures_about_fair_value_o
Disclosures about fair value of financial instruments | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||
Disclosures about fair value of financial instruments | ' | ||||||||||||||||||||||
Note G. Disclosures about fair value of financial instruments | |||||||||||||||||||||||
The Company uses a valuation framework based upon inputs that market participants use in pricing an asset or liability, which are classified into two categories: observable inputs and unobservable inputs. Observable inputs represent market data obtained from independent sources, whereas unobservable inputs reflect a company's own market assumptions, which are used if observable inputs are not reasonably available without undue cost and effort. These two types of inputs are further prioritized into the following fair value input hierarchy: | |||||||||||||||||||||||
Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. The Company considers active markets to be those in which transactions for the assets or liabilities occur in sufficient frequency and volume to provide pricing information on an ongoing basis. | |||||||||||||||||||||||
Level 2: Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability. This category includes those derivative instruments that the Company values using observable market data. Substantially all of these inputs are observable in the marketplace throughout the full term of the derivative instrument, can be derived from observable data, or supported by observable levels at which transactions are executed in the marketplace. Level 2 instruments primarily include non-exchange traded derivatives such as over-the-counter commodity price swaps, basis swaps, collars and floors, investments and interest rate swaps. The Company's valuation models are primarily industry-standard models that consider various inputs including: (i) quoted forward prices for commodities, (ii) time value and (iii) current market and contractual prices for the underlying instruments, as well as other relevant economic measures. | |||||||||||||||||||||||
Level 3: Measured based on prices or valuation models that require inputs that are both significant to the fair value measurement and less observable from objective sources (i.e., supported by little or no market activity). The Company's valuation models are primarily industry-standard models that consider various inputs including: (i) quoted forward prices for commodities, (ii) time value, (iii) volatility factors and (iv) current market and contractual prices for the underlying instruments, as well as other relevant economic measures. | |||||||||||||||||||||||
Financial Assets and Liabilities Measured at Fair Value | |||||||||||||||||||||||
The following table presents the carrying amounts and fair values of the Company's financial instruments at December 31, 2013 and 2012: | |||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||||||||
(in thousands) | Value | Value | Value | Value | |||||||||||||||||||
Assets: | |||||||||||||||||||||||
Derivative instruments | $ | 1,556 | $ | 1,556 | $ | 38,711 | $ | 38,711 | |||||||||||||||
Liabilities: | |||||||||||||||||||||||
Derivative instruments | $ | 67,789 | $ | 67,789 | $ | 13,633 | $ | 13,633 | |||||||||||||||
Credit facility | $ | 250,000 | $ | 250,770 | $ | 304,000 | $ | 299,679 | |||||||||||||||
8.625% senior notes due 2017 | $ | - | $ | - | $ | 297,103 | $ | 323,471 | |||||||||||||||
7.0% senior notes due 2021 | $ | 600,000 | $ | 660,000 | $ | 600,000 | $ | 669,000 | |||||||||||||||
6.5% senior notes due 2022 | $ | 600,000 | $ | 649,500 | $ | 600,000 | $ | 660,000 | |||||||||||||||
5.5% senior notes due 2022 | $ | 600,000 | $ | 619,500 | $ | 600,000 | $ | 633,000 | |||||||||||||||
5.5% senior notes due 2023 | $ | 1,580,421 | $ | 1,627,834 | $ | 700,000 | $ | 733,250 | |||||||||||||||
Cash and cash equivalents, accounts receivable, other current assets, accounts payable, interest payable and other current liabilities. The carrying amounts approximate fair value due to the short maturity of these instruments. | |||||||||||||||||||||||
Credit facility. The fair value of the Company's credit facility is estimated by discounting the principal and interest payments at the Company's credit-adjusted discount rate at the reporting date, which utilizes inputs that are Level 2 measurements in the fair value hierarchy. | |||||||||||||||||||||||
Senior notes. The fair values of the Company's senior notes are based on quoted market prices. The debt securities are not actively traded and, therefore, are classified as Level 2 in the fair value hierarchy. | |||||||||||||||||||||||
Concentrations of credit risk. As of December 31, 2013, the Company's primary concentration of credit risks are the risk of collecting accounts receivable – trade and the risk of counterparties' failure to perform under derivative obligations. See Note L for information regarding the Company's major customers and derivative counterparties. | |||||||||||||||||||||||
The Company has entered into International Swap Dealers Association Master Agreements (“ISDA Agreements”) with each of its derivative counterparties. The terms of the ISDA Agreements provide the Company and the counterparties with rights of set off upon the occurrence of defined acts of default by either the Company or a counterparty to a derivative, whereby the party not in default may set off all derivative liabilities owed to the defaulting party against all derivative asset receivables from the defaulting party. See Note H for additional information regarding the Company's derivative activities. | |||||||||||||||||||||||
Derivative instruments. The fair value of the Company's derivative instruments is estimated by management considering various factors, including closing exchange and over-the-counter quotations and the time value of the underlying commitments. Financial assets and liabilities are classified based on 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 requires judgment and may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The following tables summarize (i) the valuation of each of the Company's financial instruments by required fair value hierarchy levels and (ii) the gross fair value by the appropriate balance sheet classification, even when the derivative instruments are subject to netting arrangements and qualify for net presentation in the Company's consolidated balance sheets at December 31, 2013 and 2012. The Company nets the fair value of derivative instruments by counterparty in the Company's consolidated balance sheets. | |||||||||||||||||||||||
Fair Value Measurements Using | Net | ||||||||||||||||||||||
Quoted Prices | Gross | Fair Value | |||||||||||||||||||||
in Active | Significant | Total | Amounts | Presented | |||||||||||||||||||
Markets for | Other | Significant | Fair Value | Offset in the | in the | ||||||||||||||||||
Identical | Observable | Unobservable | at | Consolidated | Consolidated | ||||||||||||||||||
Assets | Inputs | Inputs | December 31, | Balance | Balance | ||||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 3) | 2013 | Sheet | Sheet | |||||||||||||||||
Assets | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | $ | - | $ | 12,819 | $ | - | $ | 12,819 | $ | -12,229 | $ | 590 | |||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | 5,300 | - | 5,300 | -4,334 | 966 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | - | -65,930 | - | -65,930 | 12,229 | -53,701 | |||||||||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | -18,422 | - | -18,422 | 4,334 | -14,088 | |||||||||||||||||
Net derivative instruments | $ | - | $ | -66,233 | $ | - | $ | -66,233 | $ | - | $ | -66,233 | |||||||||||
Fair Value Measurements Using | Net | ||||||||||||||||||||||
Quoted Prices | Gross | Fair Value | |||||||||||||||||||||
in Active | Significant | Total | Amounts | Presented | |||||||||||||||||||
Markets for | Other | Significant | Fair Value | Offset in the | in the | ||||||||||||||||||
Identical | Observable | Unobservable | at | Consolidated | Consolidated | ||||||||||||||||||
Assets | Inputs | Inputs | December 31, | Balance | Balance | ||||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 3) | 2012 | Sheet | Sheet | |||||||||||||||||
Assets | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | $ | - | $ | 56,471 | $ | - | $ | 56,471 | $ | -20,529 | $ | 35,942 | |||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | 12,108 | - | 12,108 | -9,339 | 2,769 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | - | -22,113 | - | -22,113 | 20,529 | -1,584 | |||||||||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | -21,388 | - | -21,388 | 9,339 | -12,049 | |||||||||||||||||
Net derivative instruments | $ | - | $ | 25,078 | $ | - | $ | 25,078 | $ | - | $ | 25,078 | |||||||||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | |||||||||||||||||||||||
Certain assets and liabilities are reported at fair value on a nonrecurring basis in the Company's consolidated balance sheets. The following methods and assumptions were used to estimate the fair values: | |||||||||||||||||||||||
Impairments of long-lived assets – The Company reviews its long-lived assets to be held and used, including proved oil and natural gas properties, whenever events or circumstances indicate that the carrying value of those assets may not be recoverable, for instance when there are declines in commodity prices or well performance. An impairment loss is indicated if the sum of the expected undiscounted future net cash flows is less than the carrying amount of the assets. In this circumstance, the Company recognizes an impairment loss for the amount by which the carrying amount of the asset exceeds the estimated fair value of the asset. The Company reviews its oil and natural gas properties by depletion base or by individual well for those wells not constituting part of a depletion base. For each property determined to be impaired, an impairment loss equal to the difference between the carrying value of the properties and the estimated fair value of the properties would be recognized at that time. | |||||||||||||||||||||||
The Company calculates the estimated fair values using a discounted future cash flow model. Assumptions associated with the calculation of discounted future cash flows include commodity prices based on NYMEX futures price strips (Level 1), as well as Level 3 assumptions including (i) pricing adjustments for differentials, (ii) production costs, (iii) capital expenditures, (iv) production volumes and (v) estimated proved reserves. | |||||||||||||||||||||||
As a result of management's assessments, during June 2011, December 2011 and June 2013, the Company recognized impairment charges to reduce the carrying values to their fair values. The Company did not recognize any impairment charges for the year ended December 31, 2012. The following table reports the carrying amounts, estimated fair values and impairment expense of long-lived assets for continuing and discontinued operations for the indicated periods: | |||||||||||||||||||||||
Estimated | |||||||||||||||||||||||
Carrying | Fair Value | Impairment | |||||||||||||||||||||
(in thousands) | Amount | (Level 3) | Expense | ||||||||||||||||||||
Jun-13 | $ | 84,140 | $ | 18,765 | $ | 65,375 | |||||||||||||||||
Dec-11 | $ | 380 | $ | 17 | $ | 363 | |||||||||||||||||
Jun-11 | $ | 77 | $ | 1 | $ | 76 | |||||||||||||||||
It is reasonably possible that the estimate of undiscounted future net cash flows may change in the future resulting in the need to further impair carrying values. The primary factors that may affect estimates of future cash flows are (i) future reserve adjustments, both positive and negative, to proved reserves and appropriate risk-adjusted probable and possible reserves, (ii) results of future drilling activities, (iii) commodity futures prices and (iv) increases or decreases in production and capital costs. | |||||||||||||||||||||||
Derivative_financial_instrumen
Derivative financial instruments | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||
Derivative financial instruments | ' | ||||||||||||||||||||||
Note H. Derivative financial instruments | |||||||||||||||||||||||
The Company uses derivative financial instruments to manage its exposure to commodity price and interest rate fluctuations. Commodity derivative instruments are used to (i) reduce the effect of the volatility of price changes on the oil and natural gas the Company produces and sells, (ii) support the Company's capital budget and expenditure plans and (iii) support the economics associated with acquisitions. The Company does not enter into derivative financial instruments for speculative or trading purposes. The Company may also enter into physical delivery contracts to effectively provide commodity price hedges. Because these contracts are not expected to be net cash settled, they are considered to be normal sales contracts and not derivatives. Therefore, these contracts are not recorded in the Company's consolidated financial statements. | |||||||||||||||||||||||
The Company does not designate its derivative instruments to qualify for hedge accounting. Accordingly, the Company reflects changes in the fair value of its derivative instruments in its statements of operations as they occur. | |||||||||||||||||||||||
The following table summarizes the gains and losses reported in earnings related to the commodity and interest rate derivative instruments for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||||
Gain (loss) on derivatives not designated as hedges: | |||||||||||||||||||||||
Oil derivatives | $ | -133,890 | $ | 127,293 | $ | -28,589 | |||||||||||||||||
Natural gas derivatives | 10,238 | 150 | 6,109 | ||||||||||||||||||||
Interest rate derivatives | - | - | -870 | ||||||||||||||||||||
Total gain (loss) on derivatives not designated as hedges | $ | -123,652 | $ | 127,443 | $ | -23,350 | |||||||||||||||||
The following table represents the Company's cash receipts from (payments on) derivatives reported in the Company's cash flows from investing for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||||
Cash receipts from (payments on) derivatives not designated as hedges: | |||||||||||||||||||||||
Oil derivatives | $ | -41,616 | $ | 22,411 | $ | -103,969 | |||||||||||||||||
Natural gas derivatives | 9,275 | 1,125 | 25,739 | ||||||||||||||||||||
Interest rate derivatives | - | - | -6,624 | ||||||||||||||||||||
Total cash receipts from (payments on) derivatives not designated as hedges | $ | -32,341 | $ | 23,536 | $ | -84,854 | |||||||||||||||||
Commodity derivative contracts at December 31, 2013. The following table sets forth the Company's outstanding derivative contracts at December 31, 2013. When aggregating multiple contracts, the weighted average contract price is disclosed. All of the Company's derivative contracts at December 31, 2013 are expected to settle by June 30, 2017. | |||||||||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Total | |||||||||||||||||||
Oil Swaps: (a) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 5,075,000 | 4,544,000 | 4,116,000 | 3,833,000 | 17,568,000 | ||||||||||||||||||
Price per Bbl | $ | 93.65 | $ | 92.69 | $ | 91.23 | $ | 91.09 | $ | 92.27 | |||||||||||||
2015:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 3,428,000 | 3,264,000 | 3,123,000 | 2,997,000 | 12,812,000 | ||||||||||||||||||
Price per Bbl | $ | 87.33 | $ | 86.54 | $ | 86.8 | $ | 86.75 | $ | 86.86 | |||||||||||||
2016:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 108,000 | 108,000 | 108,000 | 105,000 | 429,000 | ||||||||||||||||||
Price per Bbl | $ | 88.32 | $ | 88.32 | $ | 88.32 | $ | 88.28 | $ | 88.31 | |||||||||||||
2017:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 84,000 | 84,000 | - | - | 168,000 | ||||||||||||||||||
Price per Bbl | $ | 87 | $ | 87 | $ | - | $ | - | $ | 87 | |||||||||||||
Oil Basis Swaps: (b) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 2,790,000 | 2,821,000 | 1,932,000 | 1,932,000 | 9,475,000 | ||||||||||||||||||
Price per Bbl | $ | -0.46 | $ | -0.46 | $ | -0.45 | $ | -0.45 | $ | -0.46 | |||||||||||||
Natural Gas Swaps: (c) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (MMBtu) | 3,461,000 | 2,637,000 | 1,932,000 | 1,501,000 | 9,531,000 | ||||||||||||||||||
Price per MMBtu | $ | 4.17 | $ | 4.16 | $ | 4.15 | $ | 4.16 | $ | 4.16 | |||||||||||||
2015:00:00 | |||||||||||||||||||||||
Volume (MMBtu) | 4,950,000 | 5,005,000 | 5,060,000 | 5,060,000 | 20,075,000 | ||||||||||||||||||
Price per MMBtu | $ | 4.15 | $ | 4.15 | $ | 4.15 | $ | 4.15 | $ | 4.15 | |||||||||||||
Natural Gas Collars: (d) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (MMBtu) | 5,400,000 | 5,460,000 | 5,520,000 | 5,520,000 | 21,900,000 | ||||||||||||||||||
Ceiling price per MMBtu | $ | 4.4 | $ | 4.4 | $ | 4.4 | $ | 4.4 | $ | 4.4 | |||||||||||||
Floor price per MMBtu | $ | 3.85 | $ | 3.85 | $ | 3.85 | $ | 3.85 | $ | 3.85 | |||||||||||||
(a) The index prices for the oil price swaps are based on the NYMEX – West Texas Intermediate (“WTI”) monthly average futures price. | |||||||||||||||||||||||
(b) The basis differential price is between Midland – WTI and Cushing – WTI. | |||||||||||||||||||||||
(c) The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures price. | |||||||||||||||||||||||
(d) The index prices for the natural gas collars are based on the El Paso Permian delivery point. | |||||||||||||||||||||||
Derivative counterparties. The Company uses credit and other financial criteria to evaluate the credit standing of, and to select, counterparties to its derivative instruments. Although the Company does not obtain collateral or otherwise secure the fair value of its derivative instruments, associated credit risk is mitigated by the Company's credit risk policies and procedures. See additional information in Note L. | |||||||||||||||||||||||
Interest rate derivative contracts. The Company previously had interest rate swaps that fixed the London Interbank Offered Rate (“LIBOR”) on $300 million of its borrowings under its credit facility at 1.90 percent for three years beginning in May 2009. In May 2011, in connection with issuing additional senior notes and a review of the amounts that may be outstanding under its credit facility, the Company terminated its interest rate swaps for approximately $5.0 million. See Note I for further discussion of the Company's credit facility. | |||||||||||||||||||||||
Debt
Debt | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||
Debt | ' | |||||||||||||
Note I. Debt | ||||||||||||||
The Company's debt consists of the following at December 31, 2013 and 2012: | ||||||||||||||
December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||
Credit facility | $ | 250,000 | $ | 304,000 | ||||||||||
8.625% unsecured senior notes due 2017 | - | 300,000 | ||||||||||||
7.0% unsecured senior notes due 2021 | 600,000 | 600,000 | ||||||||||||
6.5% unsecured senior notes due 2022 | 600,000 | 600,000 | ||||||||||||
5.5% unsecured senior notes due 2022 | 600,000 | 600,000 | ||||||||||||
5.5% unsecured senior notes due 2023 | 1,550,000 | 700,000 | ||||||||||||
Unamortized original issue premium (discount), net | 30,421 | -2,897 | ||||||||||||
Less: current portion | - | - | ||||||||||||
Total long-term debt | $ | 3,630,421 | $ | 3,101,103 | ||||||||||
Credit facility. The Company's credit facility, as amended (the “Credit Facility”), has a maturity date of April 25, 2016. The Company's borrowing base is $3.0 billion until the next scheduled borrowing base redetermination in April 2014, and commitments from the Company's bank group total $2.5 billion. Between scheduled borrowing base redeterminations, the Company and the lenders (requiring a 66 2/3 percent vote), may each request one special redetermination. | ||||||||||||||
Advances on the Credit Facility bear interest, at the Company's option, based on (i) the prime rate of JPMorgan Chase Bank (“JPM Prime Rate”) (3.25 percent at December 31, 2013) or (ii) a Eurodollar rate (substantially equal to the LIBOR). At December 31, 2013, the interest rates of Eurodollar rate advances and JPM Prime Rate advances varied, with interest margins ranging from 150 to 250 basis points and 50 to 150 basis points per annum, respectively, depending on the balance outstanding on the Credit Facility. During the years ended December 31, 2013, 2012 and 2011, the Company incurred commitment fees on the unused portion of the available commitments of $8.3 million, $6.3 million and $6.2 million, respectively, with a rate range of 37.5 to 50 basis points per annum for each period. | ||||||||||||||
The Credit Facility also includes a same-day advance facility under which the Company may borrow funds from the administrative agent. Same-day advances cannot exceed $25 million, and the maturity dates cannot exceed fourteen days. The interest rate on this facility is the JPM Prime Rate plus the applicable interest margin. | ||||||||||||||
The Company's obligations under the Credit Facility are secured by a first lien on substantially all of its oil and natural gas properties. At December 31, 2013, all of the Company's subsidiaries are guarantors and have had their equity pledged to secure borrowings under the Credit Facility. | ||||||||||||||
The Credit Facility contains various restrictive covenants and compliance requirements which include: | ||||||||||||||
maintenance of certain financial ratios, including (i) maintenance of a quarterly ratio of total debt to consolidated earnings before interest expense, income taxes, depletion, depreciation, and amortization, exploration expense and other noncash income and expenses to be no greater than 4.0 to 1.0, and (ii) maintenance of a ratio of current assets to current liabilities, excluding noncash assets and liabilities related to financial derivatives and asset retirement obligations and including the unfunded amounts under the Credit Facility, to be not less than 1.0 to 1.0; | ||||||||||||||
limits on the incurrence of certain indebtedness and certain types of liens; | ||||||||||||||
restrictions as to mergers, combinations and dispositions of assets; and | ||||||||||||||
limits on the payment of cash dividends. | ||||||||||||||
Senior notes. Interest on the Company's senior notes is paid in arrears semi-annually. The senior notes are fully and unconditionally guaranteed on a senior unsecured basis by all subsidiaries of the Company, subject to customary release provisions as described in Note Q. | ||||||||||||||
On June 3, 2013, the Company received tenders and consents from the holders of approximately $225.6 million in aggregate principal amount, or approximately 75.2 percent, of its outstanding 8.625% senior notes due 2017 (the “8.625% Notes”) in connection with a cash tender offer for any and all of the 8.625% Notes at a price of 106.922 percent of the unpaid principal amount. | ||||||||||||||
On June 21, 2013, the Company redeemed the remaining outstanding 8.625% Notes not purchased in the tender offer at a redemption price of 106.516 percent of the unpaid principal amount plus accrued and unpaid interest through June 20, 2013. | ||||||||||||||
The Company recorded a loss on extinguishment of debt related to the tender offer and redemption of its 8.625% Notes of approximately $28.6 million for the year ended December 31, 2013. This amount includes approximately $20.4 million associated with the premium paid for the tender offer and redemption of the notes, approximately $5.5 million of unamortized deferred loan costs and approximately $2.7 million of unamortized discount. | ||||||||||||||
On June 4, 2013, the Company completed the issuance of an additional $850 million in principal amount of its 5.5% senior notes due 2023 (the “Offering”) at 103.75 percent of par (resulting in a 4.884% yield) for net proceeds of approximately $867.8 million. The Company used a portion of the net proceeds from the Offering to fund the tender offer and redemption of the 8.625% Notes and to pay down amounts outstanding on the Credit Facility. | ||||||||||||||
At December 31, 2013, the Company was in compliance with the covenants under its debt instruments. | ||||||||||||||
Future benefit to interest expense from original issue premium at December 31, 2013 was as follows: | ||||||||||||||
(in thousands) | ||||||||||||||
2014 | $ | 2,602 | ||||||||||||
2015 | 2,747 | |||||||||||||
2016 | 2,900 | |||||||||||||
2017 | 3,062 | |||||||||||||
2018 | 3,233 | |||||||||||||
Thereafter | 15,877 | |||||||||||||
Total | $ | 30,421 | ||||||||||||
Principal maturities of long-term debt. Principal maturities of long-term debt outstanding at December 31, 2013 are as follows: | ||||||||||||||
