Concho Resources (CXO) 10-Q 4 May 17 2017 Q1 Quarterly report Financial data

Document and Entity Information

Document and Entity Information - shares	3 Months Ended
	Mar. 31, 2017	May 01, 2017
Document Documentand Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Mar. 31, 2017
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Trading Symbol	CXO
Entity Registrant Name	CONCHO RESOURCES INC
Entity Central Index Key	1,358,071
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		148,419,750

Consolidated Balance Sheets

Consolidated Balance Sheets - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 771	$ 53
Accounts receivable, net of allowance for doubtful accounts:
Oil and natural gas	239	220
Joint operations and other	248	238
Derivative instruments	55	4
Prepaid costs and other	40	31
Total current assets	1,353	546
Property and equipment:
Oil and natural gas properties, successful efforts method	19,287	18,476
Accumulated depletion and depreciation	(7,667)	(7,390)
Total oil and natural gas properties, net	11,620	11,086
Other property and equipment, net	209	216
Total property and equipment, net	11,829	11,302
Funds held in escrow	0	43
Deferred loan costs, net	10	11
Intangible asset - operating rights, net	24	24
Inventory	14	16
Noncurrent derivative instruments	42	0
Other assets	47	177
Total assets	13,319	12,119
Accounts payable:
Trade	35	28
Related parties	0	0
Revenue payable	139	132
Accrued and prepaid drilling costs	445	359
Derivative instruments	10	82
Other current liabilities	151	152
Total current liabilities	780	753
Long-term debt	2,741	2,741
Deferred income taxes	1,122	766
Noncurrent derivative instruments	3	96
Asset retirement obligations and other long-term liabilities	141	140
Commitments and contingencies (Note 9)
Stockholders' equity:
Common stock, $0.001 par value; 300,000,000 authorized; 148,752,676 and 146,488,685 shares issued at March 31, 2017 and December 31, 2016, respectively	0	0
Additional paid-in capital	7,061	6,783
Retained earnings	1,534	884
Treasury stock, at cost; 578,633 and 429,708 shares at March 31, 2017 and December 31, 2016, respectively	(63)	(44)
Total stockholders' equity	8,532	7,623
Total liabilities and stockholders' equity	$ 13,319	$ 12,119

Consolidated Balance Sheets (Pa

Consolidated Balance Sheets (Parenthetical) - $ / shares	Mar. 31, 2017	Dec. 31, 2016
Statement of Financial Position [Abstract]
Common stock, par value	$ 0.001	$ 0.001
Common stock, shares authorized	300,000,000	300,000,000
Common stock, shares issued	148,752,676	146,488,685
Treasury shares	578,633	429,708

Consolidated Statements of Oper

Consolidated Statements of Operations - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Operating revenues:
Oil sales	$ 502	$ 242
Natural gas sales	110	42
Total operating revenues	612	284
Operating costs and expenses:
Oil and natural gas production	87	92
Production and ad valorem taxes	48	23
Exploration and abandonments	15	23
Depreciation, depletion and amortization	283	310
Accretion of discount on asset retirement obligations	2	2
Impairments of long-lived assets	0	1,525
General and administrative (including non-cash stock-based compensation of $12 and $16 for the three months ended March 31, 2017 and 2016, respectively)	56	54
(Gain) loss on derivatives	(286)	(81)
(Gain) loss on disposition of assets, net	(654)	(111)
Total operating costs and expenses	(449)	1,837
Income (loss) from operations	1,061	(1,553)
Other income (expense):
Interest expense	(40)	(54)
Other, net	0	(7)
Total other expense	(40)	(61)
Income (loss) before income taxes	1,021	(1,614)
Income tax (expense) benefit	(371)	594
Net income (loss)	$ 650	$ (1,020)
Earnings per share:
Basic net income (loss)	$ 4.39	$ (7.95)
Diluted net income (loss)	$ 4.37	$ (7.95)

Consolidated Statements of Ope5

Consolidated Statements of Operations (Parenthetical) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Income Statement [Abstract]
Non-cash stock-based compensation	$ 12	$ 16

Consolidated Statement of Stock

Consolidated Statement of Stockholders Equity - USD ($) shares in Thousands, $ in Millions	Total	Common Stock [Member]	Additional Paid In Capital [Member]	Retained Earnings [Member]	Treasury Stock [Member]
Adoption of ASU No. 2016-09 (Note 2) | Accounting Standards Update 2016-09 [Member]	$ 8	$ 0	$ 8	$ 0	$ 0
BALANCE at Jan. 1, 2017	7,631	$ 0	6,791	884	$ (44)
BALANCE, Shares at Dec. 31, 2016		146,489			430
BALANCE at Dec. 31, 2016	7,623	$ 0	6,783	884	$ (44)
Net income (loss)	650	$ 0	0	650	$ 0
Common stock issued in business combination (Shares)		1,926			0
Common stock issued in business combination	258	$ 0	258	0	$ 0
Stock options exercised	0	$ 0	0	0	$ 0
Stock options exercised, shares		20			0
Grants of restricted stock, shares		113			0
Performance unit share conversion, shares		249			0
Cancellation of restricted stock, shares		(44)			0
Stock-based compensation	12	$ 0	12	0	$ 0
Purchase of treasury stock	(19)	$ 0	0	0	$ (19)
Purchase of treasury stock, shares		0			149
BALANCE, Shares at Mar. 31, 2017		148,753			579
BALANCE at Mar. 31, 2017	$ 8,532	$ 0	$ 7,061	$ 1,534	$ (63)

Consolidated Statements of Cash

Consolidated Statements of Cash Flows - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
CASH FLOWS FROM OPERATING ACTIVITIES:
Net income (loss)	$ 650	$ (1,020)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation, depletion and amortization	283	310
Accretion of discount on asset retirement obligations	2	2
Impairments of long-lived assets	0	1,525
Exploration and abandonments, including dry holes	6	21
Non-cash stock-based compensation expense	12	16
Deferred income taxes	363	(584)
(Gain) loss on disposition of assets, net	(654)	(111)
(Gain) loss on derivatives	(286)	(81)
Net settlements received from (paid on) derivatives	28	259
Other non-cash items	1	4
Changes in operating assets and liabilities, net of acquisitions and dispositions:
Accounts receivable	(6)	68
Prepaid costs and other	(8)	(5)
Accounts payable	7	8
Revenue payable	8	(44)
Other current liabilities	1	2
Net cash provided by (used in) operating activities	407	370
CASH FLOWS FROM INVESTING ACTIVITIES:
Capital expenditures on oil and natural gas properties	(457)	(380)
Additions to property, equipment and other assets	(2)	(9)
Proceeds from the disposition of assets	806	292
Direct transaction costs for disposition of assets	(17)	0
Contributions to equity method investments	0	(25)
Net cash provided by (used in) investing activities	330	(122)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds from issuance of debt	105	0
Payments of debt	(105)	0
Excess tax benefit (deficiency) from stock-based compensation	0	(1)
Purchase of treasury stock	(19)	(9)
Net cash provided by (used in) financing activities	(19)	(10)
Net increase (decrease) in cash and cash equivalents	718	238
Cash and cash equivalents at beginning of period	53	229
Cash and cash equivalents at end of period	771	467
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Issuance of common stock for business combinations	$ 258	$ 231

Organization and nature of oper

Organization and nature of operations	3 Months Ended
	Mar. 31, 2017
Organization, Consolidation and Presentation of Financial Statements [Abstract]
Organization and nature of operations	Note 1 . 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 , exploration and production of oil and natural gas properties primarily loc ated in the Permian Basin of southeast New Mexico and w est Texas.

Summary of significant accounti

Summary of significant accounting policies	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Summary of significant accounting policies	Note 2 . Summary of significant accounting policies Principles of consolidation. The consolidated financial statements of the Company include the account s of the Company and its 100 percent owned subsidiaries. The Company consolidates the financial statements of these entities. All material intercompany balances and transactions have been eliminated. Reclassifications. Certain prior period amounts have been reclassified to conform to the 2017 presentation. These reclassifications had no im pact on net income (loss), total stockholders’ equity or total cash flows. 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 Ameri ca 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 expens es during the reporting periods. Actual results could differ from these estimates. Depletion of oil and natural gas properties is 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 uncertaint ies including, among others, estimates of future recoverable reserves , commodity price outlooks and prevailing market rates of other sources of income and costs . Other significant estimates inclu de, but are not limited to, asset retirement obligations, fai r value of stock-based compensation , fair value of business combinations , fair value of nonmonetary exchanges, fair value of deriva tive financial instruments and income taxes . Interim financial statements. The accompanying consolidated financial statements of the Company have not been audited by the Company’s independent registered public accounting firm, except that the consolidated balance sheet at December 31, 2016 is derived from audited consolidated financial statements. In the opinion of management, the accompanying consolidated financial statements reflect all adjustments necessary to present fairly the Company’s consolidated financial statements . All such adjustments are of a normal , recurring nature. In preparing the accompa nying consolidated financial statements, management has made certain estimates and assumptions that affect reported amounts in the consolidated financial statements and disclosures of contingencies. Actual results may differ from those estimates. The resul ts for interim periods are not necessarily indicative of annual results. Certain disclosures have been condensed in or omitted from these consolidated financial statements. Accordingly, these condensed notes to the consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016 . 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 selec ted. The majority of the Company’s cash is invested in stable value government money market funds. Equity method investments. At December 31, 2016, the Company owned a 50 percent member ship interest in a midstream joint venture , Alpha Crude Connector, LLC (“ACC”), that operated a crude oil gathering and transportation system in the northern Delaware Basin. During February 2017, the Company closed on its previously announced divestiture of its ownership interest in ACC. See Note 4 for additional information regarding the disposition of ACC. The Company account ed for its investment in ACC under the equity method of accounting for investment s in unconsolidated affiliates. The Company’s net investment in ACC was approximately $ 129 million at December 31, 2016 , and was included in other assets in the Company’s consolidated balance sheet. Gains and l osses incurred from the Company’s equity investment in ACC were recorded in other income (expense) in its consolidated statement s of operations. The Company owns a 23.75 percent membership interest in an entity that operates a crude oil gathering and transportation system in the southern Delaware Basin. The Company accounts for its investment under the equity method of accounting for investments in unconsolidated affiliates. The Company’s net investment was approximately $ 43 million and $ 42 million at March 31, 2017 and December 31, 2016 , respectively, and is included in other assets in the Company’s consolidated balance sheet s . Gains and l osses incurred from the Company’s equity investment are recorded in other income (expense) in its consolidated statement s of operations. 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 actual proceeds from the oil and natural gas s old to purchasers. General and administrative expense. The Company receives fees for the operation of jointly-owned oil and natural gas properties during the drilling and production phases and records such reimbursements as reductions of general and admin istrative expense. The Company earned reimbursements of approximate ly $ 4 million for each of the three months ended March 31, 2017 and 2016 . Adoption of new accounting standard s. The Company adopted Accounting Standards Update (“ASU”) No. 2016-09 , “ Compensation–Stock Compensations (Topic 718): Improvements to Employee Share-based Payment Accounting,” on January 1, 2017. The adoption did not have an impact on prior period consolidated financial statements. The Company elect ed to account for forfeitures of share-bas ed payments as they occur. At December 31, 2016, the Company had not recorded compensation expense of approximately $8 million base d on forecasted forfeitures nor the associated deferred tax benefit of approximately $3 million . The Company recognize d all excess tax benefits not previously recorded , which totaled approximately $5 million at December 31, 2016. Upon adoption, the Company recorded a cumulative-effect adjustment, which decreased retained earnings by less than $1 million, increased additional paid-in capital by approximately $8 million, and decreased net deferred income taxes by approximately $8 million. The Company elected to prospectively classify excess tax benefits and deficiencies as operating activities on the consolidated statement s of cash flows and will prospectively record those excess tax benefits and deficiencies as d iscrete item s in the income tax provision in th e consolidated statement s of operations. Under the new standard, for the three months ended March 31, 2017, the Company recorded excess tax benefits of approximately $7 million as an offset to the Company’s income tax provision and approximately $5 million in forfeitures. Recent accounting pronouncements. In May 2014, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” which outlines a new, single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. This new revenue recognition model provides a five-step analysis in determining when and how revenu e is recognized. The new model will require revenue recognition to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods or services. In August 2015, the FASB issued ASU No. 2015-14, “Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date,” which deferred the effective date of ASU No. 2014-09 by one year. That new standard is now effective for annual reporting periods b eginning after December 15, 2017. The Company expects to use the modified retrospective method to adopt the standard, meaning the cumulative effect of initially applying the standard will be recognized in the most current period presented in the financial statements. The Company has substantially complete d its internal evaluation of the adoption of this standard and does not expect this new guidance will have a material impact on its consolidated financial statements. In Februar y 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842),” which supersedes current lease guidance. The new lease standard requires all leases with a term greater than one year to be recognized on the balance sheet while maintaining substantially similar classifications for fina nc ing and operating leases. Lease expense recognition on the consolidated statements of operations will be effectively unchanged. This guidance is effective for reporting periods beginning after December 15, 2018 , and early adoption is permitted. The Compa ny does not plan to early adopt the standard. The Company enters into lease agreements to support its operations. These agreements are for leases on assets such as office space, vehicles, field services , well equipment and drilling rigs. The Company is cur rently in the process of reviewing all contracts that could be applicable to this new guidance. The Company believes this new guidance will have a moderate impact to its consolidated balance sheet s due to the recognition of right-of-use assets and lease li abilities that are not currently recognized under currently applicable guidance . In Jun e 2016, the FASB issued ASU No. 2016-13, “Financial Instruments–Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which replaces the c urrent “incurred loss” methodology for recognizing credit losses with an “expected loss” methodology. This new methodology requires that a financial asset measured at amortized cost be presented at the net amount expected to be collected. This standard is intended to provide more timely decision-useful information about the expected credit losses on financial instruments. This guidance is effective for fiscal years beginning after December 15, 2019, and early adoption is allowed as early as fiscal years beg inning after December 15, 2018. The Company does not believe this new guidance will have a material impact on its consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-01, “Business Combinations (Topic 805): Clarifying the Defin ition of a Business,” with the objective of adding guidance to assist in evaluating whether transactions should be accounted for as asset acquisitions or as business combinations. The guidance provides a screen to determine when an integrated set of assets and activities is not a business. The screen requires that when substantially all of the fair value of the acquired assets is concentrated in a single asset or a group of similar assets, the set is not a business. If the screen is not met, to be considere d a business, the set must include an input and a substantive process that together significantly contribute to the ability to create output. This new guidance is effective for annual periods beginning after December 15, 2017, and early adoption is allowed . The Company is evaluating the impact this new guidance will have on its consolidated financial statements. The new guidance could result in more acquisitions of oil and natural gas properties being accounted for as asset acquisitions instead of business combinations.

