Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2020 | Oct. 30, 2020 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Amendment Flag | false | |
Document Period End Date | Sep. 30, 2020 | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Trading Symbol | AMPY | |
Entity Registrant Name | Amplify Energy Corp. | |
Entity Central Index Key | 0001533924 | |
Current Fiscal Year End Date | --12-31 | |
Entity Current Reporting Status | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Shell Company | false | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Tax Identification Number | 82-1326219 | |
Entity File Number | 001-35512 | |
Entity Incorporation, State or Country Code | DE | |
Entity Address, Address Line One | 500 Dallas Street | |
Entity Address, Address Line Two | Suite 1700 | |
Entity Address, City or Town | Houston | |
Entity Address, State or Province | TX | |
Entity Address, Postal Zip Code | 77002 | |
City Area Code | 713 | |
Local Phone Number | 490-8900 | |
Security Exchange Name | NYSE | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Entity Interactive Data Current | Yes | |
Title of 12(b) Security | Common Stock | |
Entity Common Stock, Shares Outstanding | 37,656,451 |
UNAUDITED CONDENSED CONSOLIDATE
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Current assets: | ||
Cash and cash equivalents | $ 13,521 | $ 0 |
Restricted cash | 0 | 325 |
Accounts receivable, net | 26,907 | 33,145 |
Short-term derivative instruments | 9,916 | 5,879 |
Prepaid expenses and other current assets | 12,158 | 13,238 |
Total current assets | 62,502 | 52,587 |
Property and equipment, at cost: | ||
Oil and natural gas properties, successful efforts method | 772,773 | 797,005 |
Support equipment and facilities | 142,274 | 140,023 |
Other | 8,873 | 8,045 |
Accumulated depreciation, depletion and impairment | (578,187) | (141,350) |
Property and equipment, net | 345,733 | 803,723 |
Long-term derivative instruments | 3,014 | 6,364 |
Restricted investments | 4,622 | 4,622 |
Operating lease - long term right-of-use asset | 3,055 | 4,406 |
Other long-term assets | 2,768 | 5,837 |
Total assets | 421,694 | 877,539 |
Current liabilities: | ||
Accounts payable | 2,344 | 8,310 |
Revenues payable | 24,194 | 29,167 |
Accrued liabilities (see Note 13) | 19,063 | 23,358 |
Short-term derivative instruments | 786 | 253 |
Current portion of long-term debt (see Note 8) | 5,000 | 0 |
Total current liabilities | 51,387 | 61,088 |
Long-term debt (see Note 8) | 265,516 | 285,000 |
Asset retirement obligations | 95,275 | 90,466 |
Long-term derivative instruments | 1,350 | 305 |
Operating lease liability | 853 | 2,720 |
Other long-term liabilities | 3,277 | 3,753 |
Total liabilities | 417,658 | 443,332 |
Commitments and contingencies (see Note 15) | 0 | 0 |
Stockholders' equity: | ||
Preferred stock, $0.01 par value: 50,000,000 shares authorized; no shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively | 0 | 0 |
Warrants, 2,173,913 and 9,153,522 warrants issued and outstanding at September 30, 2020 and December 31, 2019, respectively | 4,788 | 4,790 |
Common stock, $0.01 par value: 250,000,000 shares authorized; 37,627,566 and 37,566,540 shares issued and outstanding at September 30, 2020 and December 31, 2019, respectively | 209 | 209 |
Additional paid-in capital | 424,236 | 424,399 |
Accumulated earnings | (425,197) | 4,809 |
Total stockholders' equity | 4,036 | 434,207 |
Total liabilities and equity | $ 421,694 | $ 877,539 |
UNAUDITED CONDENSED CONSOLIDA_2
UNAUDITED CONDENSED CONSOLIDATED BALANCE SHEETS (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 |
Statement Of Financial Position [Abstract] | ||
Preferred stock, par value | $ 0.01 | $ 0.01 |
Preferred stock, shares authorized | 50,000,000 | 50,000,000 |
Preferred stock, shares issued | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 |
Warrants issued | 2,173,913 | 9,153,522 |
Warrants outstanding | 2,173,913 | 9,153,522 |
Common stock, par value | $ 0.01 | $ 0.01 |
Common stock, shares authorized | 250,000,000 | 250,000,000 |
Common stock, shares issued | 37,627,566 | 37,566,540 |
Common stock, shares outstanding | 37,627,566 | 37,566,540 |
UNAUDITED CONDENSED STATEMENTS
UNAUDITED CONDENSED STATEMENTS OF CONSOLIDATED OPERATIONS - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenues: | ||||
Total revenues | $ 52,745 | $ 72,959 | $ 146,052 | $ 197,646 |
Costs and expenses: | ||||
Lease operating expense | 27,639 | 32,977 | 91,190 | 88,179 |
Exploration | 5 | 3 | 24 | 24 |
Taxes other than income | 3,761 | 5,135 | 9,942 | 13,008 |
Depreciation, depletion and amortization | 7,950 | 15,617 | 31,129 | 39,696 |
Impairment expense | 0 | 0 | 455,031 | 0 |
General and administrative expense | 6,443 | 27,034 | 21,551 | 46,908 |
Accretion of asset retirement obligations | 1,565 | 1,428 | 4,617 | 4,071 |
(Gain) loss on commodity derivative instruments | 14,352 | (28,725) | (74,196) | (19,231) |
Other, net | 113 | 224 | 113 | 401 |
Total costs and expenses | 67,084 | 58,152 | 554,399 | 186,563 |
Operating income (loss) | (14,339) | 14,807 | (408,347) | 11,083 |
Other income (expense): | ||||
Interest expense, net | (3,362) | (5,276) | (17,218) | (13,787) |
Loss on lease | 0 | (4,237) | 0 | (4,237) |
Other income (expense) | 196 | (104) | (38) | (104) |
Total other income (expense) | (3,166) | (9,617) | (17,256) | (18,128) |
Income (loss) before reorganization items, net and income taxes | (17,505) | 5,190 | (425,603) | (7,045) |
Reorganization items, net | (180) | (33) | (532) | (684) |
Income tax benefit (expense) | 0 | 0 | (85) | 50 |
Net income (loss) | (17,685) | 5,157 | (426,220) | (7,679) |
Net (income) loss allocated to participating restricted stockholders | 0 | (128) | 0 | 0 |
Net income (loss) attributable to common stockholders | $ (17,685) | $ 5,029 | $ (426,220) | $ (7,679) |
Earnings per share: (See Note 10) | ||||
Basic and diluted earnings per share | $ (0.47) | $ 0.15 | $ (11.34) | $ (0.29) |
Weighted average common shares outstanding: | ||||
Basic and diluted | 37,626 | 33,707 | 37,596 | 26,093 |
Oil and Natural Gas Sales [Member] | ||||
Revenues: | ||||
Total revenues | $ 52,488 | $ 72,426 | $ 145,163 | $ 196,978 |
Other Revenues [Member] | ||||
Revenues: | ||||
Total revenues | 257 | 533 | 889 | 668 |
Gathering, Processing and Transportation [Member] | ||||
Costs and expenses: | ||||
Gathering, processing and transportation | $ 5,256 | $ 4,459 | $ 14,998 | $ 13,507 |
UNAUDITED CONDENSED STATEMENT_2
UNAUDITED CONDENSED STATEMENTS OF CONSOLIDATED CASH FLOWS - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net income (loss) | $ (426,220) | $ (7,679) |
Adjustments to reconcile net income (loss) to net cash provided by operating activities: | ||
Depreciation, depletion and amortization | 31,129 | 39,696 |
Impairment expense | 455,031 | 0 |
(Gain) loss on derivative instruments | (70,162) | (18,897) |
Cash settlements (paid) received on expired derivative instruments | 53,076 | 2,315 |
Cash settlements (paid) received on terminated derivative instruments | 17,977 | 0 |
Bad debt expense | 470 | 266 |
Amortization and write-off of deferred financing costs | 3,134 | 62 |
Accretion of asset retirement obligations | 4,617 | 4,071 |
Share-based compensation (see Note 11) | (161) | 4,073 |
Settlement of asset retirement obligations | (199) | (259) |
Changes in operating assets and liabilities: | ||
Accounts receivable | 5,769 | 11,328 |
Prepaid expenses and other assets | 1,080 | (1,968) |
Payables and accrued liabilities | (11,467) | (12,115) |
Other | (476) | 4,995 |
Net cash provided by operating activities | 63,598 | 25,888 |
Cash flows from investing activities: | ||
Cash acquired from the Merger | 0 | 19,250 |
Additions to oil and gas properties | (31,234) | (63,004) |
Additions to other property and equipment | (828) | 788 |
Additions to restricted investments | 0 | (154) |
Withdrawals of restricted investments | 0 | 90,000 |
Proceeds from the sale of other property and equipment | 0 | 31 |
Net cash provided by (used in) investing activities | (32,062) | 46,911 |
Cash flows from financing activities: | ||
Advances on revolving credit facilities | 25,000 | 103,000 |
Payments on revolving credit facilities | (45,000) | (119,000) |
Proceeds from the paycheck protection program | 5,516 | 0 |
Deferred financing costs | (65) | (832) |
Dividends to stockholders | (3,786) | (8,189) |
Common stock repurchased and retired under the share repurchase program | 0 | (13,251) |
Costs incurred in conjunction with tender offer | 0 | (107) |
Restricted units returned to plan | (40) | (313) |
Other | 35 | 156 |
Net cash provided by (used in) financing activities | (18,340) | (115,095) |
Net change in cash, cash equivalents and restricted cash | 13,196 | (42,296) |
Cash, cash equivalents and restricted cash, beginning of period | 325 | 50,029 |
Cash, cash equivalents and restricted cash, end of period | 13,521 | 7,733 |
Midstates [Member] | ||
Cash flows from financing activities: | ||
Payments on revolving credit facilities | $ 0 | $ (76,559) |
UNAUDITED CONDENSED STATEMENT_3
UNAUDITED CONDENSED STATEMENTS OF CONSOLIDATED EQUITY - USD ($) $ in Thousands | Total | Common Stock [Member] | Warrants [Member] | Additional Paid in Capital [Member] | Accumulated Earnings (Deficit) [Member] | Treasury Stock [Member] |
Balance at Dec. 31, 2018 | $ 416,558 | $ 3 | $ 4,788 | $ 355,872 | $ 55,895 | $ 0 |
Net income (loss) | (31,477) | 0 | 0 | 0 | (31,477) | 0 |
Costs incurred in conjunction with tender offer | (107) | 0 | 0 | (107) | 0 | 0 |
Share-based compensation expense | 1,443 | 0 | 0 | 1,443 | 0 | 0 |
Common stock repurchased and retired under the share repurchase program | (920) | 0 | 0 | (920) | 0 | 0 |
Balance at Mar. 31, 2019 | 385,497 | 3 | 4,788 | 356,288 | 24,418 | 0 |
Balance at Dec. 31, 2018 | 416,558 | 3 | 4,788 | 355,872 | 55,895 | 0 |
Net income (loss) | (7,679) | |||||
Balance at Sep. 30, 2019 | 480,045 | 209 | 4,790 | 435,019 | 40,027 | 0 |
Balance at Mar. 31, 2019 | 385,497 | 3 | 4,788 | 356,288 | 24,418 | 0 |
Net income (loss) | 18,641 | 0 | 0 | 0 | 18,641 | 0 |
Share-based compensation expense | 1,479 | 0 | 0 | 1,479 | 0 | 0 |
Common stock repurchased and retired under the share repurchase program | (331) | 0 | 0 | (331) | 0 | 0 |
Restricted shares repurchased | (199) | 0 | 0 | (199) | 0 | 0 |
Balance at Jun. 30, 2019 | 405,087 | 3 | 4,788 | 357,237 | 43,059 | 0 |
Net income (loss) | 5,157 | 0 | 0 | 0 | 5,157 | 0 |
Equity transactions related to the Merger | 91,246 | 206 | 2 | 91,038 | 0 | 0 |
Treasury shares acquired in the Merger | (2,723) | 0 | 0 | 0 | 0 | (2,723) |
Retirement of treasury shares | 0 | 0 | 0 | (2,723) | 0 | 2,723 |
Share-based compensation expense | 1,151 | 0 | 0 | 1,151 | 0 | 0 |
Common stock repurchased and retired under the share repurchase program | (12,000) | 0 | 0 | (12,000) | 0 | 0 |
Restricted shares repurchased | (115) | 0 | 0 | (115) | 0 | 0 |
Dividends | (8,189) | 0 | 0 | 0 | (8,189) | 0 |
Other | 431 | 0 | 0 | 431 | 0 | 0 |
Balance at Sep. 30, 2019 | 480,045 | 209 | 4,790 | 435,019 | 40,027 | $ 0 |
Balance at Dec. 31, 2019 | 434,207 | 209 | 4,790 | 424,399 | 4,809 | |
Net income (loss) | (367,199) | 0 | 0 | 0 | (367,199) | |
Share-based compensation expense | (1,112) | 0 | 0 | (1,112) | 0 | |
Restricted shares repurchased | (14) | 0 | 0 | (14) | 0 | |
Dividends | (3,786) | 0 | 0 | 0 | (3,786) | |
Balance at Mar. 31, 2020 | 62,096 | 209 | 4,790 | 423,273 | (366,176) | |
Balance at Dec. 31, 2019 | 434,207 | 209 | 4,790 | 424,399 | 4,809 | |
Net income (loss) | (426,220) | |||||
Balance at Sep. 30, 2020 | 4,036 | 209 | 4,788 | 424,236 | (425,197) | |
Balance at Mar. 31, 2020 | 62,096 | 209 | 4,790 | 423,273 | (366,176) | |
Net income (loss) | (41,336) | 0 | 0 | 0 | (41,336) | |
Share-based compensation expense | 480 | 0 | 0 | 480 | 0 | |
Expiration of warrants | 0 | 0 | (2) | 2 | 0 | |
Restricted shares repurchased | (20) | 0 | 0 | (20) | 0 | |
Other | 35 | 0 | 0 | 35 | 0 | |
Balance at Jun. 30, 2020 | 21,255 | 209 | 4,788 | 423,770 | (407,512) | |
Net income (loss) | (17,685) | 0 | 0 | 0 | (17,685) | |
Share-based compensation expense | 471 | 0 | 0 | 471 | 0 | |
Restricted shares repurchased | (5) | 0 | 0 | (5) | 0 | |
Balance at Sep. 30, 2020 | $ 4,036 | $ 209 | $ 4,788 | $ 424,236 | $ (425,197) |
Organization and Basis of Prese
Organization and Basis of Presentation | 9 Months Ended |
Sep. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Organization and Basis of Presentation | Note 1. Organization and Basis of Presentation General On August 6, 2019, Midstates Petroleum Company, Inc., a Delaware corporation (“Midstates”), completed its business combination (the “Merger”) with Amplify Energy Corp. (“Legacy Amplify”) in accordance with the terms of that certain Agreement and Plan of Merger, dated May 5, 2019 (the “Merger Agreement”), by and among Midstates, Legacy Amplify and Midstates Holdings, Inc., a Delaware corporation and direct, wholly owned subsidiary of Midstates (“Merger Sub”). Pursuant to the terms of the Merger Agreement, Merger Sub merged with and into Legacy Amplify, with Legacy Amplify surviving the Merger as a wholly owned subsidiary of Midstates, and immediately following the Merger, Legacy Amplify merged with and into Alpha Mike Holdings LLC, a Delaware limited liability company and wholly owned subsidiary of Midstates (“LLC Sub”), with LLC Sub surviving as a wholly owned subsidiary of Midstates. On the effective date of the Merger, Midstates changed its name to “Amplify Energy Corp.” (the “Company”) and LLC Sub changed its name to “Amplify Energy Holdings LLC.” For financial reporting purposes, the Merger represented a “reverse merger” and Legacy Amplify was deemed to be the accounting acquirer in the transaction. Legacy Amplify’s historical results of operations will replace Midstates’ historical results of operations for all periods prior to the Merger and, for all periods following the Merger, the Company’s financial statements will reflect the results of operations of the combined company. Accordingly, the financial statements for the Company included in this Quarterly Report on Form 10-Q for periods prior to the Merger are not the same as Midstates prior reported filings with the SEC, which were derived from the operations of Midstates. As a result, period-to-period comparisons of our operating results may not be meaningful. The results of any one quarter should not be relied upon as an indication of future performance. When referring to Legacy Amplify, the intent is to refer to Amplify Energy Corp. prior to the effective date of the Merger, and its consolidated subsidiaries as a whole or on an individual basis, depending on the context in which the statements are made. We operate in one reportable segment engaged in the acquisition, development, exploitation and production of oil and natural gas properties. Our management evaluates performance based on one reportable business segment as the economic environments are not different within the operation of our oil and natural gas properties. Our assets consist primarily of producing oil and natural gas properties and are located in Oklahoma, the Rockies, federal waters offshore Southern California, East Texas / North Louisiana and South Texas. Most of our oil and natural gas properties are located in large, mature oil and natural gas reservoirs. The Company’s properties consist primarily of operated and non-operated working interests in producing and undeveloped leasehold acreage and working interests in identified producing wells. Basis of Presentation Our Unaudited Condensed Consolidated Financial Statements included herein have been prepared pursuant to the rules and guidelines of the SEC. The results reported in these Unaudited Condensed Consolidated Financial Statements should not necessarily be taken as indicative of results that may be expected for the entire year. In our opinion, the accompanying Unaudited Condensed Consolidated Financial Statements include all adjustments of a normal recurring nature necessary for fair presentation. Although we believe the disclosures in these financial statements are adequate, certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the SEC. The Unaudited Condensed Consolidated Financial Statements have been prepared as if the Company is a going concern and reflect the application of Accounting Standards Codification 852 “Reorganizations” (“ASC 852”). ASC 852 requires that the financial statements, for periods subsequent to the Chapter 11 filing, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain expenses, gains and losses that were realized or incurred in the bankruptcy proceedings are recorded in “reorganization items, net” on the Company’s Unaudited Condensed Statements of Consolidated Operations. All intercompany transactions and balances have been eliminated in preparation of our consolidated financial statements. Use of Estimates The preparation of the accompanying Unaudited Condensed Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include, but are not limited to, oil and natural gas reserves; depreciation, depletion, and amortization of proved oil and natural gas properties; future cash flows from oil and natural gas properties; impairment of long-lived assets; fair value of derivatives; fair value of equity compensation; fair values of assets acquired and liabilities assumed in business combinations and asset retirement obligations. Risk and Uncertainties In March 2020, the World Health Organization declared the outbreak of COVID-19 as a pandemic, which continues to spread throughout the United States. The spread of COVID-19 has caused significant volatility in U.S. and international markets. There is significant uncertainty around the breadth and duration of business disruptions related to COVID-19, as well as its impact on the U.S. and international economies and, as such, the Company is unable to determine the extent of the impact caused by the COVID-19 pandemic to the Company’s operations. The pandemic has lowered the demand for oil and natural gas which has led to low commodity prices. The reductions in commodity prices have resulted in lower levels of cash flow from operating activities. In addition, the borrowing base under our Revolving Credit Facility (as defined below) is subject to redetermination on at least a semi-annual basis primarily based on an engineering report with respect