(in thousands) | ||||||||||||||
2014 | $ | - | ||||||||||||
2015 | - | |||||||||||||
2016 | 250,000 | |||||||||||||
2017 | - | |||||||||||||
2018 | - | |||||||||||||
Thereafter | 3,350,000 | |||||||||||||
Total | $ | 3,600,000 | ||||||||||||
Interest expense. The following amounts have been incurred and charged to interest expense for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Cash payments for interest | $ | 200,961 | $ | 158,715 | $ | 77,921 | ||||||||
Amortization of original issue discount (premium) | -1,248 | 462 | 133 | |||||||||||
Amortization of deferred loan origination costs | 13,172 | 11,958 | 11,653 | |||||||||||
Write-off of deferred loan origination costs and original issue premium | - | - | -8,513 | |||||||||||
Net changes in accruals | 5,696 | 11,570 | 37,239 | |||||||||||
Interest costs incurred | 218,581 | 182,705 | 118,433 | |||||||||||
Less: capitalized interest | - | - | -73 | |||||||||||
Total interest expense | $ | 218,581 | $ | 182,705 | $ | 118,360 | ||||||||
Commitments_and_contingencies
Commitments and contingencies | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||
Commitments and contingencies | ' | |||||||||||||||
Note J. Commitments and contingencies | ||||||||||||||||
Severance agreements. The Company has entered into severance and change in control agreements with all of its officers. The current annual salaries for the Company's officers covered under such agreements total approximately $5.9 million. | ||||||||||||||||
Indemnifications. The Company has agreed to indemnify its directors and officers with respect to claims and damages arising from certain acts or omissions taken in such capacity. | ||||||||||||||||
Legal actions. The Company is a party to proceedings and claims incidental to its business. While many of these matters involve inherent uncertainty, the Company believes that the amount of the liability, if any, ultimately incurred with respect to any such proceedings or claims will not have a material adverse effect on the Company's consolidated financial position as a whole or on its liquidity, capital resources or future results of operations. The Company will continue to evaluate proceedings and claims involving the Company on a regular basis and will establish and adjust any reserves as appropriate to reflect its assessment of the then current status of the matters. | ||||||||||||||||
Contractual drilling commitments. The Company periodically enters into contractual arrangements under which the Company is committed to expend funds to drill wells in the future, including agreements to secure drilling rig services, which require the Company to make future minimum payments to the rig operators. The Company records drilling commitments in the periods in which well capital is incurred or rig services are provided. The following table summarizes the Company's future drilling commitments at December 31, 2013: | ||||||||||||||||
Payments Due By Period | ||||||||||||||||
Less than | 3-Jan | 5-Mar | More than | |||||||||||||
(in thousands) | Total | 1 year | years | years | 5 years | |||||||||||
Contractual drilling commitments | $ | 17,868 | $ | 17,038 | $ | 830 | $ | - | $ | - | ||||||
Operating leases. The Company leases vehicles, equipment and office facilities under non-cancellable operating leases. Lease payments associated with these operating leases for the years ended December 31, 2013, 2012 and 2011 were approximately $5.7 million, $4.7 million and $3.6 million, respectively. | ||||||||||||||||
Future minimum lease commitments under non-cancellable operating leases at December 31, 2013 are as follows: | ||||||||||||||||
(in thousands) | ||||||||||||||||
2014 | $ | 5,922 | ||||||||||||||
2015 | 4,637 | |||||||||||||||
2016 | 3,009 | |||||||||||||||
2017 | 926 | |||||||||||||||
2018 | 469 | |||||||||||||||
Thereafter | 2,172 | |||||||||||||||
Total | $ | 17,135 | ||||||||||||||
Income_taxes
Income taxes | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||
Income taxes | ' | |||||||||||||
Note K. Income taxes | ||||||||||||||
The Company uses an asset and liability approach for financial accounting and reporting for income taxes. The Company's objectives of accounting for income taxes are to recognize (i) the amount of taxes payable or refundable for the current year and (ii) deferred tax liabilities and assets for the future tax consequences of events that have been recognized in its financial statements or tax returns. The Company and its subsidiaries file a federal corporate income tax return on a consolidated basis. The tax returns and the amount of taxable income or loss are subject to examination by federal and state taxing authorities. At December 31, 2013 the Company had current income taxes receivable of approximately $10.7 million and current income taxes payable of approximately $1.7 million. At December 31, 2012, the Company had current income taxes payable of approximately $2.1 million. | ||||||||||||||
The Company continually assesses both positive and negative evidence to determine whether it is more likely than not that deferred tax assets can be realized prior to their expiration. Management monitors company-specific, oil and natural gas industry and worldwide economic factors and assesses the likelihood that the Company's net operating loss carryforwards (“NOLs”), if any, and other deferred tax attributes in the United States, state, and local tax jurisdictions will be utilized prior to their expiration. At December 31, 2013 and 2012, the Company had no valuation allowances related to its deferred tax assets. | ||||||||||||||
At December 31, 2013, the Company did not have any significant uncertain tax positions requiring recognition in the financial statements. The tax years 2010 through 2013 remain subject to examination by the major tax jurisdictions. | ||||||||||||||
Income tax provision. The Company's income tax provision and amounts separately allocated were attributable to the following items for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Income from continuing operations | $ | 118,237 | $ | 251,041 | $ | 261,800 | ||||||||
Income from discontinued operations | 7,518 | 14,519 | 78,224 | |||||||||||
Changes in stockholders' equity: | ||||||||||||||
Excess tax benefits related to stock-based compensation | -6,147 | -18,963 | -24,037 | |||||||||||
$ | 119,608 | $ | 246,597 | $ | 315,987 | |||||||||
The Company's income tax provision attributable to income from continuing operations consisted of the following for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Current: | ||||||||||||||
U.S. federal | $ | 12,504 | $ | 7,066 | $ | 9,233 | ||||||||
U.S. state and local | 3,306 | 2,156 | 2,684 | |||||||||||
Total current income tax provision | 15,810 | 9,222 | 11,917 | |||||||||||
Deferred: | ||||||||||||||
U.S. federal | 119,985 | 210,527 | 218,546 | |||||||||||
U.S. state and local | -17,558 | 31,292 | 31,337 | |||||||||||
Total deferred income tax provision | 102,427 | 241,819 | 249,883 | |||||||||||
Total income tax provision attributable to income from | ||||||||||||||
continuing operations | $ | 118,237 | $ | 251,041 | $ | 261,800 | ||||||||
The reconciliation between the income tax expense computed by multiplying pretax income from continuing operations by the United States federal statutory rate and the reported amounts of income tax expense from continuing operations is as follows: | ||||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Income at U.S. federal statutory rate | $ | 125,006 | $ | 230,745 | $ | 238,467 | ||||||||
State income taxes (net of federal tax effect) | 12,505 | 21,192 | 22,002 | |||||||||||
Revisions of previous estimates | 1,400 | 219 | - | |||||||||||
Statutory depletion | -39 | -261 | -204 | |||||||||||
Change in estimated effective statutory state income tax | -21,876 | - | - | |||||||||||
Nondeductible expense & other | 1,241 | -854 | 1,535 | |||||||||||
Income tax expense | $ | 118,237 | $ | 251,041 | $ | 261,800 | ||||||||
Effective tax rate | 33.10% | 38.10% | 38.40% | |||||||||||
The Company's income tax provision attributable to income from discontinued operations consisted of the following for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Current: | ||||||||||||||
U.S. federal | $ | 144 | $ | 14,023 | $ | 8,638 | ||||||||
U.S. state and local | 25 | 1,667 | 103 | |||||||||||
Total current income tax expense | 169 | 15,690 | 8,741 | |||||||||||
Deferred: | ||||||||||||||
U.S. federal | 6,397 | -1,392 | 59,417 | |||||||||||
U.S. state and local | 952 | 221 | 10,066 | |||||||||||
Total deferred income tax provision | 7,349 | -1,171 | 69,483 | |||||||||||
Total income tax provision attributable to income from discontinued operations | $ | 7,518 | $ | 14,519 | $ | 78,224 | ||||||||
The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities were as follows: | ||||||||||||||
December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||
Deferred tax assets: | ||||||||||||||
Stock-based compensation | $ | 23,262 | $ | 17,181 | ||||||||||
Derivative instruments | 24,904 | - | ||||||||||||
Asset retirement obligation | 38,241 | 32,978 | ||||||||||||
Other | 9,500 | 5,546 | ||||||||||||
Total deferred tax assets | 95,907 | 55,705 | ||||||||||||
Deferred tax liabilities: | ||||||||||||||
Oil and natural gas properties, principally due to differences in basis and | ||||||||||||||
depreciation and the deduction of intangible drilling costs for tax purposes | -1,383,929 | -1,228,572 | ||||||||||||
Intangible assets - operating rights | -10,759 | -11,498 | ||||||||||||
Derivative instruments | - | -9,588 | ||||||||||||
Other | -5,803 | -1,234 | ||||||||||||
Total deferred tax liability | -1,400,491 | -1,250,892 | ||||||||||||
Net deferred tax liability | $ | -1,304,584 | $ | -1,195,187 | ||||||||||
Major_customers_and_derivative
Major customers and derivative counterparties | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Major Customer Disclosure [Abstract] | ' | |||||||
Major Customers and Derivative Counterparties [Text Block] | ' | |||||||
Note L. Major customers and derivative counterparties | ||||||||
Sales to major customers. The Company's share of oil and natural gas production is sold to various purchasers. The Company is of the opinion that the loss of any one purchaser would not have a material adverse effect on the ability of the Company to sell its oil and natural gas production. | ||||||||
The following purchasers individually accounted for 10 percent or more of the consolidated oil and natural gas revenues, including the revenues from discontinued operations, during the years ended December 31, 2013, 2012 and 2011: | ||||||||
Years Ended December 31, | ||||||||
2013 | 2012 | 2011 | ||||||
Holly Frontier Refining and Marketing, LLC | 30% | 26% | 34% | |||||
Enterprise Crude Oil LLC | 13% | 6% | 5% | |||||
DCP Midstream, LP | 8% | 8% | 14% | |||||
Phillips 66 | 6% | 14% | 15% | |||||
At December 31, 2013, the Company had receivables from Holly Frontier Refining and Marketing, LLC and Enterprise Crude Oil LLC of $56.5 million and $36.5 million, respectively, which are reflected in accounts receivable — oil and natural gas in the accompanying consolidated balance sheets. | ||||||||
Derivative counterparties. The Company uses credit and other financial criteria to evaluate the credit standing of, and to select, counterparties to its derivative instruments. The Company's Credit Facility requires that the senior unsecured debt ratings of the Company's derivative counterparties be (i) not less than either A- by Standard & Poor's Rating Group rating system or A3 by Moody's Investors Service, Inc. rating system or (ii) a lender under the Company's Credit Facility. At December 31, 2013 and 2012, the counterparties with whom the Company had outstanding derivative contracts met or exceeded these criteria. Although the Company does not obtain collateral or otherwise secure the fair value of its derivative instruments, management believes the associated credit risk is mitigated by the Company's credit risk policies and procedures and by the criteria of the Company's Credit Facility. |
Related_party_transactions
Related party transactions | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Related Party Transactions [Abstract] | ' | ||||||||||||||||
Related party transactions | ' | ||||||||||||||||
Note M. Related party transactions | |||||||||||||||||
The following tables summarize charges incurred with and payments made to the Company's related parties and reported in the consolidated statements of operations, as well as outstanding payables included in the consolidated balance sheets for the periods presented: | |||||||||||||||||
Years Ended December 31, | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Royalties paid to a partnership in which a director has an ownership | $ | 7,255 | $ | 2,444 | $ | 721 | |||||||||||
interest (a) | |||||||||||||||||
Royalties paid to a director and certain officers of the Company (b) | $ | 43 | $ | 77 | $ | - | |||||||||||
Amounts paid under consulting agreement with Steven L. Beal (c) | $ | 865 | $ | 251 | $ | 250 | |||||||||||
December 31, | |||||||||||||||||
(in thousands) | 2013 | 2012 | |||||||||||||||
Amounts included in accounts payable - related parties: | |||||||||||||||||
Royalty interests of a director and certain officers of the Company (b) | $ | 0 | $ | 185 | |||||||||||||
Royalties paid on certain properties to a partnership of which a director of the Company is the general partner and owns a 3.5 percent partnership interest. | |||||||||||||||||
Payments made to a director and certain officers who directly own overriding royalty interests in properties owned by the Company. | |||||||||||||||||
On June 30, 2009, Steven L. Beal, the Company's then-president and chief operating officer, retired from such positions. On June 9, 2009, the Company entered into a consulting agreement (the “Consulting Agreement”) with Mr. Beal, under which Mr. Beal began serving as a consultant to the Company on July 1, 2009. During the term of the consulting relationship, Mr. Beal received a consulting fee of $20,000 per month and a monthly reimbursement for his medical and dental coverage costs. In August 2013, the Company and Mr. Beal mutually terminated the Consulting Agreement in exchange for the payment to Mr. Beal of $720,000, which termination and payment were approved by the disinterested members of the Company's Board of Directors. | |||||||||||||||||
Discontinued_operations
Discontinued operations | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||||||||||||||
Discontinued operations | ' | ||||||||||||||||||||
Note N. Discontinued operations | |||||||||||||||||||||
In December 2012, the Company closed the sale of certain of its non-core assets for cash consideration of approximately $503.1 million, which resulted in a pre-tax gain of approximately $0.9 million. As a result of post-closing adjustments during the year ended December 31, 2013, the Company made a positive adjustment to gain (loss) on disposition of assets of approximately $19.6 million. The Company reflected the results of operations of this divestiture as discontinued operations, rather than as a component of continuing operations. | |||||||||||||||||||||
In March 2011, the Company sold its Bakken assets for cash consideration of approximately $195.9 million. The Company recognized a pre-tax gain on the disposition of assets in discontinued operations of approximately $135.9 million. | |||||||||||||||||||||
The Company reflected the result of operations of these divestitures as discontinued operations, rather than as a component of continuing operations. The following table represents the components of the Company's discontinued operations for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||
Operating revenues: | |||||||||||||||||||||
Oil sales | $ | - | $ | 101,359 | $ | 111,890 | |||||||||||||||
Natural gas sales | - | 18,578 | 19,830 | ||||||||||||||||||
Total operating revenues | - | 119,937 | 131,720 | ||||||||||||||||||
Operating costs and expenses: | |||||||||||||||||||||
Oil and natural gas production | - | 34,270 | 31,724 | ||||||||||||||||||
Exploration and abandonments | - | 334 | 385 | ||||||||||||||||||
Depreciation, depletion and amortization (a) | - | 30,140 | 30,462 | ||||||||||||||||||
Accretion of discount on asset retirement obligations (a) | - | 1,004 | 529 | ||||||||||||||||||
General and administrative (b) | - | -2,493 | -2,264 | ||||||||||||||||||
Total operating costs and expenses | - | 63,255 | 60,836 | ||||||||||||||||||
Income from operations | - | 56,682 | 70,884 | ||||||||||||||||||
Other income (expense): | |||||||||||||||||||||
Gain (loss) on disposition of assets, net (a) | 19,599 | -18,704 | 135,943 | ||||||||||||||||||
Income from discontinued operations before income taxes | 19,599 | 37,978 | 206,827 | ||||||||||||||||||
Income tax benefit (expense): | |||||||||||||||||||||
Current | -169 | -15,690 | -8,741 | ||||||||||||||||||
Deferred (a) | -7,349 | 1,171 | -69,483 | ||||||||||||||||||
Income from discontinued operations, net of tax | $ | 12,081 | $ | 23,459 | $ | 128,603 | |||||||||||||||
(a) | Represents the significant non-cash components of discontinued operations. | ||||||||||||||||||||
(b) | Represents the fees received from third-parties for operating oil and natural gas properties that were sold. The Company reflects these fees as a reduction of general and administrative expenses. | ||||||||||||||||||||
Net_income_per_share
Net income per share | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Earnings Per Share, Basic and Diluted, Other Disclosures [Abstract] | ' | |||||||||||
Net income per share | ' | |||||||||||
Note O. Net income per share | ||||||||||||
The Company uses the two-class method of calculating net income per share because certain of the Company's unvested share-based awards qualify as participating securities. Participating securities participate in income proportionate to the weighted average number of outstanding common shares, but are not assumed to participate in the Company's net losses because they are not contractually obligated to do so. Accordingly, allocations of earnings to participating securities are included in the Company's calculations of basic and diluted earnings per share from continuing operations, discontinued operations and net income attributable to common stockholders. | ||||||||||||
The following tables reconcile the Company's income from continuing operations, income from discontinued operations and net income attributable to common stockholders to the basic and diluted earnings used to determine the Company's income per share amounts for the years ended December 31, 2013, 2012 and 2011, respectively, under the two-class method: | ||||||||||||
Year Ended | ||||||||||||
31-Dec-13 | ||||||||||||
Continuing | Discontinued | |||||||||||
(in thousands, except per share amounts) | Operations | Operations | Total | |||||||||
Income as reported | $ | 238,922 | $ | 12,081 | $ | 251,003 | ||||||
Participating basic earnings | -2,610 | -132 | -2,742 | |||||||||
Basic income attributable to common stockholders | 236,312 | 11,949 | 248,261 | |||||||||
Reallocation of participating earnings | 4 | - | 4 | |||||||||
Diluted income attributable to common stockholders | $ | 236,316 | $ | 11,949 | $ | 248,265 | ||||||
Income per common share: | ||||||||||||
Basic | $ | 2.28 | $ | 0.11 | $ | 2.39 | ||||||
Diluted | $ | 2.28 | $ | 0.11 | $ | 2.39 | ||||||
Year Ended | ||||||||||||
31-Dec-12 | ||||||||||||
Continuing | Discontinued | |||||||||||
(in thousands, except per share amounts) | Operations | Operations | Total | |||||||||
Income as reported | $ | 408,230 | $ | 23,459 | $ | 431,689 | ||||||
Participating basic earnings | - | - | - | |||||||||
Basic income attributable to common stockholders | 408,230 | 23,459 | 431,689 | |||||||||
Reallocation of participating earnings | - | - | - | |||||||||
Diluted income attributable to common stockholders | $ | 408,230 | $ | 23,459 | $ | 431,689 | ||||||
Income per common share: | ||||||||||||
Basic | $ | 3.96 | $ | 0.22 | $ | 4.18 | ||||||
Diluted | $ | 3.93 | $ | 0.22 | $ | 4.15 | ||||||
Year Ended | ||||||||||||
31-Dec-11 | ||||||||||||
Continuing | Discontinued | |||||||||||
(in thousands, except per share amounts) | Operations | Operations | Total | |||||||||
Income as reported | $ | 419,534 | $ | 128,603 | $ | 548,137 | ||||||
Participating basic earnings | - | - | - | |||||||||
Basic income attributable to common stockholders | 419,534 | 128,603 | 548,137 | |||||||||
Reallocation of participating earnings | - | - | - | |||||||||
Diluted income attributable to common stockholders | $ | 419,534 | $ | 128,603 | $ | 548,137 | ||||||
Income per common share: | ||||||||||||
Basic | $ | 4.09 | $ | 1.25 | $ | 5.34 | ||||||
Diluted | $ | 4.05 | $ | 1.23 | $ | 5.28 | ||||||
Years Ended December 31, | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Weighted average common shares outstanding: | ||||||||||||
Basic | 103,744 | 103,190 | 102,581 | |||||||||
Dilutive common stock options | 165 | 354 | 577 | |||||||||
Dilutive restricted stock | - | 428 | 495 | |||||||||
Dilutive performance units | 4 | - | - | |||||||||
Diluted | 103,913 | 103,972 | 103,653 | |||||||||
The following table is a summary of the common stock options, restricted stock and performance units, which were not included in the computation of diluted net income per share, as inclusion of these items would be antidilutive: | ||||||||||||
Years Ended December 31, | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Number of antidilutive common shares: | ||||||||||||
Antidilutive common stock options | - | - | - | |||||||||
Antidilutive restricted stock | 9 | 95 | 27 | |||||||||
Antidilutive performance units | 83 | - | - | |||||||||
Other_current_liabilities
Other current liabilities | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||
Other current liabilities | ' | ||||||||
Note P. Other current liabilities | |||||||||
The following table provides the components of the Company's other current liabilities at December 31, 2013 and 2012: | |||||||||
December 31, | |||||||||
(in thousands) | 2013 | 2012 | |||||||
Other current liabilities: | |||||||||
Accrued production costs | $ | 48,196 | $ | 52,825 | |||||
Payroll related matters | 28,498 | 16,365 | |||||||
Accrued interest | 70,000 | 64,304 | |||||||
Asset retirement obligations | 4,481 | 3,308 | |||||||
Other | 5,425 | 23,538 | |||||||
Other current liabilities | $ | 156,600 | $ | 160,340 | |||||
Subsidiary_guarantors
Subsidiary guarantors | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
Guarantees [Abstract] | ' | ||||||||||||||||||
Subsidiary guarantors | ' | ||||||||||||||||||
Note Q. Subsidiary guarantors | |||||||||||||||||||
Certain of the Company's wholly-owned and controlled subsidiaries have fully and unconditionally guaranteed the Company's senior notes. The indentures governing the Company's senior notes provide that the guarantees of its subsidiary guarantors will be released in certain customary circumstances including (i) in connection with any sale, exchange or other disposition, whether by merger, consolidation or otherwise, of the capital stock of that guarantor to a person that is not the Company or a restricted subsidiary of the Company, such that, after giving effect to such transaction, such guarantor would no longer constitute a subsidiary of the Company, (ii) in connection with any sale, exchange or other disposition (other than a lease) of all or substantially all of the assets of that guarantor to a person that is not the Company or a restricted subsidiary of the Company, (iii) upon the merger of a guarantor into the Company or any other guarantor or the liquidation or dissolution of a guarantor, (iv) if the Company designates any restricted subsidiary that is a guarantor to be an unrestricted subsidiary in accordance with the indenture, (v) upon legal defeasance or satisfaction and discharge of the indenture and (vi) upon written notice of such release or discharge by the Company to the trustee following the release or discharge of all guarantees by such guarantor of any indebtedness that resulted in the creation of such guarantee, except a discharge or release by or as a result of payment under such guarantee. | |||||||||||||||||||