Exploratory well costs

Exploratory well costs	3 Months Ended
	Mar. 31, 2017
Disclosure Exploratory Well Costs Capitalized Exploratory Well Activity [Abstract]
Exploratory well costs	Note 3 . 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. After an exploratory well has been completed and found oil and natural gas reserves, a determination may be pending as to whether the oil and natural gas reserves can be classified as proved. In those circumstances, the Company continues to capitalize the well or project costs pending the determination of proved status if (i) the well has found a sufficient quantity of reserves to justify its completion as a producing well and (ii) the Company is making sufficient progress assessing the reserves and the economic and operating viability of the project. The capitalized explo ratory well costs are carried in unproved oil and natural gas properties. See Note 15 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 expl oration and abandonments expense in the consolidated statements of operations. The following table reflects the Company’s net capitalized exploratory well activity during the three months ended March 31, 2017 : Three Months Ended (in millions) March 31, 2017 Beginning capitalized exploratory well costs $ 151 Additions to exploratory well costs pending the determination of proved reserves 145 Reclassifications due to determination of proved reserves (99) Ending capitalized exploratory well costs $ 197 The following table provides an aging at March 31, 2017 and December 31, 2016 of capitalized exploratory well costs based on the date drilling was completed: March 31, December 31, (dollars in millions) 2017 2016 Capitalized exploratory well costs that have been capitalized for a period of one year or less $ 185 $ 141 Capitalized exploratory well costs that have been capitalized for a period greater than one year 12 10 Total capitalized exploratory well costs $ 197 $ 151 Number of projects with exploratory well costs that have been capitalized for a period greater than one year 7 8

Acquisitions and divestitures

Acquisitions and divestitures	3 Months Ended
	Mar. 31, 2017
Acquisitions and Divestitures [Abstract]
Acquisitions and divestitures	Note 4 . Acquisitions and divestitures ACC divestiture. In February 2017, the Company closed on its previously announced divestiture of its ownership interest in ACC in which the Company and its joint venture partner entered into separate agreements to sell 100 percent of their respective ownership interests in ACC. After adjustments for debt and working capital, the Company received cash proceeds from the sale of approximately $803 million. After direct transaction costs, the Company recorded a pre-tax gain on disposition of assets of approximately $656 million. The Company’s net investment in ACC at the time of closing was approximately $129 million . Northern Del aware Basin acquisition. In January 2017, the Company completed a portion of the previously announced acquisition of approximately 16,400 net acres in the Northern Delaware Basin. As consideration for this portion of the acquisition , the Company paid approximately $132 million in cash , of which $43 million was held in escrow at December 31, 2016, and issued to the seller approximately 1.9 million shares of its common stock w ith an approximate value of $258 million. In April 2017, t he Company closed on t he remainder of the acquisition. T he acquisition, in its entirety, is subject to customary closing and post-closing adjustments. The purchase price allocation of this acquisit ion is preliminary and subject to change as the Company takes over operatorship of the acquired properties and subsequent due diligence is performed.

Incentive plans

Incentive plans	3 Months Ended
	Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Incentive plans	Note 5 . Stock incentive plan The Company’s 20 15 Stock Incentive Plan provides for granting stock options, restricted stock awards and performance awards to directors, officers and employees of the Company. The restricted stock-based compensation awards generally vest over a period ranging from one to eight years. A summary of the Company’s activity for the three months ended March 31, 2017 is presented below: Restricted Stock Performance Stock Shares Options Units Outstanding at December 31, 2016 1,157,270 20,000 331,526 Awards granted (a) 113,460 - 108,398 Options exercised - (20,000) - Awards cancelled / forfeited (44,232) - (37,542) Lapse of restrictions (160,353) - - Outstanding at March 31, 2017 1,066,145 - 402,382 (a) Weighted average grant date fair value per share/unit $ 119.99 $ - $ 149.10 The Company used the following assumptions to estimate the fair value of performance unit awards granted during the three months ended March 31, 2017 : Three Months Ended March 31, 2017 Risk-free interest rate 1.47% Range of volatilities 24.8% - 60.2% The following table reflects the future stock-based compensation expense to be recorded for all the stock-based compensation awards that were outsta nding at March 31, 2017 : (in millions) Remaining 2017 $ 44 2018 34 2019 15 Thereafter 2 Total $ 95

Disclosures about fair value me

Disclosures about fair value measurements	3 Months Ended
	Mar. 31, 2017
Disclosure Fair Value Narrative [Abstract]
Disclosures about fair value measurements	Note 6 . Disclosures about fair value measurements 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-ex change 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 f or commodities, (ii) time value, (iii) current market and contractual prices for the underlying instruments and (iv) volatility factors, as well as other relevant economic measures. Level 3 : Prices or valuation models that requir e 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 input s 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 March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016 Carrying Fair Carrying Fair (in millions) Value Value Value Value Assets: Derivative instruments $ 97 $ 97 $ 4 $ 4 Liabilities: Derivative instruments $ 13 $ 13 $ 178 $ 178 $600 million 5.5% senior notes due 2022 (a) $ 594 $ 621 $ 594 $ 620 $1,550 million 5.5% senior notes due 2023 (a) $ 1,554 $ 1,604 $ 1,555 $ 1,621 $600 million 4.375% senior notes due 2025 (a) $ 593 $ 604 $ 592 $ 599 (a) The carrying value includes associated deferred loan costs and any premium. 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. 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. 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 th e valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The following table s 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 March 31, 2017 and December 31, 2016 . The Company nets the fair value of derivative instruments by counterparty in the Company’s consolidated balance sheets. March 31, 2017 Fair Value Measurements Using Net Quoted Prices Gross Fair Value in Active Significant Amounts Presented Markets for Other Significant Offset in the in the Identical Observable Unobservable Consolidated Consolidated Assets Inputs Inputs Total Balance Balance (in millions) (Level 1) (Level 2) (Level 3) Fair Value Sheet Sheet Assets: Current: Commodity derivatives $ - $ 98 $ - $ 98 $ (43) $ 55 Noncurrent: Commodity derivatives - 60 - 60 (18) 42 Liabilities: Current: Commodity derivatives - (53) - (53) 43 (10) Noncurrent: Commodity derivatives - (21) - (21) 18 (3) Net derivative instruments $ - $ 84 $ - $ 84 $ - $ 84 December 31, 2016 Fair Value Measurements Using Net Quoted Prices Gross Fair Value in Active Significant Amounts Presented Markets for Other Significant Offset in the in the Identical Observable Unobservable Consolidated Consolidated Assets Inputs Inputs Total Balance Balance (in millions) (Level 1) (Level 2) (Level 3) Fair Value Sheet Sheet Assets: Current: Commodity derivatives $ - $ 59 $ - $ 59 $ (55) $ 4 Noncurrent: Commodity derivatives - - - - - - Liabilities: Current: Commodity derivatives - (137) - (137) 55 (82) Noncurrent: Commodity derivatives - (96) - (96) - (96) Net derivative instruments $ - $ (174) $ - $ (174) $ - $ (174) Concentrations of credit risk. At March 31, 2017 , the Company’s primary concentrations of credit risk are the risk of collecting accounts receivable and the risk of counterparties’ failure to perform under derivative obligations. 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 co unterparties 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 No te 7 for additional information regarding the Company ’ s derivative activities and counterparties . 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 periodically reviews its long-lived assets to be held and used, including proved oil and natural gas properties and their integrated assets, whenever events or circumstances indicat e that the carrying value of those assets may not be recoverable, for instance when there are declines in commodity prices or well performance. The Company reviews its oil and natural gas properties by depletion base. 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. If the estimated undiscounted future net cash flows are less than the carrying amount of the Company’s assets, it 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 calculates the expected undiscounted future net cash flows of its long-lived assets and their integrated assets using management’s assumptions and expectations of (i) commodity prices, which are based on the New York Mercantile Exchange (“NYMEX”) strip, (ii) pricing adjustments for differentials, (iii) production costs, (iv) capital expenditures, (v) production volumes, (vi) estimated proved reserves and risk-adjusted probable and possible reserves, and (vii) prevailing market rates of income and ex penses from integrated assets. At March 31, 2017 , the Company’s estimates of commodity prices for purposes of determining undiscounted future cash flows , which are based on the NYMEX strip, ranged from a 2017 price of $ 51.58 per ba rrel of oil to a 2024 price of $54.62 per barrel of oil. Similarly, natural gas prices ranged from a 2017 price of $ 3.32 per Mcf of natural gas decreasing to a 2020 price of $ 2.82 per M cf partially recovering to a 2024 price of $ 3.04 per Mcf of natural gas. Commodity prices for this purpose were held flat after 2024. The Company calculates the estimated fair values of its long-lived assets and their integrated assets using a discounted future cash flow model. Fair value assumptions associated with the calculation of discounted future net cash flows include (i) market estimates of commodity prices, (ii) pricing adjustments for differentials, (iii) production costs, (iv) capital expenditur es, (v) production volumes, (vi) estimated proved reserves and risk-adjusted probable and possible reserves, (vii) prevailing market rates of income and expenses from integrated assets and (viii) discount rate. The expected future net cash flows were disco unted using an annual rate of 10 percent to determine fair value . These are classified as Level 3 fair value assumptions. During the three months ended March 31, 2016, NYMEX strip prices declined as compared to December 31, 2015, and as a result the carrying amount of the Company’s Yeso field of approximately $3.4 billion exceeded the expected undiscounted future net cash flows resulting in a non-cash charge against earnings of approximately $1.5 billion. The non-cash charge represented the amount by which the carrying amount exceeded the estimated fair value of the assets. The following table reports the carrying amount, estimated fair value and impairment expense of long-lived assets for the indicated period : Estimated Carrying Fair Value Impairment (in millions) Amount (Level 3) Expense March 2016 $ 3,438 $ 1,913 $ 1,525 It is reasonably possible that the estimate of undiscounted future net cash flows of the Company’s long-lived assets may change in the future resulting in the need to impair carrying values. The primary factors that may affect estimates of futu re cash flows are (i) commodity prices including differentials , (ii) increases or decreases in production and capital costs , (iii) future reserve volume adjustments, both positive and negative, to proved reserves and appropriate risk-adjusted probable and possible reserves , (iv) results of f uture drilling activities and (v) changes in income and expenses from integrated assets.