to our estimated oil, NGL and natural gas reserves which will take into account the prevailing oil, NGL and natural gas prices at such time, as adjusted for the impact of our commodity derivative contracts. Severely reduced commodity prices contributed to a reduction in our borrowing base during the Spring 2020 determination process, and continued low prices may adversely impact subsequent redeterminations. The reduction in commodity prices has directly led to an impairment of our oil and natural gas properties. There may be further impairments in future periods if commodity prices continue to decline. In addition, oil prices severely declined following unsuccessful negotiations between members of Organization of the Petroleum Exporting Countries (“OPEC”) and certain nonmembers, including Russia, to implement production cuts in an effort to decrease the global oversupply and to rebalance supply and demand due to the ongoing COVID-19 pandemic. In April 2020, members of OPEC and Russia agreed to temporary production reductions, but uncertainty about whether such production cuts and/or the duration of such reductions will be sufficient to rebalance supply and demand remains and may continue for the foreseeable future. We anticipate further market and commodity price volatility for the remainder of 2020 as a result of the events described above. Continued Listing Standard Notice from New York Stock Exchange (“NYSE”) On August 31, 2020, the Company, received written notification (the “Market Cap Notice”) from the NYSE that the Company no longer satisfies the continued listing compliance standards set forth under Section 802.01B of the NYSE Listed Company Manual (the “Manual”) because the average global market capitalization of the Company was less than $50,000,000 over a consecutive 30 trading-day period that ended on August 28, 2020 and, at the same time, the Company’s stockholders’ equity was less than $50,000,000. Under NYSE procedures, the Company had 45 days from its receipt of the Market Cap Notice to submit a plan to the NYSE demonstrating how it intends to regain compliance with the NYSE’s continued listing standards within 18 months. The Company submitted its plan to regain compliance with the listing standards within the required timeframe. Under NYSE rules, the Company’s common stock, par value $0.01 per share (the “Common Stock”), will continue to be listed on the NYSE during this 18-month cure period, subject to the Company’s compliance with other continued listing requirements. The Common Stock’s trading symbol “AMPY” was assigned a “.BC” indicator by the NYSE to signify that the Company currently is not in compliance with the NYSE’s continued listing requirements. If the Company fails to regain compliance with Section 802.01B of the Manual during the cure period, the Common Stock will be subject to the NYSE’s suspension and delisting procedures. Definitive Merger Agreement On May 5, 2019, as discussed above, the Company entered into the Merger Agreement pursuant to which Legacy Amplify merged with a subsidiary of Midstates in an all-stock merger-of-equals. Under the terms of the Merger Agreement, Legacy Amplify stockholders received 0.933 shares of newly issued Company common stock for each share of Legacy Amplify common stock that they owned. The Merger closed on August 6, 2019. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 2. Summary of Significant Accounting Policies Other than the accounting policies implemented in connection with the adoption of the current expected credit losses, there have been no changes to the Company’s significant accounting policies and estimates as described in the Company’s annual financial statements included in our Annual Report on Form 10-K. Current Expected Credit Losses In May 2019, the Financial Accounting Standard Board (the “FASB”) issued an accounting standard update to provide entities with an option to irrevocably elect the fair value option applied on an instrument-by-instrument basis for certain financial assets upon the adoption. The fair value option election does not apply to held-to-maturity debt securities. The Company adopted the guidance as of January 1, 2020. The Company has evaluated the impact of this guidance and concluded that the current and historical evaluation of estimated credit losses falls within the acceptable guidance. The provisions of the standard were interpreted to relate only to the Company’s accounts receivable, net. Trade receivables relate to one common pool, revenue earned on the sale of oil, natural gas and natural gas liquids. The performance obligation is satisfied at a point in time and revenue is recognized and a trade receivable is recorded from the sale when production is delivered to, and title has transferred to, the purchaser. The majority of the Company’s purchasers have been large major companies in the industry with the wherewithal to pay. The Company, as operator on most of our wells, also records receivables on billings to our joint interest owners who participate in the operating costs of the wells they have an interest in. Historically an allowance for doubtful accounts has been set up to recognize credit losses on joint interest billing (“JIB”) receivables based upon an aging analysis which is an appropriate method to estimate credit losses under the guidance. The Company will continue to assess the expected credit loss in the future as economic conditions change. Considering the recent drop in commodity prices we believe the majority of our revenue purchasers have the size and financial condition to currently meet their obligations. There could be added risk on the JIB accounts receivable as some wells could become uneconomic, with the revenue not enough to cover operating expenses billed, which could result in additional write-offs. The Company will continue to closely monitor trade receivables. Based upon the analysis performed there was no impact to beginning retained earnings upon the adoption of the guidance. The Company’s monitoring activities include timely account reconciliation and balances are written off when determined to be uncollectible. The Company considered the market conditions surrounding the COVID-19 pandemic and determined that the estimate of credit losses was not significantly impacted. The Company will continue to closely monitor trade receivables. New Accounting Pronouncements Reference Rate Reform. In March 2020, the FASB issued an accounting standard update which provides optional expedients and expectations for applying GAAP to contracts, hedging relationships, and other transactions to ease financial reporting burdens to the expected market transition from the London Interbank Offered Rate (“LIBOR”) or another reference rate to alternative reference rates. The amendments in this accounting standards update are effective beginning March 12, 2020, and an entity may elect to apply the amendments prospectively through December 31, 2022. The Company is currently evaluating the impact this guidance may have on the Company’s consolidated financial statements. Income Taxes – Simplifying the Accounting for Income Taxes . In December 2019, the FASB issued an accounting standard update which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. This accounting standards update removes the following exceptions: (i) exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items; (ii) exception to the requirements to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (iii) exception to the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (iv) exception to the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The amendments in the accounting standards update also improve consistency and simplify other areas of Topic 740 by clarifying and amending existing guidance. The new guidance is effective for fiscal years and interim period within those fiscal years, beginning after December 15, 2020. The Company is currently evaluating the impact of this guidance on the Company's consolidated financial statements. Other accounting standards that have been issued by the FASB or other standards-setting bodies are not expected to have a material impact on the Company’s financial position, results of operations and cash flows. |
Revenue
Revenue | 9 Months Ended |
Sep. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Revenue | Note 3. Revenue Revenue from contracts with customers The Company has determined that its contracts for the sale of crude oil, unprocessed natural gas, residue gas and NGLs contain monthly performance obligations to deliver product at locations specified in the contract. Control is transferred at the delivery location, at which point the performance obligation has been satisfied and revenue is recognized. Fees included in the contract that are incurred prior to control transfer are classified as gathering, processing and transportation and fees incurred after control transfers are included as a reduction to the transaction price. The transaction price at which revenue is recognized consists entirely of variable consideration based on quoted market prices less various fees and the quantity of volumes delivered. Oil and natural gas revenues are recorded using the sales method. Under this method, revenues are recognized based on actual volumes of oil and natural gas sold to purchasers, regardless of whether the sales are proportionate to our ownership in the property. An asset or a liability is recognized to the extent there is an imbalance in excess of the proportionate share of the remaining recoverable reserves on the underlying properties. No significant imbalances existed at September 30, 2020. Disaggregation of Revenue We have identified three material revenue streams in our business: oil, natural gas and NGLs. The following table present our revenues disaggregated by revenue stream. For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 (in thousands) Revenues Oil $ 36,868 $ 55,011 $ 101,682 $ 136,754 NGLs 5,537 4,306 14,002 15,509 Natural gas 10,083 13,109 29,479 44,715 Oil and natural gas sales $ 52,488 $ 72,426 $ 145,163 $ 196,978 Contract Balances Under our sales contracts, we invoice customers once our performance obligations have been satisfied, at which point payment is unconditional. Accordingly, our contracts do not give rise to contract assets or liabilities. Accounts receivable attributable to our revenue contracts with customers was $21.4 million at September 30, 2020 and $31.9 million at December 31, 2019. |
Acquisitions and Divestitures
Acquisitions and Divestitures | 9 Months Ended |
Sep. 30, 2020 | |
Business Combinations [Abstract] | |
Acquisitions and Divestitures | Note 4. Acquisitions and Divestitures Acquisition and Divestiture Related Expenses Acquisition and divestiture related expenses for third party transactions are included in general and administrative expense in the accompanying Unaudited Condensed Statements of Consolidated Operations for the period indicated below (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 $ 152 $ 12,833 $ 678 $ 16,655 There were no material acquisition or divestitures during the three and nine months ended September 30, 2020. The acquisition expenses incurred for the three and nine months ended September 30, 2019 are primarily related to the Merger discussed below. Business Combination Acquisitions qualifying as a business combination are accounted for under the acquisition method of accounting, which requires, among other items, that assets acquired and liabilities assumed be recognized on the condensed consolidated balance sheet at their fair values as of the acquisition date. The fair value measurements of the oil and natural gas properties acquired and asset retirement obligations assumed were derived utilizing an income approach and based, in part, on significant inputs not observable in the market. These inputs represent Level 3 measurements in the fair value hierarchy and include, but are not limited to, estimates of reserves, future operating and development costs, estimated future cash flows and appropriate discount rates. These inputs required significant judgments and estimates at the time of the valuation. Merger On May 5, 2019, Midstates, Legacy Amplify and Merger Sub entered into the Merger Agreement pursuant to which, Merger Sub merged with and into Legacy Amplify, with Legacy Amplify surviving the Merger as a wholly owned subsidiary of Midstates. At the effective time of the Merger, each share of Legacy Amplify common stock issued and outstanding immediately prior to the effective time (other than excluded shares) were cancelled and converted into the right to receive 0.933 shares of Midstates common stock, par value $0.01 per share. On August 6, 2019, the effective date of the Merger, Midstates changed its name to “Amplify Energy Corp.” Purchase Price Allocation The Merger was accounted for using the acquisition method, with Legacy Amplify treated as the acquirer for accounting purposes. The following table represents the preliminary allocation of the total purchase price of Midstates to the identifiable assets acquired and the liabilities assumed based on the fair values as of the acquisition date. Certain data necessary to complete the purchase price allocation was not yet available, and included, but is not limited to, valuation of preacquisition contingencies, final tax returns that provide the underlying tax basis of Midstates assets and liabilities and final appraisals of assets acquired and liabilities assumed. We completed the purchase price allocation during the fourth quarter of 2019 which was in the 12-month period following the acquisition date, during which time the value of the assets and liabilities were revised as appropriate. Purchase Price Allocation (In thousands) Consideration: Fair value of Midstates common stock issued in the Merger (a) $ 90,150 Fair value of Midstates warrants issued in the Merger 2 Total consideration $ 90,152 Fair value of liabilities assumed: Current liabilities $ 24,135 Long-term debt 76,559 Long-term asset retirement obligation 9,440 Other long-term liabilities 5,067 Amounts attributable to liabilities assumed $ 115,201 Fair value of assets acquired: Cash and cash equivalents $ 19,250 Other current assets 17,862 Oil and natural gas properties 142,642 Other property and equipment 6,280 Long-term asset retirement cost 9,440 Other non-current assets 9,879 Amounts attributable to assets acquired $ 205,353 Total identifiable net assets $ 90,152 (a) Based on 20,415,005 Midstates common shares issued at closing at $4.12 per share (closing price of August 6, 2019). Unaudited Pro Forma Financials The following unaudited pro forma financial information for the three and nine months ended September 30, 2019, is based on our historical consolidated financial statements adjusted to reflect as if the Merger had occurred on January 1, 2018. The information below reflects pro forma adjustments based on available information and certain assumptions that we believe are reasonable, including adjustments to conform the classification of expenses in Midstates statements of operations to our classification for similar expenses and the estimated tax impact of pro forma adjustments. The unaudited pro forma financial information is not necessarily indicative of what actually would have occurred if the acquisition had been completed as of the beginning of the periods presented, nor is it necessarily indicative of future results. For the Three Months Ended September 30, 2019 For the Nine Months Ended September 30, 2019 (Unaudited) (In thousands, except per unit amounts) Revenues $ 80,482 $ 258,547 Net income (loss) 6,845 6,236 Earnings per share: Basic $ 0.20 $ 0.24 Diluted $ 0.20 $ 0.24 |
Fair Value Measurements of Fina