See Note I for a summary of the Company's senior notes. In accordance with practices accepted by the SEC, the Company has prepared condensed consolidating financial statements in order to quantify the assets, results of operations and cash flows of such subsidiaries as subsidiary guarantors. One of the entities included in the Company's consolidated financial statements was formed to effectuate a tax-free exchange of assets. The third-party conveyed ownership to the Company upon completion of the tax-free exchange process. This entity did not guarantee the Company's senior notes until the conveyance was completed and is referred to as a “Non-Guarantor Subsidiary” in the tables below. | |||||||||||||||||||
The following condensed consolidating balance sheets at December 31, 2013 and 2012, condensed consolidating statements of operations and consolidating condensed statements of cash flows for the years ended December 31, 2013, 2012 and 2011, present financial information for Concho Resources Inc. as the Parent on a stand-alone basis (carrying any investments in subsidiaries under the equity method), financial information for the subsidiary guarantors on a stand-alone basis (carrying any investment in non-guarantor subsidiaries under the equity method), financial information for the subsidiary non-guarantor on a stand-alone basis and the consolidation and elimination entries necessary to arrive at the information for the Company on a consolidated basis. All current and deferred income taxes are recorded on Concho Resources Inc., as the subsidiaries are flow-through entities for income tax purposes. The subsidiary guarantors and subsidiary non-guarantor are not restricted from making distributions to the Company. | |||||||||||||||||||
Condensed Consolidating Balance Sheet | |||||||||||||||||||
31-Dec-13 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
ASSETS | |||||||||||||||||||
Accounts receivable - related parties | $ | 6,115,554 | $ | 1,261,844 | $ | -7,377,398 | $ | - | |||||||||||
Other current assets | 39,108 | 481,767 | - | 520,875 | |||||||||||||||
Oil and natural gas properties, net | - | 8,831,265 | - | 8,831,265 | |||||||||||||||
Property and equipment, net | - | 114,783 | - | 114,783 | |||||||||||||||
Investment in subsidiaries | 3,896,741 | - | -3,896,741 | - | |||||||||||||||
Other long-term assets | 74,013 | 50,228 | - | 124,241 | |||||||||||||||
Total assets | $ | 10,125,416 | $ | 10,739,887 | $ | -11,274,139 | $ | 9,591,164 | |||||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||
Accounts payable - related parties | $ | 1,261,844 | $ | 6,115,554 | $ | -7,377,398 | $ | - | |||||||||||
Other current liabilities | 126,461 | 630,407 | - | 756,868 | |||||||||||||||
Other long-term liabilities | 1,348,741 | 97,185 | - | 1,445,926 | |||||||||||||||
Long-term debt | 3,630,421 | - | - | 3,630,421 | |||||||||||||||
Equity | 3,757,949 | 3,896,741 | -3,896,741 | 3,757,949 | |||||||||||||||
Total liabilities and equity | $ | 10,125,416 | $ | 10,739,887 | $ | -11,274,139 | $ | 9,591,164 | |||||||||||
Condensed Consolidating Balance Sheet | |||||||||||||||||||
31-Dec-12 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
ASSETS | |||||||||||||||||||
Accounts receivable - related parties | $ | 5,839,995 | $ | 2,416,697 | $ | -8,256,692 | $ | - | |||||||||||
Other current assets | 46,737 | 412,145 | - | 458,882 | |||||||||||||||
Oil and natural gas properties, net | - | 7,890,283 | - | 7,890,283 | |||||||||||||||
Property and equipment, net | - | 103,141 | - | 103,141 | |||||||||||||||
Investment in subsidiaries | 3,146,918 | - | -3,146,918 | - | |||||||||||||||
Other long-term assets | 80,378 | 56,753 | - | 137,131 | |||||||||||||||
Total assets | $ | 9,114,028 | $ | 10,879,019 | $ | -11,403,610 | $ | 8,589,437 | |||||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||
Accounts payable - related parties | $ | 1,271,563 | $ | 6,985,314 | $ | -8,256,692 | $ | 185 | |||||||||||
Other current liabilities | 76,496 | 663,405 | - | 739,901 | |||||||||||||||
Other long-term liabilities | 1,198,670 | 83,382 | - | 1,282,052 | |||||||||||||||
Long-term debt | 3,101,103 | - | - | 3,101,103 | |||||||||||||||
Equity | 3,466,196 | 3,146,918 | -3,146,918 | 3,466,196 | |||||||||||||||
Total liabilities and equity | $ | 9,114,028 | $ | 10,879,019 | $ | -11,403,610 | $ | 8,589,437 | |||||||||||
Condensed Consolidating Statement of Operations | |||||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
Total operating revenues | $ | - | $ | 2,319,919 | $ | - | $ | 2,319,919 | |||||||||||
Total operating costs and expenses | -125,924 | -1,576,558 | - | -1,702,482 | |||||||||||||||
Income (loss) from operations | -125,924 | 743,361 | - | 617,437 | |||||||||||||||
Interest expense | -218,581 | - | - | -218,581 | |||||||||||||||
Loss on extinguishment of debt | -28,616 | - | - | -28,616 | |||||||||||||||
Other, net | 749,878 | -13,136 | -749,823 | -13,081 | |||||||||||||||
Income before income taxes | 376,757 | 730,225 | -749,823 | 357,159 | |||||||||||||||
Income tax expense | -118,237 | - | - | -118,237 | |||||||||||||||
Income from continuing operations | 258,520 | 730,225 | -749,823 | 238,922 | |||||||||||||||
Income (loss) from discontinued operations, net of tax | -7,517 | 19,598 | - | 12,081 | |||||||||||||||
Net income | $ | 251,003 | $ | 749,823 | $ | -749,823 | $ | 251,003 | |||||||||||
Condensed Consolidating Statement of Operations | |||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||
Parent | Subsidiary | Subsidiary | Consolidating | ||||||||||||||||
(in thousands) | Issuer | Guarantors | Non-Guarantor | Entries | Total | ||||||||||||||
Total operating revenues | $ | - | $ | 1,812,472 | $ | 7,342 | $ | - | $ | 1,819,814 | |||||||||
Total operating costs and expenses | 126,482 | -1,090,013 | -5,720 | - | -969,251 | ||||||||||||||
Income from operations | 126,482 | 722,459 | 1,622 | - | 850,563 | ||||||||||||||
Interest expense | -182,705 | - | - | - | -182,705 | ||||||||||||||
Other, net | 753,472 | -3,148 | -6,043 | -752,868 | -8,587 | ||||||||||||||
Income (loss) before income taxes | 697,249 | 719,311 | -4,421 | -752,868 | 659,271 | ||||||||||||||
Income tax expense | -251,041 | - | - | - | -251,041 | ||||||||||||||
Income (loss) from continuing operations | 446,208 | 719,311 | -4,421 | -752,868 | 408,230 | ||||||||||||||
Income (loss) from discontinued operations, | |||||||||||||||||||
net of tax | -14,519 | 37,978 | - | - | 23,459 | ||||||||||||||
Net income (loss) | $ | 431,689 | $ | 757,289 | $ | -4,421 | $ | -752,868 | $ | 431,689 | |||||||||
Condensed Consolidating Statement of Operations | |||||||||||||||||||
For the Year Ended December 31, 2011 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
Total operating revenues | $ | - | $ | 1,617,771 | $ | - | $ | 1,617,771 | |||||||||||
Total operating costs and expenses | -23,721 | -790,382 | - | -814,103 | |||||||||||||||
Income (loss) from operations | -23,721 | 827,389 | - | 803,668 | |||||||||||||||
Interest expense | -118,360 | - | - | -118,360 | |||||||||||||||
Other, net | 1,030,242 | -4,074 | -1,030,142 | -3,974 | |||||||||||||||
Income before income taxes | 888,161 | 823,315 | -1,030,142 | 681,334 | |||||||||||||||
Income tax expense | -261,800 | - | - | -261,800 | |||||||||||||||
Income from continuing operations | 626,361 | 823,315 | -1,030,142 | 419,534 | |||||||||||||||
Income (loss) from discontinued operations, net of tax | -78,224 | 206,827 | - | 128,603 | |||||||||||||||
Net income | $ | 548,137 | $ | 1,030,142 | $ | -1,030,142 | $ | 548,137 | |||||||||||
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||
Parent Issuer | Subsidiary Guarantors | Consolidating Entries | |||||||||||||||||
(in thousands) | Total | ||||||||||||||||||
Net cash flows provided by (used in) operating activities | $ | -487,131 | $ | 1,849,151 | $ | - | $ | 1,362,020 | |||||||||||
Net cash flows used in investing activities | -32,341 | -1,864,453 | - | -1,896,794 | |||||||||||||||
Net cash flows provided by financing activities | 519,472 | 12,443 | - | 531,915 | |||||||||||||||
Net decrease in cash and cash equivalents | - | -2,859 | - | -2,859 | |||||||||||||||
Cash and cash equivalents at beginning of period | - | 2,880 | - | 2,880 | |||||||||||||||
Cash and cash equivalents at end of period | $ | - | $ | 21 | $ | - | $ | 21 | |||||||||||
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||
Parent | Subsidiary | Subsidiary | Consolidating | ||||||||||||||||
(in thousands) | Issuer | Guarantors | Non-Guarantor | Entries | Total | ||||||||||||||
Net cash flows provided by (used in) | |||||||||||||||||||
operating activities | $ | -1,044,006 | $ | 2,278,647 | $ | 2,837 | $ | - | $ | 1,237,478 | |||||||||
Net cash flows provided by (used in) | |||||||||||||||||||
investing activities | 23,536 | -1,720,242 | -543,738 | - | -2,240,444 | ||||||||||||||
Net cash flows provided by (used in) | |||||||||||||||||||
financing activities | 1,020,470 | -555,867 | 540,901 | - | 1,005,504 | ||||||||||||||
Net increase in cash and cash | |||||||||||||||||||
equivalents | - | 2,538 | - | - | 2,538 | ||||||||||||||
Cash and cash equivalents at | |||||||||||||||||||
beginning of period | - | 342 | - | - | 342 | ||||||||||||||
Cash and cash equivalents at | |||||||||||||||||||
end of period | $ | - | $ | 2,880 | $ | - | $ | - | $ | 2,880 | |||||||||
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
For the Year Ended December 31, 2011 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
Net cash flows provided by (used in) operating activities | $ | -345,991 | $ | 1,545,449 | $ | - | $ | 1,199,458 | |||||||||||
Net cash flows used in investing activities | -79,046 | -1,572,372 | - | -1,651,418 | |||||||||||||||
Net cash flows provided by financing activities | 424,991 | 26,927 | - | 451,918 | |||||||||||||||
Net increase (decrease) in cash and cash equivalents | -46 | 4 | - | -42 | |||||||||||||||
Cash and cash equivalents at beginning of period | 46 | 338 | - | 384 | |||||||||||||||
Cash and cash equivalents at end of period | $ | - | $ | 342 | $ | - | $ | 342 | |||||||||||
Subsequent_events
Subsequent events | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Subsequent Events [Abstract] | ' | |||||||||||||
Subsequent events | ' | |||||||||||||
First | Second | Third | Fourth | |||||||||||
Quarter | Quarter | Quarter | Quarter | Total | ||||||||||
Oil Basis Swaps: (a) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (Bbl) | - | 637,000 | 2,024,000 | 1,748,000 | 4,409,000 | |||||||||
Price per Bbl | $ | - | $ | -1.88 | $ | -1.5 | $ | -1.45 | $ | -1.54 | ||||
Natural Gas Swaps: (b) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (MMBtu) | 351,000 | 364,000 | 368,000 | 276,000 | 1,359,000 | |||||||||
Price per MMBtu | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | ||||
(a) | The basis differential price is between Midland – WTI and Cushing – WTI. | |||||||||||||
(b) | The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures prices. | |||||||||||||
Note R. Subsequent events | ||||||||||||||
New commodity derivative contracts. After December 31, 2013, the Company entered into the following additional oil basis swaps and natural gas price swaps to hedge additional amounts of the Company's estimated future production: | ||||||||||||||
First | Second | Third | Fourth | |||||||||||
Quarter | Quarter | Quarter | Quarter | Total | ||||||||||
Oil Basis Swaps: (a) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (Bbl) | - | 637,000 | 2,024,000 | 1,748,000 | 4,409,000 | |||||||||
Price per Bbl | $ | - | $ | -1.88 | $ | -1.5 | $ | -1.45 | $ | -1.54 | ||||
Natural Gas Swaps: (b) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (MMBtu) | 351,000 | 364,000 | 368,000 | 276,000 | 1,359,000 | |||||||||
Price per MMBtu | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | ||||
(a) | The basis differential price is between Midland – WTI and Cushing – WTI. | |||||||||||||
(b) | The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures prices. | |||||||||||||
Summary_of_significant_account1
Summary of significant accounting policies (Policies) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Accounting Policies [Abstract] | ' | ||||||||||
Principles of consolidation | ' | ||||||||||
Principles of consolidation. The consolidated financial statements of the Company include the accounts of the Company and its wholly-owned subsidiaries. In addition, from time to time, a third-party has formed entities to effectuate a tax-free exchange of assets for the Company. The Company has 100 percent control over the decisions of the entities, but has no direct ownership. The third-party conveys ownership to the Company upon completion of the tax-free exchange process. The Company consolidates the financial statements of these entities. All material intercompany balances and transactions have been eliminated. | |||||||||||
Discontinued operations | ' | ||||||||||
Discontinued operations. The Company made the following divestitures of assets during the periods covered by these consolidated financial statements: | |||||||||||
Asset Group | |||||||||||
Non-Core | Bakken | ||||||||||
(dollars in millions) | Assets | Assets | |||||||||
Date divested | Dec-12 | Mar-11 | |||||||||
Net proceeds | $ | 503.1 | $ | 195.9 | |||||||
Gain on disposition of assets | $ | 0.9 | $ | 135.9 | |||||||
As a result, the Company has reflected the results of operations of these divested assets as discontinued operations, rather than as a component of continuing operations. See Note N for additional information regarding these divestitures and their discontinued operations. | |||||||||||
Use of estimates in the preparation of financial statements | ' | ||||||||||
Use of estimates in the preparation of financial statements. Preparation of financial statements in conformity with generally accepted accounting principles in the United States of America (“U.S. GAAP”) requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual results could differ from these estimates. Depletion of oil and natural gas properties are determined using estimates of proved oil and natural gas reserves. There are numerous uncertainties inherent in the estimation of quantities of proved reserves and in the projection of future rates of production and the timing of development expenditures. Similarly, evaluations for impairment of proved and unproved oil and natural gas properties are subject to numerous uncertainties including, among others, estimates of future recoverable reserves and commodity price outlooks. Other significant estimates include, but are not limited to, the asset retirement obligations, fair value of derivative financial instruments, the fair value of business combinations and fair value of stock-based compensation. | |||||||||||
Cash equivalents | ' | ||||||||||
Cash equivalents. The Company considers all cash on hand, depository accounts held by banks, money market accounts and investments with an original maturity of three months or less to be cash equivalents. The Company's cash and cash equivalents are held in financial institutions in amounts that exceed the insurance limits of the Federal Deposit Insurance Corporation. However, management believes that the Company's counterparty risks are minimal based on the reputation and history of the institutions selected. | |||||||||||
Accounts receivable | ' | ||||||||||
Accounts receivable. The Company sells oil and natural gas to various customers and participates with other parties in the drilling, completion and operation of oil and natural gas wells. Joint interest and oil and natural gas sales receivables related to these operations are generally unsecured. The Company determines joint interest operations accounts receivable allowances based on management's assessment of the creditworthiness of the joint interest owners and the Company's ability to realize the receivables through netting of anticipated future production revenues. Receivables are considered past due if full payment is not received by the contractual due date. Past due accounts are generally written off against the allowance for doubtful accounts only after all collection attempts have been exhausted. The Company had an allowance for doubtful accounts of approximately $0.7 million at both December 31, 2013 and 2012. | |||||||||||
Inventory | ' | ||||||||||
Inventory. Inventory consists primarily of tubular goods and other oilfield equipment that the Company plans to utilize in its ongoing exploration and development activities and is carried at the lower of cost or market value, on a weighted average cost basis. | |||||||||||
Deferred loan costs. | ' | ||||||||||
Deferred loan costs. Deferred loan costs are stated at cost, net of amortization, which is computed using the effective interest and straight-line methods. The Company had deferred loan costs of $73.0 million and $77.6 million, net of accumulated amortization of $48.7 million and $38.8 million, at December 31, 2013 and December 31, 2012, respectively. | |||||||||||
Future amortization expense of deferred loan costs at December 31, 2013 is as follows: | |||||||||||
(in thousands) | |||||||||||
2014 | $ | 13,503 | |||||||||
2015 | 13,820 | ||||||||||
2016 | 8,476 | ||||||||||
2017 | 5,994 | ||||||||||
2018 | 6,376 | ||||||||||
Thereafter | 24,879 | ||||||||||
Total | $ | 73,048 | |||||||||
Oil and natural gas properties | ' | ||||||||||
Oil and natural gas properties. The Company utilizes the successful efforts method of accounting for its oil and natural gas properties. Under this method all costs associated with productive wells and nonproductive development wells are capitalized, while nonproductive exploration costs are expensed. Capitalized acquisition costs relating to proved properties are depleted using the unit-of-production method based on proved reserves. The depletion of capitalized exploratory drilling and development costs is based on the unit-of-production method using proved developed reserves. During the years ended December 31, 2013, 2012 and 2011, the Company recognized depletion expense from continuing and discontinued operations of $756.0 million, $591.3 million and $423.2 million, respectively. | |||||||||||
The Company generally does not carry the costs of drilling an exploratory well as an asset in its consolidated balance sheets following the completion of drilling unless the exploratory well finds oil and natural gas reserves in an area requiring a major capital expenditure and both of the following conditions are met: | |||||||||||
the well has found a sufficient quantity of reserves to justify its completion as a producing well; and | |||||||||||
the Company is making sufficient progress assessing the reserves and the economic and operating viability of the project. | |||||||||||
Due to the capital intensive nature and the geographical location of certain projects, it may take the Company longer than one year to evaluate the future potential of the exploration well and economics associated with making a determination on its commercial viability. In these instances, the project's feasibility is not contingent upon price improvements or advances in technology, but rather the Company's ongoing efforts and expenditures related to accurately predicting the hydrocarbon recoverability based on well information, gaining access to other companies' production, transportation or processing facilities and/or getting partner approval to drill additional appraisal wells. These activities are ongoing and being pursued constantly. Consequently, the Company's assessment of suspended exploratory well costs is continuous until a decision can be made that the well has found proved reserves or is noncommercial and is charged to exploration and abandonments expense. See Note C for additional information regarding the Company's suspended exploratory well costs. | |||||||||||
Proceeds from the sales of individual properties and the capitalized costs of individual properties sold or abandoned are credited and charged, respectively, to accumulated depletion. Generally, no gain or loss is recognized until the entire amortization base is sold. However, gain or loss is recognized from the sale of less than an entire amortization base if the disposition is significant enough to materially impact the depletion rate of the remaining properties in the amortization base. Ordinary maintenance and repair costs are expensed as incurred. | |||||||||||
Costs of significant nonproducing properties, wells in the process of being drilled and completed and development projects are excluded from depletion until such time as the related project is developed and proved reserves are established or impairment is determined. The Company capitalizes interest, if debt is outstanding, on expenditures for significant development projects until such projects are ready for their intended use. At December 31, 2013 and 2012, the Company had excluded $224.6 million and $222.7 million, respectively, of capitalized costs from depletion, and the Company had capitalized interest of $0.1 million, during 2011. The Company had no capitalized interest during 2013 or 2012. | |||||||||||
The Company reviews its long-lived assets to be held and used, including proved oil and natural gas properties, whenever events or circumstances indicate that the carrying value of those assets may not be recoverable. An impairment loss is indicated if the sum of the expected future cash flows is less than the carrying amount of the assets. In this circumstance, the Company recognizes an impairment loss for the amount by which the carrying amount of the asset exceeds the estimated fair value of the asset. The Company reviews its oil and natural gas properties by amortization base or by individual well for those wells not constituting part of an amortization base. For each property determined to be impaired, an impairment loss equal to the difference between the carrying value of the properties and the estimated fair value (discounted future cash flows) of the properties would be recognized at that time. Estimating future cash flows involves the use of judgments, including estimation of the proved and unproved oil and natural gas reserve quantities, timing of development and production, expected future commodity prices, capital expenditures and production costs. The Company recognized impairment expense from continuing and discontinued operations of $65.4 million and $0.4 million during the years ended December 31, 2013 and 2011, respectively, primarily related to its proved oil and natural gas properties. The Company did not recognize impairment expense related to its long-lived assets for the year ended December 31, 2012. | |||||||||||
Unproved oil and natural gas properties are each periodically assessed for impairment by considering future drilling plans, the results of exploration activities, commodity price outlooks, planned future sales or expiration of all or a portion of such projects. During the years ended December 31, 2013, 2012 and 2011, the Company recognized expense from continuing and discontinued operations of $49.8 million, $12.4 million and $5.7 million, respectively, related to abandoned prospects and expiring acreage, which is included in exploration and abandonments expense in the accompanying consolidated statements of operations. | |||||||||||
Other property and equipment | ' | ||||||||||
Other property and equipment. Other capital assets include buildings, transportation equipment, computer equipment and software, telecommunications equipment, leasehold improvements and furniture and fixtures. These items are recorded at cost, or fair value if acquired, and are depreciated using the straight-line method based on expected lives of the individual assets or group of assets ranging from two to 31 years. During the years ended December 31, 2013, 2012 and 2011, the Company recognized depreciation expense of $15.2 million, $12.4 million and $5.7 million, respectively. | |||||||||||
Intangible assets. | ' | ||||||||||
Intangible assets. The Company has capitalized certain operating rights acquired in an acquisition. The gross operating rights, which have no residual value, are amortized over the estimated economic life of 25 years. Impairment will be assessed if indicators of potential impairment exist or when there is a material change in the remaining useful economic life. The following table reflects the gross and net intangible assets at December 31, 2013 and 2012, respectively: | |||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Gross intangible - operating rights | $ | 36,557 | $ | 36,557 | |||||||
Accumulated amortization | -7,942 | -6,481 | |||||||||
Net intangible - operating rights | $ | 28,615 | $ | 30,076 | |||||||
Years Ending December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Amortization expense | $ | 1,461 | $ | 1,549 | $ | 1,549 | |||||