Derivative financial instrument

Derivative financial instruments	3 Months Ended
	Mar. 31, 2017
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Derivative financial instruments	Note 7 . Derivative financial instruments The Company uses derivative financial instruments to manage its exposure to commodity price 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 instrument s for speculative or trading purposes. The Company may also enter into physical delivery contracts to effectively provide commodity price hedges. Because these physical delivery contracts are not expected to be net cash settled, they are considered to be n ormal sales contracts and not derivatives. Therefore, these contracts are not recorded in the Company’s consolidated financial statements. T he 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 consolidated statements of operations as they occur. The following table summarizes the amounts reported in earnings related to the commodity derivative i nstruments for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in millions) 2017 2016 Gain on derivatives: Oil derivatives $ 266 $ 72 Natural gas derivatives 20 9 Total $ 286 $ 81 The following table represents the Company’s net cash receipts from (payments on) derivatives for the three months ended March 31, 2017 and 2016: Three Months Ended March 31, (in millions) 2017 2016 Net cash receipts from (payments on) derivatives: Oil derivatives $ 31 $ 252 Natural gas derivatives (3) 7 Total $ 28 $ 259 Commodity derivative contracts at March 31, 2017 . The following table sets forth the Company’s outstanding derivative contracts at March 31, 2017 . When aggregating multiple contracts, the weighted average contract price is disclosed. All of the Company’s derivative contracts at March 31, 2017 are expected to settle by December 31, 2019 . First Second Third Fourth Quarter Quarter Quarter Quarter Total Oil Swaps: (a) 2017: Volume (Bbl) 7,708,480 6,898,370 6,333,080 20,939,930 Price per Bbl $ 57.22 $ 51.87 $ 52.04 $ 53.89 2018: Volume (Bbl) 5,875,629 5,516,170 5,204,318 4,941,007 21,537,124 Price per Bbl $ 52.11 $ 51.93 $ 51.75 $ 51.59 $ 51.86 2019: Volume (Bbl) 2,355,000 2,253,000 2,163,000 2,083,000 8,854,000 Price per Bbl $ 55.15 $ 55.11 $ 55.14 $ 55.16 $ 55.14 Oil Basis Swaps: (b) 2017: Volume (Bbl) 6,141,500 5,290,000 5,290,000 16,721,500 Price per Bbl $ (1.03) $ (0.49) $ (0.49) $ (0.69) 2018: Volume (Bbl) 3,870,000 3,913,000 3,956,000 3,956,000 15,695,000 Price per Bbl $ (1.00) $ (1.00) $ (1.00) $ (1.00) $ (1.00) Natural Gas Swaps: (c) 2017: Volume (MMBtu) 14,814,642 14,665,441 14,043,000 43,523,083 Price per MMBtu $ 3.08 $ 3.10 $ 3.09 $ 3.09 2018: Volume (MMBtu) 8,656,000 8,401,000 8,249,000 8,064,000 33,370,000 Price per MMBtu $ 3.04 $ 3.04 $ 3.04 $ 3.03 $ 3.04 (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. Derivative counterparties. The Company uses credit and other financial criteria to evaluate the creditworthiness of counterparties to its derivative instruments. The Company believes that all of its derivative counterparties are currently acceptable credit risks. Other than provided by the Company’s credit facility, the Company is not required to provide credit support or collateral to any counterparties under its derivative contracts, nor are they required to provide credit support to the Company. Un der the terms of the Company’s credit facility, certain events could occur that would cause any obligations under the Company’s credit facility to no longer be secured by the Company’s oil and natural gas properties. At March 31, 2017 , the Company had a net asset position of $ 84 million as a result of outstanding derivative contracts which are reflected in the accompanying consolidated balance sheets. The Company assessed this balance for concentration risk and noted balances of approximately $14 million , $13 million, $13 million and $13 million with Citibank, N.A., J.P. Morgan Chase Bank, Societe Generale and ING Bank, respectively.

Debt

Debt	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Debt	Note 8 . Debt The Company’s debt consisted of the following at March 31, 2017 and December 31, 2016 : March 31, December 31, (in millions) 2017 2016 Credit facility $ - $ - 5.5% unsecured senior notes due 2022 600 600 5.5% unsecured senior notes due 2023 1,550 1,550 4.375% unsecured senior notes due 2025 600 600 Unamortized original issue premium 21 22 Senior notes issuance costs, net (30) (31) Less: current portion - - Total long-term debt $ 2,741 $ 2,741 Credit facility. At March 31, 2017 , t he Company’s credit facility , as amended and restated, ha d a maturity date of May 9, 2019 . At March 31, 2017 , the Company’s commitments from its bank group were $2.5 billion and its borrowing base was $2.8 billion . See Note 14 for a discussion of the credit facility amendment that occurred in April 2017. Senior notes. Interest on the Company’s senior notes is paid in arrears semi-annually. The senior notes are fully and unconditionally gu aranteed on a senior unsecured basis by all subsidiaries of the Company, subject to customary release provisions as described in Note 13 . At March 31, 2017 , the C ompany was in compliance with the covenants under all of its debt inst ruments . Principal maturities of long-term debt. Principal maturities of long -term debt outstanding at March 31, 2017 were as follows: (in millions) Remaining 2017 $ - 2018 - 2019 - 2020 - 2021 - 2022 600 Thereafter 2,150 Total $ 2,750 Interest expense. The following amounts have been incurred and charged to interest expense for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in millions) 2017 2016 Cash payments for interest $ 61 $ 42 Non-cash interest 3 3 Net changes in accruals (24) 9 Total interest expense $ 40 $ 54

Commitments and contingencies

Commitments and contingencies	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Commitments and contingencies	Note 9 . Commitments and contingencies Legal actions . The Company is a party to proceedings and clai ms 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 cl aims 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 Comp any 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. Severance tax, royalty and joint interest audits . The Company is subject to routine severance, royalty and joint interest audits from regulatory bodies and non-operators and makes accruals as necessary for estimated exposure when deemed probable and estimable. Additionally, the Company is subject to various possible contingencies that arise primarily from i nterpretations affecting the oil and natural gas industry. Such contingencies include differing interpretations as to the prices at which oil and natural gas sales may be made, the prices at which royalty owners may be paid for production from their leases , allowable costs under joint interest arrangements and other matters. At March 31, 2017 and December 31, 2016 , the Company had $ 4 million and $ 7 million , respectively, accrued for estimated exposure. Although the Company beli eve s that it has estimated its exposure with respect to the various laws and regulations, administrative rulings and interpretations thereof, adjustments could be required as new interpretations and regulations are issued. C ommitments. The Company periodically enters into contractual arrangements under which the Company is committed to expend funds . These contractual arrangements r elate to purchase agreements the Company has entered into including drilling commitments , water commitment agreements, through put volume delivery commitments, power commitments , fixed asset commitments and maintenance commitments . The following table s ummarizes the Company’s commitments at March 31, 2017 : (in millions) Remaining 2017 $ 46 2018 65 2019 52 2020 25 2021 21 2022 22 Thereafter 78 Total $ 309 Operating leases. The Company leases vehicles, equipment and office facilities under non-cancellable operating leases. Lease payments associated with these operating leases for the three months ended March 31, 2017 and 2016 were approximately $ 3 million and $ 2 million , respectively . Future minimum lease commitments under non-cancellable operating leases at March 31, 2017 were as follows: (in millions) Remaining 2017 $ 7 2018 8 2019 7 2020 5 2021 5 2022 - Thereafter 1 Total $ 33

Income taxes

Income taxes	3 Months Ended
	Mar. 31, 2017
Income Tax Disclosure [Abstract]
Income taxes	Note 10 . Income taxes The effective income tax rate s w ere 36.3 percent and 36.8 percent for the three months ended March 31, 2017 and 2016 , respectively. Total income tax expense for the three months ended March 31, 2017 differed from amounts computed by applying the United States federal statutory tax rates to pre-tax income primarily due to state income taxes and the impact of permanent differences between book and taxable income, partially offset by a discrete income tax benefit of approximately $7 million related to excess tax benefits on stock-based awards, which are now recorded in the income tax provision due to the adoption of ASU No. 2016-09 . Total income tax benefit for the three months ended March 31, 2016 differed from amounts computed by applying the United States federal statutory tax rates to pre-tax loss primarily due to state income taxes, partially offset by the impact of permanent differences between book and taxable loss.

Related party transactions

Related party transactions	3 Months Ended
	Mar. 31, 2017
Related Party Transactions [Abstract]
Related party transactions	Note 11 . Related party transactions The Company paid royalties on certain properties to a partnership in which a director of the Company is the general partner and owns a 3.5 percent partnership interest. These payments were reported in the Company’s consolidated statements of operations and totaled approximately $ 2 million and $ 1 million for the three months ended March 31, 2017 and 2016 , respectively.

Net income per share

Net income per share	3 Months Ended
	Mar. 31, 2017
Earnings Per Share, Basic and Diluted, Other Disclosures [Abstract]
Net income per share	Note 12 . Earnings per share The Company uses the two-class method of calculating earnings per share because certain of the Company’s unvested share-based awards qualify as participating securities. The Company’s basic earnings per share attributable to common stockholders is computed as (i) net income (loss) as reported, (ii) less participating basic earnings (iii) divided by weighted average basic common shares outstanding. The Company’s diluted earnings per share attributable to common stockholders is computed as (i) basic earnings attributable to common stockholders, (ii) plus reallocation of participating earnings (iii) divided by weighted average diluted common shares outstanding. The following table reconciles the Company’s earnings from operations and earnings attributable to common stockholders to the basic and diluted earnings used to determine the Company’s earnings per share amounts for the three months ended March 31, 2017 and 2016 , respectively, under the two-clas s method: Three Months Ended March 31, (in millions) 2017 2016 Net income (loss) as reported $ 650 $ (1,020) Participating basic earnings (a) (5) - Basic earnings attributable to common stockholders 645 (1,020) Reallocation of participating earnings - - Diluted earnings attributable to common stockholders $ 645 $ (1,020) (a) Unvested restricted stock awards represent participating securities because they participate in nonforfeitable dividends or distributions with the common equity holders of the Company. Participating earnings represent the distributed earnings of the Company attributable to the participating securities. Unvested restricted stock awards do not participate in undistributed net losses as they are not contractually obligated to do so. The following table is a reconciliation of the basic weighted average common shares outstanding to diluted weighted average common shares outstanding for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in thousands) 2017 2016 Weighted average common shares outstanding: Basic 146,838 128,396 Dilutive common stock options 12 - Dilutive performance units 701 - Diluted 147,551 128,396 The following table is a summary of the performance units that were not included in the computation of diluted earnings per share, as inclusion of these items would be antidilutive: Three Months Ended March 31, (in thousands) 2017 2016 Number of antidilutive units: Antidilutive performance units 108 - Performance unit awards. The number of shares of common stock that will ultimately be issued for performance units 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 actual payout of shares will be between zero and 300 percent .