Fair Value Measurements of Financial Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements of Financial Instruments | Note 5. Fair Value Measurements of Financial Instruments Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at a specified measurement date. Fair value estimates are based on either (i) actual market data or (ii) assumptions that other market participants would use in pricing an asset or liability, including estimates of risk. A three-tier hierarchy has been established that classifies fair value amounts recognized or disclosed in the financial statements. The hierarchy considers fair value amounts based on observable inputs (Levels 1 and 2) to be more reliable and predictable than those based primarily on unobservable inputs (Level 3). All the derivative instruments reflected on the accompanying Unaudited Condensed Consolidated Balance Sheets were considered Level 2. The carrying values of accounts receivables, accounts payables (including accrued liabilities), restricted investments and amounts outstanding under long-term debt agreements with variable rates included in the accompanying Unaudited Condensed Consolidated Balance Sheets approximated fair value at September 30, 2020 and December 31, 2019. The fair value estimates are based upon observable market data and are classified within Level 2 of the fair value hierarchy. These assets and liabilities are not presented in the following tables. Assets and Liabilities Measured at Fair Value on a Recurring Basis The fair market values of the derivative financial instruments reflected on the accompanying Unaudited Condensed Consolidated Balance Sheets as of September 30, 2020 and December 31, 2019 were based on estimated forward commodity prices. Financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement in its entirety. The significance of a particular input to the fair value measurement requires judgment, and may affect the valuation of the fair value of assets and liabilities and their placement within the fair value hierarchy levels. The following table presents the gross derivative assets and liabilities that are measured at fair value on a recurring basis at September 30, 2020 and December 31, 2019 for each of the fair value hierarchy levels: Fair Value Measurements at September 30, 2020 Using Quoted Prices in Significant Other Significant Active Market Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Fair Value (In thousands) Assets: Commodity derivatives $ — $ 27,262 $ — $ 27,262 Interest rate derivatives — — — — Total assets $ — $ 27,262 $ — $ 27,262 Liabilities: Commodity derivatives $ — $ 13,256 $ — $ 13,256 Interest rate derivatives — 3,212 — 3,212 Total liabilities $ — $ 16,468 $ — $ 16,468 Fair Value Measurements at December 31, 2019 Using Quoted Prices in Significant Other Significant Active Market Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Fair Value (In thousands) Assets: Commodity derivatives $ — $ 18,509 $ — $ 18,509 Interest rate derivatives — 595 — 595 Total assets $ — $ 19,104 $ — $ 19,104 Liabilities: Commodity derivatives $ — $ 6,861 $ — $ 6,861 Interest rate derivatives — 558 — 558 Total liabilities $ — $ 7,419 $ — $ 7,419 See Note 6 for additional information regarding our derivative instruments. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Certain assets and liabilities are reported at fair value on a nonrecurring basis as reflected on the accompanying Unaudited Condensed Consolidated Balance Sheets. The following methods and assumptions are used to estimate the fair values: • The fair value of asset retirement obligations (“AROs”) is based on discounted cash flow projections using numerous estimates, assumptions and judgments regarding factors such as the existence of a legal obligation for an ARO; amounts and timing of settlements; the credit-adjusted risk-free rate; and inflation rates. The initial fair value estimates are based on unobservable market data and are classified within Level 3 of the fair value hierarchy. See Note 7 for a summary of changes in AROs. • Proved oil and natural gas properties are reviewed for impairment when events and circumstances indicate a possible decline in the recoverability of the carrying value of such properties. The Company uses an income approach based on the discounted cash flow method, whereby the present value of expected future net cash flows are discounted by applying an appropriate discount rate, for purposes of placing a fair value on the assets. The future cash flows are based on management’s estimates for the future. The unobservable inputs used to determine fair value include, but are not limited to, estimates of proved reserves, estimates of probable reserves, future commodity prices, the timing of future production and capital expenditures and a discount rate commensurate with the risk reflective of the lives remaining for the respective oil and natural gas properties (some of which are Level 3 inputs within the fair value hierarchy). • No • For the nine months ended September 30, 2020, we recognized $405.7 million of impairment expense on our proved oil and natural gas properties. These impairments related to certain properties located in East Texas, the Rockies and offshore Southern California. The estimated future cash flows expected from these properties were compared to their carrying values and determined to be unrecoverable primarily as a result of declining commodity prices. The impairments were due to a decline in the value of estimated proved reserves based on declining commodity prices. • No |
Risk Management and Derivative
Risk Management and Derivative Instruments | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Risk Management and Derivative Instruments | Note 6. Risk Management and Derivative Instruments Derivative instruments are utilized to manage exposure to commodity price fluctuations and achieve a more predictable cash flow in connection with natural gas and oil sales from production and borrowing related activities. These instruments limit exposure to declines in prices, but also limit the benefits that would be realized if prices increase. Certain inherent business risks are associated with commodity derivative contracts, including market risk and credit risk. Market risk is the risk that the price of natural gas or oil will change, either favorably or unfavorably, in response to changing market conditions. Credit risk is the risk of loss from nonperformance by the counterparty to a contract. It is our policy to enter into derivative contracts, only with creditworthy counterparties, which generally are financial institutions, deemed by management as competent and competitive market makers. Some of the lenders, or certain of their affiliates, under our current credit agreements are counterparties to our derivative contracts. While collateral is generally not required to be posted by counterparties, credit risk associated with derivative instruments is minimized by limiting exposure to any single counterparty and entering into derivative instruments only with creditworthy counterparties that are generally large financial institutions. Additionally, master netting agreements are used to mitigate risk of loss due to default with counterparties on derivative instruments. We have also entered into International Swaps and Derivatives Association Master Agreements (“ISDA Agreements”) with each of our counterparties. The terms of the ISDA Agreements provide us and each of our counterparties with rights of set-off upon the occurrence of defined acts of default by either us or our counterparty to a derivative, whereby the party not in default may set-off all liabilities owed to the defaulting party against all net derivative asset receivables from the defaulting party. Had all counterparties failed completely to perform according to the terms of the existing contracts, we would have had the right to offset $13.9 million against amounts outstanding under our Revolving Credit Facility at September 30, 2020. See Note 8 for additional information regarding our Revolving Credit Facility. Commodity Derivatives We may use a combination of commodity derivatives (e.g., floating-for-fixed swaps, put options, costless collars and three-way collars) to manage exposure to commodity price volatility. We recognize all derivative instruments at fair value. In April 2020, the Company monetized a portion of its 2021 crude oil hedges for total cash proceeds of approximately $18.0 million. We enter into natural gas derivative contracts that are indexed to NYMEX-Henry Hub. We also enter into oil derivative contracts indexed to NYMEX-WTI. Our NGL derivative contracts are primarily indexed to OPIS Mont Belvieu. At September 30, 2020, we had the following open commodity positions: Remaining 2020 2021 2022 Natural Gas Derivative Contracts: Fixed price swap contracts: Average monthly volume (MMBtu) 1,450,000 925,000 500,000 Weighted-average fixed price $ 2.26 $ 2.49 $ 2.45 Collar contracts: Two-way collars Average monthly volume (MMBtu) 420,000 925,000 200,000 Weighted-average floor price $ 2.60 $ 2.10 $ 2.10 Weighted-average ceiling price $ 2.88 $ 3.28 $ 2.99 Natural Gas Basis Swaps: PEPL basis swaps: Average monthly volume (MMBtu) 600,000 500,000 — Weighted-average spread $ (0.46 ) $ (0.40 ) $ — Crude Oil Derivative Contracts: Fixed price swap contracts: Average monthly volume (Bbls) 199,300 53,750 30,000 Weighted-average fixed price $ 57.41 $ 52.02 $ 55.32 Collar contracts: Two-way collars Average monthly volume (Bbls) 14,300 — — Weighted-average floor price $ 55.00 $ — $ — Weighted-average ceiling price $ 62.10 $ — $ — Three-way collars Average monthly volume (Bbls) 30,500 20,000 — Weighted-average ceiling price $ 65.75 $ 51.30 $ — Weighted-average floor price $ 50.00 $ 40.00 $ — Weighted-average sub-floor price $ 40.00 $ 30.00 $ — NGL Derivative Contracts: Fixed price swap contracts: Average monthly volume (Bbls) 111,450 22,800 — Weighted-average fixed price $ 21.99 $ 24.25 $ — Interest Rate Swaps Periodically, we enter into interest rate swaps to mitigate exposure to market rate fluctuations by converting variable interest rates such as those in our Credit Agreement to fixed interest rates. At September 30, 2020, we had the following interest rate swap open positions: Remaining 2020 2021 2022 Average Monthly Notional (in thousands) $ 125,000 $ 125,000 $ 75,000 Weighted-average fixed rate 1.612 % 1.612 % 1.281 % Floating rate 1 Month LIBOR 1 Month LIBOR 1 Month LIBOR Balance Sheet Presentation The following table summarizes both: (i) the gross fair value of derivative instruments by the appropriate balance sheet classification even when the derivative instruments are subject to netting arrangements and qualify for net presentation in the balance sheet and (ii) the net recorded fair value as reflected on the balance sheet at September 30, 2020 and December 31, 2019. There was no cash collateral received or pledged associated with our derivative instruments since most of the counterparties, or certain of their affiliates, to our derivative contracts are lenders under our Revolving Credit Facility. Asset Derivatives Liability Derivatives Asset Derivatives Liability Derivatives September 30, September 30, December 31, December 31, Type Balance Sheet Location 2020 2020 2019 2019 (In thousands) Commodity contracts Short-term derivative instruments $ 20,084 $ 9,092 $ 11,518 $ 5,887 Interest rate swaps Short-term derivative instruments — 1,862 248 253 Gross fair value 20,084 10,954 11,766 6,140 Netting arrangements (10,168 ) (10,168 ) (5,887 ) (5,887 ) Net recorded fair value Short-term derivative instruments $ 9,916 $ 786 $ 5,879 $ 253 Commodity contracts Long-term derivative instruments $ 7,178 $ 4,164 $ 6,990 $ 973 Interest rate swaps Long-term derivative instruments — 1,350 347 305 Gross fair value 7,178 5,514 7,337 1,278 Netting arrangements (4,164 ) (4,164 ) (973 ) (973 ) Net recorded fair value Long-term derivative instruments $ 3,014 $ 1,350 $ 6,364 $ 305 (Gains) Losses on Derivatives We do not designate derivative instruments as hedging instruments for accounting and financial reporting purposes. Accordingly, all gains and losses, including changes in the derivative instruments’ fair values, have been recorded in the accompanying Unaudited Condensed Statements of Consolidated Operations. The following table details the gains and losses related to derivative instruments for the periods indicated (in thousands): For the Three Months Ended For the Nine Months Ended Statements of September 30, September 30, Operations Location 2020 2019 2020 2019 Commodity derivative contracts (Gain) loss on commodity derivatives $ 14,352 $ (28,725 ) $ (74,196 ) $ (19,231 ) (Gain) loss on interest rate derivatives Interest expense, net (20 ) (199 ) 4,034 334 |
Asset Retirement Obligations
Asset Retirement Obligations | 9 Months Ended |
Sep. 30, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Asset Retirement Obligations | Note 7. Asset Retirement Obligations The Company’s asset retirement obligations primarily relate to the Company’s portion of future plugging and abandonment costs for wells and related facilities. The following table presents the changes in the asset retirement obligations for the nine months ended September 30, 2020 (in thousands): Asset retirement obligations at beginning of period $ 91,089 Liabilities added from acquisition or drilling 79 Liabilities settled (199 ) Accretion expense 4,617 Revision of estimates 46 Asset retirement obligation at end of period 95,632 Less: Current portion (357 ) Asset retirement obligations - long-term portion $ 95,275 |
Long-Term Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | Note 8. Long-Term Debt The following table presents our consolidated debt obligations at the dates indicated: September 30, December 31, 2020 2019 (In thousands) Revolving Credit Facility (1) $ 265,000 $ 285,000 Paycheck Protection Program loan (2) 5,516 — Total debt 270,516 285,000 Current portion of long-term debt (3) 5,000 — Long-term debt $ 265,516 $ 285,000 (1) The carrying amount of our Revolving Credit Facility approximates fair value because the interest rates are variable and reflective of market rates. (2) See below for additional information regarding the receipt of the paycheck protection program loan. (3) Reflects the current portion of the monthly reductions for the Revolving Credit Facility as described below regarding the Third Amendment (as defined below). Revolving Credit Facility Amplify Energy Operating LLC, our wholly owned subsidiary (“OLLC”), is a party to a reserve-based revolving credit facility (the “Revolving Credit Facility”), subject to a borrowing base of $270.0 million as of September 30, 2020, which is guaranteed by us and all of our current subsidiaries. The Revolving Credit Facility matures on November 2, 2023. Our borrowing base under our Revolving Credit Facility is subject to redetermination on at least a semi-annual basis primarily based on a reserve engineering report with respect to our estimated natural gas, oil and NGL reserves, which takes into account the prevailing natural gas, oil and NGL prices at such time, as adjusted for the impact of our commodity derivative contracts. As of September 30, 2020, we were in compliance with all the financial (current ratio and total leverage ratio) and other covenants associated with our Revolving Credit Facility. Borrowing Base Redetermination On June 12, 2020, the Company entered into the Borrowing Base Redetermination Agreement and Third Amendment to Credit Agreement, among the Borrower, Amplify Acquisitionco LLC, a Delaware limited liability company, the guarantors party thereto, the lenders party thereto and Bank of Montreal, as administrative agent (the “Third Amendment”). The Third Amendment amended the parties’ existing Credit Agreement, dated November 2, 2018, to among other things: • reduce the borrowing base under the Credit Agreement from $450.0 million to $285.0 million, with monthly reductions of $5.0 million thereafter until the borrowing base is reduced to $260.0 million, effective November 1, 2020; • increase the amount of first priority liens on all assets from at least 85% to 90%; • suspend certain financial covenants for the quarter ended June 30, 2020 • amend the definition of “Consolidated EBITDAX” in the Credit Agreement to decrease the limit of cash and cash equivalents permitted from $30.0 million to $25.0 million and increase the limit of transaction-related expense add-backs from $5.0 million to $20.0 million; • increase the minimum hedging requirements to at least 30% - 60% of our estimated production from total proved developed producing reserves; • incorporate a mandatory prepayment at times when cash and cash equivalents (as defined in the Credit Agreement) on hand exceed $25.0 million for five consecutive business days; and • amend certain other covenants and provisions. Weighted-Average Interest Rates The following table presents the weighted-average interest rates paid, excluding commitment fees, on our consolidated variable-rate debt obligations for the periods presented: For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Revolving Credit Facility 3.72% 4.89% 3.61% 4.99% Letters of Credit At September 30, 2020, we had no letters of credit outstanding. Unamortized Deferred Financing Costs Unamortized deferred financing costs associated with our Revolving Credit Facility was $1.7 million at September 30, 2020. At September 30, 2020, the unamortized deferred financing costs are amortized over the remaining life of our Revolving Credit Facility. For the nine months ended September 30, 2020, we wrote-off $2.4 million of deferred financing costs in connection with the decrease in our borrowing base. Paycheck Protection Program On April 24, 2020, the Company received a $5.5 million loan under the Paycheck Protection Program (the “PPP Loan”). The Paycheck Protection Program was established as part of the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) to provide loans to qualifying businesses. The loans and accrued interest are potentially forgivable provided that the borrower uses the loan proceeds for eligible purposes. At this time, the Company anticipates that a substantial majority of the loan proceeds will be forgiven under the program. The term of the Company’s PPP Loan is two years with an annual interest rate of 1% and no payments of principal or interest due during the six-month period beginning on the date of the PPP Loan. |
Equity (Deficit)
Equity (Deficit) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Equity (Deficit) | Note 9. Equity (Deficit) Common Stock The Company’s authorized capital stock includes 250,000,000 shares of common stock, $0.01 par value per share. The following is a summary of the changes in our common stock issued for the nine months ended September 30, 2020: Common Shares Balance, December 31, 2019 37,566,540 Issuance of common stock — Restricted stock units vested 83,412 Repurchase of common shares (1) (22,386 ) Balance, September 30, 2020 37,627,566 (1) Represents the net settlement on vesting of restricted stock necessary to satisfy the minimum statutory tax withholding requirements. Warrants On the May 4, 2017, Legacy Amplify entered into a warrant agreement (the “Warrant Agreement”) with American Stock Transfer & Trust Company, LLC, as warrant agent (“AST”), pursuant to which Legacy Amplify issued warrants to purchase up to 2,173,913 shares of Legacy Amplify’s common stock (representing 8% of Legacy Amplify’s outstanding common stock as of May 4, 2017), including shares of Legacy Amplify’s common stock issuable upon full exercise of the warrants, but excluding any common stock issuable under Legacy Amplify’s Management Incentive Plan, exercisable for a five-year On the effective date of the Merger, Legacy Amplify, Midstates and AST entered into an Assignment and Assumption Agreement, pursuant to which the Company agreed to assume Legacy Amplify’s Warrant Agreement. In connection with the Merger in August 2019, the Company assumed outstanding warrants of 4,647,520 Third Lien Notes Warrants at an exercise price of $22.78 per share (the “Third Lien Warrants”) and 2,332,089 Unsecured Creditor Warrants at an exercise price of $43.67 per share (the “Unsecured Creditor Warrants” and collectively with the Third Lien Warrants, the “Warrants”). As a result of the Merger, the value of the outstanding Warrants was adjusted downward based on the low stock price and estimated fair value as of the Merger date. The Warrants expired on April 21, 2020. Share Repurchase Program In connection, with the closing of the Merger, the board of directors approved the commencement of an open market share repurchase program of up to $25.0 million of the Company’s outstanding shares of common stock. As of February 28, 2020, the Company had repurchased approximately 4.2 million shares of common stock at an average price of $5.94 per share for a total cost of approximately $24.9 million (inclusive of fees). On December 21, 2018, Legacy Amplify’s board of directors authorized the repurchase of up to $25.0 million of Legacy Amplify outstanding shares of common stock, with repurchases beginning on January 9, 2019. During the six months ended June 30, 2019, Legacy Amplify repurchased 169,400 shares of common stock at an average price of $7.35 for a total cost of approximately $1.3 million. On April 18, 2019, in anticipation of the Merger, Legacy Amplify terminated the repurchase program. Cash Dividend Payment On March 3, 2020, our board of directors approved a dividend of $0.10 per share of outstanding common stock or $3.8 million in aggregate, which was paid on March 30, 2020, to stockholders of record at the close of business on March 16, 2020. The board of directors of the Company previously decided to suspend the quarterly dividend program until further notice. Under the terms of our Credit Agreement, dividends are restricted based upon certain leverage and liquidity covenants. Future dividends, if any, are subject to these debt covenants and discretionary approval by the board of directors. |