The following table reflects the estimated aggregate amortization expense for each of the periods presented below at December 31, 2013: | |||||||||||
(in thousands) | |||||||||||
2014 | $ | 1,461 | |||||||||
2015 | 1,461 | ||||||||||
2016 | 1,461 | ||||||||||
2017 | 1,461 | ||||||||||
2018 | 1,461 | ||||||||||
Thereafter | 21,310 | ||||||||||
Total | $ | 28,615 | |||||||||
Environmental | ' | ||||||||||
Environmental. The Company is subject to extensive federal, state and local environmental laws and regulations. These laws, which are often changing, regulate the discharge of materials into the environment and may require the Company to remove or mitigate the environmental effects of the disposal or release of petroleum or chemical substances at various sites. Environmental expenditures are expensed. Expenditures that relate to an existing condition caused by past operations and that have no future economic benefits are expensed. Liabilities for expenditures of a noncapital nature are recorded when environmental assessment and/or remediation is probable and the costs can be reasonably estimated. Such liabilities are generally undiscounted unless the timing of cash payments is fixed and readily determinable. At December 31, 2013 and 2012, the Company has accrued approximately $2.3 million and $2.5 million, respectively, related to environmental liabilities. During the years ended December 31, 2013, 2012 and 2011, the Company recognized environmental charges of $3.4 million, $4.4 million and $9.6 million, respectively. | |||||||||||
Derivative instruments | ' | ||||||||||
Derivative instruments. The Company recognizes all derivative instruments as either assets or liabilities measured at fair value. The Company netted the fair value of derivative instruments by counterparty in the accompanying consolidated balance sheets where the right of offset exists. On January 1, 2013, the Company adopted the enhanced disclosure provisions issued by the Financial Accounting Standards Board in December 2011, which did not have a significant impact on the consolidated financial statements. See Note G for disclosures. The Company did not have any derivatives designated as fair value or cash flow hedges during the years ended December 31, 2013, 2012 or 2011. | |||||||||||
Asset retirement obligations | ' | ||||||||||
Asset retirement obligations. The Company records the fair value of a liability for an asset retirement obligation in the period in which it is incurred and a corresponding increase in the carrying amount of the related long-lived asset. Subsequently, the asset retirement cost included in the carrying amount of the related asset is allocated to expense through depletion of the asset. Changes in the liability due to passage of time are generally recognized as an increase in the carrying amount of the liability and as corresponding accretion expense. | |||||||||||
Treasury stock | ' | ||||||||||
Treasury stock. Treasury stock purchases are recorded at cost. Upon reissuance, the cost of treasury shares held is reduced by the average purchase price per share of the aggregate treasury shares held. | |||||||||||
Revenue recognition | ' | ||||||||||
Revenue recognition. Oil and natural gas revenues are recorded at the time of physical transfer of such products to the purchaser, which for the Company is primarily at the wellhead. The Company follows the sales method of accounting for oil and natural gas sales, recognizing revenues based on the Company's share of actual proceeds from the oil and natural gas sold to purchasers. | |||||||||||
Oil and natural gas sales and imbalances | ' | ||||||||||
Oil and natural gas sales and imbalances. Oil and natural gas imbalances are generated on properties for which two or more owners have the right to take production “in-kind” and, in doing so, take more or less than their respective entitled percentage. Imbalances are tracked by well, but the Company does not record any receivable from or payable to the other owners unless the imbalance has reached a level at which it exceeds the remaining reserves in the respective well. If reserves are insufficient to offset the imbalance and the Company is in an overtake position, a liability is recorded for the amount of shortfall in reserves valued at a contract price or the market price in effect at the time the imbalance is generated. If the Company is in an undertake position, a receivable is recorded for an amount that is reasonably expected to be received, not to exceed the current market value of such imbalance. The Company had no significant imbalances at December 31, 2013 or 2012. | |||||||||||
General and administrative expense. | ' | ||||||||||
General and administrative expense. The Company receives fees for the operation of jointly owned oil and natural gas properties and records such reimbursements as reductions of general and administrative expense. Such fees from continuing and discontinued operations totaled approximately $18.5 million, $16.8 million and $13.4 million for the years ended December 31, 2013, 2012 and 2011, respectively. | |||||||||||
Stock-based compensation | ' | ||||||||||
Stock-based compensation. For stock-based compensation awards granted, stock-based compensation expense is being recognized in the Company's financial statements on an accelerated basis over the awards' vesting periods based on their fair values on the dates of grant. The stock-based compensation awards generally vest over a period ranging from one to five years. The Company utilizes (i) the Black-Scholes option pricing model to measure the fair value of stock options, (ii) the average of the grant date's high and low stock prices for the fair value of restricted stock and (iii) the Monte Carlo simulation method for the fair value of performance unit awards. | |||||||||||
Income taxes | ' | ||||||||||
Income taxes. The Company recognizes deferred tax assets and liabilities for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rate is recognized in income in the period that includes the enactment date. A valuation allowance is established to reduce deferred tax assets if it is more likely than not that the related tax benefits will not be realized. | |||||||||||
Income taxes uncertainties | ' | ||||||||||
The Company evaluates uncertain tax positions for recognition and measurement in the consolidated financial statements. To recognize a tax position, the Company determines whether it is more likely than not that the tax positions will be sustained upon examination, including resolution of any related appeals or litigation, based on the technical merits of the position. A tax position that meets the more likely than not threshold is measured to determine the amount of benefit to be recognized in the consolidated financial statements. The amount of tax benefit recognized with respect to any tax position is measured as the largest amount of benefit that is greater than 50 percent likely of being realized upon settlement. The Company had no material uncertain tax positions that required recognition in the consolidated financial statements at December 31, 2013 and 2012. Any interest or penalties would be recognized as a component of income tax expense. | |||||||||||
Reclassification | ' | ||||||||||
Reclassifications. Certain prior period amounts have been reclassified to conform to the 2013 presentation. These reclassifications had no impact on net income (loss), total stockholders' equity or cash flows. |
Summary_of_significant_account2
Summary of significant accounting policies (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Accounting Policies [Abstract] | ' | ||||||||||
Schedule of Noncash or Part Noncash Divestitures [Table Text Block] | ' | ||||||||||
Asset Group | |||||||||||
Non-Core | Bakken | ||||||||||
(dollars in millions) | Assets | Assets | |||||||||
Date divested | Dec-12 | Mar-11 | |||||||||
Net proceeds | $ | 503.1 | $ | 195.9 | |||||||
Gain on disposition of assets | $ | 0.9 | $ | 135.9 | |||||||
Schedule Of Expected Amortization Expense Table [Text Block] | ' | ||||||||||
Future amortization expense of deferred loan costs at December 31, 2013 is as follows: | |||||||||||
(in thousands) | |||||||||||
2014 | $ | 13,503 | |||||||||
2015 | 13,820 | ||||||||||
2016 | 8,476 | ||||||||||
2017 | 5,994 | ||||||||||
2018 | 6,376 | ||||||||||
Thereafter | 24,879 | ||||||||||
Total | $ | 73,048 | |||||||||
The following table reflects the estimated aggregate amortization expense for each of the periods presented below at December 31, 2013: | |||||||||||
(in thousands) | |||||||||||
2014 | $ | 1,461 | |||||||||
2015 | 1,461 | ||||||||||
2016 | 1,461 | ||||||||||
2017 | 1,461 | ||||||||||
2018 | 1,461 | ||||||||||
Thereafter | 21,310 | ||||||||||
Total | $ | 28,615 | |||||||||
Schedule of Finite-Lived Intangible Assets [Table Text Block] | ' | ||||||||||
December 31, | |||||||||||
(in thousands) | 2013 | 2012 | |||||||||
Gross intangible - operating rights | $ | 36,557 | $ | 36,557 | |||||||
Accumulated amortization | -7,942 | -6,481 | |||||||||
Net intangible - operating rights | $ | 28,615 | $ | 30,076 | |||||||
Schedule Of Amortization Expense [Table Text Block] | ' | ||||||||||
The following table reflects amortization expense from continuing and discontinued operations for the years ended December 31, 2013, 2012 and 2011: | |||||||||||
Years Ending December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Amortization expense | $ | 1,461 | $ | 1,549 | $ | 1,549 | |||||
Exploratory_well_costs_Tables
Exploratory well costs (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Disclosure Exploratory Well Costs Capitalized Exploratory Well Activity [Abstract] | ' | ||||||||||
Company's capitalized exploratory well activity | ' | ||||||||||
The following table reflects the Company's net capitalized exploratory well activity during each of the years ended December 31, 2013, 2012 and 2011: | |||||||||||
Years Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Beginning capitalized exploratory well costs | $ | 118,806 | $ | 107,767 | $ | 46,826 | |||||
Additions to exploratory well costs pending the determination of proved reserves | 130,967 | 112,529 | 106,195 | ||||||||
Reclassifications due to determination of proved reserves | -94,114 | -99,514 | -45,254 | ||||||||
Exploratory well costs charged to expense | -11,155 | -1,976 | - | ||||||||
Ending capitalized exploratory well costs | $ | 144,504 | $ | 118,806 | $ | 107,767 | |||||
Aging of capitalized exploratory well costs based on the date drilling was completed | ' | ||||||||||
The following table provides an aging at December 31, 2013 and 2012 of capitalized exploratory well costs based on the date drilling was completed: | |||||||||||
December 31, | |||||||||||
(dollars in thousands) | 2013 | 2012 | |||||||||
Capitalized exploratory well costs that have been capitalized for a period of one year or less | $ | 122,753 | $ | 103,243 | |||||||
Capitalized exploratory well costs that have been capitalized for a period greater than one year | 21,751 | 15,563 | |||||||||
Total capitalized exploratory well costs | $ | 144,504 | $ | 118,806 | |||||||
Number of projects with exploratory well costs that have been capitalized for a period greater | |||||||||||
than one year | 10 | 4 | |||||||||
Acquisitions_and_business_comb1
Acquisitions and business combinations (Tables) | 12 Months Ended | ||||||||||||
Dec. 31, 2013 | |||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||
Estimated fair value of the acquired assets and liabilities | ' | ||||||||||||
The following table reflects the fair value of the acquired assets and liabilities associated with the Three Rivers Acquisition: | |||||||||||||
(in thousands) | |||||||||||||
Fair value of net assets: | |||||||||||||
Proved oil and natural gas properties | $ | 683,482 | |||||||||||
Unproved oil and natural gas properties | 359,109 | ||||||||||||
Total assets acquired | 1,042,591 | ||||||||||||
Current liabilities, including current portion of asset retirement obligations | -2,229 | ||||||||||||
Asset retirement obligations assumed | -26,002 | ||||||||||||
Fair value of net assets acquired | $ | 1,014,360 | |||||||||||
Fair value of consideration paid for net assets: | |||||||||||||
Cash consideration | $ | 1,014,360 | |||||||||||
The following table reflects the fair value of the acquired assets and liabilities associated with the PDC Acquisition: | |||||||||||||
(in thousands) | |||||||||||||
Fair value of net assets: | |||||||||||||
Current assets | $ | 2,366 | |||||||||||
Proved oil and natural gas properties | 159,314 | ||||||||||||
Unproved oil and natural gas properties | 29,687 | ||||||||||||
Total assets acquired | 191,367 | ||||||||||||
Current liabilities | -123 | ||||||||||||
Asset retirement obligations assumed | -2,050 | ||||||||||||
Fair value of net assets acquired | $ | 189,194 | |||||||||||
Fair value of consideration paid for net assets: | |||||||||||||
Cash consideration | $ | 189,194 | |||||||||||
The following table reflects the fair value of the acquired assets and liabilities associated with the OGX Acquisition: | |||||||||||||
(in thousands) | |||||||||||||
Fair value of net assets: | |||||||||||||
Current assets, net of cash acquired of $205 | $ | 5,579 | |||||||||||
Proved oil and natural gas properties | 98,383 | ||||||||||||
Unproved oil and natural gas properties | 164,798 | ||||||||||||
Total assets acquired | 268,760 | ||||||||||||
Current liabilities | -16,438 | ||||||||||||
Asset retirement obligations | -321 | ||||||||||||
Fair value of net assets acquired | $ | 252,001 | |||||||||||
Fair value of consideration paid for net assets: | |||||||||||||
Cash consideration, net of cash acquired of $205 | $ | 252,001 | |||||||||||
Business Acquisition, Pro Forma Information [Table Text Block] | ' | ||||||||||||
The following unaudited pro forma combined condensed financial data for the years ended December 31, 2012 and 2011, were derived from the historical financial statements of the Company giving effect to the Three Rivers Acquisition, as if it had occurred on January 1, 2012 and on January 1, 2011. The results of operations for the Three Rivers Acquisition are included in the Company's results of operations since the closing in July 2012 through December 31, 2013. The pro forma financial data does not include the results of operations for the OGX Acquisition or PDC Acquisition prior to their acquisition, as their results of operations were not deemed material. The unaudited pro forma combined condensed financial data has been included for comparative purposes only and is not necessarily indicative of the results that might have occurred had the Three Rivers Acquisition taken place as of the date indicated and is not intended to be a projection of future results | |||||||||||||
Years Ended December 31, | |||||||||||||
(in thousands, except per share amounts) | 2012 | 2011 | |||||||||||
(unaudited) | |||||||||||||
Operating revenues | $ | 1,885,821 | $ | 1,767,806 | |||||||||
Net income | $ | 374,569 | $ | 423,320 | |||||||||
Earnings per common share: | |||||||||||||
Basic | $ | 3.63 | $ | 4.13 | |||||||||
Diluted | $ | 3.6 | $ | 4.08 | |||||||||
Asset_retirement_obligations_T
Asset retirement obligations (Tables) | 12 Months Ended | ||||||||||
Dec. 31, 2013 | |||||||||||
Asset Retirement Obligation Disclosure [Abstract] | ' | ||||||||||
Asset retirement obligations | ' | ||||||||||
The Company's asset retirement obligation transactions during the years ended December 31, 2013, 2012 and 2011 are summarized in the table below: | |||||||||||
Years Ended December 31, | |||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||
Asset retirement obligations, beginning of period | $ | 86,261 | $ | 59,685 | $ | 43,326 | |||||
Liabilities incurred from new wells | 6,338 | 7,729 | 7,178 | ||||||||
Liabilities assumed in acquisitions | 593 | 29,113 | 527 | ||||||||
Accretion expense for continuing operations | 6,047 | 4,187 | 2,444 | ||||||||
Accretion expense for discontinued operations | - | 1,004 | 529 | ||||||||
Disposition of wells | - | -24,614 | -463 | ||||||||
Liabilities settled upon plugging and abandoning wells | -3,447 | -1,261 | -686 | ||||||||
Revision of estimates | 5,801 | 10,418 | 6,830 | ||||||||
Asset retirement obligations, end of period | $ | 101,593 | $ | 86,261 | $ | 59,685 | |||||
Incentive_plans_Tables
Incentive plans (Tables) | 12 Months Ended | |||||||||||||||||
Dec. 31, 2013 | ||||||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | |||||||||||||||||
Number of existing awards and awards available under the Plan | ' | |||||||||||||||||
The following table shows the number of existing awards and awards available under the Plan at December 31, 2013: | ||||||||||||||||||
Number of | ||||||||||||||||||
Common Shares | ||||||||||||||||||
Approved and authorized awards | 7,500,000 | |||||||||||||||||
Restricted stock grants, net of forfeitures | -2,362,158 | |||||||||||||||||
Stock option grants, net of forfeitures | -3,463,720 | |||||||||||||||||
Performance unit grants (a) | -332,667 | |||||||||||||||||
Treasury shares | 127,305 | |||||||||||||||||
Awards available for future grant | 1,468,760 | |||||||||||||||||
(a) | This amount represents the 110,889 performance units granted multiplied by the maximum potential payout of 300 percent. The actual payout of shares may be between zero percent and 300 percent of the performance units granted depending on the Company's performance at the end of the performance period. | |||||||||||||||||
Summary of the Company's restricted stock awards activity | ' | |||||||||||||||||
A summary of the Company's restricted stock award activity for the years ended December 31, 2013, 2012 and 2011 is presented below: | ||||||||||||||||||
Weighted | ||||||||||||||||||
Average | ||||||||||||||||||
Number of | Grant Date | |||||||||||||||||
Restricted | Fair Value | |||||||||||||||||
Shares | Per Share | |||||||||||||||||
Restricted stock: | ||||||||||||||||||
Outstanding at January 1, 2011 | 820,884 | |||||||||||||||||
Shares granted | 306,891 | $ | 95.41 | |||||||||||||||
Shares cancelled / forfeited | -59,576 | |||||||||||||||||
Lapse of restrictions | -156,186 | |||||||||||||||||
Outstanding at December 31, 2011 | 912,013 | |||||||||||||||||
Shares granted | 470,633 | $ | 98.31 | |||||||||||||||
Shares cancelled / forfeited | -58,727 | |||||||||||||||||
Lapse of restrictions | -251,392 | |||||||||||||||||
Outstanding at December 31, 2012 | 1,072,527 | |||||||||||||||||
Shares granted | 498,468 | $ | 88.19 | |||||||||||||||
Shares cancelled / forfeited | -118,472 | |||||||||||||||||
Lapse of restrictions | -236,074 | |||||||||||||||||
Outstanding at December 31, 2013 | 1,216,449 | |||||||||||||||||
Summarizes information about stock-based compensation for the Company's restricted stock awards activity under the Plan | ' | |||||||||||||||||
For restricted stock awards granted, stock-based compensation expense is being recognized in the Company's financial statements on an accelerated basis over the awards' vesting periods based on their fair values on the dates of grant. The restricted stock-based compensation awards generally vest over a period ranging from one to five years. The Company utilizes the average of the grant date's high and low stock prices for the fair value of restricted stock. | ||||||||||||||||||
The following table summarizes information about stock-based compensation for the Company's restricted stock awards activity under the Plan for years ended December 31, 2013, 2012 and 2011: | ||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||
Grant date fair value for awards during the period (a) | $ | 44,947 | $ | 46,268 | $ | 29,280 | ||||||||||||
Stock-based compensation expense from restricted stock | $ | 30,984 | $ | 29,685 | $ | 18,391 | ||||||||||||
Income taxes and other information: | ||||||||||||||||||
Income tax benefit related to restricted stock | $ | 11,650 | $ | 11,349 | $ | 7,030 | ||||||||||||
Deductions in current taxable income related to restricted stock vestings | $ | 20,883 | $ | 23,570 | $ | 15,273 | ||||||||||||
(a) The year ended December 31, 2013 includes the effects of $1 million due to modifications of certain stock-based awards. | ||||||||||||||||||
Summary of the Company's stock option awards activity under the Plan | ' | |||||||||||||||||
Stock option awards. A summary of the Company's stock option award activity under the Plan for the years ended December 31, 2013, 2012 and 2011 is presented below: | ||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||
2013 | 2012 | 2011 | ||||||||||||||||
Weighted | Weighted | Weighted | ||||||||||||||||
Average | Average | Average | ||||||||||||||||
Number of | Exercise | Number of | Exercise | Number of | Exercise | |||||||||||||
Options | Price | Options | Price | Options | Price | |||||||||||||
Stock options: | ||||||||||||||||||
Outstanding at beginning of period | 429,879 | $ | 20.28 | 930,178 | $ | 18.1 | 1,597,003 | $ | 15.43 | |||||||||
Options exercised | -174,342 | $ | 18.48 | -500,299 | $ | 16.24 | -666,825 | $ | 11.7 | |||||||||
Outstanding at end of period | 255,537 | $ | 21.5 | 429,879 | $ | 20.28 | 930,178 | $ | 18.1 | |||||||||
Vested and exercisable at end of period | 255,537 | $ | 21.5 | 403,077 | $ | 20.24 | 771,074 | $ | 17.37 | |||||||||
Summarizes information about the Company's vested and exercisable stock options outstanding | ' | |||||||||||||||||
The following table summarizes information about the Company's vested and exercisable stock options outstanding at December 31, 2013, 2012 and 2011: | ||||||||||||||||||
Weighted | ||||||||||||||||||
Average | Weighted | Intrinsic | ||||||||||||||||
Range of | Remaining | Average | Value | |||||||||||||||
Exercise | Number | Contractual | Exercise | of | ||||||||||||||
Prices | Vested | Life | Price | Options | ||||||||||||||
(in thousands) | ||||||||||||||||||
31-Dec-13 | ||||||||||||||||||
Vested and exercisable options: | ||||||||||||||||||
$8.00 | 600 | 0.62 years | $ | 8 | $ | 60 | ||||||||||||
$12.00 | 15,587 | 1.91 years | $ | 12 | 1,496 | |||||||||||||
$12.50 - $15.50 | 15,000 | 3.62 years | $ | 12.85 | 1,427 | |||||||||||||
$20.00 - $23.00 | 192,895 | 4.53 years | $ | 21.4 | 16,705 | |||||||||||||
$28.00 - $37.27 | 31,455 | 4.40 years | $ | 31.24 | 2,415 | |||||||||||||
255,537 | 4.29 years | $ | 21.5 | $ | 22,103 | |||||||||||||
31-Dec-12 | ||||||||||||||||||
Vested and exercisable options: | ||||||||||||||||||
$8.00 | 15,244 | 1.62 years | $ | 8 | $ | 1,105 | ||||||||||||
$12.00 | 40,911 | 2.82 years | $ | 12 | 2,805 | |||||||||||||
$12.50 - $15.50 | 77,500 | 3.86 years | $ | 14.91 | 5,088 | |||||||||||||
$20.00 - $23.00 | 209,687 | 5.42 years | $ | 21.57 | 12,369 | |||||||||||||
$28.00 - $37.27 | 59,735 | 5.42 years | $ | 31.25 | 2,946 | |||||||||||||
403,077 | 4.67 years | $ | 20.24 | $ | 24,313 | |||||||||||||
31-Dec-11 | ||||||||||||||||||
Vested and exercisable options: | ||||||||||||||||||
$8.00 | 125,781 | 2.62 years | $ | 8 | $ | 10,786 | ||||||||||||
$12.00 | 52,911 | 3.80 years | $ | 12 | 4,325 | |||||||||||||
$12.50 - $15.50 | 240,000 | 5.02 years | $ | 14.18 | 19,097 | |||||||||||||
$20.00 - $23.00 | 280,087 | 6.31 years | $ | 21.67 | 20,188 | |||||||||||||
$28.00 - $37.27 | 72,295 | 6.45 years | $ | 31.55 | 4,497 | |||||||||||||
771,074 | 5.15 years | $ | 17.37 | $ | 58,893 | |||||||||||||
Summarizes information about stock-based compensation for stock options | ' | |||||||||||||||||
The following table summarizes information about stock-based compensation for stock options for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||||||
Years Ended December 31, | ||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||||||
Stock-based compensation expense from stock options | $ | 14 | $ | 187 | $ | 880 | ||||||||||||
Income taxes and other information: | ||||||||||||||||||
Income tax benefit related to stock options | $ | 6 | $ | 72 | $ | 337 | ||||||||||||
Deductions in current taxable income related to stock options exercised | $ | 13,193 | $ | 39,828 | $ | 58,772 | ||||||||||||
Summarizes the assumptions to estimate the fair value of performance units granted | ' | |||||||||||||||||
The Company used the following assumptions to estimate the fair value of performance unit awards granted during the year ended December 31, 2013: | ||||||||||||||||||
Risk-free interest rate | 0.37% | |||||||||||||||||
Range of volatilities | 31.5% - 45.1% | |||||||||||||||||
Summary of the Company's performance unit activity | ' | |||||||||||||||||
The following table summarizes the performance unit activity for the year ended December 31, 2013: | ||||||||||||||||||
Number of | Grant Date | |||||||||||||||||