Subsidiary guarantors

Subsidiary guarantors	3 Months Ended
	Mar. 31, 2017
Guarantees [Abstract]
Subsidiary guarantors	Note 13. Subsidiary guarantors All of the Company’s 100 percent owned 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 cus tomary 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 Compa ny, 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 8 for a summary of the Company’s senior notes. In accordance with practices accepted by the United States Securities and Exchange Commission , the Company has prepared condensed consolidating financial statements in order to quantify the assets, resu lts of operations and cash flows of such subsidiaries as subsidiary guarantors. The following condensed consolidating balance s heets at March 31, 2017 and December 31, 2016 , condensed c o nsolidating statements of o perations for the three months ended March 31, 2017 and 2016 and condensed consolidating statements of cash flows for the three months ended March 31, 2017 and 2016 , present financial information fo r Concho Resources Inc. as the p arent on a stand-alone basis (carrying any inves tments in subsidiaries under the equity method), financial information for the subsidiary guarantors 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 cu rrent and deferred income taxes are recorded on Concho Resources Inc., as the subsidiaries are flow-through entities for income tax purp oses. The subsidiary guarantors are not restricted from making distributions to the Company. Condensed Consolidating Balance Sheet March 31, 2017 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total ASSETS Accounts receivable - related parties $ 8,947 $ (593) $ (8,354) $ - Other current assets 74 1,279 - 1,353 Oil and natural gas properties, net - 11,620 - 11,620 Property and equipment, net - 209 - 209 Investment in subsidiaries 2,757 - (2,757) - Other long-term assets 52 85 - 137 Total assets $ 11,830 $ 12,600 $ (11,111) $ 13,319 LIABILITIES AND EQUITY Accounts payable - related parties $ (593) $ 8,947 $ (8,354) $ - Other current liabilities 25 755 - 780 Long-term debt 2,741 - - 2,741 Other long-term liabilities 1,125 141 - 1,266 Equity 8,532 2,757 (2,757) 8,532 Total liabilities and equity $ 11,830 $ 12,600 $ (11,111) $ 13,319 Condensed Consolidating Balance Sheet December 31, 2016 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total ASSETS Accounts receivable - related parties $ 8,991 $ (336) $ (8,655) $ - Other current assets 12 534 - 546 Oil and natural gas properties, net - 11,086 - 11,086 Property and equipment, net - 216 - 216 Investment in subsidiaries 1,989 - (1,989) - Other long-term assets 11 260 - 271 Total assets $ 11,003 $ 11,760 $ (10,644) $ 12,119 LIABILITIES AND EQUITY Accounts payable - related parties $ (336) $ 8,991 $ (8,655) $ - Other current liabilities 114 639 - 753 Long-term debt 2,741 - - 2,741 Other long-term liabilities 861 141 - 1,002 Equity 7,623 1,989 (1,989) 7,623 Total liabilities and equity $ 11,003 $ 11,760 $ (10,644) $ 12,119 Condensed Consolidating Statement of Operations Three Months Ended March 31, 2017 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Total operating revenues $ - $ 612 $ - $ 612 Total operating costs and expenses 285 164 - 449 Income from operations 285 776 - 1,061 Interest expense (40) - - (40) Other, net 776 - (776) - Income before income taxes 1,021 776 (776) 1,021 Income tax expense (371) - - (371) Net income $ 650 $ 776 $ (776) $ 650 Condensed Consolidating Statement of Operations Three Months Ended March 31, 2016 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Total operating revenues $ - $ 284 $ - $ 284 Total operating costs and expenses 79 (1,916) - (1,837) Income (loss) from operations 79 (1,632) - (1,553) Interest expense (53) (1) - (54) Other, net (1,640) (7) 1,640 (7) Loss before income taxes (1,614) (1,640) 1,640 (1,614) Income tax benefit 594 - - 594 Net loss $ (1,020) $ (1,640) $ 1,640 $ (1,020) Condensed Consolidating Statement of Cash Flows Three Months Ended March 31, 2017 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Net cash flows provided by operating activities $ 19 $ 388 $ - $ 407 Net cash flows provided by investing activities - 330 - 330 Net cash flows used in financing activities (19) - - (19) Net increase in cash and cash equivalents - 718 - 718 Cash and cash equivalents at beginning of period - 53 - 53 Cash and cash equivalents at end of period $ - $ 771 $ - $ 771 Condensed Consolidating Statement of Cash Flows Three Months Ended March 31, 2016 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Net cash flows provided by operating activities $ 10 $ 360 $ - $ 370 Net cash flows used in investing activities - (122) - (122) Net cash flows used in financing activities (10) - - (10) Net increase in cash and cash equivalents - 238 - 238 Cash and cash equivalents at beginning of period - 229 - 229 Cash and cash equivalents at end of period $ - $ 467 $ - $ 467

Subsequent events

Subsequent events	3 Months Ended
	Mar. 31, 2017
Subsequent Events [Abstract]
Subsequent events	Note 14. Subsequent events Credit Facility amendment. In April 2017 , the Company amended its credit facility to extend the maturity date to May 9, 2022. Additionally, the Company increased its borrowing base to $3.0 billion and decreased the commitments from its bank group to $2.0 billion. New commodity derivative contracts. After March 31, 2017 , the Com pany entered into the following oil price swaps and oil basis sw aps to hedge additional amounts of the Company’s estimated future production: First Second Third Fourth Quarter Quarter Quarter Quarter Total Oil Swaps: (a) 2017: Volume (Bbl) 971,000 1,068,000 855,000 2,894,000 Price per Bbl $ 50.41 $ 50.50 $ 50.59 $ 50.49 Oil Basis Swaps: (b) 2019: Volume (Bbl) 630,000 637,000 644,000 644,000 2,555,000 Price per Bbl $ (1.25) $ (1.25) $ (1.25) $ (1.25) $ (1.25) (a) The index prices for the oil price swaps are based on the NYMEX – WTI monthly average futures price. (b) The basis differential price is between Midland – WTI and Cushing – WTI.

Supplementary information

Supplementary information	3 Months Ended
	Mar. 31, 2017
Oil and Gas Exploration and Production Industries Disclosures [Abstract]
Supplementary information	Note 15. Supplementary information Capitalized costs March 31, December 31, (in millions) 2017 2016 Oil and natural gas properties: Proved $ 17,081 $ 16,620 Unproved 2,206 1,856 Less: accumulated depletion (7,667) (7,390) Net capitalized costs for oil and natural gas properties $ 11,620 $ 11,086 Costs incurred for oil and natural gas producing activities Three Months Ended March 31, (in millions) 2017 2016 Property acquisition costs: Proved $ 127 $ 252 Unproved 306 139 Exploration 235 170 Development 158 83 Total costs incurred for oil and natural gas properties $ 826 $ 644

Summary of significant accoun23

Summary of significant accounting policies (Policies)	3 Months Ended
	Mar. 31, 2017
Accounting Policies [Abstract]
Principles of consolidation	Principles of consolidation. The consolidated financial statements of the Company include the account s of the Company and its 100 percent owned subsidiaries. The Company consolidates the financial statements of these entities. All material intercompany balances and transactions have been eliminated.
Reclassifications	Reclassifications. Certain prior period amounts have been reclassified to conform to the 2017 presentation. These reclassifications had no im pact on net income (loss), total stockholders’ equity or total cash flows.
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 Ameri ca 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 expens es during the reporting periods. Actual results could differ from these estimates. Depletion of oil and natural gas properties is 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 uncertaint ies including, among others, estimates of future recoverable reserves , commodity price outlooks and prevailing market rates of other sources of income and costs . Other significant estimates inclu de, but are not limited to, asset retirement obligations, fai r value of stock-based compensation , fair value of business combinations , fair value of nonmonetary exchanges, fair value of deriva tive financial instruments and income taxes .
Interim financial statements	Interim financial statements. The accompanying consolidated financial statements of the Company have not been audited by the Company’s independent registered public accounting firm, except that the consolidated balance sheet at December 31, 2016 is derived from audited consolidated financial statements. In the opinion of management, the accompanying consolidated financial statements reflect all adjustments necessary to present fairly the Company’s consolidated financial statements . All such adjustments are of a normal , recurring nature. In preparing the accompa nying consolidated financial statements, management has made certain estimates and assumptions that affect reported amounts in the consolidated financial statements and disclosures of contingencies. Actual results may differ from those estimates. The resul ts for interim periods are not necessarily indicative of annual results. Certain disclosures have been condensed in or omitted from these consolidated financial statements. Accordingly, these condensed notes to the consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016 .
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 selec ted. The majority of the Company’s cash is invested in stable value government money market funds.
Equity method investments	Equity method investments. At December 31, 2016, the Company owned a 50 percent member ship interest in a midstream joint venture , Alpha Crude Connector, LLC (“ACC”), that operated a crude oil gathering and transportation system in the northern Delaware Basin. During February 2017, the Company closed on its previously announced divestiture of its ownership interest in ACC. See Note 4 for additional information regarding the disposition of ACC. The Company account ed for its investment in ACC under the equity method of accounting for investment s in unconsolidated affiliates. The Company’s net investment in ACC was approximately $ 129 million at December 31, 2016 , and was included in other assets in the Company’s consolidated balance sheet. Gains and l osses incurred from the Company’s equity investment in ACC were recorded in other income (expense) in its consolidated statement s of operations. The Company owns a 23.75 percent membership interest in an entity that operates a crude oil gathering and transportation system in the southern Delaware Basin. The Company accounts for its investment under the equity method of accounting for investments in unconsolidated affiliates. The Company’s net investment was approximately $ 43 million and $ 42 million at March 31, 2017 and December 31, 2016 , respectively, and is included in other assets in the Company’s consolidated balance sheet s . Gains and l osses incurred from the Company’s equity investment are recorded in other income (expense) in its consolidated statement s of operations.
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 actual proceeds from the oil and natural gas s old to purchasers.
General and administrative expense	General and administrative expense. The Company receives fees for the operation of jointly-owned oil and natural gas properties during the drilling and production phases and records such reimbursements as reductions of general and admin istrative expense. The Company earned reimbursements of approximate ly $ 4 million for each of the three months ended March 31, 2017 and 2016 .
Recent accounting pronouncements	Adoption of new accounting standard s. The Company adopted Accounting Standards Update (“ASU”) No. 2016-09 , “ Compensation–Stock Compensations (Topic 718): Improvements to Employee Share-based Payment Accounting,” on January 1, 2017. The adoption did not have an impact on prior period consolidated financial statements. The Company elect ed to account for forfeitures of share-bas ed payments as they occur. At December 31, 2016, the Company had not recorded compensation expense of approximately $8 million base d on forecasted forfeitures nor the associated deferred tax benefit of approximately $3 million . The Company recognize d all excess tax benefits not previously recorded , which totaled approximately $5 million at December 31, 2016. Upon adoption, the Company recorded a cumulative-effect adjustment, which decreased retained earnings by less than $1 million, increased additional paid-in capital by approximately $8 million, and decreased net deferred income taxes by approximately $8 million. The Company elected to prospectively classify excess tax benefits and deficiencies as operating activities on the consolidated statement s of cash flows and will prospectively record those excess tax benefits and deficiencies as d iscrete item s in the income tax provision in th e consolidated statement s of operations. Under the new standard, for the three months ended March 31, 2017, the Company recorded excess tax benefits of approximately $7 million as an offset to the Company’s income tax provision and approximately $5 million in forfeitures. Recent accounting pronouncements. In May 2014, the Financial Accounting Standards Board (the “FASB”) issued ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606),” which outlines a new, single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and supersedes most current revenue recognition guidance, including industry-specific guidance. This new revenue recognition model provides a five-step analysis in determining when and how revenu e is recognized. The new model will require revenue recognition to depict the transfer of promised goods or services to customers in an amount that reflects the consideration a company expects to receive in exchange for those goods or services. In August 2015, the FASB issued ASU No. 2015-14, “Revenue from Contracts with Customers (Topic 606): Deferral of the Effective Date,” which deferred the effective date of ASU No. 2014-09 by one year. That new standard is now effective for annual reporting periods b eginning after December 15, 2017. The Company expects to use the modified retrospective method to adopt the standard, meaning the cumulative effect of initially applying the standard will be recognized in the most current period presented in the financial statements. The Company has substantially complete d its internal evaluation of the adoption of this standard and does not expect this new guidance will have a material impact on its consolidated financial statements. In Februar y 2016, the FASB issued ASU No. 2016-02, “Leases (Topic 842),” which supersedes current lease guidance. The new lease standard requires all leases with a term greater than one year to be recognized on the balance sheet while maintaining substantially similar classifications for fina nc ing and operating leases. Lease expense recognition on the consolidated statements of operations will be effectively unchanged. This guidance is effective for reporting periods beginning after December 15, 2018 , and early adoption is permitted. The Compa ny does not plan to early adopt the standard. The Company enters into lease agreements to support its operations. These agreements are for leases on assets such as office space, vehicles, field services , well equipment and drilling rigs. The Company is cur rently in the process of reviewing all contracts that could be applicable to this new guidance. The Company believes this new guidance will have a moderate impact to its consolidated balance sheet s due to the recognition of right-of-use assets and lease li abilities that are not currently recognized under currently applicable guidance . In Jun e 2016, the FASB issued ASU No. 2016-13, “Financial Instruments–Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments,” which replaces the c urrent “incurred loss” methodology for recognizing credit losses with an “expected loss” methodology. This new methodology requires that a financial asset measured at amortized cost be presented at the net amount expected to be collected. This standard is intended to provide more timely decision-useful information about the expected credit losses on financial instruments. This guidance is effective for fiscal years beginning after December 15, 2019, and early adoption is allowed as early as fiscal years beg inning after December 15, 2018. The Company does not believe this new guidance will have a material impact on its consolidated financial statements. In January 2017, the FASB issued ASU No. 2017-01, “Business Combinations (Topic 805): Clarifying the Defin ition of a Business,” with the objective of adding guidance to assist in evaluating whether transactions should be accounted for as asset acquisitions or as business combinations. The guidance provides a screen to determine when an integrated set of assets and activities is not a business. The screen requires that when substantially all of the fair value of the acquired assets is concentrated in a single asset or a group of similar assets, the set is not a business. If the screen is not met, to be considere d a business, the set must include an input and a substantive process that together significantly contribute to the ability to create output. This new guidance is effective for annual periods beginning after December 15, 2017, and early adoption is allowed . The Company is evaluating the impact this new guidance will have on its consolidated financial statements. The new guidance could result in more acquisitions of oil and natural gas properties being accounted for as asset acquisitions instead of business combinations.