Earnings per Share
Earnings per Share | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Note 10. Earnings per Share The following sets forth the calculation of earnings (loss) per share, or EPS, for the periods indicated (in thousands, except per share amounts): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net income (loss) $ (17,685 ) $ 5,157 $ (426,220 ) $ (7,679 ) Less: Net income allocated to participating restricted stockholders — 128 — — Basic and diluted earnings available to common stockholders $ (17,685 ) $ 5,029 $ (426,220 ) $ (7,679 ) Common shares/units: Common shares outstanding — basic 37,626 33,707 37,596 26,093 Dilutive effect of potential common shares — — — — Common shares outstanding — diluted 37,626 33,707 37,596 26,093 Net earnings per share: Basic $ (0.47 ) $ 0.15 $ (11.34 ) $ (0.29 ) Diluted $ (0.47 ) $ 0.15 $ (11.34 ) $ (0.29 ) Antidilutive stock options (1) — 3 — 3 Antidilutive warrants (2) 2,174 9,154 2,174 9,154 (1) Amount represents options to purchase common stock that are excluded from the diluted net earnings per share calculations because of their antidilutive effect. (2) Amount represents warrants to purchase common stock that are excluded from the diluted net earnings per share calculations because of their antidilutive effect. |
Long-Term Incentive Plans
Long-Term Incentive Plans | 9 Months Ended |
Sep. 30, 2020 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Long-Term Incentive Plans | Note 11. Long-Term Incentive Plans In May 2017, Legacy Amplify implemented the Management Incentive Plan (the “Legacy Amplify MIP”). In connection with the closing of the Merger, on August 6, 2019, the Company assumed the Legacy Amplify MIP. Restricted Stock Units Restricted Stock Units with Service Vesting Condition The restricted stock units with service vesting conditions (“TSUs”) are accounted for as equity-classified awards. The grant-date fair value is recognized as compensation cost on a straight-line basis over the requisite service period and forfeitures are accounted for as they occur. Compensation costs are recorded as general and administrative expense. The unrecognized cost associated with the TSUs was $0.4 million at September 30, 2020. We expect to recognize the unrecognized compensation cost for these awards over a weighted-average period of approximately 1.5 years. The following table summarizes information regarding the TSUs granted under the Legacy Amplify MIP for the period presented: Weighted- Average Grant Number of Date Fair Value Units per Unit (1) TSUs outstanding at December 31, 2019 291,370 $ 5.18 Granted (2) 43,250 $ 3.10 Forfeited (92,912 ) $ 5.12 Vested (76,153 ) $ 5.12 TSUs outstanding at September 30, 2020 165,555 $ 4.70 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of TSUs issued for the nine months ended September 30, 2020 was $0.1 million based on a grant date market price of ranging from $0.54 to $6.61 per share. Restricted Stock Units with Market and Service Vesting Conditions The restricted stock units with market and service vesting conditions (“PSUs”) are accounted for as equity-classified awards. The grant-date fair value is recognized as compensation cost on a graded-vesting basis. As such, the Company recognizes compensation cost over the requisite service period for each separately vesting tranche of the award as though the award were, in substance, multiple awards. The Company accounts for forfeitures as they occur. Compensation costs are recorded as general and administrative expense. The unrecognized cost related to the PSUs was approximately $0.1 million at September 30, 2020. We expect to recognize the unrecognized compensation cost for these awards over a weighted-average period of approximately 1.5 years. The PSUs will vest based on the satisfaction of service and market vesting conditions with market vesting based on the Company’s achievement of certain share price targets. The PSUs are subject to service-based vesting such that 50% of the PSUs service vest on the applicable market vesting date and an additional 25% In the event of a qualifying termination, subject to certain conditions, (i) all PSUs that have satisfied the market vesting conditions will fully service vest, upon such termination, and (ii) if the termination occurs between the second and third anniversaries of the grant date, then PSUs that have not market vested as of the termination will market vest to the extent that the share targets (in each case, reduced by $0.25) are achieved as of such termination. Subject to the foregoing, any unvested PSUs will be forfeited upon termination of employment. A Monte Carlo simulation was used in order to determine the fair value of these awards at the grant date. The assumptions used to estimate the fair value of the PSUs are as follows: Share price targets $ 12.50 $ 15.00 $ 17.50 Risk-free interest rate: Awards Issued on January 1, 2020 1.61 % 1.61 % 1.61 % Dividend yield Awards Issued on January 1, 2020 12.1 % 12.1 % 12.1 % Expected volatility: Awards Issued on January 1, 2020 60.0 % 60.0 % 60.0 % Calculated fair value per PSU: Awards Issued on January 1, 2020 $ 3.66 $ 2.98 $ 2.46 The following table summarizes information regarding the PSUs granted under the Legacy Amplify MIP for the period presented: Weighted- Average Grant Number of Date Fair Value Units per Unit (1) PSUs outstanding at December 31, 2019 305,893 $ 2.15 Granted (2) 43,250 $ 3.03 Forfeited (131,790 ) $ 2.11 Vested — $ — PSUs outstanding at September 30, 2020 217,353 $ 2.35 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of PSUs issued for the nine months ended September 30, 2020 was $0.1 million based on a calculated fair value price ranging from $2.46 to $3.66 per share. 2017 Non-Employee Directors Compensation Plan In June 2017, Legacy Amplify implemented the 2017 Non-Employee Directors Compensation Plan (“Legacy Amplify Non-Employee Directors Compensation Plan”) to attract and retain the services of experienced non-employee directors of Legacy Amplify or its subsidiaries. In connection with the closing of the Merger, on August 6, 2019, the Company assumed the Legacy Amplify Non-Employee Directors Compensation Plan. The restricted stock units with a service vesting condition (“Board RSUs”) are accounted for as equity-classified awards. The grant-date fair value is recognized as compensation cost on a straight-line basis over the requisite service period and forfeitures are accounted for as they occur. Compensation costs are recorded as general and administrative expense. The unrecognized cost associated with restricted stock unit awards was less than $0.1 million at September 30, 2020. We expect to recognize the unrecognized compensation cost for these awards over a weighted-average period of approximately 1.5 years. The following table summarizes information regarding the Board RSUs granted under the Legacy Amplify Non-Employee Directors Compensation Plan for the period presented: Weighted- Average Grant Number of Date Fair Value Units per Unit (1) Board RSUs outstanding at December 31, 2019 16,157 $ 5.12 Granted — $ — Forfeited — $ — Vested (7,259 ) $ 5.12 Board RSUs outstanding at September 30, 2020 8,898 $ 5.12 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. Compensation Expense The following table summarizes the amount of recognized compensation expense associated with the Legacy Amplify MIP and Legacy Amplify Non-Employee Directors Compensation Plan, which are reflected in the accompanying Unaudited Condensed Statements of Consolidated Operations for the periods presented (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Equity classified awards TSUs $ 59 $ 650 $ 184 $ 1,852 PSUs 30 120 69 825 Board RSUs 4 58 15 221 $ 93 $ 828 $ 268 $ 2,898 |
Leases
Leases | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Leases | Note 12. Leases For the quarter ended September 30, 2020, our leases qualify as operating leases and we did not have any existing or new leases qualifying as financing leases or variable leases. We have leases for office space and equipment in our corporate office and operating regions as well as vehicles, compressors and surface rentals related to our business operations. In addition, we have offshore Southern California pipeline right-of-way use agreements. Most of our leases, other than our corporate office lease, have an initial term and may be extended on a month-to-month basis after expiration of the initial term. Most of our leases can be terminated with 30-day prior written notice. The majority of our month-to-month leases are not included as a lease liability in our balance sheet under ASC 842 because continuation of the lease is not reasonably certain. Additionally, the Company elected the short-term practical expedient to exclude leases with a term of twelve months or less. Our corporate office lease does not provide an implicit rate. To determine the present value of the lease payments, we use our incremental borrowing rate based on the information available at the inception date. To determine the incremental borrowing rate, we apply a portfolio approach based on the applicable lease terms and the current economic environment. We use a reasonable market interest rate for our office equipment and vehicle leases. For the nine months ended September 30, 2020 and 2019, we recognized approximately $1.8 million and $1.6 million, respectively, of costs relating to the operating leases in the Unaudited Condensed Statement of Operations. Supplemental cash flow information related to the Company’s lease liabilities are included in the table below: For the Nine Months Ended September 30, 2020 2019 (In thousands) Non-cash amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,351 $ 4,925 The following table presents the Company’s right-of-use assets and lease liabilities for the period presented: September 30, December 31, 2020 2019 (In thousands) Right-of-use asset $ 3,055 $ 4,406 Lease liabilities: Current lease liability 2,227 1,712 Long-term lease liability 853 2,720 Total lease liability $ 3,080 $ 4,432 The following table reflects the Company’s maturity analysis of the minimum lease payment obligations under non-cancelable operating leases with a remaining term in excess of one year (in thousands): Office leases Leased vehicles and office equipment Total Remaining in 2020 $ 406 $ 174 $ 580 2021 1,355 587 1,942 2022 411 207 618 2023 and thereafter — 44 44 Total lease payments 2,172 1,012 3,184 Less: interest 75 29 104 Present value of lease liabilities $ 2,097 $ 983 $ 3,080 The weighted average remaining lease terms and discount rate for all of our operating leases for the period presented: September 30, 2020 2019 Weighted average remaining lease term (years): Office leases 0.91 1.67 Vehicles 0.41 0.53 Office equipment 0.05 0.09 Weighted average discount rate: Office leases 3.41 % 3.61 % Vehicles 0.97 % 0.85 % Office equipment 0.17 % 0.18 % |
Supplemental Disclosures to the
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows | 9 Months Ended |
Sep. 30, 2020 | |
Supplemental Disclosures To Condensed Consolidated Statements Of Cash Flows [Abstract] | |
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows | Note 13. Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows Accrued Liabilities Current accrued liabilities consisted of the following at the dates indicated (in thousands): September 30, December 31, 2020 2019 Accrued lease operating expense $ 9,050 $ 11,794 Accrued general and administrative expense 3,314 3,126 Operating lease liability 2,227 1,712 Accrued ad valorem tax 2,348 520 Accrued capital expenditures 1,499 5,515 Asset retirement obligations 357 623 Accrued interest payable 27 36 Other 241 32 Accrued liabilities $ 19,063 $ 23,358 Cash and Cash Equivalents Reconciliation The following table provides a reconciliation of cash and cash equivalents on the Unaudited Condensed Consolidated Balance Sheet to cash, cash equivalents and restricted cash on the Unaudited Condensed Statements of Consolidated Cash Flows (in thousands): September 30, December 31, 2020 2019 Cash and cash equivalents $ 13,521 $ — Restricted cash — 325 Total cash, cash equivalents and restricted cash $ 13,521 $ 325 Unproved Property We recognized $49.3 million of impairment expense on unproved properties for the nine months ended September 30, 2020, which was related to expiring leases and the evaluation of qualitative and quantitative factors related to the current decline in commodity prices. No impairment expense was recorded for unproved properties for the nine months ended September 30, 2019. Supplemental Cash Flows Supplemental cash flows for the periods presented (in thousands): For the Nine Months Ended September 30, 2020 2019 Supplemental cash flows: Cash paid for interest, net of amounts capitalized $ 7,921 $ 12,477 Cash paid for reorganization items, net 532 684 Cash paid for taxes 85 — Noncash investing and financing activities: Change in capital expenditures in payables and accrued liabilities (4,016 ) 324 Assets acquired & liabilities assumed in the Merger: Accounts receivable — 14,633 Prepaids and other current assets — 3,229 Other non-current assets — 9,879 Oil and natural gas properties — 142,642 Other property and equipment — 6,280 Accounts payable and other current liabilities — (24,135 ) Other non-current liabilities — (5,067 ) Long-term debt — (76,559 ) Issuance of common stock in connection with the Merger — 90,150 |
Related Party Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2020 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Note 14. Related Party Transactions Related Party Agreements There have been no transactions in excess of $120,000 between us and any related person in which the related person had a direct or indirect material interest for the three and nine months ended September 30, 2020 and 2019, respectively. |
Commitments and Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2020 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 15. Commitments and Contingencies Litigation and Environmental We are not aware of any litigation, pending or threatened, that we believe will have a material adverse effect on our financial position, results of operations or cash flows; however, cash flow could be significantly impacted in the reporting periods in which such matters are resolved. Although we are insured against various risks to the extent we believe it is prudent, there is no assurance that the nature and amount of such insurance will be adequate, in every case, to indemnify us against liabilities arising from future legal proceedings. At September 30, 2020 and December 31, 2019, we had no environmental reserves recorded on our Unaudited Condensed Consolidated Balance Sheet. Minimum Volume Commitment The Company is party to a gas purchase, gathering and processing contract in Oklahoma, which includes certain minimum NGL commitments. To the extent the Company does not deliver natural gas volumes in sufficient quantities to generate, when processed, the minimum levels of recovered NGLs, it would be required to reimburse the counterparty an amount equal to the sum of the monthly shortfall, if any, multiplied by a fee. The Company is not meeting the minimum volume required under these contractual provisions. The commitment fee expense for the nine months ended September 30, 2020, was approximately $1.0 million. The Company is party to a gas purchase, gathering and processing contract in East Texas, which includes certain minimum NGL commitments. The Company anticipates that a shortfall will occur for year-end 2020 and has established an accrual for the commitment fee expense of $1.2 million for the nine months ended September 30, 2020. Supplemental Bond for Decommissioning Liabilities Trust Agreement Beta Operating Company, LLC, has an obligation with the BOEM in connection with its 2009 acquisition of our properties in federal waters offshore Southern California. The Company supports this obligation with $161.3 million of A-rated surety bonds and $0.3 million of cash. |
Income Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Tax | Note 16. Income Taxes The Company had no income tax benefit/(expense) for the three months ended September 30, 2020 and had less than ($0.1) million in income tax benefit/(expense) for the nine months ended September 30, 2020. The Company had no income tax benefit/(expense) for the three months ended September 30, 2019 and less than $0.1 million income tax benefit/(expense) for the nine months ended September 30, 2019. The Company’s effective tax rate was 0.0% for the three and nine months ended September 30, 2020, and 0.0% and 0.6% for the three and nine months ended September 30, 2019, respectively. The effective tax rates for the three and nine months ended September 30, 2020 and 2019 are different from the statutory U.S. federal income tax rate primarily due to our recorded valuation allowances. In March 2020, the President of the United States signed the CARES Act, to stabilize the economy during the coronavirus pandemic. The CARES Act temporarily suspends and modifies certain tax laws established by the 2017 tax reform law known as the Tax Cuts and Jobs Act, including, but not limited to, modifications to net operating loss limitations, business interest limitations and alternative minimum tax. The CARES Act did not have a material impact on the Company’s current year tax provision. |