Units (a) | Fair Value | |||||||||||||||||
Performance units: | ||||||||||||||||||
Outstanding at December 31, 2012 | - | |||||||||||||||||
Units granted | 110,889 | $ | 111.4 | |||||||||||||||
Outstanding at December 31, 2013 | 110,889 | |||||||||||||||||
(a) | Reflects the amount of performance units granted. The actual payout of shares will be between zero and 300 percent of the performance units granted depending on the Company's performance at the end of the performance period. | |||||||||||||||||
Summarizes information about stock-based compensation for the Company's performance unit awards activity under the Plan | ' | |||||||||||||||||
The following table summarizes information about stock-based compensation expense for performance units for the year ended December 31, 2013 | ||||||||||||||||||
Year Ended | ||||||||||||||||||
December 31, | ||||||||||||||||||
(in thousands) | 2013 | |||||||||||||||||
Grant date fair value for awards during the period | $ | 12,352 | ||||||||||||||||
Stock-based compensation expense from performance units | $ | 4,080 | ||||||||||||||||
Income tax benefit related to performance units | $ | 1,560 | ||||||||||||||||
Future stock-based compensation expense to be recorded for all the stock-based compensation awards that were outstanding | ' | |||||||||||||||||
Future stock-based compensation expense. The following table reflects the future stock-based compensation expense to be recorded for all the stock-based compensation awards that were outstanding at December 31, 2013: | ||||||||||||||||||
Restricted | Performance | |||||||||||||||||
(in thousands) | Stock | Units | Total | |||||||||||||||
2014 | $ | 27,468 | $ | 4,118 | $ | 31,586 | ||||||||||||
2015 | 14,817 | 4,154 | 18,971 | |||||||||||||||
2016 | 5,477 | - | 5,477 | |||||||||||||||
2017 | 755 | - | 755 | |||||||||||||||
2018 | 45 | - | 45 | |||||||||||||||
Total | $ | 48,562 | $ | 8,272 | $ | 56,834 | ||||||||||||
Disclosures_about_fair_value_o1
Disclosures about fair value of financial instruments (Tables) | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | ||||||||||||||||||||||
Carrying amounts and fair values of the Company's financial instruments | ' | ||||||||||||||||||||||
The following table presents the carrying amounts and fair values of the Company's financial instruments at December 31, 2013 and 2012: | |||||||||||||||||||||||
31-Dec-13 | 31-Dec-12 | ||||||||||||||||||||||
Carrying | Fair | Carrying | Fair | ||||||||||||||||||||
(in thousands) | Value | Value | Value | Value | |||||||||||||||||||
Assets: | |||||||||||||||||||||||
Derivative instruments | $ | 1,556 | $ | 1,556 | $ | 38,711 | $ | 38,711 | |||||||||||||||
Liabilities: | |||||||||||||||||||||||
Derivative instruments | $ | 67,789 | $ | 67,789 | $ | 13,633 | $ | 13,633 | |||||||||||||||
Credit facility | $ | 250,000 | $ | 250,770 | $ | 304,000 | $ | 299,679 | |||||||||||||||
8.625% senior notes due 2017 | $ | - | $ | - | $ | 297,103 | $ | 323,471 | |||||||||||||||
7.0% senior notes due 2021 | $ | 600,000 | $ | 660,000 | $ | 600,000 | $ | 669,000 | |||||||||||||||
6.5% senior notes due 2022 | $ | 600,000 | $ | 649,500 | $ | 600,000 | $ | 660,000 | |||||||||||||||
5.5% senior notes due 2022 | $ | 600,000 | $ | 619,500 | $ | 600,000 | $ | 633,000 | |||||||||||||||
5.5% senior notes due 2023 | $ | 1,580,421 | $ | 1,627,834 | $ | 700,000 | $ | 733,250 | |||||||||||||||
Fair value of financial intruments by hierarchy levels and balance sheet classification | ' | ||||||||||||||||||||||
The following tables summarize (i) the valuation of each of the Company's financial instruments by required fair value hierarchy levels and (ii) the gross fair value by the appropriate balance sheet classification, even when the derivative instruments are subject to netting arrangements and qualify for net presentation in the Company's consolidated balance sheets at December 31, 2013 and 2012. The Company nets the fair value of derivative instruments by counterparty in the Company's consolidated balance sheets. | |||||||||||||||||||||||
Fair Value Measurements Using | Net | ||||||||||||||||||||||
Quoted Prices | Gross | Fair Value | |||||||||||||||||||||
in Active | Significant | Total | Amounts | Presented | |||||||||||||||||||
Markets for | Other | Significant | Fair Value | Offset in the | in the | ||||||||||||||||||
Identical | Observable | Unobservable | at | Consolidated | Consolidated | ||||||||||||||||||
Assets | Inputs | Inputs | December 31, | Balance | Balance | ||||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 3) | 2013 | Sheet | Sheet | |||||||||||||||||
Assets | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | $ | - | $ | 12,819 | $ | - | $ | 12,819 | $ | -12,229 | $ | 590 | |||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | 5,300 | - | 5,300 | -4,334 | 966 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | - | -65,930 | - | -65,930 | 12,229 | -53,701 | |||||||||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | -18,422 | - | -18,422 | 4,334 | -14,088 | |||||||||||||||||
Net derivative instruments | $ | - | $ | -66,233 | $ | - | $ | -66,233 | $ | - | $ | -66,233 | |||||||||||
Fair Value Measurements Using | Net | ||||||||||||||||||||||
Quoted Prices | Gross | Fair Value | |||||||||||||||||||||
in Active | Significant | Total | Amounts | Presented | |||||||||||||||||||
Markets for | Other | Significant | Fair Value | Offset in the | in the | ||||||||||||||||||
Identical | Observable | Unobservable | at | Consolidated | Consolidated | ||||||||||||||||||
Assets | Inputs | Inputs | December 31, | Balance | Balance | ||||||||||||||||||
(in thousands) | (Level 1) | (Level 2) | (Level 3) | 2012 | Sheet | Sheet | |||||||||||||||||
Assets | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | $ | - | $ | 56,471 | $ | - | $ | 56,471 | $ | -20,529 | $ | 35,942 | |||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | 12,108 | - | 12,108 | -9,339 | 2,769 | |||||||||||||||||
Liabilities | |||||||||||||||||||||||
Current: | |||||||||||||||||||||||
Commodity derivatives | - | -22,113 | - | -22,113 | 20,529 | -1,584 | |||||||||||||||||
Noncurrent: | |||||||||||||||||||||||
Commodity derivatives | - | -21,388 | - | -21,388 | 9,339 | -12,049 | |||||||||||||||||
Net derivative instruments | $ | - | $ | 25,078 | $ | - | $ | 25,078 | $ | - | $ | 25,078 | |||||||||||
Carrying amounts, estimated fair values and impairment expense of long-lived assets | ' | ||||||||||||||||||||||
The following table reports the carrying amounts, estimated fair values and impairment expense of long-lived assets for continuing and discontinued operations for the indicated periods: | |||||||||||||||||||||||
Estimated | |||||||||||||||||||||||
Carrying | Fair Value | Impairment | |||||||||||||||||||||
(in thousands) | Amount | (Level 3) | Expense | ||||||||||||||||||||
Jun-13 | $ | 84,140 | $ | 18,765 | $ | 65,375 | |||||||||||||||||
Dec-11 | $ | 380 | $ | 17 | $ | 363 | |||||||||||||||||
Jun-11 | $ | 77 | $ | 1 | $ | 76 | |||||||||||||||||
Derivative_financial_instrumen1
Derivative financial instruments (Tables) | 12 Months Ended | ||||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||||||||
Summarizes the gains and losses reported in earnings related to the commodity and interest rate derivative instruments | ' | ||||||||||||||||||||||
The following table summarizes the gains and losses reported in earnings related to the commodity and interest rate derivative instruments for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||||
Gain (loss) on derivatives not designated as hedges: | |||||||||||||||||||||||
Oil derivatives | $ | -133,890 | $ | 127,293 | $ | -28,589 | |||||||||||||||||
Natural gas derivatives | 10,238 | 150 | 6,109 | ||||||||||||||||||||
Interest rate derivatives | - | - | -870 | ||||||||||||||||||||
Total gain (loss) on derivatives not designated as hedges | $ | -123,652 | $ | 127,443 | $ | -23,350 | |||||||||||||||||
The following table represents the Company's cash receipts from (payments on) derivatives reported in the Company's cash flows from investing for the years ended December 31, 2013, 2012 and 2011: | |||||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||||
Cash receipts from (payments on) derivatives not designated as hedges: | |||||||||||||||||||||||
Oil derivatives | $ | -41,616 | $ | 22,411 | $ | -103,969 | |||||||||||||||||
Natural gas derivatives | 9,275 | 1,125 | 25,739 | ||||||||||||||||||||
Interest rate derivatives | - | - | -6,624 | ||||||||||||||||||||
Total cash receipts from (payments on) derivatives not designated as hedges | $ | -32,341 | $ | 23,536 | $ | -84,854 | |||||||||||||||||
Company's outstanding derivative contracts | ' | ||||||||||||||||||||||
Commodity derivative contracts at December 31, 2013. The following table sets forth the Company's outstanding derivative contracts at December 31, 2013. When aggregating multiple contracts, the weighted average contract price is disclosed. All of the Company's derivative contracts at December 31, 2013 are expected to settle by June 30, 2017. | |||||||||||||||||||||||
First | Second | Third | Fourth | ||||||||||||||||||||
Quarter | Quarter | Quarter | Quarter | Total | |||||||||||||||||||
Oil Swaps: (a) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 5,075,000 | 4,544,000 | 4,116,000 | 3,833,000 | 17,568,000 | ||||||||||||||||||
Price per Bbl | $ | 93.65 | $ | 92.69 | $ | 91.23 | $ | 91.09 | $ | 92.27 | |||||||||||||
2015:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 3,428,000 | 3,264,000 | 3,123,000 | 2,997,000 | 12,812,000 | ||||||||||||||||||
Price per Bbl | $ | 87.33 | $ | 86.54 | $ | 86.8 | $ | 86.75 | $ | 86.86 | |||||||||||||
2016:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 108,000 | 108,000 | 108,000 | 105,000 | 429,000 | ||||||||||||||||||
Price per Bbl | $ | 88.32 | $ | 88.32 | $ | 88.32 | $ | 88.28 | $ | 88.31 | |||||||||||||
2017:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 84,000 | 84,000 | - | - | 168,000 | ||||||||||||||||||
Price per Bbl | $ | 87 | $ | 87 | $ | - | $ | - | $ | 87 | |||||||||||||
Oil Basis Swaps: (b) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (Bbl) | 2,790,000 | 2,821,000 | 1,932,000 | 1,932,000 | 9,475,000 | ||||||||||||||||||
Price per Bbl | $ | -0.46 | $ | -0.46 | $ | -0.45 | $ | -0.45 | $ | -0.46 | |||||||||||||
Natural Gas Swaps: (c) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (MMBtu) | 3,461,000 | 2,637,000 | 1,932,000 | 1,501,000 | 9,531,000 | ||||||||||||||||||
Price per MMBtu | $ | 4.17 | $ | 4.16 | $ | 4.15 | $ | 4.16 | $ | 4.16 | |||||||||||||
2015:00:00 | |||||||||||||||||||||||
Volume (MMBtu) | 4,950,000 | 5,005,000 | 5,060,000 | 5,060,000 | 20,075,000 | ||||||||||||||||||
Price per MMBtu | $ | 4.15 | $ | 4.15 | $ | 4.15 | $ | 4.15 | $ | 4.15 | |||||||||||||
Natural Gas Collars: (d) | |||||||||||||||||||||||
2014:00:00 | |||||||||||||||||||||||
Volume (MMBtu) | 5,400,000 | 5,460,000 | 5,520,000 | 5,520,000 | 21,900,000 | ||||||||||||||||||
Ceiling price per MMBtu | $ | 4.4 | $ | 4.4 | $ | 4.4 | $ | 4.4 | $ | 4.4 | |||||||||||||
Floor price per MMBtu | $ | 3.85 | $ | 3.85 | $ | 3.85 | $ | 3.85 | $ | 3.85 | |||||||||||||
(a) The index prices for the oil price swaps are based on the NYMEX – West Texas Intermediate (“WTI”) monthly average futures price. | |||||||||||||||||||||||
(b) The basis differential price is between Midland – WTI and Cushing – WTI. | |||||||||||||||||||||||
(c) The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures price. | |||||||||||||||||||||||
(d) The index prices for the natural gas collars are based on the El Paso Permian delivery point. | |||||||||||||||||||||||
Debt_Tables
Debt (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Debt Disclosure [Abstract] | ' | |||||||||||||
Company's debt | ' | |||||||||||||
December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||
Credit facility | $ | 250,000 | $ | 304,000 | ||||||||||
8.625% unsecured senior notes due 2017 | - | 300,000 | ||||||||||||
7.0% unsecured senior notes due 2021 | 600,000 | 600,000 | ||||||||||||
6.5% unsecured senior notes due 2022 | 600,000 | 600,000 | ||||||||||||
5.5% unsecured senior notes due 2022 | 600,000 | 600,000 | ||||||||||||
5.5% unsecured senior notes due 2023 | 1,550,000 | 700,000 | ||||||||||||
Unamortized original issue premium (discount), net | 30,421 | -2,897 | ||||||||||||
Less: current portion | - | - | ||||||||||||
Total long-term debt | $ | 3,630,421 | $ | 3,101,103 | ||||||||||
Future interest expense from the 2017 Senior Notes original issue discount | ' | |||||||||||||
Future benefit to interest expense from original issue premium at December 31, 2013 was as follows: | ||||||||||||||
(in thousands) | ||||||||||||||
2014 | $ | 2,602 | ||||||||||||
2015 | 2,747 | |||||||||||||
2016 | 2,900 | |||||||||||||
2017 | 3,062 | |||||||||||||
2018 | 3,233 | |||||||||||||
Thereafter | 15,877 | |||||||||||||
Total | $ | 30,421 | ||||||||||||
Principal maturities of debt | ' | |||||||||||||
Principal maturities of long-term debt. Principal maturities of long-term debt outstanding at December 31, 2013 are as follows: | ||||||||||||||
(in thousands) | ||||||||||||||
2014 | $ | - | ||||||||||||
2015 | - | |||||||||||||
2016 | 250,000 | |||||||||||||
2017 | - | |||||||||||||
2018 | - | |||||||||||||
Thereafter | 3,350,000 | |||||||||||||
Total | $ | 3,600,000 | ||||||||||||
Interest expense | ' | |||||||||||||
Interest expense. The following amounts have been incurred and charged to interest expense for the years ended December 31, 2013, 2012 and 2011: | ||||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Cash payments for interest | $ | 200,961 | $ | 158,715 | $ | 77,921 | ||||||||
Amortization of original issue discount (premium) | -1,248 | 462 | 133 | |||||||||||
Amortization of deferred loan origination costs | 13,172 | 11,958 | 11,653 | |||||||||||
Write-off of deferred loan origination costs and original issue premium | - | - | -8,513 | |||||||||||
Net changes in accruals | 5,696 | 11,570 | 37,239 | |||||||||||
Interest costs incurred | 218,581 | 182,705 | 118,433 | |||||||||||
Less: capitalized interest | - | - | -73 | |||||||||||
Total interest expense | $ | 218,581 | $ | 182,705 | $ | 118,360 | ||||||||
Commitments_and_contingencies_
Commitments and contingencies (Tables) | 12 Months Ended | |||||||||||||||
Dec. 31, 2013 | ||||||||||||||||
Commitments and Contingencies Disclosure [Abstract] | ' | |||||||||||||||
Summary of the Company's future drilling commitments | ' | |||||||||||||||
The following table summarizes the Company's future drilling commitments at December 31, 2013: | ||||||||||||||||
Payments Due By Period | ||||||||||||||||
Less than | 3-Jan | 5-Mar | More than | |||||||||||||
(in thousands) | Total | 1 year | years | years | 5 years | |||||||||||
Contractual drilling commitments | $ | 17,868 | $ | 17,038 | $ | 830 | $ | - | $ | - | ||||||
Future minimum lease commitments under non-cancellable operating leases | ' | |||||||||||||||
Future minimum lease commitments under non-cancellable operating leases at December 31, 2013 are as follows: | ||||||||||||||||
(in thousands) | ||||||||||||||||
2014 | $ | 5,922 | ||||||||||||||
2015 | 4,637 | |||||||||||||||
2016 | 3,009 | |||||||||||||||
2017 | 926 | |||||||||||||||
2018 | 469 | |||||||||||||||
Thereafter | 2,172 | |||||||||||||||
Total | $ | 17,135 | ||||||||||||||
Income_taxes_Tables
Income taxes (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Income Tax Disclosure [Abstract] | ' | |||||||||||||
The Company's income tax provision | ' | |||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Income from continuing operations | $ | 118,237 | $ | 251,041 | $ | 261,800 | ||||||||
Income from discontinued operations | 7,518 | 14,519 | 78,224 | |||||||||||
Changes in stockholders' equity: | ||||||||||||||
Excess tax benefits related to stock-based compensation | -6,147 | -18,963 | -24,037 | |||||||||||
$ | 119,608 | $ | 246,597 | $ | 315,987 | |||||||||
Company's income tax provision attributable to income from continuing operations | ' | |||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Current: | ||||||||||||||
U.S. federal | $ | 12,504 | $ | 7,066 | $ | 9,233 | ||||||||
U.S. state and local | 3,306 | 2,156 | 2,684 | |||||||||||
Total current income tax provision | 15,810 | 9,222 | 11,917 | |||||||||||
Deferred: | ||||||||||||||
U.S. federal | 119,985 | 210,527 | 218,546 | |||||||||||
U.S. state and local | -17,558 | 31,292 | 31,337 | |||||||||||
Total deferred income tax provision | 102,427 | 241,819 | 249,883 | |||||||||||
Total income tax provision attributable to income from | ||||||||||||||
continuing operations | $ | 118,237 | $ | 251,041 | $ | 261,800 | ||||||||
reconciliation between the income tax expense computed by multiplying pretax income from continuing operations | ' | |||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Income at U.S. federal statutory rate | $ | 125,006 | $ | 230,745 | $ | 238,467 | ||||||||
State income taxes (net of federal tax effect) | 12,505 | 21,192 | 22,002 | |||||||||||
Revisions of previous estimates | 1,400 | 219 | - | |||||||||||
Statutory depletion | -39 | -261 | -204 | |||||||||||
Change in estimated effective statutory state income tax | -21,876 | - | - | |||||||||||
Nondeductible expense & other | 1,241 | -854 | 1,535 | |||||||||||
Income tax expense | $ | 118,237 | $ | 251,041 | $ | 261,800 | ||||||||
Effective tax rate | 33.10% | 38.10% | 38.40% | |||||||||||
Company's income tax provision attributable to income from discontinued operations | ' | |||||||||||||
Years Ended December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||||
Current: | ||||||||||||||
U.S. federal | $ | 144 | $ | 14,023 | $ | 8,638 | ||||||||
U.S. state and local | 25 | 1,667 | 103 | |||||||||||
Total current income tax expense | 169 | 15,690 | 8,741 | |||||||||||
Deferred: | ||||||||||||||
U.S. federal | 6,397 | -1,392 | 59,417 | |||||||||||
U.S. state and local | 952 | 221 | 10,066 | |||||||||||
Total deferred income tax provision | 7,349 | -1,171 | 69,483 | |||||||||||
Total income tax provision attributable to income from discontinued operations | $ | 7,518 | $ | 14,519 | $ | 78,224 | ||||||||
Schedule of Deferred Tax Assets and Liabilities [Table Text Block] | ' | |||||||||||||
December 31, | ||||||||||||||
(in thousands) | 2013 | 2012 | ||||||||||||
Deferred tax assets: | ||||||||||||||
Stock-based compensation | $ | 23,262 | $ | 17,181 | ||||||||||
Derivative instruments | 24,904 | - | ||||||||||||
Asset retirement obligation | 38,241 | 32,978 | ||||||||||||
Other | 9,500 | 5,546 | ||||||||||||
Total deferred tax assets | 95,907 | 55,705 | ||||||||||||
Deferred tax liabilities: | ||||||||||||||
Oil and natural gas properties, principally due to differences in basis and | ||||||||||||||
depreciation and the deduction of intangible drilling costs for tax purposes | -1,383,929 | -1,228,572 | ||||||||||||
Intangible assets - operating rights | -10,759 | -11,498 | ||||||||||||
Derivative instruments | - | -9,588 | ||||||||||||
Other | -5,803 | -1,234 | ||||||||||||
Total deferred tax liability | -1,400,491 | -1,250,892 | ||||||||||||
Net deferred tax liability | $ | -1,304,584 | $ | -1,195,187 | ||||||||||
Major_customers_and_derivative1
Major customers and derivative counterparties (Tables) | 12 Months Ended | |||||||
Dec. 31, 2013 | ||||||||
Major Customer Disclosure [Abstract] | ' | |||||||
Schedule of Revenue by Major Customers by Reporting Segments [Table Text Block] | ' | |||||||
The following purchasers individually accounted for 10 percent or more of the consolidated oil and natural gas revenues, including the revenues from discontinued operations, during the years ended December 31, 2013, 2012 and 2011: | ||||||||
Years Ended December 31, | ||||||||
2013 | 2012 | 2011 | ||||||
Holly Frontier Refining and Marketing, LLC | 30% | 26% | 34% | |||||
Enterprise Crude Oil LLC | 13% | 6% | 5% | |||||
DCP Midstream, LP | 8% | 8% | 14% | |||||
Phillips 66 | 6% | 14% | 15% | |||||
Related_party_transactions_Tab
Related party transactions (Tables) | 12 Months Ended | ||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||
Related Party Transactions [Abstract] | ' | ||||||||||||||||
Summary of charges incurred with and payments made to the Company's related parties and reported in the consolidated statements of operations, as well as outstanding payables included in the consolidated balance sheets | ' | ||||||||||||||||
Years Ended December 31, | |||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||
Royalties paid to a partnership in which a director has an ownership | $ | 7,255 | $ | 2,444 | $ | 721 | |||||||||||
interest (a) | |||||||||||||||||
Royalties paid to a director and certain officers of the Company (b) | $ | 43 | $ | 77 | $ | - | |||||||||||
Amounts paid under consulting agreement with Steven L. Beal (c) | $ | 865 | $ | 251 | $ | 250 | |||||||||||
December 31, | |||||||||||||||||
(in thousands) | 2013 | 2012 | |||||||||||||||
Amounts included in accounts payable - related parties: | |||||||||||||||||
Royalty interests of a director and certain officers of the Company (b) | $ | 0 | $ | 185 | |||||||||||||
Royalties paid on certain properties to a partnership of which a director of the Company is the general partner and owns a 3.5 percent partnership interest. | |||||||||||||||||
Payments made to a director and certain officers who directly own overriding royalty interests in properties owned by the Company. | |||||||||||||||||
On June 30, 2009, Steven L. Beal, the Company's then-president and chief operating officer, retired from such positions. On June 9, 2009, the Company entered into a consulting agreement (the “Consulting Agreement”) with Mr. Beal, under which Mr. Beal began serving as a consultant to the Company on July 1, 2009. During the term of the consulting relationship, Mr. Beal received a consulting fee of $20,000 per month and a monthly reimbursement for his medical and dental coverage costs. In August 2013, the Company and Mr. Beal mutually terminated the Consulting Agreement in exchange for the payment to Mr. Beal of $720,000, which termination and payment were approved by the disinterested members of the Company's Board of Directors. | |||||||||||||||||
Discontinued_operations_Tables
Discontinued operations (Tables) | 12 Months Ended | ||||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||||
Discontinued Operations and Disposal Groups [Abstract] | ' | ||||||||||||||||||||
Components of the Company's discontinued operations | ' | ||||||||||||||||||||
Years Ended December 31, | |||||||||||||||||||||
(in thousands) | 2013 | 2012 | 2011 | ||||||||||||||||||
Operating revenues: | |||||||||||||||||||||
Oil sales | $ | - | $ | 101,359 | $ | 111,890 | |||||||||||||||
Natural gas sales | - | 18,578 | 19,830 | ||||||||||||||||||
Total operating revenues | - | 119,937 | 131,720 | ||||||||||||||||||
Operating costs and expenses: | |||||||||||||||||||||
Oil and natural gas production | - | 34,270 | 31,724 | ||||||||||||||||||
Exploration and abandonments | - | 334 | 385 | ||||||||||||||||||
Depreciation, depletion and amortization (a) | - | 30,140 | 30,462 | ||||||||||||||||||
Accretion of discount on asset retirement obligations (a) | - | 1,004 | 529 | ||||||||||||||||||
General and administrative (b) | - | -2,493 | -2,264 | ||||||||||||||||||
Total operating costs and expenses | - | 63,255 | 60,836 | ||||||||||||||||||
Income from operations | - | 56,682 | 70,884 | ||||||||||||||||||
Other income (expense): | |||||||||||||||||||||
Gain (loss) on disposition of assets, net (a) | 19,599 | -18,704 | 135,943 | ||||||||||||||||||
Income from discontinued operations before income taxes | 19,599 | 37,978 | 206,827 | ||||||||||||||||||
Income tax benefit (expense): | |||||||||||||||||||||
Current | -169 | -15,690 | -8,741 | ||||||||||||||||||
Deferred (a) | -7,349 | 1,171 | -69,483 | ||||||||||||||||||
Income from discontinued operations, net of tax | $ | 12,081 | $ | 23,459 | $ | 128,603 | |||||||||||||||
(a) | Represents the significant non-cash components of discontinued operations. | ||||||||||||||||||||
(b) | Represents the fees received from third-parties for operating oil and natural gas properties that were sold. The Company reflects these fees as a reduction of general and administrative expenses. | ||||||||||||||||||||
Net_income_per_share_Tables
Net income per share (Tables) | 12 Months Ended | |||||||||||
Dec. 31, 2013 | ||||||||||||
Earnings Per Share, Basic and Diluted, Other Disclosures [Abstract] | ' | |||||||||||
reconciliation of the basic weighted average common shares outstanding to diluted weighted average common shares outstanding | ' | |||||||||||