Exploratory well costs (Tables)

Exploratory well costs (Tables)	3 Months Ended
	Mar. 31, 2017
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 the three months ended March 31, 2017 : Three Months Ended (in millions) March 31, 2017 Beginning capitalized exploratory well costs $ 151 Additions to exploratory well costs pending the determination of proved reserves 145 Reclassifications due to determination of proved reserves (99) Ending capitalized exploratory well costs $ 197
Aging of capitalized exploratory well costs based on the date drilling was completed	The following table provides an aging at March 31, 2017 and December 31, 2016 of capitalized exploratory well costs based on the date drilling was completed: March 31, December 31, (dollars in millions) 2017 2016 Capitalized exploratory well costs that have been capitalized for a period of one year or less $ 185 $ 141 Capitalized exploratory well costs that have been capitalized for a period greater than one year 12 10 Total capitalized exploratory well costs $ 197 $ 151 Number of projects with exploratory well costs that have been capitalized for a period greater than one year 7 8

Incentive plans (Tables)

Incentive plans (Tables)	3 Months Ended
	Mar. 31, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Summary of the Company's stock-based compensation awards activity	A summary of the Company’s activity for the three months ended March 31, 2017 is presented below: Restricted Stock Performance Stock Shares Options Units Outstanding at December 31, 2016 1,157,270 20,000 331,526 Awards granted (a) 113,460 - 108,398 Options exercised - (20,000) - Awards cancelled / forfeited (44,232) - (37,542) Lapse of restrictions (160,353) - - Outstanding at March 31, 2017 1,066,145 - 402,382 (a) Weighted average grant date fair value per share/unit $ 119.99 $ - $ 149.10
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 three months ended March 31, 2017 : Three Months Ended March 31, 2017 Risk-free interest rate 1.47% Range of volatilities 24.8% - 60.2%
Future stock-based compensation expense to be recorded for all the stock-based compensation awards that were outstanding	The following table reflects the future stock-based compensation expense to be recorded for all the stock-based compensation awards that were outsta nding at March 31, 2017 : (in millions) Remaining 2017 $ 44 2018 34 2019 15 Thereafter 2 Total $ 95

Disclosures about fair value 26

Disclosures about fair value measurements (Tables)	3 Months Ended
	Mar. 31, 2017
Disclosure Fair Value Narrative [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 March 31, 2017 and December 31, 2016 : March 31, 2017 December 31, 2016 Carrying Fair Carrying Fair (in millions) Value Value Value Value Assets: Derivative instruments $ 97 $ 97 $ 4 $ 4 Liabilities: Derivative instruments $ 13 $ 13 $ 178 $ 178 $600 million 5.5% senior notes due 2022 (a) $ 594 $ 621 $ 594 $ 620 $1,550 million 5.5% senior notes due 2023 (a) $ 1,554 $ 1,604 $ 1,555 $ 1,621 $600 million 4.375% senior notes due 2025 (a) $ 593 $ 604 $ 592 $ 599 (a) The carrying value includes associated deferred loan costs and any premium.
Net basis derivative fair values as reported in the consolidated balance sheets	The following table s 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 March 31, 2017 and December 31, 2016 . The Company nets the fair value of derivative instruments by counterparty in the Company’s consolidated balance sheets. March 31, 2017 Fair Value Measurements Using Net Quoted Prices Gross Fair Value in Active Significant Amounts Presented Markets for Other Significant Offset in the in the Identical Observable Unobservable Consolidated Consolidated Assets Inputs Inputs Total Balance Balance (in millions) (Level 1) (Level 2) (Level 3) Fair Value Sheet Sheet Assets: Current: Commodity derivatives $ - $ 98 $ - $ 98 $ (43) $ 55 Noncurrent: Commodity derivatives - 60 - 60 (18) 42 Liabilities: Current: Commodity derivatives - (53) - (53) 43 (10) Noncurrent: Commodity derivatives - (21) - (21) 18 (3) Net derivative instruments $ - $ 84 $ - $ 84 $ - $ 84 December 31, 2016 Fair Value Measurements Using Net Quoted Prices Gross Fair Value in Active Significant Amounts Presented Markets for Other Significant Offset in the in the Identical Observable Unobservable Consolidated Consolidated Assets Inputs Inputs Total Balance Balance (in millions) (Level 1) (Level 2) (Level 3) Fair Value Sheet Sheet Assets: Current: Commodity derivatives $ - $ 59 $ - $ 59 $ (55) $ 4 Noncurrent: Commodity derivatives - - - - - - Liabilities: Current: Commodity derivatives - (137) - (137) 55 (82) Noncurrent: Commodity derivatives - (96) - (96) - (96) Net derivative instruments $ - $ (174) $ - $ (174) $ - $ (174)
Carrying amounts, estimated fair values and impairment expense of long-lived assets	The following table reports the carrying amount, estimated fair value and impairment expense of long-lived assets for the indicated period : Estimated Carrying Fair Value Impairment (in millions) Amount (Level 3) Expense March 2016 $ 3,438 $ 1,913 $ 1,525

Derivative financial instrume27

Derivative financial instruments (Tables)	3 Months Ended
	Mar. 31, 2017
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 amounts reported in earnings related to the commodity derivative i nstruments for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in millions) 2017 2016 Gain on derivatives: Oil derivatives $ 266 $ 72 Natural gas derivatives 20 9 Total $ 286 $ 81 The following table represents the Company’s net cash receipts from (payments on) derivatives for the three months ended March 31, 2017 and 2016: Three Months Ended March 31, (in millions) 2017 2016 Net cash receipts from (payments on) derivatives: Oil derivatives $ 31 $ 252 Natural gas derivatives (3) 7 Total $ 28 $ 259
Company's outstanding derivative contracts	The following table sets forth the Company’s outstanding derivative contracts at March 31, 2017 . When aggregating multiple contracts, the weighted average contract price is disclosed. All of the Company’s derivative contracts at March 31, 2017 are expected to settle by December 31, 2019 . First Second Third Fourth Quarter Quarter Quarter Quarter Total Oil Swaps: (a) 2017: Volume (Bbl) 7,708,480 6,898,370 6,333,080 20,939,930 Price per Bbl $ 57.22 $ 51.87 $ 52.04 $ 53.89 2018: Volume (Bbl) 5,875,629 5,516,170 5,204,318 4,941,007 21,537,124 Price per Bbl $ 52.11 $ 51.93 $ 51.75 $ 51.59 $ 51.86 2019: Volume (Bbl) 2,355,000 2,253,000 2,163,000 2,083,000 8,854,000 Price per Bbl $ 55.15 $ 55.11 $ 55.14 $ 55.16 $ 55.14 Oil Basis Swaps: (b) 2017: Volume (Bbl) 6,141,500 5,290,000 5,290,000 16,721,500 Price per Bbl $ (1.03) $ (0.49) $ (0.49) $ (0.69) 2018: Volume (Bbl) 3,870,000 3,913,000 3,956,000 3,956,000 15,695,000 Price per Bbl $ (1.00) $ (1.00) $ (1.00) $ (1.00) $ (1.00) Natural Gas Swaps: (c) 2017: Volume (MMBtu) 14,814,642 14,665,441 14,043,000 43,523,083 Price per MMBtu $ 3.08 $ 3.10 $ 3.09 $ 3.09 2018: Volume (MMBtu) 8,656,000 8,401,000 8,249,000 8,064,000 33,370,000 Price per MMBtu $ 3.04 $ 3.04 $ 3.04 $ 3.03 $ 3.04 (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.

Debt (Tables)

Debt (Tables)	3 Months Ended
	Mar. 31, 2017
Debt Disclosure [Abstract]
Company's debt	The Company’s debt consisted of the following at March 31, 2017 and December 31, 2016 : March 31, December 31, (in millions) 2017 2016 Credit facility $ - $ - 5.5% unsecured senior notes due 2022 600 600 5.5% unsecured senior notes due 2023 1,550 1,550 4.375% unsecured senior notes due 2025 600 600 Unamortized original issue premium 21 22 Senior notes issuance costs, net (30) (31) Less: current portion - - Total long-term debt $ 2,741 $ 2,741
Principal maturities of debt	Principal maturities of long -term debt outstanding at March 31, 2017 were as follows: (in millions) Remaining 2017 $ - 2018 - 2019 - 2020 - 2021 - 2022 600 Thereafter 2,150 Total $ 2,750
Interest expense	The following amounts have been incurred and charged to interest expense for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in millions) 2017 2016 Cash payments for interest $ 61 $ 42 Non-cash interest 3 3 Net changes in accruals (24) 9 Total interest expense $ 40 $ 54

Commitments and contingencies (

Commitments and contingencies (Tables)	3 Months Ended
	Mar. 31, 2017
Commitments and Contingencies Disclosure [Abstract]
Summary of the Company's future commitments	The following table s ummarizes the Company’s commitments at March 31, 2017 : (in millions) Remaining 2017 $ 46 2018 65 2019 52 2020 25 2021 21 2022 22 Thereafter 78 Total $ 309
Future minimum lease commitments under non-cancellable operating leases	Future minimum lease commitments under non-cancellable operating leases at March 31, 2017 were as follows: (in millions) Remaining 2017 $ 7 2018 8 2019 7 2020 5 2021 5 2022 - Thereafter 1 Total $ 33

Net income per share (Tables)

Net income per share (Tables)	3 Months Ended
	Mar. 31, 2017
Earnings Per Share, Basic and Diluted, Other Disclosures [Abstract]
Reconciliation of earnings attributable to common shares, basic and diluted	The following table reconciles the Company’s earnings from operations and earnings attributable to common stockholders to the basic and diluted earnings used to determine the Company’s earnings per share amounts for the three months ended March 31, 2017 and 2016 , respectively, under the two-clas s method: Three Months Ended March 31, (in millions) 2017 2016 Net income (loss) as reported $ 650 $ (1,020) Participating basic earnings (a) (5) - Basic earnings attributable to common stockholders 645 (1,020) Reallocation of participating earnings - - Diluted earnings attributable to common stockholders $ 645 $ (1,020) (a) Unvested restricted stock awards represent participating securities because they participate in nonforfeitable dividends or distributions with the common equity holders of the Company. Participating earnings represent the distributed earnings of the Company attributable to the participating securities. Unvested restricted stock awards do not participate in undistributed net losses as they are not contractually obligated to do so.
Reconciliation of the basic weighted average common shares outstanding to diluted weighted average common shares outstanding	The following table is a reconciliation of the basic weighted average common shares outstanding to diluted weighted average common shares outstanding for the three months ended March 31, 2017 and 2016 : Three Months Ended March 31, (in thousands) 2017 2016 Weighted average common shares outstanding: Basic 146,838 128,396 Dilutive common stock options 12 - Dilutive performance units 701 - Diluted 147,551 128,396
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 performance units that were not included in the computation of diluted earnings per share, as inclusion of these items would be antidilutive: Three Months Ended March 31, (in thousands) 2017 2016 Number of antidilutive units: Antidilutive performance units 108 -

Subsidiary guarantors (Tables)