Subsequent Events
Subsequent Events | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 17. Subsequent Events Notice of Non-Compliance with NYSE Continued Listing Standards On October 13, 2020, the Company received written notification (the “Share Price Notice”) from the NYSE that the Company no longer satisfied the continued listing compliance standards set forth under Section 802.01C of the Manual because the average closing price of the Common Stock was below $1.00 over a 30 consecutive trading-day period that ended October 12, 2020. Under the NYSE’s rules, the Company has six months following receipt of the Share Price Notice to regain compliance with the minimum share price requirement. The Company notified the NYSE of its intent to cure the deficiency and return to compliance with the NYSE’s continued listing requirements. The Company can regain compliance at any time during the six-month cure period if on the last trading day of any calendar month during the cure period, the Common Stock has a closing share price of at least $1.00 and an average closing share price of at least $1.00 over the 30 trading-day period ending on the last trading day of that month. Under NYSE rules, the Common Stock will continue to be listed on the NYSE during this six-month cure period, subject to the Company’s compliance with other continued listing requirements, including compliance with Section 802.01B. In connection with the receipt of the Market Cap Notice, the NYSE previously assigned a “.BC” indicator to the Common Stock symbol “AMPY” to signify that the Company currently is not in compliance with the NYSE’s continued listing requirements. If the Company fails to regain compliance with Sections 802.01B or 802.01C, as applicable, during the applicable cure periods, the Common Stock will be subject to the NYSE’s suspension and delisting procedures. |
Organization and Basis of Pre_2
Organization and Basis of Presentation (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
General | General On August 6, 2019, Midstates Petroleum Company, Inc., a Delaware corporation (“Midstates”), completed its business combination (the “Merger”) with Amplify Energy Corp. (“Legacy Amplify”) in accordance with the terms of that certain Agreement and Plan of Merger, dated May 5, 2019 (the “Merger Agreement”), by and among Midstates, Legacy Amplify and Midstates Holdings, Inc., a Delaware corporation and direct, wholly owned subsidiary of Midstates (“Merger Sub”). Pursuant to the terms of the Merger Agreement, Merger Sub merged with and into Legacy Amplify, with Legacy Amplify surviving the Merger as a wholly owned subsidiary of Midstates, and immediately following the Merger, Legacy Amplify merged with and into Alpha Mike Holdings LLC, a Delaware limited liability company and wholly owned subsidiary of Midstates (“LLC Sub”), with LLC Sub surviving as a wholly owned subsidiary of Midstates. On the effective date of the Merger, Midstates changed its name to “Amplify Energy Corp.” (the “Company”) and LLC Sub changed its name to “Amplify Energy Holdings LLC.” For financial reporting purposes, the Merger represented a “reverse merger” and Legacy Amplify was deemed to be the accounting acquirer in the transaction. Legacy Amplify’s historical results of operations will replace Midstates’ historical results of operations for all periods prior to the Merger and, for all periods following the Merger, the Company’s financial statements will reflect the results of operations of the combined company. Accordingly, the financial statements for the Company included in this Quarterly Report on Form 10-Q for periods prior to the Merger are not the same as Midstates prior reported filings with the SEC, which were derived from the operations of Midstates. As a result, period-to-period comparisons of our operating results may not be meaningful. The results of any one quarter should not be relied upon as an indication of future performance. When referring to Legacy Amplify, the intent is to refer to Amplify Energy Corp. prior to the effective date of the Merger, and its consolidated subsidiaries as a whole or on an individual basis, depending on the context in which the statements are made. We operate in one reportable segment engaged in the acquisition, development, exploitation and production of oil and natural gas properties. Our management evaluates performance based on one reportable business segment as the economic environments are not different within the operation of our oil and natural gas properties. Our assets consist primarily of producing oil and natural gas properties and are located in Oklahoma, the Rockies, federal waters offshore Southern California, East Texas / North Louisiana and South Texas. Most of our oil and natural gas properties are located in large, mature oil and natural gas reservoirs. The Company’s properties consist primarily of operated and non-operated working interests in producing and undeveloped leasehold acreage and working interests in identified producing wells. |
Basis of Presentation | Basis of Presentation Our Unaudited Condensed Consolidated Financial Statements included herein have been prepared pursuant to the rules and guidelines of the SEC. The results reported in these Unaudited Condensed Consolidated Financial Statements should not necessarily be taken as indicative of results that may be expected for the entire year. In our opinion, the accompanying Unaudited Condensed Consolidated Financial Statements include all adjustments of a normal recurring nature necessary for fair presentation. Although we believe the disclosures in these financial statements are adequate, certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) have been condensed or omitted pursuant to the rules and regulations of the SEC. The Unaudited Condensed Consolidated Financial Statements have been prepared as if the Company is a going concern and reflect the application of Accounting Standards Codification 852 “Reorganizations” (“ASC 852”). ASC 852 requires that the financial statements, for periods subsequent to the Chapter 11 filing, distinguish transactions and events that are directly associated with the reorganization from the ongoing operations of the business. Accordingly, certain expenses, gains and losses that were realized or incurred in the bankruptcy proceedings are recorded in “reorganization items, net” on the Company’s Unaudited Condensed Statements of Consolidated Operations. All intercompany transactions and balances have been eliminated in preparation of our consolidated financial statements. |
Use of Estimates | Use of Estimates The preparation of the accompanying Unaudited Condensed Consolidated Financial Statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Significant estimates include, but are not limited to, oil and natural gas reserves; depreciation, depletion, and amortization of proved oil and natural gas properties; future cash flows from oil and natural gas properties; impairment of long-lived assets; fair value of derivatives; fair value of equity compensation; fair values of assets acquired and liabilities assumed in business combinations and asset retirement obligations. |
Risk And Uncertainties | Risk and Uncertainties In March 2020, the World Health Organization declared the outbreak of COVID-19 as a pandemic, which continues to spread throughout the United States. The spread of COVID-19 has caused significant volatility in U.S. and international markets. There is significant uncertainty around the breadth and duration of business disruptions related to COVID-19, as well as its impact on the U.S. and international economies and, as such, the Company is unable to determine the extent of the impact caused by the COVID-19 pandemic to the Company’s operations. The pandemic has lowered the demand for oil and natural gas which has led to low commodity prices. The reductions in commodity prices have resulted in lower levels of cash flow from operating activities. In addition, the borrowing base under our Revolving Credit Facility (as defined below) is subject to redetermination on at least a semi-annual basis primarily based on an engineering report with respect to our estimated oil, NGL and natural gas reserves which will take into account the prevailing oil, NGL and natural gas prices at such time, as adjusted for the impact of our commodity derivative contracts. Severely reduced commodity prices contributed to a reduction in our borrowing base during the Spring 2020 determination process, and continued low prices may adversely impact subsequent redeterminations. The reduction in commodity prices has directly led to an impairment of our oil and natural gas properties. There may be further impairments in future periods if commodity prices continue to decline. In addition, oil prices severely declined following unsuccessful negotiations between members of Organization of the Petroleum Exporting Countries (“OPEC”) and certain nonmembers, including Russia, to implement production cuts in an effort to decrease the global oversupply and to rebalance supply and demand due to the ongoing COVID-19 pandemic. In April 2020, members of OPEC and Russia agreed to temporary production reductions, but uncertainty about whether such production cuts and/or the duration of such reductions will be sufficient to rebalance supply and demand remains and may continue for the foreseeable future. We anticipate further market and commodity price volatility for the remainder of 2020 as a result of the events described above. Continued Listing Standard Notice from New York Stock Exchange (“NYSE”) On August 31, 2020, the Company, received written notification (the “Market Cap Notice”) from the NYSE that the Company no longer satisfies the continued listing compliance standards set forth under Section 802.01B of the NYSE Listed Company Manual (the “Manual”) because the average global market capitalization of the Company was less than $50,000,000 over a consecutive 30 trading-day period that ended on August 28, 2020 and, at the same time, the Company’s stockholders’ equity was less than $50,000,000. Under NYSE procedures, the Company had 45 days from its receipt of the Market Cap Notice to submit a plan to the NYSE demonstrating how it intends to regain compliance with the NYSE’s continued listing standards within 18 months. The Company submitted its plan to regain compliance with the listing standards within the required timeframe. Under NYSE rules, the Company’s common stock, par value $0.01 per share (the “Common Stock”), will continue to be listed on the NYSE during this 18-month cure period, subject to the Company’s compliance with other continued listing requirements. The Common Stock’s trading symbol “AMPY” was assigned a “.BC” indicator by the NYSE to signify that the Company currently is not in compliance with the NYSE’s continued listing requirements. If the Company fails to regain compliance with Section 802.01B of the Manual during the cure period, the Common Stock will be subject to the NYSE’s suspension and delisting procedures. |
Definitive Merger Agreement | Definitive Merger Agreement On May 5, 2019, as discussed above, the Company entered into the Merger Agreement pursuant to which Legacy Amplify merged with a subsidiary of Midstates in an all-stock merger-of-equals. Under the terms of the Merger Agreement, Legacy Amplify stockholders received 0.933 shares of newly issued Company common stock for each share of Legacy Amplify common stock that they owned. The Merger closed on August 6, 2019. |
Current Expected Credit Losses | Current Expected Credit Losses In May 2019, the Financial Accounting Standard Board (the “FASB”) issued an accounting standard update to provide entities with an option to irrevocably elect the fair value option applied on an instrument-by-instrument basis for certain financial assets upon the adoption. The fair value option election does not apply to held-to-maturity debt securities. The Company adopted the guidance as of January 1, 2020. The Company has evaluated the impact of this guidance and concluded that the current and historical evaluation of estimated credit losses falls within the acceptable guidance. The provisions of the standard were interpreted to relate only to the Company’s accounts receivable, net. Trade receivables relate to one common pool, revenue earned on the sale of oil, natural gas and natural gas liquids. The performance obligation is satisfied at a point in time and revenue is recognized and a trade receivable is recorded from the sale when production is delivered to, and title has transferred to, the purchaser. The majority of the Company’s purchasers have been large major companies in the industry with the wherewithal to pay. The Company, as operator on most of our wells, also records receivables on billings to our joint interest owners who participate in the operating costs of the wells they have an interest in. Historically an allowance for doubtful accounts has been set up to recognize credit losses on joint interest billing (“JIB”) receivables based upon an aging analysis which is an appropriate method to estimate credit losses under the guidance. The Company will continue to assess the expected credit loss in the future as economic conditions change. Considering the recent drop in commodity prices we believe the majority of our revenue purchasers have the size and financial condition to currently meet their obligations. There could be added risk on the JIB accounts receivable as some wells could become uneconomic, with the revenue not enough to cover operating expenses billed, which could result in additional write-offs. The Company will continue to closely monitor trade receivables. Based upon the analysis performed there was no impact to beginning retained earnings upon the adoption of the guidance. The Company’s monitoring activities include timely account reconciliation and balances are written off when determined to be uncollectible. The Company considered the market conditions surrounding the COVID-19 pandemic and determined that the estimate of credit losses was not significantly impacted. The Company will continue to closely monitor trade receivables. |
New Accounting Pronouncements | New Accounting Pronouncements Reference Rate Reform. In March 2020, the FASB issued an accounting standard update which provides optional expedients and expectations for applying GAAP to contracts, hedging relationships, and other transactions to ease financial reporting burdens to the expected market transition from the London Interbank Offered Rate (“LIBOR”) or another reference rate to alternative reference rates. The amendments in this accounting standards update are effective beginning March 12, 2020, and an entity may elect to apply the amendments prospectively through December 31, 2022. The Company is currently evaluating the impact this guidance may have on the Company’s consolidated financial statements. Income Taxes – Simplifying the Accounting for Income Taxes . In December 2019, the FASB issued an accounting standard update which simplifies the accounting for income taxes by removing certain exceptions to the general principles in Topic 740. This accounting standards update removes the following exceptions: (i) exception to the incremental approach for intraperiod tax allocation when there is a loss from continuing operations and income or a gain from other items; (ii) exception to the requirements to recognize a deferred tax liability for equity method investments when a foreign subsidiary becomes an equity method investment; (iii) exception to the ability not to recognize a deferred tax liability for a foreign subsidiary when a foreign equity method investment becomes a subsidiary; and (iv) exception to the general methodology for calculating income taxes in an interim period when a year-to-date loss exceeds the anticipated loss for the year. The amendments in the accounting standards update also improve consistency and simplify other areas of Topic 740 by clarifying and amending existing guidance. The new guidance is effective for fiscal years and interim period within those fiscal years, beginning after December 15, 2020. The Company is currently evaluating the impact of this guidance on the Company's consolidated financial statements. Other accounting standards that have been issued by the FASB or other standards-setting bodies are not expected to have a material impact on the Company’s financial position, results of operations and cash flows. |
Revenue (Tables)
Revenue (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue From Contract With Customer [Abstract] | |
Summary of Revenues Disaggregated | Disaggregation of Revenue We have identified three material revenue streams in our business: oil, natural gas and NGLs. The following table present our revenues disaggregated by revenue stream. For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 (in thousands) Revenues Oil $ 36,868 $ 55,011 $ 101,682 $ 136,754 NGLs 5,537 4,306 14,002 15,509 Natural gas 10,083 13,109 29,479 44,715 Oil and natural gas sales $ 52,488 $ 72,426 $ 145,163 $ 196,978 |
Acquisitions and Divestitures (
Acquisitions and Divestitures (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Business Combinations [Abstract] | |
Acquisition and Divestiture Related Expenses | Acquisition and divestiture related expenses for third party transactions are included in general and administrative expense in the accompanying Unaudited Condensed Statements of Consolidated Operations for the period indicated below (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 $ 152 $ 12,833 $ 678 $ 16,655 |