Year Ended | ||||||||||||
31-Dec-13 | ||||||||||||
Continuing | Discontinued | |||||||||||
(in thousands, except per share amounts) | Operations | Operations | Total | |||||||||
Income as reported | $ | 238,922 | $ | 12,081 | $ | 251,003 | ||||||
Participating basic earnings | -2,610 | -132 | -2,742 | |||||||||
Basic income attributable to common stockholders | 236,312 | 11,949 | 248,261 | |||||||||
Reallocation of participating earnings | 4 | - | 4 | |||||||||
Diluted income attributable to common stockholders | $ | 236,316 | $ | 11,949 | $ | 248,265 | ||||||
Income per common share: | ||||||||||||
Basic | $ | 2.28 | $ | 0.11 | $ | 2.39 | ||||||
Diluted | $ | 2.28 | $ | 0.11 | $ | 2.39 | ||||||
Year Ended | ||||||||||||
31-Dec-12 | ||||||||||||
Continuing | Discontinued | |||||||||||
(in thousands, except per share amounts) | Operations | Operations | Total | |||||||||
Income as reported | $ | 408,230 | $ | 23,459 | $ | 431,689 | ||||||
Participating basic earnings | - | - | - | |||||||||
Basic income attributable to common stockholders | 408,230 | 23,459 | 431,689 | |||||||||
Reallocation of participating earnings | - | - | - | |||||||||
Diluted income attributable to common stockholders | $ | 408,230 | $ | 23,459 | $ | 431,689 | ||||||
Income per common share: | ||||||||||||
Basic | $ | 3.96 | $ | 0.22 | $ | 4.18 | ||||||
Diluted | $ | 3.93 | $ | 0.22 | $ | 4.15 | ||||||
Year Ended | ||||||||||||
31-Dec-11 | ||||||||||||
Continuing | Discontinued | |||||||||||
(in thousands, except per share amounts) | Operations | Operations | Total | |||||||||
Income as reported | $ | 419,534 | $ | 128,603 | $ | 548,137 | ||||||
Participating basic earnings | - | - | - | |||||||||
Basic income attributable to common stockholders | 419,534 | 128,603 | 548,137 | |||||||||
Reallocation of participating earnings | - | - | - | |||||||||
Diluted income attributable to common stockholders | $ | 419,534 | $ | 128,603 | $ | 548,137 | ||||||
Income per common share: | ||||||||||||
Basic | $ | 4.09 | $ | 1.25 | $ | 5.34 | ||||||
Diluted | $ | 4.05 | $ | 1.23 | $ | 5.28 | ||||||
Years Ended December 31, | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Weighted average common shares outstanding: | ||||||||||||
Basic | 103,744 | 103,190 | 102,581 | |||||||||
Dilutive common stock options | 165 | 354 | 577 | |||||||||
Dilutive restricted stock | - | 428 | 495 | |||||||||
Dilutive performance units | 4 | - | - | |||||||||
Diluted | 103,913 | 103,972 | 103,653 | |||||||||
summary of the common stock options and restricted stock which were not included in the computation of diluted net income per share | ' | |||||||||||
The following table is a summary of the common stock options, restricted stock and performance units, which were not included in the computation of diluted net income per share, as inclusion of these items would be antidilutive: | ||||||||||||
Years Ended December 31, | ||||||||||||
(in thousands) | 2013 | 2012 | 2011 | |||||||||
Number of antidilutive common shares: | ||||||||||||
Antidilutive common stock options | - | - | - | |||||||||
Antidilutive restricted stock | 9 | 95 | 27 | |||||||||
Antidilutive performance units | 83 | - | - | |||||||||
Other_current_liabilities_Tabl
Other current liabilities (Tables) | 12 Months Ended | ||||||||
Dec. 31, 2013 | |||||||||
Other Liabilities Disclosure [Abstract] | ' | ||||||||
components of the Company's other current liabilities | ' | ||||||||
December 31, | |||||||||
(in thousands) | 2013 | 2012 | |||||||
Other current liabilities: | |||||||||
Accrued production costs | $ | 48,196 | $ | 52,825 | |||||
Payroll related matters | 28,498 | 16,365 | |||||||
Accrued interest | 70,000 | 64,304 | |||||||
Asset retirement obligations | 4,481 | 3,308 | |||||||
Other | 5,425 | 23,538 | |||||||
Other current liabilities | $ | 156,600 | $ | 160,340 | |||||
Subsidiary_guarantors_Tables
Subsidiary guarantors (Tables) | 12 Months Ended | ||||||||||||||||||
Dec. 31, 2013 | |||||||||||||||||||
Guarantees [Abstract] | ' | ||||||||||||||||||
Condensed Consolidating Balance Sheet | ' | ||||||||||||||||||
Condensed Consolidating Balance Sheet | |||||||||||||||||||
31-Dec-13 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
ASSETS | |||||||||||||||||||
Accounts receivable - related parties | $ | 6,115,554 | $ | 1,261,844 | $ | -7,377,398 | $ | - | |||||||||||
Other current assets | 39,108 | 481,767 | - | 520,875 | |||||||||||||||
Oil and natural gas properties, net | - | 8,831,265 | - | 8,831,265 | |||||||||||||||
Property and equipment, net | - | 114,783 | - | 114,783 | |||||||||||||||
Investment in subsidiaries | 3,896,741 | - | -3,896,741 | - | |||||||||||||||
Other long-term assets | 74,013 | 50,228 | - | 124,241 | |||||||||||||||
Total assets | $ | 10,125,416 | $ | 10,739,887 | $ | -11,274,139 | $ | 9,591,164 | |||||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||
Accounts payable - related parties | $ | 1,261,844 | $ | 6,115,554 | $ | -7,377,398 | $ | - | |||||||||||
Other current liabilities | 126,461 | 630,407 | - | 756,868 | |||||||||||||||
Other long-term liabilities | 1,348,741 | 97,185 | - | 1,445,926 | |||||||||||||||
Long-term debt | 3,630,421 | - | - | 3,630,421 | |||||||||||||||
Equity | 3,757,949 | 3,896,741 | -3,896,741 | 3,757,949 | |||||||||||||||
Total liabilities and equity | $ | 10,125,416 | $ | 10,739,887 | $ | -11,274,139 | $ | 9,591,164 | |||||||||||
Condensed Consolidating Balance Sheet | |||||||||||||||||||
31-Dec-12 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
ASSETS | |||||||||||||||||||
Accounts receivable - related parties | $ | 5,839,995 | $ | 2,416,697 | $ | -8,256,692 | $ | - | |||||||||||
Other current assets | 46,737 | 412,145 | - | 458,882 | |||||||||||||||
Oil and natural gas properties, net | - | 7,890,283 | - | 7,890,283 | |||||||||||||||
Property and equipment, net | - | 103,141 | - | 103,141 | |||||||||||||||
Investment in subsidiaries | 3,146,918 | - | -3,146,918 | - | |||||||||||||||
Other long-term assets | 80,378 | 56,753 | - | 137,131 | |||||||||||||||
Total assets | $ | 9,114,028 | $ | 10,879,019 | $ | -11,403,610 | $ | 8,589,437 | |||||||||||
LIABILITIES AND EQUITY | |||||||||||||||||||
Accounts payable - related parties | $ | 1,271,563 | $ | 6,985,314 | $ | -8,256,692 | $ | 185 | |||||||||||
Other current liabilities | 76,496 | 663,405 | - | 739,901 | |||||||||||||||
Other long-term liabilities | 1,198,670 | 83,382 | - | 1,282,052 | |||||||||||||||
Long-term debt | 3,101,103 | - | - | 3,101,103 | |||||||||||||||
Equity | 3,466,196 | 3,146,918 | -3,146,918 | 3,466,196 | |||||||||||||||
Total liabilities and equity | $ | 9,114,028 | $ | 10,879,019 | $ | -11,403,610 | $ | 8,589,437 | |||||||||||
Condensed Consolidating Statement of Operations | ' | ||||||||||||||||||
Condensed Consolidating Statement of Operations | |||||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
Total operating revenues | $ | - | $ | 2,319,919 | $ | - | $ | 2,319,919 | |||||||||||
Total operating costs and expenses | -125,924 | -1,576,558 | - | -1,702,482 | |||||||||||||||
Income (loss) from operations | -125,924 | 743,361 | - | 617,437 | |||||||||||||||
Interest expense | -218,581 | - | - | -218,581 | |||||||||||||||
Loss on extinguishment of debt | -28,616 | - | - | -28,616 | |||||||||||||||
Other, net | 749,878 | -13,136 | -749,823 | -13,081 | |||||||||||||||
Income before income taxes | 376,757 | 730,225 | -749,823 | 357,159 | |||||||||||||||
Income tax expense | -118,237 | - | - | -118,237 | |||||||||||||||
Income from continuing operations | 258,520 | 730,225 | -749,823 | 238,922 | |||||||||||||||
Income (loss) from discontinued operations, net of tax | -7,517 | 19,598 | - | 12,081 | |||||||||||||||
Net income | $ | 251,003 | $ | 749,823 | $ | -749,823 | $ | 251,003 | |||||||||||
Condensed Consolidating Statement of Operations | |||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||
Parent | Subsidiary | Subsidiary | Consolidating | ||||||||||||||||
(in thousands) | Issuer | Guarantors | Non-Guarantor | Entries | Total | ||||||||||||||
Total operating revenues | $ | - | $ | 1,812,472 | $ | 7,342 | $ | - | $ | 1,819,814 | |||||||||
Total operating costs and expenses | 126,482 | -1,090,013 | -5,720 | - | -969,251 | ||||||||||||||
Income from operations | 126,482 | 722,459 | 1,622 | - | 850,563 | ||||||||||||||
Interest expense | -182,705 | - | - | - | -182,705 | ||||||||||||||
Other, net | 753,472 | -3,148 | -6,043 | -752,868 | -8,587 | ||||||||||||||
Income (loss) before income taxes | 697,249 | 719,311 | -4,421 | -752,868 | 659,271 | ||||||||||||||
Income tax expense | -251,041 | - | - | - | -251,041 | ||||||||||||||
Income (loss) from continuing operations | 446,208 | 719,311 | -4,421 | -752,868 | 408,230 | ||||||||||||||
Income (loss) from discontinued operations, | |||||||||||||||||||
net of tax | -14,519 | 37,978 | - | - | 23,459 | ||||||||||||||
Net income (loss) | $ | 431,689 | $ | 757,289 | $ | -4,421 | $ | -752,868 | $ | 431,689 | |||||||||
Condensed Consolidating Statement of Operations | |||||||||||||||||||
For the Year Ended December 31, 2011 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
Total operating revenues | $ | - | $ | 1,617,771 | $ | - | $ | 1,617,771 | |||||||||||
Total operating costs and expenses | -23,721 | -790,382 | - | -814,103 | |||||||||||||||
Income (loss) from operations | -23,721 | 827,389 | - | 803,668 | |||||||||||||||
Interest expense | -118,360 | - | - | -118,360 | |||||||||||||||
Other, net | 1,030,242 | -4,074 | -1,030,142 | -3,974 | |||||||||||||||
Income before income taxes | 888,161 | 823,315 | -1,030,142 | 681,334 | |||||||||||||||
Income tax expense | -261,800 | - | - | -261,800 | |||||||||||||||
Income from continuing operations | 626,361 | 823,315 | -1,030,142 | 419,534 | |||||||||||||||
Income (loss) from discontinued operations, net of tax | -78,224 | 206,827 | - | 128,603 | |||||||||||||||
Net income | $ | 548,137 | $ | 1,030,142 | $ | -1,030,142 | $ | 548,137 | |||||||||||
Condensed Consolidating Statement of Cash Flows | ' | ||||||||||||||||||
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
For the Year Ended December 31, 2013 | |||||||||||||||||||
Parent Issuer | Subsidiary Guarantors | Consolidating Entries | |||||||||||||||||
(in thousands) | Total | ||||||||||||||||||
Net cash flows provided by (used in) operating activities | $ | -487,131 | $ | 1,849,151 | $ | - | $ | 1,362,020 | |||||||||||
Net cash flows used in investing activities | -32,341 | -1,864,453 | - | -1,896,794 | |||||||||||||||
Net cash flows provided by financing activities | 519,472 | 12,443 | - | 531,915 | |||||||||||||||
Net decrease in cash and cash equivalents | - | -2,859 | - | -2,859 | |||||||||||||||
Cash and cash equivalents at beginning of period | - | 2,880 | - | 2,880 | |||||||||||||||
Cash and cash equivalents at end of period | $ | - | $ | 21 | $ | - | $ | 21 | |||||||||||
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
For the Year Ended December 31, 2012 | |||||||||||||||||||
Parent | Subsidiary | Subsidiary | Consolidating | ||||||||||||||||
(in thousands) | Issuer | Guarantors | Non-Guarantor | Entries | Total | ||||||||||||||
Net cash flows provided by (used in) | |||||||||||||||||||
operating activities | $ | -1,044,006 | $ | 2,278,647 | $ | 2,837 | $ | - | $ | 1,237,478 | |||||||||
Net cash flows provided by (used in) | |||||||||||||||||||
investing activities | 23,536 | -1,720,242 | -543,738 | - | -2,240,444 | ||||||||||||||
Net cash flows provided by (used in) | |||||||||||||||||||
financing activities | 1,020,470 | -555,867 | 540,901 | - | 1,005,504 | ||||||||||||||
Net increase in cash and cash | |||||||||||||||||||
equivalents | - | 2,538 | - | - | 2,538 | ||||||||||||||
Cash and cash equivalents at | |||||||||||||||||||
beginning of period | - | 342 | - | - | 342 | ||||||||||||||
Cash and cash equivalents at | |||||||||||||||||||
end of period | $ | - | $ | 2,880 | $ | - | $ | - | $ | 2,880 | |||||||||
Condensed Consolidating Statement of Cash Flows | |||||||||||||||||||
For the Year Ended December 31, 2011 | |||||||||||||||||||
Parent | Subsidiary | Consolidating | |||||||||||||||||
(in thousands) | Issuer | Guarantors | Entries | Total | |||||||||||||||
Net cash flows provided by (used in) operating activities | $ | -345,991 | $ | 1,545,449 | $ | - | $ | 1,199,458 | |||||||||||
Net cash flows used in investing activities | -79,046 | -1,572,372 | - | -1,651,418 | |||||||||||||||
Net cash flows provided by financing activities | 424,991 | 26,927 | - | 451,918 | |||||||||||||||
Net increase (decrease) in cash and cash equivalents | -46 | 4 | - | -42 | |||||||||||||||
Cash and cash equivalents at beginning of period | 46 | 338 | - | 384 | |||||||||||||||
Cash and cash equivalents at end of period | $ | - | $ | 342 | $ | - | $ | 342 | |||||||||||
Subsequent_events_Tables
Subsequent events (Tables) | 12 Months Ended | |||||||||||||
Dec. 31, 2013 | ||||||||||||||
Subsequent Events [Abstract] | ' | |||||||||||||
New commodity derivative contracts | ' | |||||||||||||
First | Second | Third | Fourth | |||||||||||
Quarter | Quarter | Quarter | Quarter | Total | ||||||||||
Oil Basis Swaps: (a) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (Bbl) | - | 637,000 | 2,024,000 | 1,748,000 | 4,409,000 | |||||||||
Price per Bbl | $ | - | $ | -1.88 | $ | -1.5 | $ | -1.45 | $ | -1.54 | ||||
Natural Gas Swaps: (b) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (MMBtu) | 351,000 | 364,000 | 368,000 | 276,000 | 1,359,000 | |||||||||
Price per MMBtu | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | ||||
(a) | The basis differential price is between Midland – WTI and Cushing – WTI. | |||||||||||||
(b) | The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures prices. | |||||||||||||
First | Second | Third | Fourth | |||||||||||
Quarter | Quarter | Quarter | Quarter | Total | ||||||||||
Oil Basis Swaps: (a) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (Bbl) | - | 637,000 | 2,024,000 | 1,748,000 | 4,409,000 | |||||||||
Price per Bbl | $ | - | $ | -1.88 | $ | -1.5 | $ | -1.45 | $ | -1.54 | ||||
Natural Gas Swaps: (b) | ||||||||||||||
2014:00:00 | ||||||||||||||
Volume (MMBtu) | 351,000 | 364,000 | 368,000 | 276,000 | 1,359,000 | |||||||||
Price per MMBtu | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | $ | 4.35 | ||||
(a) | The basis differential price is between Midland – WTI and Cushing – WTI. | |||||||||||||
(b) | The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures prices. | |||||||||||||
Recovered_Sheet1
Summary Of Significant Accounting Policies (Narrative) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | ||||
Jun. 30, 2013 | Dec. 31, 2011 | Jun. 30, 2011 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Disclosure Summary Of Significant Accounting Policies Narrative [Abstract] | ' | ' | ' | ' | ' | ' |
Allowance for Doubtful Accounts Receivable | ' | ' | ' | $700,000 | $700,000 | ' |
Deferred loan costs | ' | ' | ' | 73,048,000 | 77,609,000 | ' |
Accumulated amortization | ' | ' | ' | 48,700,000 | 38,800,000 | ' |
Estimated economic life of gross operating rights in years | ' | ' | ' | '25 years | ' | ' |
Depletion expense from continuing and discontuned operation | ' | ' | ' | 756,000,000 | 591,300,000 | 423,200,000 |
Capitalized cost excluded from Depletion | ' | ' | ' | 224,600,000 | 222,700,000 | ' |
Impairment Of Oil And Gas Properties | 65,375,000 | 363,000 | 76,000 | 65,400,000 | ' | 400,000 |
Impairment of Leasehold | ' | ' | ' | 49,800,000 | 12,400,000 | 5,700,000 |
Depreciation expenses on other plant and equipments | ' | ' | ' | 15,200,000 | 12,400,000 | 5,700,000 |
Environmental liability accrued | ' | ' | ' | 2,300,000 | 2,500,000 | ' |
Environmental libility recognized | ' | ' | ' | 3,400,000 | 4,400,000 | 9,600,000 |
Fees related to operation of jointly owned oil and natural gas properties | ' | ' | ' | $18,500,000 | $16,800,000 | $13,400,000 |
Recovered_Sheet2
Summary Of Significant Accounting Policies (Discontinued Operations) (Detail) (USD $) | 12 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 |
Non-Core Assets [Member] | ' |
Noncash or Part Noncash Divestitures [Line Items] | ' |
Disposal Date | 15-Dec-12 |
Net Proceeds | $503.10 |
Gain on Sale of Assets | 0.9 |
Bakken Assets [Member] | ' |
Noncash or Part Noncash Divestitures [Line Items] | ' |
Disposal Date | 15-Mar-11 |
Net Proceeds | 195.9 |
Gain on Sale of Assets | $135.90 |
Recovered_Sheet3
Summary Of Significant Accounting Policies (Future Amortization Expense Of Deferred Loan Costs) (Detail) (USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Disclosure Summary Of Significant Accounting Policies Future Amortization Expense Of Deferred Loan Costs [Abstract] | ' |
2014 | $13,503 |
2015 | 13,820 |
2016 | 8,476 |
2017 | 5,994 |
2018 | 6,376 |
Thereafter | 24,879 |
Total | $73,048 |
Summary_Of_Significant_Account3
Summary Of Significant Accounting Policies (Gross And Net Intangible Assets) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Disclosure Summary Of Significant Accounting Policies Gross And Net Intangible Assets [Abstract] | ' | ' |
Gross intangible - operating rights | $36,557 | $36,557 |
Accumulated amortization | -7,942 | -6,481 |
Net intangible - operating rights | $28,615 | $30,076 |
Summary_Of_Significant_Account4
Summary Of Significant Accounting Policies (Amortization Expense) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Summary Of Significant Accounting Policies Amortization Expense [Abstract] | ' | ' | ' |
Amortization expense | $1,461 | $1,549 | $1,549 |
Summary_Of_Significant_Account5
Summary Of Significant Accounting Policies (Estimated Future Aggregate Amortization Expense) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Disclosure Summary Of Significant Accounting Policies Estimated Future Aggregate Amortization Expense [Abstract] | ' | ' |
2014 | $1,461 | ' |
2015 | 1,461 | ' |
2016 | 1,461 | ' |
2017 | 1,461 | ' |
2018 | 1,461 | ' |
Thereafter | 21,310 | ' |
Net intangible - operating rights | $28,615 | $30,076 |
Exploratory_Well_Costs_Capital
Exploratory Well Costs (Capitalized Exploratory Well Activity) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Exploratory Well Costs Capitalized Exploratory Well Activity [Abstract] | ' | ' | ' |
Beginning capitalized exploratory well costs | $118,806 | $107,767 | $46,826 |
Additions to exploratory well costs pending the determination of proved reserves | 130,967 | 112,529 | 106,195 |
Reclassifications due to determination of proved reserves | -94,114 | -99,514 | -45,254 |
Exploratory well costs charged to expense | -11,155 | -1,976 | 0 |
Ending capitalized exploratory well costs | $144,504 | $118,806 | $107,767 |
Exploratory_Well_Costs_Aging_O
Exploratory Well Costs (Aging Of Capitalized Exploratory Well Costs Based On The Date Of Drilling) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | Number | Number | ||
Disclosure Exploratory Well Costs Aging Of Capitalized Exploratory Well Costs Based On The Date Of Drilling [Abstract] | ' | ' | ' | ' |
Capitalized exploratory well costs that have been capitalized for a period of one year or less | $122,753 | $103,243 | ' | ' |
Capitalized exploratory well costs that have been capitalized for a period greater than one year | 21,751 | 15,563 | ' | ' |
Total capitalized exploratory well costs | $144,504 | $118,806 | $107,767 | $46,826 |
Projects that have Exploratory Well Costs that have been Capitalized for Period Greater than One Year, Number of Projects | 10 | 4 | ' | ' |
Exploratory_Well_Costs_Narrati
Exploratory Well Costs (Narrative) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Oil And Gas In Process Activities [Line Items] | ' | ' |
Capitalized Exploratory Well Costs That Have Been Capitalized For Period Greater Than One Year | $21,751 | $15,563 |
Southern Delaware Basin Projects [Member] | ' | ' |
Oil And Gas In Process Activities [Line Items] | ' | ' |
Capitalized Exploratory Well Costs That Have Been Capitalized For Period Greater Than One Year | 13,800 | ' |
Other Projects [Member] | ' | ' |
Oil And Gas In Process Activities [Line Items] | ' | ' |
Capitalized Exploratory Well Costs That Have Been Capitalized For Period Greater Than One Year | 5,000 | ' |
OBO Projects [Member] | ' | ' |
Oil And Gas In Process Activities [Line Items] | ' | ' |
Capitalized Exploratory Well Costs That Have Been Capitalized For Period Greater Than One Year | $3,000 | ' |
Recovered_Sheet4
Acquisitions And Business Combinations (Narrative) (Detail) (USD $) | Dec. 31, 2013 |
Three Rivers Operating Company Acquisition [Member] | ' |
Business Acquisition [Line Items] | ' |
Cash consideration | $1,014,360,000 |
Business Acquisition, Cost of Acquired Entity, Transaction Costs | 4,500,000 |
Ogx Acquisition [Member] | ' |
Business Acquisition [Line Items] | ' |
Cash consideration | 252,001,000 |
Business Acquisition, Cost of Acquired Entity, Transaction Costs | 1,900,000 |
Petroleum Development Corporation Acquisition [Member] | ' |
Business Acquisition [Line Items] | ' |
Cash consideration | 189,194,000 |
Business Acquisition, Cost of Acquired Entity, Transaction Costs | $500,000 |
Recovered_Sheet5
Acquisitions And Business Combinations (Fair Value of Net Assets) (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Three Rivers Acquisition [Member] | ' |
Business Acquisition [Line Items] | ' |
Proved Oil and gas properties | $683,482 |
Unproved oil and gas properties | 359,109 |
Total assets acquired | 1,042,591 |
Current liabilities | -2,229 |
Assets Retirement obligation and other liabilities assumed | -26,002 |
Fair value of net assets acquired | 1,014,360 |
Cash consideration | 1,014,360 |
PDC Acquisition [Member] | ' |
Business Acquisition [Line Items] | ' |
Current assets | 2,366 |
Proved Oil and gas properties | 159,314 |
Unproved oil and gas properties | 29,687 |
Total assets acquired | 191,367 |
Current liabilities | -123 |
Assets Retirement obligation and other liabilities assumed | -2,050 |
Fair value of net assets acquired | 189,194 |
Cash consideration | 189,194 |
Ogx Acquisition [Member] | ' |
Business Acquisition [Line Items] | ' |
Current assets | 5,579 |
Proved Oil and gas properties | 98,383 |
Unproved oil and gas properties | 164,798 |
Total assets acquired | 268,760 |
Current liabilities | -16,438 |
Assets Retirement obligation and other liabilities assumed | -321 |
Fair value of net assets acquired | 252,001 |
Cash consideration | $252,001 |
Acquisitions_And_Business_Comb2
Acquisitions And Business Combinations (Pro Forma Data) (Detail) (USD $) | 12 Months Ended | |
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2012 | Dec. 31, 2011 |
Business Acquisition, Pro Forma Information [Abstract] | ' | ' |
Business Acquisition, Pro Forma Revenue | $1,885,821 | $1,767,806 |
Business Acquisition, Pro Forma Net Income (Loss) | $374,569 | $423,320 |
Business Acquisition, Pro Forma Earnings Per Share, Basic | $3.63 | $4.13 |
Business Acquisition, Pro Forma Earnings Per Share, Diluted | $3.60 | $4.08 |
Asset_Retirement_Obligations_S
Asset Retirement Obligations (Schedule Of Asset Retirement Obligation Transactions) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Asset Retirement Obligations Schedule Of Asset Retirement Obligation Transactions [Abstract] | ' | ' | ' |
Asset retirement obligations, beginning of period | $86,261 | $59,685 | $43,326 |
Liabilities incurred from new wells | 6,338 | 7,729 | 7,178 |
Liabilities assumed in acquisitions | 593 | 29,113 | 527 |
Accretion expense for continuing operations | 6,047 | 4,187 | 2,444 |
Accretion expense for discontinued operations | 0 | 1,004 | 529 |
Disposition of wells | 0 | -24,614 | -463 |
Liabilities settled upon plugging and abandoning wells | -3,447 | -1,261 | -686 |
Revision of estimates | 5,801 | 10,418 | 6,830 |
Asset retirement obligations, end of period | $101,593 | $86,261 | $59,685 |
Incentive_Plans_Narrative_Deta
Incentive Plans (Narrative) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Defined Benefit Plans And Other Postretirement Benefit Plans Table Text Block [Line Items] | ' | ' | ' |
Defined contribution plan, employers contribution | $6.60 | $5.30 | $2.50 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Exercises in Period, Total Intrinsic Value | $13.20 | $39.80 | $58.80 |
Incentive_Plans_Summary_Of_Sto
Incentive Plans (Summary Of Stock Incentive Plan) (Detail) | Dec. 31, 2013 | Dec. 31, 2012 | |
Disclosure Incentive Plans Summary Of Stock Incentive Plan [Abstract] | ' | ' | |
Approved and authorized awards | 7,500,000 | ' | |
Restricted stock grants, net of forfeitures | -2,362,158 | ' | |
Stock option grants, net of forfeitures | -3,463,720 | ' | |
Performance unit grants | -332,667 | [1] | ' |
Treasury shares | 127,305 | 86,861 | |