Subsidiary guarantors (Tables)	3 Months Ended
	Mar. 31, 2017
Guarantees [Abstract]
Condensed Consolidating Balance Sheet	The following condensed consolidating balance s heets at March 31, 2017 and December 31, 2016 , condensed c o nsolidating statements of o perations for the three months ended March 31, 2017 and 2016 and condensed consolidating statements of cash flows for the three months ended March 31, 2017 and 2016 , present financial information fo r Concho Resources Inc. as the p arent on a stand-alone basis (carrying any inves tments in subsidiaries under the equity method), financial information for the subsidiary guarantors 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 cu rrent and deferred income taxes are recorded on Concho Resources Inc., as the subsidiaries are flow-through entities for income tax purp oses. The subsidiary guarantors are not restricted from making distributions to the Company. Condensed Consolidating Balance Sheet March 31, 2017 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total ASSETS Accounts receivable - related parties $ 8,947 $ (593) $ (8,354) $ - Other current assets 74 1,279 - 1,353 Oil and natural gas properties, net - 11,620 - 11,620 Property and equipment, net - 209 - 209 Investment in subsidiaries 2,757 - (2,757) - Other long-term assets 52 85 - 137 Total assets $ 11,830 $ 12,600 $ (11,111) $ 13,319 LIABILITIES AND EQUITY Accounts payable - related parties $ (593) $ 8,947 $ (8,354) $ - Other current liabilities 25 755 - 780 Long-term debt 2,741 - - 2,741 Other long-term liabilities 1,125 141 - 1,266 Equity 8,532 2,757 (2,757) 8,532 Total liabilities and equity $ 11,830 $ 12,600 $ (11,111) $ 13,319 Condensed Consolidating Balance Sheet December 31, 2016 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total ASSETS Accounts receivable - related parties $ 8,991 $ (336) $ (8,655) $ - Other current assets 12 534 - 546 Oil and natural gas properties, net - 11,086 - 11,086 Property and equipment, net - 216 - 216 Investment in subsidiaries 1,989 - (1,989) - Other long-term assets 11 260 - 271 Total assets $ 11,003 $ 11,760 $ (10,644) $ 12,119 LIABILITIES AND EQUITY Accounts payable - related parties $ (336) $ 8,991 $ (8,655) $ - Other current liabilities 114 639 - 753 Long-term debt 2,741 - - 2,741 Other long-term liabilities 861 141 - 1,002 Equity 7,623 1,989 (1,989) 7,623 Total liabilities and equity $ 11,003 $ 11,760 $ (10,644) $ 12,119
Condensed Consolidating Statement of Operations	The following condensed consolidating balance s heets at March 31, 2017 and December 31, 2016 , condensed c o nsolidating statements of o perations for the three months ended March 31, 2017 and 2016 and condensed consolidating statements of cash flows for the three months ended March 31, 2017 and 2016 , present financial information fo r Concho Resources Inc. as the p arent on a stand-alone basis (carrying any inves tments in subsidiaries under the equity method), financial information for the subsidiary guarantors 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 cu rrent and deferred income taxes are recorded on Concho Resources Inc., as the subsidiaries are flow-through entities for income tax purp oses. The subsidiary guarantors are not restricted from making distributions to the Company. Condensed Consolidating Statement of Operations Three Months Ended March 31, 2017 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Total operating revenues $ - $ 612 $ - $ 612 Total operating costs and expenses 285 164 - 449 Income from operations 285 776 - 1,061 Interest expense (40) - - (40) Other, net 776 - (776) - Income before income taxes 1,021 776 (776) 1,021 Income tax expense (371) - - (371) Net income $ 650 $ 776 $ (776) $ 650 Condensed Consolidating Statement of Operations Three Months Ended March 31, 2016 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Total operating revenues $ - $ 284 $ - $ 284 Total operating costs and expenses 79 (1,916) - (1,837) Income (loss) from operations 79 (1,632) - (1,553) Interest expense (53) (1) - (54) Other, net (1,640) (7) 1,640 (7) Loss before income taxes (1,614) (1,640) 1,640 (1,614) Income tax benefit 594 - - 594 Net loss $ (1,020) $ (1,640) $ 1,640 $ (1,020)
Condensed Consolidating Statement of Cash Flows	The following condensed consolidating balance s heets at March 31, 2017 and December 31, 2016 , condensed c o nsolidating statements of o perations for the three months ended March 31, 2017 and 2016 and condensed consolidating statements of cash flows for the three months ended March 31, 2017 and 2016 , present financial information fo r Concho Resources Inc. as the p arent on a stand-alone basis (carrying any inves tments in subsidiaries under the equity method), financial information for the subsidiary guarantors 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 cu rrent and deferred income taxes are recorded on Concho Resources Inc., as the subsidiaries are flow-through entities for income tax purp oses. The subsidiary guarantors are not restricted from making distributions to the Company. Condensed Consolidating Statement of Cash Flows Three Months Ended March 31, 2017 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Net cash flows provided by operating activities $ 19 $ 388 $ - $ 407 Net cash flows provided by investing activities - 330 - 330 Net cash flows used in financing activities (19) - - (19) Net increase in cash and cash equivalents - 718 - 718 Cash and cash equivalents at beginning of period - 53 - 53 Cash and cash equivalents at end of period $ - $ 771 $ - $ 771 Condensed Consolidating Statement of Cash Flows Three Months Ended March 31, 2016 Parent Subsidiary Consolidating (in millions) Issuer Guarantors Entries Total Net cash flows provided by operating activities $ 10 $ 360 $ - $ 370 Net cash flows used in investing activities - (122) - (122) Net cash flows used in financing activities (10) - - (10) Net increase in cash and cash equivalents - 238 - 238 Cash and cash equivalents at beginning of period - 229 - 229 Cash and cash equivalents at end of period $ - $ 467 $ - $ 467

Subsequent events (Tables)

Subsequent events (Tables)	3 Months Ended
	Mar. 31, 2017
Subsequent Events [Abstract]
New commodity derivative contracts	After March 31, 2017 , the Com pany entered into the following oil price swaps and oil basis sw aps to hedge additional amounts of the Company’s estimated future production: First Second Third Fourth Quarter Quarter Quarter Quarter Total Oil Swaps: (a) 2017: Volume (Bbl) 971,000 1,068,000 855,000 2,894,000 Price per Bbl $ 50.41 $ 50.50 $ 50.59 $ 50.49 Oil Basis Swaps: (b) 2019: Volume (Bbl) 630,000 637,000 644,000 644,000 2,555,000 Price per Bbl $ (1.25) $ (1.25) $ (1.25) $ (1.25) $ (1.25) (a) The index prices for the oil price swaps are based on the NYMEX – WTI monthly average futures price. (b) The basis differential price is between Midland – WTI and Cushing – WTI.

Supplementary information (Tabl

Supplementary information (Tables)	3 Months Ended
	Mar. 31, 2017
Oil and Gas Exploration and Production Industries Disclosures [Abstract]
Capitalized costs	Capitalized costs March 31, December 31, (in millions) 2017 2016 Oil and natural gas properties: Proved $ 17,081 $ 16,620 Unproved 2,206 1,856 Less: accumulated depletion (7,667) (7,390) Net capitalized costs for oil and natural gas properties $ 11,620 $ 11,086
costs incurred for oil and natural gas producing activities	Costs incurred for oil and natural gas producing activities Three Months Ended March 31, (in millions) 2017 2016 Property acquisition costs: Proved $ 127 $ 252 Unproved 306 139 Exploration 235 170 Development 158 83 Total costs incurred for oil and natural gas properties $ 826 $ 644

Summary Of Significant Accoun34

Summary Of Significant Accounting Policies (Narrative) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Disclosure Summary Of Significant Accounting Policies Narrative [Abstract]
Fees related to operation of jointly owned oil and natural gas properties	$ 4	$ 4
ASU 2016-09 Cumulative Effect: Forfeiture estimate compensation expense / increase to APIC	8
ASU 2016-09 Cumulative Effect: Deferred tax benefit	3
ASU 2016-09 Cumulative Effect: Excess tax benefits	5
ASU 2016-09 Cumulative Effect: Decrease to retained earnings	0
ASU 2016-09 Cumulative Effect: Decrease to deferred income taxes	8
Excess tax benefit (discrete item)	7
Forfeitures expense	5
Alpha Crude Connector [Member]
Equity Method Investments [Line Items]
Total equity method investment			$ 129
Equity method investment ownership percentage			50.00%
Other [Member]
Equity Method Investments [Line Items]
Total equity method investment	$ 43		$ 42
Equity method investment ownership percentage	23.75%

Exploratory Well Costs (Capital

Exploratory Well Costs (Capitalized Exploratory Well Activity) (Detail) $ in Millions	3 Months Ended
	Mar. 31, 2017USD ($)
Disclosure Exploratory Well Costs Capitalized Exploratory Well Activity [Abstract]
Beginning capitalized exploratory well costs	$ 151
Additions to exploratory well costs pending the determination of proved reserves	145
Reclassifications due to determination of proved reserves	(99)
Ending capitalized exploratory well costs	$ 197

Exploratory Well Costs (Aging O

Exploratory Well Costs (Aging Of Capitalized Exploratory Well Costs Based On The Date Of Drilling) (Detail) $ in Millions	Mar. 31, 2017USD ($)Number	Dec. 31, 2016USD ($)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	$ 185	$ 141
Capitalized exploratory well costs that have been capitalized for a period greater than one year	12	10
Total capitalized exploratory well costs	$ 197	$ 151
Projects that have Exploratory Well Costs that have been Capitalized for Period Greater than One Year, Number of Projects | Number	7	8

Acquisitions And Divestitures (

Acquisitions And Divestitures (Narrative) (Detail) - USD ($) shares in Millions, $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Business Acquisition [Line Items]
(Gain) loss on disposition of assets, net	$ (654)	$ (111)
Funds held in escrow	0		$ 43
Common stock issued in business combination	258	$ 231
Alpha Crude Connector [Member]
Business Acquisition [Line Items]
Proceeds From Sale Of Oil And Gas Property And Equipment	803
(Gain) loss on disposition of assets, net	(656)
Total equity method investment	129
Northern Delaware Basin [Member]
Business Acquisition [Line Items]
Cash consideration paid for acquisition	$ 132
Common stock issued in business combination (Shares)	1.9
Common stock issued in business combination	$ 258

Incentive Plans (Summary of Sto

Incentive Plans (Summary of Stock-Based Award Activity) (Detail) - $ / shares		3 Months Ended
		Mar. 31, 2017	Dec. 31, 2016
Restricted Stock Shares [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding		1,066,145	1,157,270
Awards granted	[1]	113,460
Awards cancelled / forfeited		(44,232)
Lapse of restrictions		(160,353)
Weighted average grant date fair value per share/unit		$ 119.99
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding		0	20,000
Options exercised		(20,000)
Performance Units [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Outstanding		402,382	331,526
Awards granted	[2]	108,398
Awards cancelled / forfeited		(37,542)
Lapse of restrictions		0
Weighted average grant date fair value per share/unit		$ 149.1
[1]	Weighted average grant date fair value per share is $119.99
[2]	Weighted average grant date fair value per unit is $149.1

Incentive Plans (Summary Of Ass

Incentive Plans (Summary Of Assumptions To Estimate Fair Value of Performance Unit Awards) (Detail)	3 Months Ended
	Mar. 31, 2017
Disclosure Incentive Plans Schedule Of Performance Unit Awards Fair Value Assumptions [Abstract]
Risk-free interest rate	1.47%
Volatility assumption - minimum	24.80%
Volatility assumption - maximum	60.20%

Incentive Plans (Summary For Fu

Incentive Plans (Summary For Future Stock-Based Compensation Expense) (Detail) $ in Millions	Mar. 31, 2017USD ($)
Share Based Compensation Arrangement By Share Based Payment Award [Line Items]
Remaining 2,017	$ 44
2,018	34
2,019	15
Thereafter	2
Total	$ 95

Disclosures About Fair Value 41

Disclosures About Fair Value Measurements (Narrative) (Detail) $ in Millions	3 Months Ended		12 Months Ended
	Mar. 31, 2017	Mar. 31, 2016USD ($)	Dec. 31, 2024$ / bbl$ / Mcf	Dec. 31, 2020$ / Mcf	Dec. 31, 2017$ / bbl$ / Mcf
Disclosure Fair Value Narrative [Abstract]
Management Estimate of Future Oil Price | $ / bbl			54.62		51.58
Management Estimate of Future Natural Gas Price | $ / Mcf			3.04	2.82	3.32
Annual discount rate	10.00%
Carrying Amount		$ 3,438
Impairment Expense		$ 1,525

Disclosures About Fair Value 42

Disclosures About Fair Value Measurements (Carrying Amounts And Fair Values Of The Company's Financial Instruments) (Detail) - USD ($) $ in Millions		Mar. 31, 2017	Dec. 31, 2016
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Derivative instruments, Assets		$ 97	$ 4
Derivative instruments, Liabilities		13	178
Five Point Five Percent Unsecured Senior Notes [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Unsecured senior notes		621	620
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		1,604	1,621
Four Point Three Seven Five Percent Unsecured Senior Notes [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Unsecured senior notes		604	599
Carrying Reported Amount Fair Value Disclosure [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Derivative instruments, Assets		97	4
Derivative instruments, Liabilities		13	178
Carrying Reported Amount Fair Value Disclosure [Member] | Five Point Five Percent Unsecured Senior Notes [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Unsecured senior notes	[1]	594	594
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]	1,554	1,555
Carrying Reported Amount Fair Value Disclosure [Member] | Four Point Three Seven Five Percent Unsecured Senior Notes [Member]
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items]
Unsecured senior notes	[1]	$ 593	$ 592
[1]	The carrying value includes associated deferred loan costs and any premium.