Summary of Preliminary Purchase Price Allocation to Identifiable Assets Acquired and Liabilities Assumed | The following table represents the preliminary allocation of the total purchase price of Midstates to the identifiable assets acquired and the liabilities assumed based on the fair values as of the acquisition date. Purchase Price Allocation (In thousands) Consideration: Fair value of Midstates common stock issued in the Merger (a) $ 90,150 Fair value of Midstates warrants issued in the Merger 2 Total consideration $ 90,152 Fair value of liabilities assumed: Current liabilities $ 24,135 Long-term debt 76,559 Long-term asset retirement obligation 9,440 Other long-term liabilities 5,067 Amounts attributable to liabilities assumed $ 115,201 Fair value of assets acquired: Cash and cash equivalents $ 19,250 Other current assets 17,862 Oil and natural gas properties 142,642 Other property and equipment 6,280 Long-term asset retirement cost 9,440 Other non-current assets 9,879 Amounts attributable to assets acquired $ 205,353 Total identifiable net assets $ 90,152 (a) Based on 20,415,005 Midstates common shares issued at closing at $4.12 per share (closing price of August 6, 2019). |
Summary of Unaudited Pro Forma Financial Information | The following unaudited pro forma financial information for the three and nine months ended September 30, 2019, is based on our historical consolidated financial statements adjusted to reflect as if the Merger had occurred on January 1, 2018. For the Three Months Ended September 30, 2019 For the Nine Months Ended September 30, 2019 (Unaudited) (In thousands, except per unit amounts) Revenues $ 80,482 $ 258,547 Net income (loss) 6,845 6,236 Earnings per share: Basic $ 0.20 $ 0.24 Diluted $ 0.20 $ 0.24 |
Fair Value Measurements of Fi_2
Fair Value Measurements of Financial Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | The following table presents the gross derivative assets and liabilities that are measured at fair value on a recurring basis at September 30, 2020 and December 31, 2019 for each of the fair value hierarchy levels: Fair Value Measurements at September 30, 2020 Using Quoted Prices in Significant Other Significant Active Market Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Fair Value (In thousands) Assets: Commodity derivatives $ — $ 27,262 $ — $ 27,262 Interest rate derivatives — — — — Total assets $ — $ 27,262 $ — $ 27,262 Liabilities: Commodity derivatives $ — $ 13,256 $ — $ 13,256 Interest rate derivatives — 3,212 — 3,212 Total liabilities $ — $ 16,468 $ — $ 16,468 Fair Value Measurements at December 31, 2019 Using Quoted Prices in Significant Other Significant Active Market Observable Inputs Unobservable Inputs (Level 1) (Level 2) (Level 3) Fair Value (In thousands) Assets: Commodity derivatives $ — $ 18,509 $ — $ 18,509 Interest rate derivatives — 595 — 595 Total assets $ — $ 19,104 $ — $ 19,104 Liabilities: Commodity derivatives $ — $ 6,861 $ — $ 6,861 Interest rate derivatives — 558 — 558 Total liabilities $ — $ 7,419 $ — $ 7,419 |
Risk Management and Derivativ_2
Risk Management and Derivative Instruments (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Open Commodity Positions | At September 30, 2020, we had the following open commodity positions: Remaining 2020 2021 2022 Natural Gas Derivative Contracts: Fixed price swap contracts: Average monthly volume (MMBtu) 1,450,000 925,000 500,000 Weighted-average fixed price $ 2.26 $ 2.49 $ 2.45 Collar contracts: Two-way collars Average monthly volume (MMBtu) 420,000 925,000 200,000 Weighted-average floor price $ 2.60 $ 2.10 $ 2.10 Weighted-average ceiling price $ 2.88 $ 3.28 $ 2.99 Natural Gas Basis Swaps: PEPL basis swaps: Average monthly volume (MMBtu) 600,000 500,000 — Weighted-average spread $ (0.46 ) $ (0.40 ) $ — Crude Oil Derivative Contracts: Fixed price swap contracts: Average monthly volume (Bbls) 199,300 53,750 30,000 Weighted-average fixed price $ 57.41 $ 52.02 $ 55.32 Collar contracts: Two-way collars Average monthly volume (Bbls) 14,300 — — Weighted-average floor price $ 55.00 $ — $ — Weighted-average ceiling price $ 62.10 $ — $ — Three-way collars Average monthly volume (Bbls) 30,500 20,000 — Weighted-average ceiling price $ 65.75 $ 51.30 $ — Weighted-average floor price $ 50.00 $ 40.00 $ — Weighted-average sub-floor price $ 40.00 $ 30.00 $ — NGL Derivative Contracts: Fixed price swap contracts: Average monthly volume (Bbls) 111,450 22,800 — Weighted-average fixed price $ 21.99 $ 24.25 $ — |
Interest Rate Swap Open Positions | At September 30, 2020, we had the following interest rate swap open positions: Remaining 2020 2021 2022 Average Monthly Notional (in thousands) $ 125,000 $ 125,000 $ 75,000 Weighted-average fixed rate 1.612 % 1.612 % 1.281 % Floating rate 1 Month LIBOR 1 Month LIBOR 1 Month LIBOR |
Gross Fair Value of Derivative Instruments by Appropriate Balance Sheet | The following table summarizes both: (i) the gross fair value of derivative instruments by the appropriate balance sheet classification even when the derivative instruments are subject to netting arrangements and qualify for net presentation in the balance sheet and (ii) the net recorded fair value as reflected on the balance sheet at September 30, 2020 and December 31, 2019. There was no cash collateral received or pledged associated with our derivative instruments since most of the counterparties, or certain of their affiliates, to our derivative contracts are lenders under our Revolving Credit Facility. Asset Derivatives Liability Derivatives Asset Derivatives Liability Derivatives September 30, September 30, December 31, December 31, Type Balance Sheet Location 2020 2020 2019 2019 (In thousands) Commodity contracts Short-term derivative instruments $ 20,084 $ 9,092 $ 11,518 $ 5,887 Interest rate swaps Short-term derivative instruments — 1,862 248 253 Gross fair value 20,084 10,954 11,766 6,140 Netting arrangements (10,168 ) (10,168 ) (5,887 ) (5,887 ) Net recorded fair value Short-term derivative instruments $ 9,916 $ 786 $ 5,879 $ 253 Commodity contracts Long-term derivative instruments $ 7,178 $ 4,164 $ 6,990 $ 973 Interest rate swaps Long-term derivative instruments — 1,350 347 305 Gross fair value 7,178 5,514 7,337 1,278 Netting arrangements (4,164 ) (4,164 ) (973 ) (973 ) Net recorded fair value Long-term derivative instruments $ 3,014 $ 1,350 $ 6,364 $ 305 |
Unrealized and Realized Gains and Losses Related to Derivative Instruments | The following table details the gains and losses related to derivative instruments for the periods indicated (in thousands): For the Three Months Ended For the Nine Months Ended Statements of September 30, September 30, Operations Location 2020 2019 2020 2019 Commodity derivative contracts (Gain) loss on commodity derivatives $ 14,352 $ (28,725 ) $ (74,196 ) $ (19,231 ) (Gain) loss on interest rate derivatives Interest expense, net (20 ) (199 ) 4,034 334 |
Asset Retirement Obligations (T
Asset Retirement Obligations (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Asset Retirement Obligation Disclosure [Abstract] | |
Summary of Changes in Asset Retirement Obligations | The Company’s asset retirement obligations primarily relate to the Company’s portion of future plugging and abandonment costs for wells and related facilities. The following table presents the changes in the asset retirement obligations for the nine months ended September 30, 2020 (in thousands): Asset retirement obligations at beginning of period $ 91,089 Liabilities added from acquisition or drilling 79 Liabilities settled (199 ) Accretion expense 4,617 Revision of estimates 46 Asset retirement obligation at end of period 95,632 Less: Current portion (357 ) Asset retirement obligations - long-term portion $ 95,275 |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Consolidated Debt Obligations | The following table presents our consolidated debt obligations at the dates indicated: September 30, December 31, 2020 2019 (In thousands) Revolving Credit Facility (1) $ 265,000 $ 285,000 Paycheck Protection Program loan (2) 5,516 — Total debt 270,516 285,000 Current portion of long-term debt (3) 5,000 — Long-term debt $ 265,516 $ 285,000 (1) The carrying amount of our Revolving Credit Facility approximates fair value because the interest rates are variable and reflective of market rates. (2) See below for additional information regarding the receipt of the paycheck protection program loan. (3) Reflects the current portion of the monthly reductions for the Revolving Credit Facility as described below regarding the Third Amendment (as defined below). |
Summary of Weighted-Average Interest Rates Paid Excluding Commitment Fees on Variable-Rate Debt Obligations | The following table presents the weighted-average interest rates paid, excluding commitment fees, on our consolidated variable-rate debt obligations for the periods presented: For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Revolving Credit Facility 3.72% 4.89% 3.61% 4.99% |
Equity (Deficit) (Tables)
Equity (Deficit) (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Summary of Changes in Common Stock Issued | The following is a summary of the changes in our common stock issued for the nine months ended September 30, 2020: Common Shares Balance, December 31, 2019 37,566,540 Issuance of common stock — Restricted stock units vested 83,412 Repurchase of common shares (1) (22,386 ) Balance, September 30, 2020 37,627,566 (1) Represents the net settlement on vesting of restricted stock necessary to satisfy the minimum statutory tax withholding requirements. |
Earnings per Share (Tables)
Earnings per Share (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Calculation of Earnings (Loss) per Share | The following sets forth the calculation of earnings (loss) per share, or EPS, for the periods indicated (in thousands, except per share amounts): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Net income (loss) $ (17,685 ) $ 5,157 $ (426,220 ) $ (7,679 ) Less: Net income allocated to participating restricted stockholders — 128 — — Basic and diluted earnings available to common stockholders $ (17,685 ) $ 5,029 $ (426,220 ) $ (7,679 ) Common shares/units: Common shares outstanding — basic 37,626 33,707 37,596 26,093 Dilutive effect of potential common shares — — — — Common shares outstanding — diluted 37,626 33,707 37,596 26,093 Net earnings per share: Basic $ (0.47 ) $ 0.15 $ (11.34 ) $ (0.29 ) Diluted $ (0.47 ) $ 0.15 $ (11.34 ) $ (0.29 ) Antidilutive stock options (1) — 3 — 3 Antidilutive warrants (2) 2,174 9,154 2,174 9,154 (1) Amount represents options to purchase common stock that are excluded from the diluted net earnings per share calculations because of their antidilutive effect. (2) Amount represents warrants to purchase common stock that are excluded from the diluted net earnings per share calculations because of their antidilutive effect. |
Long-Term Incentive Plans (Tabl
Long-Term Incentive Plans (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Amount of Compensation Expense Recognized | The following table summarizes the amount of recognized compensation expense associated with the Legacy Amplify MIP and Legacy Amplify Non-Employee Directors Compensation Plan, which are reflected in the accompanying Unaudited Condensed Statements of Consolidated Operations for the periods presented (in thousands): For the Three Months Ended For the Nine Months Ended September 30, September 30, 2020 2019 2020 2019 Equity classified awards TSUs $ 59 $ 650 $ 184 $ 1,852 PSUs 30 120 69 825 Board RSUs 4 58 15 221 $ 93 $ 828 $ 268 $ 2,898 |
2017 Non-Employee Directors Compensation Plan [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Information Regarding Restricted Stock Unit Awards | The following table summarizes information regarding the Board RSUs granted under the Legacy Amplify Non-Employee Directors Compensation Plan for the period presented: Weighted- Average Grant Number of Date Fair Value Units per Unit (1) Board RSUs outstanding at December 31, 2019 16,157 $ 5.12 Granted — $ — Forfeited — $ — Vested (7,259 ) $ 5.12 Board RSUs outstanding at September 30, 2020 8,898 $ 5.12 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. |
TSUs [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Information Regarding Restricted Stock Unit Awards | The following table summarizes information regarding the TSUs granted under the Legacy Amplify MIP for the period presented: Weighted- Average Grant Number of Date Fair Value Units per Unit (1) TSUs outstanding at December 31, 2019 291,370 $ 5.18 Granted (2) 43,250 $ 3.10 Forfeited (92,912 ) $ 5.12 Vested (76,153 ) $ 5.12 TSUs outstanding at September 30, 2020 165,555 $ 4.70 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of TSUs issued for the nine months ended September 30, 2020 was $0.1 million based on a grant date market price of ranging from $0.54 to $6.61 per share. |
PSUs [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Summary of Information Regarding Restricted Stock Unit Awards | The following table summarizes information regarding the PSUs granted under the Legacy Amplify MIP for the period presented: Weighted- Average Grant Number of Date Fair Value Units per Unit (1) PSUs outstanding at December 31, 2019 305,893 $ 2.15 Granted (2) 43,250 $ 3.03 Forfeited (131,790 ) $ 2.11 Vested — $ — PSUs outstanding at September 30, 2020 217,353 $ 2.35 (1) Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. (2) The aggregate grant date fair value of PSUs issued for the nine months ended September 30, 2020 was $0.1 million based on a calculated fair value price ranging from $2.46 to $3.66 per share. |
Schedule of Fair Value Assumptions for PSUs | A Monte Carlo simulation was used in order to determine the fair value of these awards at the grant date. The assumptions used to estimate the fair value of the PSUs are as follows: Share price targets $ 12.50 $ 15.00 $ 17.50 Risk-free interest rate: Awards Issued on January 1, 2020 1.61 % 1.61 % 1.61 % Dividend yield Awards Issued on January 1, 2020 12.1 % 12.1 % 12.1 % Expected volatility: Awards Issued on January 1, 2020 60.0 % 60.0 % 60.0 % Calculated fair value per PSU: Awards Issued on January 1, 2020 $ 3.66 $ 2.98 $ 2.46 |
Leases (Tables)
Leases (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Leases [Abstract] | |
Schedule of Supplemental Cash Flow Information Related to Lease Liabilities | Supplemental cash flow information related to the Company’s lease liabilities are included in the table below: For the Nine Months Ended September 30, 2020 2019 (In thousands) Non-cash amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 1,351 $ 4,925 |
Schedule of Right-of-Use Assets and Lease Liabilities | The following table presents the Company’s right-of-use assets and lease liabilities for the period presented: September 30, December 31, 2020 2019 (In thousands) Right-of-use asset $ 3,055 $ 4,406 Lease liabilities: Current lease liability 2,227 1,712 Long-term lease liability 853 2,720 Total lease liability $ 3,080 $ 4,432 |
Schedule of Maturity Analysis of Minimum Lease Payment Obligation Under Non-cancellable Operating Leases | The following table reflects the Company’s maturity analysis of the minimum lease payment obligations under non-cancelable operating leases with a remaining term in excess of one year (in thousands): Office leases Leased vehicles and office equipment Total Remaining in 2020 $ 406 $ 174 $ 580 2021 1,355 587 1,942 2022 411 207 618 2023 and thereafter — 44 44 Total lease payments 2,172 1,012 3,184 Less: interest 75 29 104 Present value of lease liabilities $ 2,097 $ 983 $ 3,080 |
Schedule of Weighted Average Remaining Lease Terms and Discount Rate of Operating Leases | The weighted average remaining lease terms and discount rate for all of our operating leases for the period presented: September 30, 2020 2019 Weighted average remaining lease term (years): Office leases 0.91 1.67 Vehicles 0.41 0.53 Office equipment 0.05 0.09 Weighted average discount rate: Office leases 3.41 % 3.61 % Vehicles 0.97 % 0.85 % Office equipment 0.17 % 0.18 % |
Supplemental Disclosures to t_2
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Organization Consolidation And Presentation Of Financial Statements [Abstract] | |
Summary of Current Accrued Liabilities | Current accrued liabilities consisted of the following at the dates indicated (in thousands): September 30, December 31, 2020 2019 Accrued lease operating expense $ 9,050 $ 11,794 Accrued general and administrative expense 3,314 3,126 Operating lease liability 2,227 1,712 Accrued ad valorem tax 2,348 520 Accrued capital expenditures 1,499 5,515 Asset retirement obligations 357 623 Accrued interest payable 27 36 Other 241 32 Accrued liabilities $ 19,063 $ 23,358 |
Summary of Cash and Cash Equivalents Reconciliation | The following table provides a reconciliation of cash and cash equivalents on the Unaudited Condensed Consolidated Balance Sheet to cash, cash equivalents and restricted cash on the Unaudited Condensed Statements of Consolidated Cash Flows (in thousands): September 30, December 31, 2020 2019 Cash and cash equivalents $ 13,521 $ — Restricted cash — 325 Total cash, cash equivalents and restricted cash $ 13,521 $ 325 |
Summary of Supplemental Cash Flows | Supplemental cash flows for the periods presented (in thousands): For the Nine Months Ended September 30, 2020 2019 Supplemental cash flows: Cash paid for interest, net of amounts capitalized $ 7,921 $ 12,477 Cash paid for reorganization items, net 532 684 Cash paid for taxes 85 — Noncash investing and financing activities: Change in capital expenditures in payables and accrued liabilities (4,016 ) 324 Assets acquired & liabilities assumed in the Merger: Accounts receivable — 14,633 Prepaids and other current assets — 3,229 Other non-current assets — 9,879 Oil and natural gas properties — 142,642 Other property and equipment — 6,280 Accounts payable and other current liabilities — (24,135 ) Other non-current liabilities — (5,067 ) Long-term debt — (76,559 ) Issuance of common stock in connection with the Merger — 90,150 |
Organization and Basis of Pre_3
Organization and Basis of Presentation - Additional Information (Detail) $ / shares in Units, $ in Thousands | 9 Months Ended | ||||||||
Sep. 30, 2020USD ($)Segment$ / sharesshares | Aug. 28, 2020USD ($) | Jun. 30, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($)$ / shares | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Mar. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Consolidation And Basis Of Presentation [Line Items] | |||||||||
Number of reportable business segments | Segment | 1 | ||||||||
Stockholders equity | $ 4,036 | $ 21,255 | $ 62,096 | $ 434,207 | $ 480,045 | $ 405,087 | $ 385,497 | $ 416,558 | |
Common stock, par value | $ / shares | $ 0.01 | $ 0.01 | |||||||
Legacy Amplify [Member] | |||||||||
Consolidation And Basis Of Presentation [Line Items] | |||||||||
Number of common stock share for each shar | shares | 0.933 | ||||||||