Awards available for future grant | 1,468,760 | ' | |
[1] | This amount represents the 110,889 performance units granted multiplied by the maximum potential payout of 300 percent. The actual payout of shares may be between zero percent and 300 percent of the performance units granted depending on the Company's performance at the end of the performance period. |
Incentive_Plans_Schedule_Of_Re
Incentive Plans (Schedule Of Restricted Stock Awards Activity) (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Disclosure Incentive Plans Schedule Of Restricted Stock Awards Activity [Abstract] | ' | ' | ' |
Outstanding at beginning of period | 1,072,527 | 912,013 | 820,884 |
Shares granted | 498,468 | 470,633 | 306,891 |
Shares cancelled / forfeited | -118,472 | -58,727 | -59,576 |
Lapse of restrictions | -236,074 | -251,392 | -156,186 |
Outstanding at end of period | 1,216,449 | 1,072,527 | 912,013 |
Shares Granted - Grant Date Value Per Share | $88.19 | $98.31 | $95.41 |
Incentive_Plans_Summary_Inform
Incentive Plans (Summary Information For Stock-Based Compensation For Restricted Stock Awards) (Detail) (Restricted Stock [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Restricted Stock [Member] | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' |
Grant date fair value for awards during the period | $44,947 | $46,268 | $29,280 |
Stock-based compensation expense from restricted stock | 30,984 | 29,685 | 18,391 |
Income tax benefit related to restricted stock | 11,650 | 11,349 | 7,030 |
Deductions in current taxable income related to restricted stock | $20,883 | $23,570 | $15,273 |
Incentive_Plans_Schedule_Of_St
Incentive Plans (Schedule Of Stock Option Awards Activity) (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Disclosure Incentive Plans Schedule Of Stock Option Awards Activity [Abstract] | ' | ' | ' |
Outstanding at beginning of period (Shares) | 429,879 | 930,178 | 1,597,003 |
Options exercised (Shares) | -174,342 | -500,299 | -666,825 |
Outstanding at end of period (Shares) | 255,537 | 429,879 | 930,178 |
Vested and Exerciable (Shares) | 255,537 | 403,077 | 771,074 |
Outstanding at beginning of period | $20.28 | $18.10 | $15.43 |
Options exercised | $18.48 | $16.24 | $11.70 |
Outstanding at end of period | $21.50 | $20.28 | $18.10 |
Weighted Average Exercise Price, Vested and exercisable options | $21.50 | $20.24 | $17.37 |
Incentive_Plans_Summary_Inform1
Incentive Plans (Summary Information For Vested And Exercisable Stock Options Outstanding) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ' | ' | ' |
Vested and Exerciable (Shares) | 255,537 | 403,077 | 771,074 |
Weighted Average Remaining Contractual Life, Vested and exercisable options, years | '4 years 3 months | '4 years 8 months | '5 years 2 months |
Weighted Average Exercise Price, Vested and exercisable options | $21.50 | $20.24 | $17.37 |
Intrinsic Value, Vested and exercisable options | $22,103 | $24,313 | $58,893 |
Range One [Member] | ' | ' | ' |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ' | ' | ' |
Exercise price | $8 | $8 | $8 |
Vested and Exerciable (Shares) | 600 | 15,244 | 125,781 |
Weighted Average Remaining Contractual Life, Vested and exercisable options, years | '0 years 7 months | '1 year 7 months | '2 years 7 months |
Weighted Average Exercise Price, Vested and exercisable options | $8 | $8 | $8 |
Intrinsic Value, Vested and exercisable options | 60 | 1,105 | 10,786 |
Range Two [Member] | ' | ' | ' |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ' | ' | ' |
Exercise price | $12 | $12 | $12 |
Vested and Exerciable (Shares) | 15,587 | 40,911 | 52,911 |
Weighted Average Remaining Contractual Life, Vested and exercisable options, years | '1 year 11 months | '2 years 10 months | '3 years 46 months |
Weighted Average Exercise Price, Vested and exercisable options | $12 | $12 | $12 |
Intrinsic Value, Vested and exercisable options | 1,496 | 2,805 | 4,325 |
Range Three [Member] | ' | ' | ' |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ' | ' | ' |
Exercise price, Lower range | $12.50 | $12.50 | $12.50 |
Exercise price, Upper range | $15.50 | $15.50 | $15.50 |
Vested and Exerciable (Shares) | 15,000 | 77,500 | 240,000 |
Weighted Average Remaining Contractual Life, Vested and exercisable options, years | '3 years 7 months | '3 years 10 months | '5 years 0 months |
Weighted Average Exercise Price, Vested and exercisable options | $12.85 | $14.91 | $14.18 |
Intrinsic Value, Vested and exercisable options | 1,427 | 5,088 | 19,097 |
Range Four [Member] | ' | ' | ' |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ' | ' | ' |
Exercise price, Lower range | $20 | $20 | $20 |
Exercise price, Upper range | $23 | $23 | $23 |
Vested and Exerciable (Shares) | 192,895 | 209,687 | 280,087 |
Weighted Average Remaining Contractual Life, Vested and exercisable options, years | '4 years 6 months | '5 years 5 months | '6 years 4 months |
Weighted Average Exercise Price, Vested and exercisable options | $21.40 | $21.57 | $21.67 |
Intrinsic Value, Vested and exercisable options | 16,705 | 12,369 | 20,188 |
Range Five [Member] | ' | ' | ' |
Share Based Compensation Shares Authorized Under Stock Option Plans Exercise Price Range [Line Items] | ' | ' | ' |
Exercise price, Lower range | $28 | $28 | $28 |
Exercise price, Upper range | $37.27 | $37.27 | $37.27 |
Vested and Exerciable (Shares) | 31,455 | 59,735 | 72,295 |
Weighted Average Remaining Contractual Life, Vested and exercisable options, years | '4 years 53 months | '5 years 5 months | '6 years 5 months |
Weighted Average Exercise Price, Vested and exercisable options | $31.24 | $31.25 | $31.55 |
Intrinsic Value, Vested and exercisable options | $2,415 | $2,946 | $4,497 |
Incentive_Plans_Summary_Inform2
Incentive Plans (Summary Information For Stock-Based Compensation For Stock Options) (Detail) (Stock Options [Member], USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Stock Options [Member] | ' | ' | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' | ' | ' |
Stock-based compensation expense from stock options | $14 | $187 | $880 |
Income tax benefit related to stock options | 6 | 72 | 337 |
Deductions in current taxable income related to stock options exercised | $13,193 | $39,828 | $58,772 |
Incentive_Plans_Summary_Of_Ass
Incentive Plans (Summary Of Assumptions To Estimate Fair Value of Performance Unit Awards) (Detail) | 12 Months Ended |
Dec. 31, 2013 | |
Disclosure Incentive Plans Schedule Of Performance Unit Awards Fair Value Assumptions [Abstract] | ' |
Risk-free interest rate | 0.37% |
Volatility assumption - minimum | 31.50% |
Volatility assumption - maximum | 45.10% |
Incentive_Plans_Schedule_Of_Pe
Incentive Plans (Schedule Of Performance Unit Awards Activity) (Detail) (USD $) | 12 Months Ended | |
Dec. 31, 2013 | Dec. 31, 2012 | |
Disclosure Incentive Plans Schedule Of Performance Unit Awards Activity [Abstract] | ' | ' |
Performance units outstanding at beginning of period (Shares) | 110,889 | 0 |
Units granted | 110,889 | ' |
Performance units outstanding at end of period (Shares) | 110,889 | 0 |
Shares Granted - Grant Date Fair Value - Performance Units | $111.40 | ' |
Incentive_Plans_Summary_Inform3
Incentive Plans (Summary Information For Stock-Based Compensation For Performance Units) (Detail) (Performance Shares [Member], USD $) | 12 Months Ended |
In Thousands, unless otherwise specified | Dec. 31, 2013 |
Performance Shares [Member] | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' |
Grant date fair value for awards during the period | $12,352 |
Allocated Share Based Compensation Expense | 4,080 |
Employee Service Share Based Compensation Tax Benefit From Compensation Expense | $1,560 |
Incentive_Plans_Summary_For_Fu
Incentive Plans (Summary For Future Stock-Based Compensation Expense) (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' |
2014 | $31,586 |
2015 | 18,971 |
2016 | 5,477 |
2017 | 755 |
2018 | 45 |
Total | 56,834 |
Restricted Stock [Member] | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' |
2014 | 27,468 |
2015 | 14,817 |
2016 | 5,477 |
2017 | 755 |
2018 | 45 |
Total | 48,562 |
Performance Shares [Member] | ' |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ' |
2014 | 4,118 |
2015 | 4,154 |
2016 | 0 |
2017 | 0 |
2018 | 0 |
Total | $8,272 |
Recovered_Sheet6
Disclosures About Fair Value Of Financial Instruments (Carrying Amounts And Fair Values Of The Company's Financial Instruments) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Credit facility | $250,000 | $304,000 |
Eight Point Six Two Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 0 | 300,000 |
Seven Point Zero Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
Six Point Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
Five Point Five Percent Unsecured Senior Notes Due Twenty Twenty Three [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 1,550,000 | 700,000 |
Carrying Reported Amount Fair Value Disclosure [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Derivative instruments, Assets | 1,556 | 38,711 |
Derivative instruments, Liabilities | 67,789 | 13,633 |
Credit facility | 250,000 | 304,000 |
Carrying Reported Amount Fair Value Disclosure [Member] | Eight Point Six Two Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 0 | 297,103 |
Carrying Reported Amount Fair Value Disclosure [Member] | Seven Point Zero Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
Carrying Reported Amount Fair Value Disclosure [Member] | Six Point Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
Carrying Reported Amount Fair Value Disclosure [Member] | Five Piont Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
Carrying Reported Amount Fair Value Disclosure [Member] | Five Point Five Percent Unsecured Senior Notes Due Twenty Twenty Three [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 1,580,421 | 700,000 |
Portion At Fair Value Fair Value Disclosure [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Derivative instruments, Assets | 1,556 | 38,711 |
Derivative instruments, Liabilities | 67,789 | 13,633 |
Credit facility | 250,770 | 299,679 |
Portion At Fair Value Fair Value Disclosure [Member] | Eight Point Six Two Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 0 | 323,471 |
Portion At Fair Value Fair Value Disclosure [Member] | Seven Point Zero Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 660,000 | 669,000 |
Portion At Fair Value Fair Value Disclosure [Member] | Six Point Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 649,500 | 660,000 |
Portion At Fair Value Fair Value Disclosure [Member] | Five Piont Five Percent Unsecured Senior Notes [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | 619,500 | 633,000 |
Portion At Fair Value Fair Value Disclosure [Member] | Five Point Five Percent Unsecured Senior Notes Due Twenty Twenty Three [Member] | ' | ' |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ' | ' |
Unsecured senior notes | $1,627,834 | $733,250 |
Recovered_Sheet7
Disclosures About Fair Value Of Financial Instruments (Company's Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ' | ' |
Current derivative contracts, assets | $590 | $35,942 |
Noncurrent derivative contracts, assets | 966 | 2,769 |
Current derivative contracts, liabilities | -53,701 | -1,584 |
Noncurrent derivative contracts, liabilities | -14,088 | -12,049 |
Net derivative instruments | -66,233 | 25,078 |
Fair Value Inputs Level 1 [Member] | ' | ' |
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ' | ' |
Current derivative contracts, assets | 0 | 0 |
Noncurrent derivative contracts, assets | 0 | 0 |
Current derivative contracts, liabilities | 0 | 0 |
Noncurrent derivative contracts, liabilities | 0 | 0 |
Net derivative instruments | 0 | 0 |
Fair Value Inputs Level 2 [Member] | ' | ' |
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ' | ' |
Current derivative contracts, assets | 12,819 | 56,471 |
Noncurrent derivative contracts, assets | 5,300 | 12,108 |
Current derivative contracts, liabilities | 65,930 | 22,113 |
Noncurrent derivative contracts, liabilities | -18,422 | -21,388 |
Net derivative instruments | -66,233 | 25,078 |
Fair Value Inputs Level 3 [Member] | ' | ' |
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ' | ' |
Current derivative contracts, assets | 0 | 0 |
Noncurrent derivative contracts, assets | 0 | 0 |
Current derivative contracts, liabilities | 0 | 0 |
Noncurrent derivative contracts, liabilities | 0 | 0 |
Net derivative instruments | 0 | 0 |
Estimate Of Fair Value Fair Value Disclosure [Member] | ' | ' |
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ' | ' |
Current derivative contracts, assets | 12,819 | 56,471 |
Noncurrent derivative contracts, assets | 5,300 | 12,108 |
Current derivative contracts, liabilities | 65,930 | 22,113 |
Noncurrent derivative contracts, liabilities | -18,422 | -21,388 |
Net derivative instruments | -66,233 | 25,078 |
Gross Amounts Offset in Consolidated Balance Sheet [Member] | ' | ' |
Fair Value Off Balance Sheet Risks Disclosure Information [Line Items] | ' | ' |
Current derivative contracts, assets | -12,229 | -20,529 |
Noncurrent derivative contracts, assets | -4,334 | -9,339 |
Current derivative contracts, liabilities | -12,229 | -20,529 |
Noncurrent derivative contracts, liabilities | 4,334 | 9,339 |
Net derivative instruments | $0 | $0 |
Disclosures_About_Fair_Value_O2
Disclosures About Fair Value Of Financial Instruments (Fair Value Derivative Instruments) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Current:(b) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, current | $590 | $35,942 |
Noncurrent:(c) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, noncurrent | 966 | 2,769 |
Current:(b) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, current | -53,701 | -1,584 |
Noncurrent:(c) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, noncurrent | -14,088 | -12,049 |
Net financial assets (liabilities) | -66,233 | 25,078 |
Fair Value Inputs Level 1 [Member] | ' | ' |
Current:(b) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, current | 0 | 0 |
Noncurrent:(c) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, noncurrent | 0 | 0 |
Current:(b) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, current | 0 | 0 |
Noncurrent:(c) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, noncurrent | 0 | 0 |
Net financial assets (liabilities) | 0 | 0 |
Fair Value Inputs Level 2 [Member] | ' | ' |
Current:(b) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, current | 12,819 | 56,471 |
Noncurrent:(c) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, noncurrent | 5,300 | 12,108 |
Current:(b) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, current | 65,930 | 22,113 |
Noncurrent:(c) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, noncurrent | -18,422 | -21,388 |
Net financial assets (liabilities) | -66,233 | 25,078 |
Fair Value Inputs Level 3 [Member] | ' | ' |
Current:(b) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, current | 0 | 0 |
Noncurrent:(c) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, noncurrent | 0 | 0 |
Current:(b) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, current | 0 | 0 |
Noncurrent:(c) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, noncurrent | 0 | 0 |
Net financial assets (liabilities) | 0 | 0 |
Estimate Of Fair Value Fair Value Disclosure [Member] | ' | ' |
Current:(b) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, current | 12,819 | 56,471 |
Noncurrent:(c) | ' | ' |
Fair value assets measured on recurring basis, derivative financial instruments assets, noncurrent | 5,300 | 12,108 |
Current:(b) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, current | 65,930 | 22,113 |
Noncurrent:(c) | ' | ' |
Fair value liabilities measured on recurring basis, derivative financial instruments liabilities, noncurrent | -18,422 | -21,388 |
Net financial assets (liabilities) | ($66,233) | $25,078 |
Disclosures_About_Fair_Value_O3
Disclosures About Fair Value Of Financial Instruments (Carrying Amounts, Estimated Fair Values And Impairment Expense Of Long-Lived Assets For Continuing And Discontinued Operations) (Detail) (USD $) | 3 Months Ended | 12 Months Ended | |||
In Thousands, unless otherwise specified | Jun. 30, 2013 | Dec. 31, 2011 | Jun. 30, 2011 | Dec. 31, 2013 | Dec. 31, 2011 |
Disclosure Disclosures About Fair Value Of Financial Instruments Carrying Amounts Estimated Fair Values And Impairment Expense Of Long Lived Assets For Continuing And Discontinued Operations [Abstract] | ' | ' | ' | ' | ' |
Carrying Amount | $84,140 | $380 | $77 | ' | ' |
Estimated Fair Value | 18,765 | 17 | 1 | ' | ' |
Impairment Expense | $65,375 | $363 | $76 | $65,400 | $400 |
Recovered_Sheet8
Derivative Financial Instruments (Gains And Losses Reported In Earnings Related To The Commodity And Interest Rate Derivative Instruments) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity And Interest Rate Derivative Instruments [Line Items] | ' | ' | ' |
Cash (payments on) receipts from derivatives not designated as hedges | $32,341 | ($23,536) | $84,854 |
Mark-to-market gain (loss) | -123,652 | 127,443 | -23,350 |
Oil Commodity Derivative [Member] | ' | ' | ' |
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity And Interest Rate Derivative Instruments [Line Items] | ' | ' | ' |
Cash (payments on) receipts from derivatives not designated as hedges | -41,616 | 22,411 | -103,969 |
Mark-to-market gain (loss) | -133,890 | 127,293 | -28,589 |
Natural Gas Commodity Derivative [Member] | ' | ' | ' |
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity And Interest Rate Derivative Instruments [Line Items] | ' | ' | ' |
Cash (payments on) receipts from derivatives not designated as hedges | 9,275 | 1,125 | 25,739 |
Mark-to-market gain (loss) | 10,238 | 150 | 6,109 |
Interest Rate Contract [Member] | ' | ' | ' |
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity And Interest Rate Derivative Instruments [Line Items] | ' | ' | ' |
Cash (payments on) receipts from derivatives not designated as hedges | 0 | 0 | -6,624 |
Mark-to-market gain (loss) | $0 | $0 | ($870) |
Recovered_Sheet9
Derivative Financial Instruments (Outstanding Commodity Derivative Contracts) (Detail) (Oil Swaps [Member]) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2014 | |
bbl | bbl | bbl | bbl | bbl | |
Oil Swaps [Member] | ' | ' | ' | ' | ' |
Derivative [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Year Three | 0 | 0 | 84,000 | 84,000 | 168,000 |
Price per Bbl/MMBtu - Year Three | 0 | 0 | 87 | 87 | 87 |
Debt_Summary_Of_LongTerm_Debt_
Debt (Summary Of Long-Term Debt) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Credit facility | $250,000 | $304,000 |
Unamortized original issue discount, net | 30,421 | -2,897 |
Less: current portion | 0 | 0 |
Total long-term debt | 3,630,421 | 3,101,103 |
8.625% senior notes due 2017 | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Unsecured senior notes | 0 | 300,000 |
7.0% senior notes due 2021 | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
6.5% senior notes due 2022 | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
5.5% unsecured senior notes due 2022 | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Unsecured senior notes | 600,000 | 600,000 |
5.5% unsecured senior notes due 2023 | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Unsecured senior notes | $1,550,000 | $700,000 |
Debt_Narrative_Detail
Debt (Narrative) (Detail) (USD $) | 12 Months Ended | ||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Debt Disclosure [Line Items] | ' | ' | ' |
Line of credit maturity date | 25-Apr-16 | ' | ' |
Aggregate lender commitments | $2,500,000,000 | ' | ' |
Aggregate maximum borrowing base | 3,000,000,000 | ' | ' |
Percentage of lenders required for special redetermination | 66.67% | ' | ' |
Line of credit interest rate | 3.25% | ' | ' |
Debt Related Commitment Fees and Debt Issuance Costs | 8,300,000 | 6,300,000 | 6,200,000 |
Loss on extinguishment of debt | 28,616,000 | 0 | 0 |
Minimum [Member] | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Commitment fees on unused portion of available commitment fee | 37.50% | ' | ' |
Debt to earnings ratio | '1.0 | ' | ' |
Current assets to current liabilities ratio | '1.0 | ' | ' |
Maximum [Member] | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Commitment fees on unused portion of available commitment fee | 50.00% | ' | ' |
Debt to earnings ratio | '4.0 | ' | ' |
Current assets to current liabilities ratio | '1.0 | ' | ' |
Prime Rate [Member] | Minimum [Member] | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Line Of Credit Facility Interest Rate At Period End | 0.50% | ' | ' |
Prime Rate [Member] | Maximum [Member] | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Line Of Credit Facility Interest Rate At Period End | 1.50% | ' | ' |
Eurodollar Future [Member] | Minimum [Member] | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Line Of Credit Facility Interest Rate At Period End | 1.50% | ' | ' |
Eurodollar Future [Member] | Maximum [Member] | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Line Of Credit Facility Interest Rate At Period End | 2.50% | ' | ' |
Same-Day Advance Facility | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Credit facility interest rate description | 'The interest rate on this facility is the JPM Prime Rate plus the applicable interest margin. | ' | ' |
Credit Facility borrowing capacity | 25,000,000 | ' | ' |
8.625% senior notes due 2017 | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Debt Instrument, Repurchased Face Amount | 225,600,000 | ' | ' |
Percentage Of Notes Tendered | 75.20% | ' | ' |
Price Of Tender And Consent | 106.92% | ' | ' |
Price Of Remaining Notes Tendered | 106.52% | ' | ' |
Loss on extinguishment of debt | 28,600,000 | ' | ' |
Premium Paid For Tender Offer | 20,400,000 | ' | ' |
Unamortized Debt Issuance Expense | 5,500,000 | ' | ' |
Debt Instrument, Unamortized Discount | 2,700,000 | ' | ' |
5.5% unsecured senior notes due 2023 | ' | ' | ' |
Debt Disclosure [Line Items] | ' | ' | ' |
Debt Instrument Issuance Month | '2013-06 | ' | ' |
Debt instrument amount issued | 850,000,000 | ' | ' |
Interest rate | 5.50% | ' | ' |
Debt instrument percent of par due | 103.75% | ' | ' |
Debt Instrument Maturity Year | '2023 | ' | ' |
Resulting Yield | 4.88% | ' | ' |
Proceeds from Debt, Net of Issuance Costs | $867,800,000 | ' | ' |
Debt_Future_Interest_Expense_F
Debt (Future Interest Expense From Original Issue Discount On Senior Notes) (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Disclosure Debt Future Interest Expense From Original Issue Discount On Senior Notes [Abstract] | ' |
2014 | $2,602 |
2015 | 2,747 |
2016 | 2,900 |
2017 | 3,062 |
2018 | 3,233 |
Thereafter | 15,877 |
Total | $30,421 |
Debt_Principal_Maturities_Of_D
Debt (Principal Maturities Of Debt) (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Disclosure Debt Principal Maturities Of Debt [Abstract] | ' |
2014 | $0 |
2015 | 0 |
2016 | 250,000 |
2017 | 0 |
2018 | 0 |
Thereafter | 3,350,000 |
Total | $3,600,000 |
Debt_Summary_Of_Interest_Expen
Debt (Summary Of Interest Expense) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Debt Summary Of Interest Expense [Abstract] | ' | ' | ' |
Cash payments for interest | $200,961 | $158,715 | $77,921 |
Amortization of original issue discount (premium) | -1,248 | 462 | 133 |
Amortization of deferred loan origination costs | 13,172 | 11,958 | 11,653 |
Write-off of deferred loan origination costs and original issue premium | 0 | 0 | -8,513 |
Net changes in accruals | 5,696 | 11,570 | 37,239 |
Interest costs incurred | 218,581 | 182,705 | 118,433 |
Less: capitalized interest | 0 | 0 | -73 |
Total interest expense | $218,581 | $182,705 | $118,360 |
Recovered_Sheet10
Commitments And Contingencies (Narrative) (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Commitments [Line Items] | ' | ' | ' |
Annual officers' salaries | $5.90 | ' | ' |
Operating leases, lease payments | 5.7 | 4.7 | 3.6 |
Accrued Exposure | $12.20 | $1 | ' |
Commitments_And_Contingencies_1
Commitments And Contingencies (Future Drilling Commitments) (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Disclosure Commitments And Contingencies Future Drilling Commitments [Abstract] | ' |
Total | $17,868 |
Paymets Less than 1 year | 17,038 |
Payments Due By Period 1 - 3 years | 830 |
Payments Due By Period 3 - 5 years | 0 |
More than 5 years | $0 |
Commitments_And_Contingencies_2
Commitments And Contingencies (Future Minimum Lease Commitments Under Non-Cancellable Operating Leases) (Detail) (USD $) | Dec. 31, 2013 |
In Thousands, unless otherwise specified | |