Disclosures About Fair Value 43

Disclosures About Fair Value Measurements (Company's Assets And Liabilities Measured At Fair Value On A Recurring Basis) (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative, Fair Value, Net	$ 84	$ (174)
Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	98	59
Derivative Asset, Fair Value, Gross Liability	(43)	(55)
Derivative Asset, Fair Value, Amount Not Offset Against Collateral	55	4
Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	60	0
Derivative Asset, Fair Value, Gross Liability	(18)	0
Derivative Asset, Fair Value, Amount Not Offset Against Collateral	42	0
Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	(53)	(137)
Derivative Liability, Fair Value, Gross Asset	43	55
Derivative Liability, Fair Value, Amount Not Offset Against Collateral	(10)	(82)
Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	(21)	(96)
Derivative Liability, Fair Value, Gross Asset	18	0
Derivative Liability, Fair Value, Amount Not Offset Against Collateral	(3)	(96)
Fair Value Inputs Level 1 [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative, Fair Value, Net	0	0
Fair Value Inputs Level 1 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	0	0
Fair Value Inputs Level 1 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	0	0
Fair Value Inputs Level 1 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	0	0
Fair Value Inputs Level 1 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	0	0
Fair Value Inputs Level 2 [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative, Fair Value, Net	84	(174)
Fair Value Inputs Level 2 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	98	59
Fair Value Inputs Level 2 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	60	0
Fair Value Inputs Level 2 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	(53)	(137)
Fair Value Inputs Level 2 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	(21)	(96)
Fair Value Inputs Level 3 [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative, Fair Value, Net	0	0
Fair Value Inputs Level 3 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	0	0
Fair Value Inputs Level 3 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Asset Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Asset, Fair Value, Gross Asset	0	0
Fair Value Inputs Level 3 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Current [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	0	0
Fair Value Inputs Level 3 [Member] | Commodity Derivative Price Swap Contracts [Member] | Derivative Liability Noncurrent [Member]
Fair Value Of Derivatives Disclosure Information [Line Items]
Derivative Liability, Fair Value, Gross Liability	$ 0	$ 0

Disclosures About Fair Value 44

Disclosures About Fair Value Measurements (Carrying Amounts, Estimated Fair Values And Impairment Expense Of Long-Lived Assets For Continuing And Discontinued Operations) (Detail) $ in Millions	3 Months Ended
	Mar. 31, 2016USD ($)
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	$ 3,438
Estimated Fair Value (Level 3)	1,913
Impairment Expense	$ 1,525

Derivative Financial Instrume45

Derivative Financial Instruments (Gains And Losses Reported In Earnings Related To Commodity Derivative Instruments) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity Derivative Instruments [Line Items]
Net settlements received from (paid on) derivatives	$ 28	$ 259
Gain (loss) on derivatives	286	81
Oil Commodity Derivative [Member]
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity Derivative Instruments [Line Items]
Net settlements received from (paid on) derivatives	31	252
Gain (loss) on derivatives	266	72
Natural Gas Commodity Derivative [Member]
Derivative Financial Instruments Gains And Losses Reported In Earnings Related To Commodity Derivative Instruments [Line Items]
Net settlements received from (paid on) derivatives	(3)	7
Gain (loss) on derivatives	$ 20	$ 9

Derivative Financial Instrume46

Derivative Financial Instruments (Outstanding Commodity Derivative Contracts) (Detail) - Minimum [Member]		3 Months Ended											12 Months Ended
		Dec. 31, 2019bbl$ / bbl	Sep. 30, 2019bbl$ / bbl	Jun. 30, 2019bbl$ / bbl	Mar. 31, 2019bbl$ / bbl	Dec. 31, 2018MMBTUbbl$ / bbl$ / MMBTU	Sep. 30, 2018MMBTUbbl$ / bbl$ / MMBTU	Jun. 30, 2018MMBTUbbl$ / bbl$ / MMBTU	Mar. 31, 2018MMBTUbbl$ / bbl$ / MMBTU	Dec. 31, 2017MMBTUbbl$ / bbl$ / MMBTU	Sep. 30, 2017MMBTUbbl$ / bbl$ / MMBTU	Jun. 30, 2017MMBTUbbl$ / bbl$ / MMBTU	Dec. 31, 2019bbl$ / bbl	Dec. 31, 2018MMBTUbbl$ / bbl$ / MMBTU	Dec. 31, 2017MMBTUbbl$ / bbl$ / MMBTU
Oil Swaps [Member]
Derivative [Line Items]
Volume - Current Year | bbl	[1]									6,333,080	6,898,370	7,708,480			20,939,930
Price - Current Year | $ / bbl	[1]									52.04	51.87	57.22			53.89
Volume - Year One | bbl	[1]					4,941,007	5,204,318	5,516,170	5,875,629					21,537,124
Price - Year One | $ / bbl	[1]					51.59	51.75	51.93	52.11					51.86
Volume - Year Two | bbl	[1]	2,083,000	2,163,000	2,253,000	2,355,000								8,854,000
Price - Year Two | $ / bbl	[1]	55.16	55.14	55.11	55.15								55.14
Oil Basis Swaps [Member]
Derivative [Line Items]
Volume - Current Year | bbl	[2]									5,290,000	5,290,000	6,141,500			16,721,500
Price - Current Year | $ / bbl	[2]									(0.49)	(0.49)	(1.03)			(0.69)
Volume - Year One | bbl	[2]					3,956,000	3,956,000	3,913,000	3,870,000					15,695,000
Price - Year One | $ / bbl	[2]					(1)	(1)	(1)	(1)					(1)
Natural Gas Swap [Member]
Derivative [Line Items]
Volume - Current Year | MMBTU	[3]									14,043,000	14,665,441	14,814,642			43,523,083
Price - Current Year | $ / MMBTU	[3]									3.09	3.1	3.08			3.09
Volume - Year One | MMBTU	[3]					8,064,000	8,249,000	8,401,000	8,656,000					33,370,000
Price - Year One | $ / MMBTU	[3]					3.03	3.04	3.04	3.04					3.04
[1]	The index prices for the oil price swaps are based on the New York Mercantile Exchange (“NYMEX”) – West Texas Intermediate (“WTI”) monthly average futures price.
[2]	The basis differential price is between Midland – WTI and Cushing – WTI.
[3]	The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures price.

Derivative Counterparties (Deta

Derivative Counterparties (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Derivative Counterparties Fair Value [Line Items]
Derivative, Fair Value, Net	$ 84	$ (174)
J.P. Morgan Chase Bank [Member]
Derivative Counterparties Fair Value [Line Items]
Credit Risk Derivative Assets At Fair Value	13
Societe Generale [Member]
Derivative Counterparties Fair Value [Line Items]
Credit Risk Derivative Assets At Fair Value	13
Citibank, N.A. [Member]
Derivative Counterparties Fair Value [Line Items]
Credit Risk Derivative Assets At Fair Value	14
ING Bank [Member]
Derivative Counterparties Fair Value [Line Items]
Credit Risk Derivative Assets At Fair Value	$ 13

Debt (Summary Of Long-Term Debt

Debt (Summary Of Long-Term Debt) (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Debt Instrument [Line Items]
Credit facility	$ 0	$ 0
Unamortized original issue premium	21	22
Senior notes issuance costs, net	(30)	(31)
Less: current portion	0	0
Total long-term debt	2,741	2,741
5.5% unsecured senior notes due 2022
Debt Instrument [Line Items]
Unsecured senior notes	600	600
5.5% unsecured senior notes due 2023
Debt Instrument [Line Items]
Unsecured senior notes	1,550	1,550
4.375% unsecured senior notes due 2025
Debt Instrument [Line Items]
Unsecured senior notes	$ 600	$ 600

Debt (Narrative) (Detail)

Debt (Narrative) (Detail) - USD ($) $ in Billions	1 Months Ended	3 Months Ended
	Apr. 30, 2017	Mar. 31, 2017
Debt Disclosure [Line Items]
Line of credit maturity date	May 9, 2022	May 9, 2019
Aggregate lender commitments	$ 2	$ 2.5
Aggregate maximum borrowing base	$ 3	$ 2.8

Debt (Principal Maturities Of D

Debt (Principal Maturities Of Debt) (Detail) $ in Millions	Mar. 31, 2017USD ($)
Disclosure Debt Principal Maturities Of Debt [Abstract]
Remaining 2,017	$ 0
2,018	0
2,019	0
2,020	0
2,021	0
2,022	600
Thereafter	2,150
Total	$ 2,750

Debt (Summary Of Interest Expen

Debt (Summary Of Interest Expense) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Disclosure Debt Summary Of Interest Expense [Abstract]
Cash payments for interest	$ (61)	$ (42)
Non-cash interest	3	3
Net changes in accruals	(24)	9
Total interest expense	$ 40	$ 54

Commitments And Contingencies52

Commitments And Contingencies (Narrative) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016	Dec. 31, 2016
Commitments [Line Items]
Operating leases, lease payments	$ 3	$ 2
Accrued Exposure	$ 4		$ 7

Commitments And Contingencies53

Commitments And Contingencies (Future Commitments) (Detail) $ in Millions	Mar. 31, 2017USD ($)
Disclosure Commitments And Contingencies Future Commitments [Abstract]
Remaining 2,017	$ 46
2,018	65
2,019	52
2,020	25
2,021	21
2,022	22
Thereafter	78
Total	$ 309

Commitments And Contingencies54

Commitments And Contingencies (Future Minimum Lease Commitments Under Non-Cancellable Operating Leases) (Detail) $ in Millions	Mar. 31, 2017USD ($)
Disclosure Commitments And Contingencies Future Minimum Lease Commitments Under Non Cancellable Operating Leases [Abstract]
Remaining 2,017	$ 7
2,018	8
2,019	7
2,020	5
2,021	5
2,022	0
Thereafter	1
Total	$ 33

Income Taxes (Narrative) (Detai

Income Taxes (Narrative) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Disclosure Income Taxes Narrative [Abstract]
Effective tax rate	36.30%	36.80%
Excess tax benefit (discrete item)	$ 7

Related Party Transactions (Sch

Related Party Transactions (Schedule Of Related Party Transactions) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Related Party Transaction [Line Items]
Ownership interest in partnership	3.50%
Partnership (Director Ownership Interest) [Member]
Related Party Transaction [Line Items]
Amounts paid	$ 2	$ 1

Net Income Per Share (Narrative

Net Income Per Share (Narrative) (Detail)	3 Months Ended
	Mar. 31, 2017
Disclosure Net Income Per Share Narrative [Abstract]
Performance unit awards vesting period	36 months
Maximum Payout Value on Performance Units	300.00%
Minimum Payout Value on Performance Units	0.00%

Net Income Per Share (Reconcili

Net Income Per Share (Reconciliation Of Earnings Attributable To Common Shares Basic And Diluted) (Detail) - USD ($) $ in Millions		3 Months Ended
		Mar. 31, 2017	Mar. 31, 2016
Earnings Per Share, Basic and Diluted, by Common Class, Including Two Class Method [Line Items]
Net income (loss)		$ 650	$ (1,020)
Participating basic earnings	[1]	(5)	0
Basic net income (loss) attributable to common stockholders		645	(1,020)
Reallocation of participating earnings		0	0
Diluted net income (loss) attributable to common stockholders		$ 645	$ (1,020)
[1]	Unvested restricted stock awards represent participating securities because they participate in nonforfeitable dividends or distributions with the common equity holders of the Company. Participating earnings represent the distributed earnings of the Company attributable to the participating securities. Unvested restricted stock awards do not participate in undistributed net losses as they are not contractually obligated to do so.