Maximum [Member] | |||||||||
Consolidation And Basis Of Presentation [Line Items] | |||||||||
Global market capitalization | $ 50,000,000 | ||||||||
Stockholders equity | $ 50,000,000 |
Revenue - Summary of Revenues D
Revenue - Summary of Revenues Disaggregated (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Revenues: | ||||
Total revenues | $ 52,745 | $ 72,959 | $ 146,052 | $ 197,646 |
Oil and Natural Gas Sales [Member] | ||||
Revenues: | ||||
Total revenues | 52,488 | 72,426 | 145,163 | 196,978 |
Oil [Member] | ||||
Revenues: | ||||
Total revenues | 36,868 | 55,011 | 101,682 | 136,754 |
NGLs [Member] | ||||
Revenues: | ||||
Total revenues | 5,537 | 4,306 | 14,002 | 15,509 |
Natural Gas [Member] | ||||
Revenues: | ||||
Total revenues | $ 10,083 | $ 13,109 | $ 29,479 | $ 44,715 |
Revenue - Additional Informatio
Revenue - Additional Information (Detail) - USD ($) $ in Millions | Sep. 30, 2020 | Dec. 31, 2019 |
Revenue From Contract With Customer [Abstract] | ||
Accounts receivable attributable to revenue contracts with customers | $ 21.4 | $ 31.9 |
Acquisitions and Divestitures -
Acquisitions and Divestitures - Acquisition and Divestiture Related Expenses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
General and Administrative Expense [Member] | ||||
Business Acquisition [Line Items] | ||||
Business Acquisition and Divestiture, Related Expenses | $ 152 | $ 12,833 | $ 678 | $ 16,655 |
Acquisitions and Divestitures_2
Acquisitions and Divestitures - Additional Information (Detail) - $ / shares | May 05, 2019 | Sep. 30, 2020 | Dec. 31, 2019 |
Business Acquisition And Divestiture [Line Items] | |||
Common stock, par value | $ 0.01 | $ 0.01 | |
Legacy Amplify, Midstates and Midstates Holdings, Inc. [Member] | |||
Business Acquisition And Divestiture [Line Items] | |||
Merger conversion ratio | 0.933 | ||
Common stock, par value | $ 0.01 |
Acquisitions and Divestitures_3
Acquisitions and Divestitures - Summary of Purchase Price Allocation (Detail) - Legacy Amplify, Midstates and Midstates Holdings, Inc. [Member] $ in Thousands | Aug. 06, 2019USD ($) |
Consideration: | |
Fair value of Midstates common stock issued in the Merger (a) | $ 90,150 |
Fair value of Midstates warrants issued in the Merger | 2 |
Total consideration | 90,152 |
Fair value of liabilities assumed: | |
Current liabilities | 24,135 |
Long-term debt | 76,559 |
Long-term asset retirement obligation | 9,440 |
Other long-term liabilities | 5,067 |
Amounts attributable to liabilities assumed | 115,201 |
Fair value of assets acquired: | |
Cash and cash equivalents | 19,250 |
Other current assets | 17,862 |
Oil and natural gas properties | 142,642 |
Other property and equipment | 6,280 |
Long-term asset retirement cost | 9,440 |
Other non-current assets | 9,879 |
Amounts attributable to assets acquired | 205,353 |
Total identifiable net assets | $ 90,152 |
Acquisitions and Divestitures_4
Acquisitions and Divestitures - Summary of Purchase Price Allocation (Parenthetical) (Detail) - Legacy Amplify, Midstates and Midstates Holdings, Inc. [Member] | Aug. 06, 2019$ / sharesshares |
Business Acquisition [Line Items] | |
Business acquisition, common shares issued | shares | 20,415,005 |
Business acquisition, share price | $ / shares | $ 4.12 |
Acquisitions and Divestitures_5
Acquisitions and Divestitures - Summary of Unaudited Pro Forma Financial Information (Detail) - Legacy Amplify, Midstates and Midstates Holdings, Inc. [Member] - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2019 | Sep. 30, 2019 | |
Business Acquisition [Line Items] | ||
Revenues | $ 80,482 | $ 258,547 |
Net income (loss) | $ 6,845 | $ 6,236 |
Earnings per share: | ||
Basic | $ 0.20 | $ 0.24 |
Diluted | $ 0.20 | $ 0.24 |
Fair Value Measurements of Fi_3
Fair Value Measurements of Financial Instruments - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - Fair Value [Member] - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | $ 27,262 | $ 19,104 |
Total liabilities | 16,468 | 7,419 |
Quoted Prices in Active Market (Level 1) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 27,262 | 19,104 |
Total liabilities | 16,468 | 7,419 |
Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Commodity derivatives [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 27,262 | 18,509 |
Total liabilities | 13,256 | 6,861 |
Commodity derivatives [Member] | Quoted Prices in Active Market (Level 1) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Commodity derivatives [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 27,262 | 18,509 |
Total liabilities | 13,256 | 6,861 |
Commodity derivatives [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Interest rate derivatives [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 595 |
Total liabilities | 3,212 | 558 |
Interest rate derivatives [Member] | Quoted Prices in Active Market (Level 1) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 0 |
Total liabilities | 0 | 0 |
Interest rate derivatives [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 595 |
Total liabilities | 3,212 | 558 |
Interest rate derivatives [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets, Liabilities and Stockholders' Equity Measured on Recurring Basis [Abstract] | ||
Total assets | 0 | 0 |
Total liabilities | $ 0 | $ 0 |
Fair Value Measurements of Fi_4
Fair Value Measurements of Financial Instruments - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Assets And Liabilities Carrying Value And Fair Value [Line Items] | ||||
Impairment expense | $ 0 | $ 0 | $ 455,031 | $ 0 |
Proved Developed and Producing Oil and Gas Properties [Member] | ||||
Assets And Liabilities Carrying Value And Fair Value [Line Items] | ||||
Impairment expense | $ 0 | $ 0 | $ 405,700 | $ 0 |
Risk Management and Derivativ_3
Risk Management and Derivative Instruments - Additional Information (Detail) - USD ($) | 1 Months Ended | 9 Months Ended |
Apr. 30, 2020 | Sep. 30, 2020 | |
Derivative Instruments Gain Loss [Line Items] | ||
Conditional rights of set-off under ISDA Master Agreement reduce the maximum amount of loss due to credit risk | $ 13,900,000 | |
Crude Oil | ||
Derivative Instruments Gain Loss [Line Items] | ||
Cash proceeds form crude oil hedges | $ 18,000,000 |
Risk Management and Derivativ_4
Risk Management and Derivative Instruments - Open Commodity Positions (Detail) | 9 Months Ended |
Sep. 30, 2020MMBTU$ / MMBTU$ / bblbbl | |
Natural Gas Derivative Contracts Fixed Price Swap 2022 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 500,000 |
Weighted-average fixed price | $ / MMBTU | 2.45 |
Natural Gas Derivative Two Way Collars Contracts 2022 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 200,000 |
Weighted-average floor price | 2.10 |
Weighted-average ceiling price | 2.99 |
Natural Gas P E P L Basis Swaps Two Thousand Twenty Two | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 0 |
Weighted-average spread | $ / MMBTU | 0 |
Crude Oil Derivative Contracts Fixed Price Swap 2022 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 30,000 |
Weighted-average fixed price | 55.32 |
Crude Oil Derivative Two Way Collars Contracts 2022 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 0 |
Weighted-average floor price | 0 |
Weighted-average ceiling price | 0 |
Crude Oil Derivative Three Way Collars Contracts 2022 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 0 |
Weighted-average floor price | 0 |
Weighted-average ceiling price | 0 |
Weighted-average sub-floor price | 0 |
NGL Derivative Contracts Fixed Price Swap 2022 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 0 |
Weighted-average fixed price | 0 |
Natural Gas Derivative Contracts Fixed Price Swap 2021 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 925,000 |
Weighted-average fixed price | $ / MMBTU | 2.49 |
Natural Gas Derivative Two Way Collars Contracts 2021 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 925,000 |
Weighted-average floor price | 2.10 |
Weighted-average ceiling price | 3.28 |
Natural Gas P E P L Basis Swaps Two Thousand Twenty One | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 500,000 |
Weighted-average spread | $ / MMBTU | (0.40) |
Crude Oil Derivative Contracts Fixed Price Swap 2021 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 53,750 |
Weighted-average fixed price | 52.02 |
Crude Oil Derivative Two Way Collars Contracts 2021 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 0 |
Weighted-average floor price | 0 |
Weighted-average ceiling price | 0 |
Crude Oil Derivative Three Way Collars Contracts 2021 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 20,000 |
Weighted-average floor price | 40 |
Weighted-average ceiling price | 51.30 |
Weighted-average sub-floor price | 30 |
NGL Derivative Contracts Fixed Price Swap 2021 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 22,800 |
Weighted-average fixed price | 24.25 |
Natural Gas Derivative Contracts Fixed Price Swap Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 1,450,000 |
Weighted-average fixed price | $ / MMBTU | 2.26 |
Natural Gas Derivative Two Way Collars Contracts Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 420,000 |
Weighted-average floor price | 2.60 |
Weighted-average ceiling price | 2.88 |
Natural Gas PEPL Basis Swaps Remaining Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (MMBtu) | MMBTU | 600,000 |
Weighted-average spread | $ / MMBTU | (0.46) |
Crude Oil Derivative Contracts Fixed Price Swap Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 199,300 |
Weighted-average fixed price | 57.41 |
Crude Oil Derivative Two Way Collars Contracts Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 14,300 |
Weighted-average floor price | 55 |
Weighted-average ceiling price | 62.10 |
Crude Oil Derivative Three Way Collars Contracts Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 30,500 |
Weighted-average floor price | 50 |
Weighted-average ceiling price | 65.75 |
Weighted-average sub-floor price | 40 |
NGL Derivative Contracts Fixed Price Swap Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average monthly volume (Bbls) | bbl | 111,450 |
Weighted-average fixed price | 21.99 |
Risk Management and Derivativ_5
Risk Management and Derivative Instruments - Interest Rate Swap Open Positions (Detail) | 9 Months Ended |
Sep. 30, 2020USD ($) | |
Interest Rate Swap Open Position Remaining 2020 [Member] | |
Derivative [Line Items] | |
Average Monthly Notional (in thousands) | $ 125,000,000 |
Weighted-average fixed rate | 1.612% |
Floating rate | 1 Month LIBOR |
Interest Rate Swap Open Position 2021 [Member] | |
Derivative [Line Items] | |
Average Monthly Notional (in thousands) | $ 125,000,000 |
Weighted-average fixed rate | 1.612% |
Floating rate | 1 Month LIBOR |
Interest Rate Swap Open Position 2022 [Member] | |
Derivative [Line Items] | |
Average Monthly Notional (in thousands) | $ 75,000,000 |
Weighted-average fixed rate | 1.281% |
Floating rate | 1 Month LIBOR |
Risk Management and Derivativ_6
Risk Management and Derivative Instruments - Gross Fair Value of Derivative Instruments by Appropriate Balance Sheet (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Net recorded fair value | $ 9,916 | $ 5,879 |
Asset Derivatives, Net recorded fair value | 3,014 | 6,364 |
Liability Derivatives, Net recorded fair value | 786 | 253 |
Liability Derivatives, Net recorded fair value | 1,350 | 305 |
Short-Term Derivative Instruments [Member] | ||
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Gross fair value | 20,084 | 11,766 |
Asset Derivatives, Netting arrangements | (10,168) | (5,887) |
Asset Derivatives, Net recorded fair value | 9,916 | 5,879 |
Liability Derivatives, Gross fair value | 10,954 | 6,140 |
Liability Derivatives, Netting arrangements | (10,168) | (5,887) |
Liability Derivatives, Net recorded fair value | 786 | 253 |
Short-Term Derivative Instruments [Member] | Commodity derivatives [Member] | ||
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Gross fair value | 20,084 | 11,518 |
Liability Derivatives, Gross fair value | 9,092 | 5,887 |
Short-Term Derivative Instruments [Member] | Interest Rate Swaps [Member] | ||
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Gross fair value | 0 | 248 |
Liability Derivatives, Gross fair value | 1,862 | 253 |
Long-Term Derivative Instruments [Member] | ||
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Gross fair value | 7,178 | 7,337 |
Asset Derivatives, Netting arrangements | (4,164) | (973) |
Asset Derivatives, Net recorded fair value | 3,014 | 6,364 |
Liability Derivatives, Gross fair value | 5,514 | 1,278 |
Liability Derivatives, Netting arrangements | (4,164) | (973) |
Liability Derivatives, Net recorded fair value | 1,350 | 305 |
Long-Term Derivative Instruments [Member] | Commodity derivatives [Member] | ||
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Gross fair value | 7,178 | 6,990 |
Liability Derivatives, Gross fair value | 4,164 | 973 |
Long-Term Derivative Instruments [Member] | Interest Rate Swaps [Member] | ||
Derivative Instruments and Hedges, Assets [Abstract] | ||
Asset Derivatives, Gross fair value | 0 | 347 |
Liability Derivatives, Gross fair value | $ 1,350 | $ 305 |
Risk Management and Derivativ_7
Risk Management and Derivative Instruments - Unrealized and Realized Gains and Losses Related to Derivative Instruments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Derivative Instruments Gain Loss [Line Items] | ||||
(Gain) loss on commodity derivative instruments | $ 14,352 | $ (28,725) | $ (74,196) | $ (19,231) |
Interest expense, net | (3,362) | (5,276) | (17,218) | (13,787) |
Commodity derivatives [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
(Gain) loss on commodity derivative instruments | 14,352 | (28,725) | (74,196) | (19,231) |
Interest rate derivatives [Member] | ||||
Derivative Instruments Gain Loss [Line Items] | ||||
Interest expense, net | $ (20) | $ (199) | $ 4,034 | $ 334 |
Asset Retirement Obligations -
Asset Retirement Obligations - Summary of Changes in Asset Retirement Obligations (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Asset Retirement Obligation Disclosure [Abstract] | |||||
Asset retirement obligations at beginning of period | $ 91,089 | ||||
Liabilities added from acquisition or drilling | 79 | ||||
Liabilities settled | (199) | ||||
Accretion of asset retirement obligations | $ 1,565 | $ 1,428 | 4,617 | $ 4,071 | |
Revision of estimates | 46 | ||||
Asset retirement obligation at end of period | 95,632 | 95,632 | |||
Less: Current portion | (357) | (357) | $ (623) | ||
Asset retirement obligations | $ 95,275 | $ 95,275 | $ 90,466 |
Long-Term Debt - Consolidated D
Long-Term Debt - Consolidated Debt Obligations (Detail) - USD ($) $ in Thousands | Apr. 24, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | |||
Line Of Credit Facility [Line Items] | ||||||
Paycheck Protection Program loan | $ 5,500 | $ 5,516 | [1] | $ 0 | [1] | |
Total debt | 270,516 | 285,000 | ||||
Current portion of long-term debt | [2] | 5,000 | 0 | |||
Long-term debt | 265,516 | 285,000 | ||||
Credit Facility [Member] | ||||||
Line Of Credit Facility [Line Items] | ||||||
Aggregate principal outstanding | [3] | $ 265,000 | $ 285,000 | |||
[1] | See below for additional information regarding the receipt of the paycheck protection program loan. | |||||
[2] | Reflects the current portion of the monthly reductions for the Revolving Credit Facility as described below regarding the Third Amendment (as defined below). | |||||
[3] | The carrying amount of our Revolving Credit Facility approximates fair value because the interest rates are variable and reflective of market rates. |
Long-Term Debt - Credit Facilit
Long-Term Debt - Credit Facility - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Nov. 01, 2020 | |
Line Of Credit Facility [Line Items] | ||
Borrowing base | $ 270,000,000 | |
Maturity date | Nov. 2, 2023 | |
Letters of credit outstanding | $ 0 | |
Credit Facility [Member] | ||
Line Of Credit Facility [Line Items] | ||
Borrowing base | $ 260,000,000 | |
Monthly reduction of line of credit facility current borrowing capacity | $ 5,000,000 | |
Line of credit facility, covenant terms | 0 | |
Minimum [Member] | Credit Facility [Member] | ||
Line Of Credit Facility [Line Items] | ||
Borrowing base | $ 285,000,000 | |
Increase in percentage of priority lien assets | 85.00% | |
Line of credit facility decrease limit of cash and cash equivalents | $ 30,000,000 | |
Line of credit facility increase limit of transaction-related expense add-backs | $ 5,000,000 | |
HedgingLiabilitiesNoncurrent | 30.00% | |
Maximum [Member] | Credit Facility [Member] | ||
Line Of Credit Facility [Line Items] | ||
Borrowing base | $ 450,000,000 | |
Increase in percentage of priority lien assets | 90.00% | |
Line of credit facility decrease limit of cash and cash equivalents | $ 25,000,000 | |
Line of credit facility increase limit of transaction-related expense add-backs | $ 20,000,000 | |
HedgingLiabilitiesNoncurrent | 60.00% |
Long-Term Debt - Summary of Wei
Long-Term Debt - Summary of Weighted-Average Interest Rates Paid Excluding Commitment Fees on Variable-Rate Debt Obligations (Detail) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Credit Facility [Member] | ||||
Line Of Credit Facility [Line Items] | ||||
Revolving credit facility, weighted-average interest rates | 3.72% | 4.89% | 3.61% | 4.99% |
Long-Term Debt - Unamortized De
Long-Term Debt - Unamortized Deferred Financing Costs - Additional Information (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Line Of Credit Facility [Line Items] | ||
Amortization and write-off of deferred financing costs | $ 3,134 | $ 62 |
Credit Facility [Member] | ||
Line Of Credit Facility [Line Items] | ||
Unamortized deferred financing costs | 1,700 | |
Amortization and write-off of deferred financing costs | $ 2,400 |
Long-Term Debt - Paycheck Prote
Long-Term Debt - Paycheck Protection Program - Additional Information (Detail) - USD ($) | Apr. 24, 2020 | Sep. 30, 2020 | [1] | Dec. 31, 2019 | [1] |
Debt Disclosure [Abstract] | |||||
Loan amount received under paycheck protection plan | $ 5,500,000 | $ 5,516,000 | $ 0 | ||
Paycheck protection program loan of 2020, term | 2 years | ||||
Paycheck protection program Loan of 2020, interest rate | 1.00% | ||||
Paycheck protection program loan, principal or interest due next six months | $ 0 | ||||