Disclosure Commitments And Contingencies Future Minimum Lease Commitments Under Non Cancellable Operating Leases [Abstract] | ' |
2014 | $5,922 |
2015 | 4,637 |
2016 | 3,009 |
2017 | 926 |
2018 | 469 |
Thereafter | 2,172 |
Total | $17,135 |
Income_Taxes_Narrative_Detail
Income Taxes (Narrative) (Detail) (USD $) | 12 Months Ended | |||
Dec. 13, 2018 | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | |
Disclosure Income Taxes Narrative [Abstract] | ' | ' | ' | ' |
Income taxes receivable, current | ' | $10,700,000 | ' | ' |
Income taxes payable, current | ' | 1,700,000 | 2,100,000 | ' |
Change in effective statutory state income tax | ' | ($21,876,000) | $0 | $0 |
Income Tax Reconciliation, Change in Enacted Tax Rate Per Share | ' | $0.21 | ' | ' |
New Mexico State Tax Rate | 5.90% | 7.60% | ' | ' |
Income_Taxes_Companys_Income_T
Income Taxes (Company's Income Tax Provision (Benefit)) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Income Taxes Companys Income Tax Provision Benefit [Abstract] | ' | ' | ' |
Income from continuing operations | $118,237 | $251,041 | $261,800 |
Income from discontinued operations | 7,518 | 14,519 | 78,224 |
Excess tax benefits related to stock-based compensation | -6,147 | -18,963 | -24,037 |
Income Tax Expense Benefit Net Of Excess Tax Benefits, Total | $119,608 | $246,597 | $315,987 |
Income_Taxes_Income_Tax_Provis
Income Taxes (Income Tax Provision (Benefit) Attributable To Income (Loss) From Continuing Operations) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Income Taxes Income Tax Provision Benefit Attributable To Income Loss From Continuing Operations [Abstract] | ' | ' | ' |
U.S. federal | $12,504 | $7,066 | $9,233 |
U.S. state and local | 3,306 | 2,156 | 2,684 |
Total current income tax provision | 15,810 | 9,222 | 11,917 |
U.S. federal | 119,985 | 210,527 | 218,546 |
U.S. state and local | -17,558 | 31,292 | 31,337 |
Total deferred income tax provision | 102,427 | 241,819 | 249,883 |
Total income tax provision attributable to income from continuing operations | $118,237 | $251,041 | $261,800 |
Income_Taxes_Reconciliation_Be
Income Taxes (Reconciliation Between The Income Tax Expense (Benefit) And The Reported Amounts Of Income Tax Expense) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Income Taxes Reconciliation Between The Income Tax Expense Benefit And The Reported Amounts Of Income Tax Expense [Abstract] | ' | ' | ' |
Income at U.S. federal statutory rate | $125,006 | $230,745 | $238,467 |
State income taxes (net of federal tax effect) | 12,505 | 21,192 | 22,002 |
Revision of previous estimates | 1,400 | 219 | 0 |
Statutory depletion | -39 | -261 | -204 |
Change in effective statutory state income tax | -21,876 | 0 | 0 |
Nondeductible expense & other | 1,241 | -854 | 1,535 |
Income tax expense | $118,237 | $251,041 | $261,800 |
Effective tax rate | 33.10% | 38.10% | 38.40% |
Income_Taxes_Companys_Income_T1
Income Taxes (Company's Income Tax Provision Attributable To Income From Discontinued Operations) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Income Taxes Companys Income Tax Provision Attributable To Income From Discontinued Operations [Abstract] | ' | ' | ' |
U.S. federal, current | $144 | $14,023 | $8,638 |
U.S. state and local, current | 25 | 1,667 | 103 |
Total current income tax benefit | 169 | 15,690 | 8,741 |
U.S. federal, deferred | 6,397 | -1,392 | 59,417 |
U.S. state and local, deferred | 952 | 221 | 10,066 |
Total deferred income tax provision | 7,349 | -1,171 | 69,483 |
Total income tax provision attributable to income from discontinued operations | $7,518 | $14,519 | $78,224 |
Income_Taxes_Deferred_Tax_Asse
Income Taxes (Deferred Tax Assets and Liabilities) (Details) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Components of Deferred Tax Assets and Liabilities [Abstract] | ' | ' |
Stock Based Compensation | $23,262 | $17,181 |
Derivative Instruments | 24,904 | 0 |
Asset retirement obligation | 38,241 | 32,978 |
Other | 9,500 | 5,546 |
Total Deferred tax assets | 95,907 | 55,705 |
Oil and Gas Properties deduction of intangible drilling cost due to tax purpose | -1,383,929 | -1,228,572 |
Intangible Assets - Operating rights | -10,759 | -11,498 |
Derivative instruments | 0 | -9,588 |
Other | -5,803 | -1,234 |
Deferred Tax Liabilities, Gross | -1,400,491 | -1,250,892 |
Net deferred tax liabilities | ($1,304,584) | ($1,195,187) |
Recovered_Sheet11
Major Customers and Derivative Counterparties (Detail) (USD $) | 12 Months Ended | ||
In Millions, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Holly Frontier Refining and Marketing LLC [Member] | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Major Customer Percentage | 30.00% | 26.00% | 34.00% |
Entity Wide Receivables Major Customer | $56.50 | ' | ' |
Enterprise Crude Oil LLC [Member] | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Major Customer Percentage | 13.00% | 6.00% | 5.00% |
Entity Wide Receivables Major Customer | $36.50 | ' | ' |
DCP Midstream LP [Member] | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Major Customer Percentage | 8.00% | 8.00% | 14.00% |
Phillips 66 [Member] | ' | ' | ' |
Revenue, Major Customer [Line Items] | ' | ' | ' |
Major Customer Percentage | 6.00% | 14.00% | 15.00% |
Related_Party_Transactions_Sch
Related Party Transactions (Schedule Of Related Party Transactions) (Detail) (USD $) | 12 Months Ended | |||||
Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | ||||
Related Party Transaction [Line Items] | ' | ' | ' | |||
Royalty interests of a director of the Company | $0 | $185,000 | ' | |||
Ownership interest in system | 3.50% | ' | ' | |||
Partnership (Director Ownership Interest) [Member] | ' | ' | ' | |||
Related Party Transaction [Line Items] | ' | ' | ' | |||
Royalty interest paid | 7,255,000 | [1] | 2,444,000 | [1] | 721,000 | [1] |
Director And Certain Officers [Member] | ' | ' | ' | |||
Related Party Transaction [Line Items] | ' | ' | ' | |||
Royalty interest paid | 43,000 | [2] | 77,000 | [2] | 0 | [2] |
Royalty interests of a director of the Company | 0 | [2] | 185,000 | [2] | ' | |
Payments for Notes to Directors and Officers | 1,300,000 | ' | ' | |||
Former President And Chief Operating Officer [Member] | ' | ' | ' | |||
Related Party Transaction [Line Items] | ' | ' | ' | |||
Royalty interest paid | 865,000 | [3] | 251,000 | [3] | 250,000 | [3] |
Consulting fee per month | 20,000 | ' | ' | |||
Payment To Mutually Terminate Consulting Agreement | $720,000 | ' | ' | |||
[1] | Royalties paid on certain properties to a partnership of which a director of the Company is the general partner and owns a 3.5 percent partnership interest. | |||||
[2] | Payments made to a director and certain officers who directly own overriding royalty interests in properties owned by the Company. | |||||
[3] | On JuneB 30, 2009, Steven L. Beal, the Companybs then-president and chief operating officer, retired from such positions. On JuneB 9, 2009, the Company entered into a consulting agreement (the bConsulting Agreementb) with Mr.B Beal, under which Mr.B Beal began serving as a consultant to the Company on JulyB 1, 2009. During the term of the consulting relationship, Mr. Beal received a consulting fee of $20,000 per month and a monthly reimbursement for his medical and dental coverage costs. In August 2013, the Company and Mr. Beal mutually terminated the Consulting Agreement in exchange for the payment to Mr. Beal of $720,000, which termination and payment were approved by the disinterested members of the Companybs Board of Directors. |
Discontinued_Operations_Narrat
Discontinued Operations (Narrative) (Detail) (USD $) | 12 Months Ended | 3 Months Ended |
In Millions, unless otherwise specified | Dec. 31, 2013 | Mar. 31, 2011 |
Non Core Assets [Member] | Bakken [Member] | |
Income Statement Balance Sheet And Additional Disclosures By Disposal Groups Including Discontinued Operations [Line Items] | ' | ' |
Approximate discontinued operation disposal sale price | ' | ($195.90) |
Pre-tax gain on sale | ' | -135.9 |
Adjustment to gain (loss) related to discontinued operations | $19.60 | ' |
Discontinued_Operations_Schedu
Discontinued Operations (Schedule Of Discontinued Operations) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Disclosure Discontinued Operations Schedule Of Discontinued Operations [Abstract] | ' | ' | ' |
Oil sales | $0 | $101,359 | $111,890 |
Natural gas sales | 0 | 18,578 | 19,830 |
Total operating revenues | 0 | 119,937 | 131,720 |
Oil and natural gas production | 0 | 34,270 | 31,724 |
Exploration and Abandonments | 0 | 334 | 385 |
Depreciation, depletion and amortization | 0 | 30,140 | 30,462 |
Accretion of discount on asset retirement obligations | 0 | 1,004 | 529 |
General and administrative | 0 | -2,493 | -2,264 |
Total operating costs and expenses | 0 | 63,255 | 60,836 |
Income from operations | 0 | 56,682 | 70,884 |
Gain on disposition of assets, net | 19,599 | -18,704 | 135,943 |
Income from discontinued operations before income taxes | 19,599 | 37,978 | 206,827 |
Current | -169 | -15,690 | -8,741 |
Deferred | -7,349 | 1,171 | -69,483 |
Income from discontinued operations, net of tax | $12,081 | $23,459 | $128,603 |
Net_Income_Per_Share_Reconcili
Net Income Per Share (Reconciliation Of Earnings Attributable To Common Shares Basic And Diluted) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' |
Income (loss) as reported | $251,003 | $431,689 | $548,137 |
Participating basic earnings | -2,742 | 0 | 0 |
Basic net income (loss) attributable to common stockholders | 248,261 | 431,689 | 548,137 |
Reallocation of participating earnings | 4 | 0 | 0 |
Diluted net income (loss) attributable to common stockholders | 248,265 | 431,689 | 548,137 |
Basic | $2.39 | $4.18 | $5.34 |
Diluted | $2.39 | $4.15 | $5.28 |
Segment, Continuing Operations [Member] | ' | ' | ' |
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' |
Income (loss) as reported | 238,922 | 408,230 | 419,534 |
Participating basic earnings | -2,610 | 0 | 0 |
Basic net income (loss) attributable to common stockholders | 236,312 | 408,230 | 419,534 |
Reallocation of participating earnings | 4 | 0 | 0 |
Diluted net income (loss) attributable to common stockholders | 236,316 | 408,230 | 419,534 |
Basic | $2.28 | $3.96 | $4.09 |
Diluted | $2.28 | $3.93 | $4.05 |
Segment, Discontinued Operations [Member] | ' | ' | ' |
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items] | ' | ' | ' |
Income (loss) as reported | 12,081 | 23,459 | 128,603 |
Participating basic earnings | -132 | 0 | 0 |
Basic net income (loss) attributable to common stockholders | 11,949 | 23,459 | 128,603 |
Reallocation of participating earnings | 0 | 0 | 0 |
Diluted net income (loss) attributable to common stockholders | $11,949 | $23,459 | $128,603 |
Basic | $0.11 | $0.22 | $1.25 |
Diluted | $0.11 | $0.22 | $1.23 |
Net_Income_Per_Share_Reconcili1
Net Income Per Share (Reconciliation Of The Weighted Average Common Shares Outstanding) (Detail) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items] | ' | ' | ' |
Basic | 103,744 | 103,190 | 102,581 |
Diluted | 103,913 | 103,972 | 103,653 |
Stock Options [Member] | ' | ' | ' |
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items] | ' | ' | ' |
Dilutive common shares | 165 | 354 | 577 |
Restricted Stock [Member] | ' | ' | ' |
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items] | ' | ' | ' |
Dilutive common shares | 0 | 428 | 495 |
Performance Unit [Member] | ' | ' | ' |
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items] | ' | ' | ' |
Dilutive common shares | 4 | 0 | 0 |
Net_Income_Per_Share_Summary_O
Net Income Per Share (Summary Of The Common Stock Options And Restricted Stock) (Detail) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Stock Options [Member] | ' | ' | ' |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ' | ' | ' |
Antidilutive common shares | 0 | 0 | 0 |
Restricted Stock [Member] | ' | ' | ' |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ' | ' | ' |
Antidilutive common shares | 9 | 95 | 27 |
Performance Unit [Member] | ' | ' | ' |
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items] | ' | ' | ' |
Antidilutive common shares | 83 | 0 | 0 |
Other_Current_Liabilities_Sche
Other Current Liabilities (Schedule Of Other Current Liabilities) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Other Liabilities Disclosure [Abstract] | ' | ' |
Accrued production costs | $48,196 | $52,825 |
Payroll related matters | 28,498 | 16,365 |
Accrued interest | 70,000 | 64,304 |
Asset retirement obligations | 4,481 | 3,308 |
Other | 5,425 | 23,538 |
Other current liabilities | $156,600 | $160,340 |
Subsidiary_Guarantors_Condense
Subsidiary Guarantors (Condensed Consolidating Balance Sheet) (Detail) (USD $) | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 | Dec. 31, 2010 |
In Thousands, unless otherwise specified | ||||
ASSETS | ' | ' | ' | ' |
Accounts receivable - related parties | $0 | $0 | ' | ' |
Other current assets | 520,875 | 458,882 | ' | ' |
Oil and natural gas properties, net | 8,831,265 | 7,890,283 | ' | ' |
Property and equipment, net | 114,783 | 103,141 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other long-term assets | 124,241 | 137,131 | ' | ' |
Total assets | 9,591,164 | 8,589,437 | ' | ' |
LIABILITIES AND EQUITY | ' | ' | ' | ' |
Accounts payable - related parties | 0 | 185 | ' | ' |
Other current liabilities | 756,868 | 739,901 | ' | ' |
Other long-term liabilities | 1,445,926 | 1,282,052 | ' | ' |
Long-term debt | 3,630,421 | 3,101,103 | ' | ' |
Equity | 3,757,949 | 3,466,196 | 2,980,739 | 2,383,874 |
Total liabilities and stockholders' equity | 9,591,164 | 8,589,437 | ' | ' |
Parent Company [Member] | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Accounts receivable - related parties | 6,115,554 | 5,839,995 | ' | ' |
Other current assets | 39,108 | 46,737 | ' | ' |
Oil and natural gas properties, net | 0 | 0 | ' | ' |
Property and equipment, net | 0 | 0 | ' | ' |
Investment in subsidiaries | 3,896,741 | 3,146,918 | ' | ' |
Other long-term assets | 74,013 | 80,378 | ' | ' |
Total assets | 10,125,416 | 9,114,028 | ' | ' |
LIABILITIES AND EQUITY | ' | ' | ' | ' |
Accounts payable - related parties | 1,261,844 | 1,271,563 | ' | ' |
Other current liabilities | 126,461 | 76,496 | ' | ' |
Other long-term liabilities | 1,348,741 | 1,198,670 | ' | ' |
Long-term debt | 3,630,421 | 3,101,103 | ' | ' |
Equity | 3,757,949 | 3,466,196 | ' | ' |
Total liabilities and stockholders' equity | 10,125,416 | 9,114,028 | ' | ' |
Guarantor Subsidiaries [Member] | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Accounts receivable - related parties | 1,261,844 | 2,416,697 | ' | ' |
Other current assets | 481,767 | 412,145 | ' | ' |
Oil and natural gas properties, net | 8,831,265 | 7,890,283 | ' | ' |
Property and equipment, net | 114,783 | 103,141 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other long-term assets | 50,228 | 56,753 | ' | ' |
Total assets | 10,739,887 | 10,879,019 | ' | ' |
LIABILITIES AND EQUITY | ' | ' | ' | ' |
Accounts payable - related parties | 6,115,554 | 6,985,314 | ' | ' |
Other current liabilities | 630,407 | 663,405 | ' | ' |
Other long-term liabilities | 97,185 | 83,382 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Equity | 3,896,741 | 3,146,918 | ' | ' |
Total liabilities and stockholders' equity | 10,739,887 | 10,879,019 | ' | ' |
Consolidation Eliminations [Member] | ' | ' | ' | ' |
ASSETS | ' | ' | ' | ' |
Accounts receivable - related parties | -7,377,398 | -8,256,692 | ' | ' |
Other current assets | 0 | 0 | ' | ' |
Oil and natural gas properties, net | 0 | 0 | ' | ' |
Property and equipment, net | 0 | 0 | ' | ' |
Investment in subsidiaries | -3,896,741 | -3,146,918 | ' | ' |
Other long-term assets | 0 | 0 | ' | ' |
Total assets | -11,274,139 | -11,403,610 | ' | ' |
LIABILITIES AND EQUITY | ' | ' | ' | ' |
Accounts payable - related parties | -7,377,398 | -8,256,692 | ' | ' |
Other current liabilities | 0 | 0 | ' | ' |
Other long-term liabilities | 0 | 0 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Equity | -3,896,741 | -3,146,918 | ' | ' |
Total liabilities and stockholders' equity | ($11,274,139) | ($11,403,610) | ' | ' |
Subsidiary_Guarantors_Condense1
Subsidiary Guarantors (Condensed Consolidating Statement Of Operations) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Total operating revenues | $2,319,919 | $1,819,814 | $1,617,771 |
Total operating costs and expenses | 1,702,482 | 969,251 | 814,103 |
Income (loss) from continuing operations | 617,437 | 850,563 | 803,668 |
Interest expense | -218,581 | -182,705 | -118,360 |
Loss on extinguishment of debt | 28,616 | 0 | 0 |
Other, net | -13,081 | -8,587 | -3,974 |
Income before income taxes | 357,159 | 659,271 | 681,334 |
Income tax expense | -118,237 | -251,041 | -261,800 |
Income from continuing operations | 238,922 | 408,230 | 419,534 |
Income from discontinued operations, net of tax | 12,081 | 23,459 | 128,603 |
Net income | 251,003 | 431,689 | 548,137 |
Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Total operating revenues | 0 | 0 | 0 |
Total operating costs and expenses | 125,924 | 126,482 | 23,721 |
Income (loss) from continuing operations | -125,924 | 126,482 | -23,721 |
Interest expense | -218,581 | -182,705 | -118,360 |
Loss on extinguishment of debt | 28,616 | ' | ' |
Other, net | 749,878 | 753,472 | 1,030,242 |
Income before income taxes | 376,757 | 697,249 | 888,161 |
Income tax expense | -118,237 | -251,041 | -261,800 |
Income from continuing operations | 258,520 | 446,208 | 626,361 |
Income from discontinued operations, net of tax | -7,517 | -14,519 | -78,224 |
Net income | 251,003 | 431,689 | 548,137 |
Guarantor Subsidiaries [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Total operating revenues | 2,319,919 | 1,812,472 | 1,617,771 |
Total operating costs and expenses | 1,576,558 | -1,090,013 | 790,382 |
Income (loss) from continuing operations | 743,361 | 722,459 | 827,389 |
Interest expense | 0 | 0 | 0 |
Loss on extinguishment of debt | 0 | ' | ' |
Other, net | -13,136 | -3,148 | -4,074 |
Income before income taxes | 730,225 | 719,311 | 823,315 |
Income tax expense | 0 | 0 | 0 |
Income from continuing operations | 730,225 | 719,311 | 823,315 |
Income from discontinued operations, net of tax | 19,598 | 37,978 | 206,827 |
Net income | 749,823 | 757,289 | 1,030,142 |
Non-Guarantor Subsidiaries [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Total operating revenues | ' | 7,342 | ' |
Total operating costs and expenses | ' | -5,720 | ' |
Income (loss) from continuing operations | ' | 1,622 | ' |
Interest expense | ' | 0 | ' |
Other, net | ' | -6,043 | ' |
Income before income taxes | ' | -4,421 | ' |
Income tax expense | ' | 0 | ' |
Income from continuing operations | ' | -4,421 | ' |
Income from discontinued operations, net of tax | ' | 0 | ' |
Net income | ' | -4,421 | ' |
Consolidation Eliminations [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Total operating revenues | 0 | 0 | 0 |
Total operating costs and expenses | 0 | 0 | 0 |
Income (loss) from continuing operations | 0 | 0 | 0 |
Interest expense | 0 | 0 | 0 |
Loss on extinguishment of debt | 0 | ' | ' |
Other, net | -749,823 | -752,868 | -1,030,142 |
Income before income taxes | -749,823 | -752,868 | -1,030,142 |
Income tax expense | 0 | 0 | 0 |
Income from continuing operations | -749,823 | -752,868 | -1,030,142 |
Income from discontinued operations, net of tax | 0 | 0 | 0 |
Net income | ($749,823) | ($752,868) | ($1,030,142) |
Subsidiary_Guarantors_Condense2
Subsidiary Guarantors (Condensed Consolidating Statement Of Cash Flows) (Detail) (USD $) | 12 Months Ended | ||
In Thousands, unless otherwise specified | Dec. 31, 2013 | Dec. 31, 2012 | Dec. 31, 2011 |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Net cash flows provided by (used in) operating activities | $1,362,020 | $1,237,478 | $1,199,458 |
Net cash flows used in investing activities | -1,896,794 | -2,240,444 | -1,651,418 |
Net cash flows provided by (used in) financing activities | 531,915 | 1,005,504 | 451,918 |
Net increase (decrease) in cash and cash equivalents | -2,859 | 2,538 | -42 |
Cash and cash equivalents at beginning of period | 2,880 | 342 | 384 |
Cash and cash equivalents at end of period | 21 | 2,880 | 342 |
Parent Company [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Net cash flows provided by (used in) operating activities | -487,131 | -1,044,006 | -345,991 |
Net cash flows used in investing activities | -32,341 | 23,536 | -79,046 |
Net cash flows provided by (used in) financing activities | 519,472 | 1,020,470 | 424,991 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | -46 |
Cash and cash equivalents at beginning of period | 0 | 0 | 46 |
Cash and cash equivalents at end of period | 0 | 0 | 0 |
Guarantor Subsidiaries [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Net cash flows provided by (used in) operating activities | 1,849,151 | 2,278,647 | 1,545,449 |
Net cash flows used in investing activities | -1,864,453 | -1,720,242 | -1,572,372 |
Net cash flows provided by (used in) financing activities | 12,443 | -555,867 | 26,927 |
Net increase (decrease) in cash and cash equivalents | -2,859 | 2,538 | 4 |
Cash and cash equivalents at beginning of period | 2,880 | 342 | 338 |
Cash and cash equivalents at end of period | 21 | 2,880 | 342 |
Non-Guarantor Subsidiaries [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Net cash flows provided by (used in) operating activities | ' | 2,837 | ' |
Net cash flows used in investing activities | ' | -543,738 | ' |
Net cash flows provided by (used in) financing activities | ' | 540,901 | ' |
Net increase (decrease) in cash and cash equivalents | ' | 0 | ' |
Cash and cash equivalents at beginning of period | ' | 0 | ' |
Cash and cash equivalents at end of period | ' | 0 | ' |
Consolidation Eliminations [Member] | ' | ' | ' |
Condensed Financial Statements Captions [Line Items] | ' | ' | ' |
Net cash flows provided by (used in) operating activities | 0 | 0 | 0 |
Net cash flows used in investing activities | 0 | 0 | 0 |
Net cash flows provided by (used in) financing activities | 0 | 0 | 0 |
Net increase (decrease) in cash and cash equivalents | 0 | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 | 0 |
Cash and cash equivalents at end of period | $0 | $0 | $0 |
Subsequent_Events_New_Commodit
Subsequent Events (New Commodity Derivative Contracts) (Detail) | 3 Months Ended | 12 Months Ended | |||
Dec. 31, 2014 | Sep. 30, 2014 | Jun. 30, 2014 | Mar. 31, 2014 | Dec. 31, 2014 | |
bbl | bbl | bbl | bbl | bbl | |
Oil Swaps [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Current Year | 3,833,000 | 4,116,000 | 4,544,000 | 5,075,000 | 17,568,000 |
Price per Bbl/MMBtu - Current Year | 91.09 | 91.23 | 92.69 | 93.65 | 92.27 |
Volume (Bbl/MMBtu) - Year One | 2,997,000 | 3,123,000 | 3,264,000 | 3,428,000 | 12,812,000 |
Price per Bbl/MMBtu - Year One | 86.75 | 86.8 | 86.54 | 87.33 | 86.86 |
Volume (Bbl/MMBtu) - Year Two | 105,000 | 108,000 | 108,000 | 108,000 | 429,000 |
Price per Bbl/MMBtu - Year Two | 88.28 | 88.32 | 88.32 | 88.32 | 88.31 |
Oil Basis Swaps [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Current Year | 1,932,000 | 1,932,000 | 2,821,000 | 2,790,000 | 9,475,000 |
Price per Bbl/MMBtu - Current Year | -0.45 | -0.45 | -0.46 | -0.46 | -0.46 |
Oil Basis Swaps [Member] | Subsequent Event [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Current Year | 1,748,000 | 2,024,000 | 637,000 | 0 | 4,409,000 |
Price per Bbl/MMBtu - Current Year | -1.45 | -1.5 | -1.88 | 0 | -1.54 |
Natural Gas Swap [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Current Year | 1,501,000 | 1,932,000 | 2,637,000 | 3,461,000 | 9,531,000 |
Price per Bbl/MMBtu - Current Year | 4.16 | 4.15 | 4.16 | 4.17 | 4.16 |
Volume (Bbl/MMBtu) - Year One | 5,060,000 | 5,060,000 | 5,005,000 | 4,950,000 | 20,075,000 |
Price per Bbl/MMBtu - Year One | 4.15 | 4.15 | 4.15 | 4.15 | 4.15 |
Natural Gas Swap [Member] | Subsequent Event [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Current Year | 276,000 | 368,000 | 364,000 | 351,000 | 1,359,000 |
Price per Bbl/MMBtu - Current Year | 4.35 | 4.35 | 4.35 | 4.35 | 4.35 |
Natural Gas Collars [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Volume (Bbl/MMBtu) - Current Year | 5,520,000 | 5,520,000 | 5,460,000 | 5,400,000 | 21,900,000 |
Natural Gas Collars [Member] | Minimum [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Price per Bbl/MMBtu - Current Year | 3.85 | 3.85 | 3.85 | 3.85 | 3.85 |
Natural Gas Collars [Member] | Maximum [Member] | ' | ' | ' | ' | ' |
Subsequent Event [Line Items] | ' | ' | ' | ' | ' |
Price per Bbl/MMBtu - Current Year | 4.4 | 4.4 | 4.4 | 4.4 | 4.4 |