Net Income Per Share (Reconci59

Net Income Per Share (Reconciliation Of The Weighted Average Common Shares Outstanding) (Detail) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items]
Basic	146,838	128,396
Diluted	147,551	128,396
Stock Options [Member]
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items]
Dilutive shares	12	0
Performance Units [Member]
Reconciliation Of Basic Weighted Average Common Shares Outstanding To Diluted Weighted Average Common Shares Outstanding [Line Items]
Dilutive shares	701	0

Net Income Per Share (Summary O

Net Income Per Share (Summary Of The Common Stock Options And Restricted Stock) (Detail) - shares shares in Thousands	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Performance Units [Member]
Antidilutive Securities Excluded From Computation Of Earnings Per Share [Line Items]
Antidilutive common shares	108	0

Subsidiary Guarantors (Condense

Subsidiary Guarantors (Condensed Consolidating Balance Sheet) (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
ASSETS
Accounts receivable - related parties	$ 0	$ 0
Other current assets	1,353	546
Oil and natural gas properties, net	11,620	11,086
Property and equipment, net	209	216
Investment in subsidiaries	0	0
Other long-term assets	137	271
Total assets	13,319	12,119
LIABILITIES AND EQUITY
Accounts payable - related parties	0	0
Other current liabilities	780	753
Long-term debt	2,741	2,741
Other long-term liabilities	1,266	1,002
Equity	8,532	7,623
Total liabilities and stockholders' equity	13,319	12,119
Consolidation Eliminations [Member]
ASSETS
Accounts receivable - related parties	(8,354)	(8,655)
Other current assets	0	0
Oil and natural gas properties, net	0	0
Property and equipment, net	0	0
Investment in subsidiaries	(2,757)	(1,989)
Other long-term assets	0	0
Total assets	(11,111)	(10,644)
LIABILITIES AND EQUITY
Accounts payable - related parties	(8,354)	(8,655)
Other current liabilities	0	0
Long-term debt	0	0
Other long-term liabilities	0	0
Equity	(2,757)	(1,989)
Total liabilities and stockholders' equity	(11,111)	(10,644)
Parent Company [Member]
ASSETS
Accounts receivable - related parties	8,947	8,991
Other current assets	74	12
Oil and natural gas properties, net	0	0
Property and equipment, net	0	0
Investment in subsidiaries	2,757	1,989
Other long-term assets	52	11
Total assets	11,830	11,003
LIABILITIES AND EQUITY
Accounts payable - related parties	(593)	(336)
Other current liabilities	25	114
Long-term debt	2,741	2,741
Other long-term liabilities	1,125	861
Equity	8,532	7,623
Total liabilities and stockholders' equity	11,830	11,003
Guarantor Subsidiaries [Member]
ASSETS
Accounts receivable - related parties	(593)	(336)
Other current assets	1,279	534
Oil and natural gas properties, net	11,620	11,086
Property and equipment, net	209	216
Investment in subsidiaries	0	0
Other long-term assets	85	260
Total assets	12,600	11,760
LIABILITIES AND EQUITY
Accounts payable - related parties	8,947	8,991
Other current liabilities	755	639
Long-term debt	0	0
Other long-term liabilities	141	141
Equity	2,757	1,989
Total liabilities and stockholders' equity	$ 12,600	$ 11,760

Subsidiary Guarantors (Conden62

Subsidiary Guarantors (Condensed Consolidating Statement Of Operations) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Condensed Financial Statements Captions [Line Items]
Total operating revenues	$ 612	$ 284
Total operating costs and expenses	449	(1,837)
Income (loss) from operations	1,061	(1,553)
Interest expense	(40)	(54)
Other, net	0	(7)
Income (loss) before income taxes	1,021	(1,614)
Income tax (expense) benefit	(371)	594
Net income (loss)	650	(1,020)
Consolidation Eliminations [Member]
Condensed Financial Statements Captions [Line Items]
Total operating revenues	0	0
Total operating costs and expenses	0	0
Income (loss) from operations	0	0
Interest expense	0	0
Other, net	(776)	1,640
Income (loss) before income taxes	(776)	1,640
Income tax (expense) benefit	0	0
Net income (loss)	(776)	1,640
Parent Company [Member]
Condensed Financial Statements Captions [Line Items]
Total operating revenues	0	0
Total operating costs and expenses	285	79
Income (loss) from operations	285	79
Interest expense	(40)	(53)
Other, net	776	(1,640)
Income (loss) before income taxes	1,021	(1,614)
Income tax (expense) benefit	(371)	594
Net income (loss)	650	(1,020)
Guarantor Subsidiaries [Member]
Condensed Financial Statements Captions [Line Items]
Total operating revenues	612	284
Total operating costs and expenses	164	(1,916)
Income (loss) from operations	776	(1,632)
Interest expense	0	(1)
Other, net	0	(7)
Income (loss) before income taxes	776	(1,640)
Income tax (expense) benefit	0	0
Net income (loss)	$ 776	$ (1,640)

Subsidiary Guarantors (Conden63

Subsidiary Guarantors (Condensed Consolidating Statement Of Cash Flows) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Condensed Financial Statements Captions [Line Items]
Net cash flows provided by (used in) operating activities	$ 407	$ 370
Net cash flows provided by (used in) investing activities	330	(122)
Net cash flows provided by (used in) financing activities	(19)	(10)
Net increase (decrease) in cash and cash equivalents	718	238
Cash and cash equivalents at beginning of period	53	229
Cash and cash equivalents at end of period	771	467
Consolidation Eliminations [Member]
Condensed Financial Statements Captions [Line Items]
Net cash flows provided by (used in) operating activities	0	0
Net cash flows provided by (used in) investing activities	0	0
Net cash flows provided by (used in) financing activities	0	0
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	0	0
Parent Company [Member]
Condensed Financial Statements Captions [Line Items]
Net cash flows provided by (used in) operating activities	19	10
Net cash flows provided by (used in) investing activities	0	0
Net cash flows provided by (used in) financing activities	(19)	(10)
Net increase (decrease) in cash and cash equivalents	0	0
Cash and cash equivalents at beginning of period	0	0
Cash and cash equivalents at end of period	0	0
Guarantor Subsidiaries [Member]
Condensed Financial Statements Captions [Line Items]
Net cash flows provided by (used in) operating activities	388	360
Net cash flows provided by (used in) investing activities	330	(122)
Net cash flows provided by (used in) financing activities	0	0
Net increase (decrease) in cash and cash equivalents	718	238
Cash and cash equivalents at beginning of period	53	229
Cash and cash equivalents at end of period	$ 771	$ 467

Subsequent Events (Narrative) (

Subsequent Events (Narrative) (Detail) - USD ($) $ in Billions	1 Months Ended	3 Months Ended
	Apr. 30, 2017	Mar. 31, 2017
Subsequent Event [Line Items]
Line of credit maturity date	May 9, 2022	May 9, 2019
Aggregate lender commitments	$ 2	$ 2.5
Aggregate maximum borrowing base	$ 3	$ 2.8

Subsequent Events (New Commodit

Subsequent Events (New Commodity Derivative Contracts) (Detail) - Minimum [Member]		3 Months Ended											12 Months Ended
		Dec. 31, 2019bbl$ / bbl	Sep. 30, 2019bbl$ / bbl	Jun. 30, 2019bbl$ / bbl	Mar. 31, 2019bbl$ / bbl	Dec. 31, 2018MMBTUbbl$ / bbl$ / MMBTU	Sep. 30, 2018MMBTUbbl$ / bbl$ / MMBTU	Jun. 30, 2018MMBTUbbl$ / bbl$ / MMBTU	Mar. 31, 2018MMBTUbbl$ / bbl$ / MMBTU	Dec. 31, 2017MMBTUbbl$ / bbl$ / MMBTU	Sep. 30, 2017MMBTUbbl$ / bbl$ / MMBTU	Jun. 30, 2017MMBTUbbl$ / bbl$ / MMBTU	Dec. 31, 2019bbl$ / bbl	Dec. 31, 2018MMBTUbbl$ / bbl$ / MMBTU	Dec. 31, 2017MMBTUbbl$ / bbl$ / MMBTU
Oil Swaps [Member]
Subsequent Event [Line Items]
Volume - Current Year | bbl	[1]									6,333,080	6,898,370	7,708,480			20,939,930
Price - Current Year | $ / bbl	[1]									52.04	51.87	57.22			53.89
Volume - Year One | bbl	[1]					4,941,007	5,204,318	5,516,170	5,875,629					21,537,124
Price - Year One | $ / bbl	[1]					51.59	51.75	51.93	52.11					51.86
Volume - Year Two | bbl	[1]	2,083,000	2,163,000	2,253,000	2,355,000								8,854,000
Price - Year Two | $ / bbl	[1]	55.16	55.14	55.11	55.15								55.14
Oil Basis Swaps [Member]
Subsequent Event [Line Items]
Volume - Current Year | bbl	[2]									5,290,000	5,290,000	6,141,500			16,721,500
Price - Current Year | $ / bbl	[2]									(0.49)	(0.49)	(1.03)			(0.69)
Volume - Year One | bbl	[2]					3,956,000	3,956,000	3,913,000	3,870,000					15,695,000
Price - Year One | $ / bbl	[2]					(1)	(1)	(1)	(1)					(1)
Natural Gas Swap [Member]
Subsequent Event [Line Items]
Volume - Current Year | MMBTU	[3]									14,043,000	14,665,441	14,814,642			43,523,083
Price - Current Year | $ / MMBTU	[3]									3.09	3.1	3.08			3.09
Volume - Year One | MMBTU	[3]					8,064,000	8,249,000	8,401,000	8,656,000					33,370,000
Price - Year One | $ / MMBTU	[3]					3.03	3.04	3.04	3.04					3.04
Subsequent Event [Member] | Oil Swaps [Member]
Subsequent Event [Line Items]
Volume - Current Year | bbl	[1]									855,000	1,068,000	971,000			2,894,000
Price - Current Year | $ / bbl	[1]									50.59	50.5	50.41			50.49
Subsequent Event [Member] | Oil Basis Swaps [Member]
Subsequent Event [Line Items]
Volume - Year Two | bbl	[2]	644,000	644,000	637,000	630,000								2,555,000
Price - Year Two | $ / bbl	[2]	(1.25)	(1.25)	(1.25)	(1.25)								(1.25)
[1]	The index prices for the oil price swaps are based on the New York Mercantile Exchange (“NYMEX”) – West Texas Intermediate (“WTI”) monthly average futures price.
[2]	The basis differential price is between Midland – WTI and Cushing – WTI.
[3]	The index prices for the natural gas price swaps are based on the NYMEX – Henry Hub last trading day futures price.

Supplementary Information (Capi

Supplementary Information (Capitalized Costs) (Detail) - USD ($) $ in Millions	Mar. 31, 2017	Dec. 31, 2016
Disclosure Supplementary Information Capitalized Costs [Abstract]
Proved	$ 17,081	$ 16,620
Unproved	2,206	1,856
Accumulated depletion and depreciation	(7,667)	(7,390)
Net capitalized costs for oil and natural gas properties	$ 11,620	$ 11,086

Supplementary Information (Cost

Supplementary Information (Costs Incurred For Oil And Natural Gas Producing Activities) (Detail) - USD ($) $ in Millions	3 Months Ended
	Mar. 31, 2017	Mar. 31, 2016
Disclosure Supplementary Information Costs Incurred For Oil And Natural Gas Producing Activities [Abstract]
Proved	$ 127	$ 252
Unproved	306	139
Exploration	235	170
Development	158	83
Total costs incurred for oil and natural gas properties	$ 826	$ 644