[1] | See below for additional information regarding the receipt of the paycheck protection program loan. |
Equity (Deficit)- Additional In
Equity (Deficit)- Additional Information (Detail) - USD ($) $ / shares in Units, $ in Millions | Mar. 03, 2020 | May 04, 2017 | Jun. 30, 2019 | Feb. 28, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | Aug. 06, 2019 | Dec. 21, 2018 |
Equity And Distributions [Line Items] | ||||||||
Common stock, shares authorized | 250,000,000 | 250,000,000 | ||||||
Common stock, par value | $ 0.01 | $ 0.01 | ||||||
Warrants outstanding | 2,173,913 | 9,153,522 | ||||||
Warrant expiry date | Apr. 21, 2020 | |||||||
Stock repurchase authorized amount | $ 25 | |||||||
Shares repurchased during period | 4,200,000 | |||||||
Average common stock price | $ 5.94 | |||||||
Total cost of share repurchase | $ 24.9 | |||||||
Dividend declared date | Mar. 3, 2020 | |||||||
Dividends declared per share | $ 0.10 | |||||||
Dividends paid | $ 3.8 | |||||||
Dividend payable record date | Mar. 16, 2020 | |||||||
Warrants [Member] | ||||||||
Equity And Distributions [Line Items] | ||||||||
Warrant issued during period | 2,173,913 | |||||||
Warrant life period | 5 years | |||||||
Percentage of common shares to be issued upon exercise of warrants | 8.00% | |||||||
Warrant exercise price | $ 42.60 | |||||||
Third Lien Notes Warrants [Member] | ||||||||
Equity And Distributions [Line Items] | ||||||||
Warrant exercise price | $ 22.78 | |||||||
Warrants outstanding | 4,647,520 | |||||||
Unsecured Creditor Warrants [Member] | ||||||||
Equity And Distributions [Line Items] | ||||||||
Warrant exercise price | $ 43.67 | |||||||
Warrants outstanding | 2,332,089 | |||||||
Common Stock [Member] | ||||||||
Equity And Distributions [Line Items] | ||||||||
Stock repurchase authorized amount | $ 25 | |||||||
Shares repurchased during period | 169,400 | |||||||
Average common stock price | $ 7.35 | |||||||
Total cost of share repurchase | $ 1.3 |
Equity (Deficit) - Summary of C
Equity (Deficit) - Summary of Changes in Number of Outstanding Common Units and Shares of Common Stock (Detail) | 9 Months Ended | |
Sep. 30, 2020shares | ||
Summary Of Changes In Number Of Outstanding Units Or Shares [Line Items] | ||
Beginning balance | 37,566,540 | |
Ending balance | 37,627,566 | |
Common Stock [Member] | ||
Summary Of Changes In Number Of Outstanding Units Or Shares [Line Items] | ||
Beginning balance | 37,566,540 | |
Issuance of common stock | 0 | |
Restricted stock units vested | 83,412 | |
Repurchase of common shares | (22,386) | [1] |
Ending balance | 37,627,566 | |
[1] | Represents the net settlement on vesting of restricted stock necessary to satisfy the minimum statutory tax withholding requirements. |
Earnings per Share - Calculatio
Earnings per Share - Calculation of Earnings (Loss) per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | ||
Earnings Per Share [Line Items] | |||||||||
Net income (loss) | $ (17,685) | $ (41,336) | $ (367,199) | $ 5,157 | $ 18,641 | $ (31,477) | $ (426,220) | $ (7,679) | |
Net (income) loss allocated to participating restricted stockholders | 0 | (128) | 0 | 0 | |||||
Basic and diluted earnings available to common stockholders | $ (17,685) | $ 5,029 | $ (426,220) | $ (7,679) | |||||
Common shares/units: | |||||||||
Common shares outstanding — basic | 37,626 | 33,707 | 37,596 | 26,093 | |||||
Dilutive effect of potential common shares | 0 | 0 | 0 | 0 | |||||
Common shares outstanding — diluted | 37,626 | 33,707 | 37,596 | 26,093 | |||||
Net earnings per share: | |||||||||
Basic | $ (0.47) | $ 0.15 | $ (11.34) | $ (0.29) | |||||
Diluted | $ (0.47) | $ 0.15 | $ (11.34) | $ (0.29) | |||||
Stock Options [Member] | |||||||||
Net earnings per share: | |||||||||
Antidilutive stock options or warrants | [1] | 0 | 3 | 0 | 3 | ||||
Warrants [Member] | |||||||||
Net earnings per share: | |||||||||
Antidilutive stock options or warrants | [2] | 2,174 | 9,154 | 2,174 | 9,154 | ||||
[1] | Amount represents options to purchase common stock that are excluded from the diluted net earnings per share calculations because of their antidilutive effect. | ||||||||
[2] | Amount represents warrants to purchase common stock that are excluded from the diluted net earnings per share calculations because of their antidilutive effect. |
Long-Term Incentive Plans - Add
Long-Term Incentive Plans - Additional Information (Detail) $ / shares in Units, $ in Millions | 9 Months Ended |
Sep. 30, 2020USD ($)$ / shares | |
TSUs [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized compensation cost | $ 0.4 |
Weighted-average period of unrecognized compensation cost | 1 year 6 months |
PSUs [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized compensation cost | $ 0.1 |
Weighted-average period of unrecognized compensation cost | 1 year 6 months |
Decrease in share targets | $ / shares | $ 0.25 |
PSUs [Member] | Market Vesting Date [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock units vesting percentage | 50.00% |
PSUs [Member] | First Anniversary Market-Vesting Date [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock units vesting percentage | 25.00% |
PSUs [Member] | Second Anniversary Market-Vesting Date [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Stock units vesting percentage | 25.00% |
Restricted Stock Units (RSUs) [Member] | 2017 Non-Employee Directors Compensation Plan [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Weighted-average period of unrecognized compensation cost | 1 year 6 months |
Restricted Stock Units (RSUs) [Member] | 2017 Non-Employee Directors Compensation Plan [Member] | Maximum [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Unrecognized compensation cost | $ 0.1 |
Long-Term Incentive Plans - Sum
Long-Term Incentive Plans - Summary of Information Regarding Restricted Stock Unit Awards (Detail) | 9 Months Ended | |
Sep. 30, 2020$ / sharesshares | ||
Management Incentive Plan [Member] | TSUs [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Outstanding, Number of Units, Beginning Balance | shares | 291,370 | |
Granted, Number of Units | shares | 43,250 | [1] |
Forfeited, Number of Units | shares | (92,912) | |
Vested, Number of Units | shares | (76,153) | |
Outstanding, Number of Units, Ending Balance | shares | 165,555 | |
Outstanding, Weighted-Average Grant Date Fair Value per unit, Beginning balance | $ / shares | $ 5.18 | [2] |
Granted, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 3.10 | [1],[2] |
Forfeited, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 5.12 | [2] |
Vested, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 5.12 | [2] |
Outstanding, Weighted-Average Grant Date Fair Value per unit, Ending balance | $ / shares | $ 4.70 | [2] |
2017 Non-Employee Directors Compensation Plan [Member] | Restricted Stock Units (RSUs) [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Outstanding, Number of Units, Beginning Balance | shares | 16,157 | |
Granted, Number of Units | shares | 0 | |
Forfeited, Number of Units | shares | 0 | |
Vested, Number of Units | shares | (7,259) | |
Outstanding, Number of Units, Ending Balance | shares | 8,898 | |
Outstanding, Weighted-Average Grant Date Fair Value per unit, Beginning balance | $ / shares | $ 5.12 | |
Granted, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 0 | |
Forfeited, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 0 | |
Vested, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 5.12 | |
Outstanding, Weighted-Average Grant Date Fair Value per unit, Ending balance | $ / shares | $ 5.12 | |
[1] | The aggregate grant date fair value of TSUs issued for the nine months ended September 30, 2020 was $0.1 million based on a grant date market price of ranging from $0.54 to $6.61 per share. | |
[2] | Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. |
Long-Term Incentive Plans - S_2
Long-Term Incentive Plans - Summary of Information Regarding Restricted Stock Unit Awards (Parenthetical) (Detail) $ / shares in Units, $ in Millions | Sep. 30, 2020USD ($)$ / shares |
TSUs [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Aggregate grant date fair value of restricted stock units issued | $ | $ 0.1 |
TSUs [Member] | Maximum [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Grant Date Market Price | $ 6.61 |
TSUs [Member] | Minimum [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Grant Date Market Price | $ 0.54 |
PSUs [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Aggregate grant date fair value of restricted stock units issued | $ | $ 0.1 |
PSUs [Member] | Maximum [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Calculated fair value price | $ 3.66 |
PSUs [Member] | Minimum [Member] | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |
Calculated fair value price | $ 2.46 |
Long-Term Incentive Plans - S_3
Long-Term Incentive Plans - Summary of Fair Value Assumptions (Detail) - PSUs [Member] - $ / shares | Jan. 01, 2020 | Sep. 30, 2020 |
Share Price Target 12.50 [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share price targets | $ 12.50 | |
Risk-free interest rate | 1.61% | |
Dividend yield | 12.10% | |
Expected volatility | 60.00% | |
Calculated fair value per PSU | $ 3.66 | |
Share Price Target 15.00 [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share price targets | 15 | |
Risk-free interest rate | 1.61% | |
Dividend yield | 12.10% | |
Expected volatility | 60.00% | |
Calculated fair value per PSU | $ 2.98 | |
Share Price Target 17.50 [Member] | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Share price targets | $ 17.50 | |
Risk-free interest rate | 1.61% | |
Dividend yield | 12.10% | |
Expected volatility | 60.00% | |
Calculated fair value per PSU | $ 2.46 |
Long-Term Incentive Plans - S_4
Long-Term Incentive Plans - Summary of Information Regarding Restricted Stock Awards (Detail) - Management Incentive Plan [Member] - PSUs [Member] | 9 Months Ended | |
Sep. 30, 2020$ / sharesshares | ||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||
Outstanding, Number of Units, Beginning Balance | shares | 305,893 | |
Granted, Number of Units | shares | 43,250 | [1] |
Forfeited, Number of Units | shares | (131,790) | |
Vested, Number of Units | shares | 0 | |
Outstanding, Number of Units, Ending Balance | shares | 217,353 | |
Outstanding, Weighted-Average Grant Date Fair Value per unit, Beginning balance | $ / shares | $ 2.15 | [2] |
Granted, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 3.03 | [1],[2] |
Forfeited, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 2.11 | [2] |
Vested, Weighted-Average Grant Date Fair Value per Unit | $ / shares | 0 | [2] |
Outstanding, Weighted-Average Grant Date Fair Value per unit, Ending balance | $ / shares | $ 2.35 | [2] |
[1] | The aggregate grant date fair value of PSUs issued for the nine months ended September 30, 2020 was $0.1 million based on a calculated fair value price ranging from $2.46 to $3.66 per share | |
[2] | Determined by dividing the aggregate grant date fair value of awards by the number of awards issued. |
Long-Term Incentive Plans - S_5
Long-Term Incentive Plans - Summary of Amount of Compensation Expense Recognized (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Equity based compensation expense (benefit) | $ 93 | $ 828 | $ 268 | $ 2,898 |
TSUs [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Equity based compensation expense (benefit) | 59 | 650 | 184 | 1,852 |
PSUs [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Equity based compensation expense (benefit) | 30 | 120 | 69 | 825 |
Restricted Stock Units (RSUs) [Member] | ||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | ||||
Equity based compensation expense (benefit) | $ 4 | $ 58 | $ 15 | $ 221 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Leases [Abstract] | ||
Lease, option to terminate | 0 | |
Lease termination period with prior written notice | 30 days | |
Costs relating to operating leases | $ 1.8 | $ 1.6 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Cash Flow Information Related to Lease Liabilities (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Supplemental Cash Flow Information [Abstract] | ||
Non-cash amounts included in the measurement of lease liabilities, operating cash flows from operating leases | $ 1,351 | $ 4,925 |
Leases - Schedule of Right-of-U
Leases - Schedule of Right-of-Use Assets and Lease Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Leases [Abstract] | ||
Right-of-use asset | $ 3,055 | $ 4,406 |
Current lease liability | 2,227 | 1,712 |
Long-term lease liability | 853 | 2,720 |
Total lease liability | $ 3,080 | $ 4,432 |
Leases - Schedule of Maturity A
Leases - Schedule of Maturity Analysis of Minimum Lease Payment Obligation Under Non-cancellable Operating Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Lessee Lease Description [Line Items] | ||
Remaining in 2020 | $ 580 | |
2021 | 1,942 | |
2022 | 618 | |
2023 and thereafter | 44 | |
Total lease payments | 3,184 | |
Less: interest | 104 | |
Present value of lease liabilities | 3,080 | $ 4,432 |
Office Leases [Member] | ||
Lessee Lease Description [Line Items] | ||
Remaining in 2020 | 406 | |
2021 | 1,355 | |
2022 | 411 | |
2023 and thereafter | 0 | |
Total lease payments | 2,172 | |
Less: interest | 75 | |
Present value of lease liabilities | 2,097 | |
Leased Vehicles and Office Equipment [Member] | ||
Lessee Lease Description [Line Items] | ||
Remaining in 2020 | 174 | |
2021 | 587 | |
2022 | 207 | |
2023 and thereafter | 44 | |
Total lease payments | 1,012 | |
Less: interest | 29 | |
Present value of lease liabilities | $ 983 |
Leases - Schedule of Weighted A
Leases - Schedule of Weighted Average Remaining Lease Terms and Discount Rate of Operating Leases (Detail) | Sep. 30, 2020 | Sep. 30, 2019 |
Office Leases [Member] | ||
Lessee Lease Description [Line Items] | ||
Weighted average remaining lease term | 10 months 28 days | 1 year 8 months 1 day |
Weighted average discount rate | 3.41% | 3.61% |
Vehicles [Member] | ||
Lessee Lease Description [Line Items] | ||
Weighted average remaining lease term | 4 months 28 days | 6 months 10 days |
Weighted average discount rate | 0.97% | 0.85% |
Office Equipment [Member] | ||
Lessee Lease Description [Line Items] | ||
Weighted average remaining lease term | 18 days | 1 month 2 days |
Weighted average discount rate | 0.17% | 0.18% |
Supplemental Disclosures to t_3
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows - Summary of Current Accrued Liabilities (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Accrued Liabilities Current [Abstract] | ||
Accrued lease operating expense | $ 9,050 | $ 11,794 |
Accrued general and administrative expense | 3,314 | 3,126 |
Operating lease liability | 2,227 | 1,712 |
Accrued ad valorem tax | 2,348 | 520 |
Accrued capital expenditures | 1,499 | 5,515 |
Asset retirement obligations | 357 | 623 |
Accrued interest payable | 27 | 36 |
Other | 241 | 32 |
Accrued liabilities | $ 19,063 | $ 23,358 |
Supplemental Disclosures to t_4
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows - Summary of Cash and Cash Equivalents Reconciliation (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Dec. 31, 2018 |
Cash And Cash Equivalents [Abstract] | ||||
Cash and cash equivalents | $ 13,521 | $ 0 | ||
Restricted cash | 0 | 325 | ||
Total cash, cash equivalents and restricted cash | $ 13,521 | $ 325 | $ 7,733 | $ 50,029 |
Supplemental Disclosures to t_5
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows - Additional Information (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Supplemental Disclosures To Condensed Consolidated Statements Of Cash Flows [Line Items] | ||||
Impairment expense | $ 0 | $ 0 | $ 455,031,000 | $ 0 |
Unproved Oil and Natural Gas Properties [Member] | ||||
Supplemental Disclosures To Condensed Consolidated Statements Of Cash Flows [Line Items] | ||||
Impairment expense | $ 49,300,000 | $ 0 |
Supplemental Disclosures to t_6
Supplemental Disclosures to the Unaudited Condensed Consolidated Balance Sheets and Unaudited Condensed Consolidated Statements of Cash Flows - Summary of Supplemental Cash Flows (Detail) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Supplemental cash flows: | ||
Cash paid for interest, net of amounts capitalized | $ 7,921 | $ 12,477 |
Cash paid for reorganization items, net | 532 | 684 |
Cash paid for taxes | 85 | 0 |
Noncash investing and financing activities: | ||
Change in capital expenditures in payables and accrued liabilities | (4,016) | 324 |
Assets acquired & liabilities assumed in the Merger: | ||
Accounts receivable | 0 | 14,633 |
Prepaids and other current assets | 0 | 3,229 |
Other non-current assets | 0 | 9,879 |
Oil and natural gas properties | 0 | 142,642 |
Other property and equipment | 0 | 6,280 |
Accounts payable and other current liabilities | 0 | (24,135) |
Other non-current liabilities | 0 | (5,067) |
Long-term debt | 0 | (76,559) |
Issuance of common stock in connection with the Merger | $ 0 | $ 90,150 |
Related Party Transactions - Ad
Related Party Transactions - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Maximum [Member] | ||||
Related Party Transaction [Line Items] | ||||
Amount of related party transaction | $ 120,000 | $ 120,000 | $ 120,000 | $ 120,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) - USD ($) | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Commitments and Contingencies Additional Textual [Abstract] | ||
Remaining environmental accrued liability recorded | $ 0 | $ 0 |
Beta's decommissioning obligations, supported by surety bonds | 161,300,000 | |
Beta's decommissioning obligations, cash | 300,000 | |
Commitment fee expense | 1,000,000 | |
Commitment fee expense accrual | $ 1,200,000 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Income Tax Disclosure [Line Items] | ||||
Income tax benefit (expense) | $ 0 | $ 0 | $ (85) | $ 50 |
Effective tax rate | 0.00% | 0.00% | 0.00% | 0.60% |
Maximum [Member] | ||||
Income Tax Disclosure [Line Items] | ||||
Income tax benefit (expense) | $ 0 | $ 0 | $ (100) | $ 100 |
Subsequent Event - Additional I
Subsequent Event - Additional Information (Detail) - Subsequent Event [Member] - $ / shares | Oct. 13, 2020 | Oct. 12, 2020 |
Subsequent Event [Line Items] | ||
Continued listing standard, minimum average share price | $ 1 | $ 0 |
Continued listing standard, minimum closing share price | 1 | 0 |
Maximum [Member] | ||
Subsequent Event [Line Items] | ||
Common stock average closing price per share | $ 0 | $ 1 |