Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 29, 2014 | |
Document and Entity Information [Abstract] | ' | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Entity Registrant Name | 'Diamondback Energy, Inc. | ' |
Entity Central Index Key | '0001539838 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 56,752,819 |
Consolidated_Balance_Sheet_Una
Consolidated Balance Sheet (Unaudited) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Current assets: | ' | ' |
Cash and cash equivalents | $40,644 | $15,555 |
Accounts receivable: | ' | ' |
Joint interest and other | 39,626 | 14,437 |
Oil and natural gas sales | 46,687 | 23,533 |
Related party | 3,915 | 1,303 |
Inventories | 3,105 | 5,631 |
Deferred income taxes | 0 | 112 |
Derivative instruments | 6,061 | 213 |
Prepaid expenses and other | 3,223 | 1,184 |
Total current assets | 143,261 | 61,968 |
Property and equipment | ' | ' |
Oil and natural gas properties, based on the full cost method of accounting ($867,479 and $369,561 excluded from amortization at September 30, 2014 and December 31, 2013, respectively) | 2,900,293 | 1,648,360 |
Pipeline and gas gathering assets | 7,102 | 6,142 |
Other property and equipment | 47,286 | 4,071 |
Accumulated depletion, depreciation, amortization and impairment | -328,522 | -212,236 |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 2,626,159 | 1,446,337 |
Derivative instruments | 0 | 218 |
Other assets | 51,135 | 13,091 |
Total assets | 2,820,555 | 1,521,614 |
Current liabilities: | ' | ' |
Accounts payable-trade | 8,009 | 2,679 |
Accounts payable-related party | 0 | 17 |
Accrued capital expenditures | 118,514 | 74,649 |
Other accrued liabilities | 50,768 | 34,750 |
Revenues and royalties payable | 17,951 | 9,225 |
Deferred income taxes | 1,044 | 0 |
Total current liabilities | 196,286 | 121,320 |
Long-term debt | 590,000 | 460,000 |
Asset retirement obligations | 8,115 | 2,989 |
Deferred income taxes | 140,308 | 91,764 |
Total liabilities | 934,709 | 676,073 |
Contingencies | ' | ' |
Stockholders’ equity: | ' | ' |
Common stock, $0.01 par value, 100,000,000 shares authorized, 56,680,359 issued and outstanding at September 30, 2014; 47,106,216 issued and outstanding at December 31, 2013 | 567 | 471 |
Additional paid-in capital | 1,553,367 | 842,557 |
Retained earnings | 97,594 | 2,513 |
Total Diamondback Energy, Inc. stockholders’ equity | 1,651,528 | 845,541 |
Noncontrolling interest | 234,318 | 0 |
Total equity | 1,885,846 | 845,541 |
Total liabilities and equity | $2,820,555 | $1,521,614 |
Consolidated_Balance_Sheet_Una1
Consolidated Balance Sheet (Unaudited) (Parentheticals) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Statement of Financial Position [Abstract] | ' | ' |
Oil and natural gas properties, amortization excluded | $867,479 | $369,561 |
Common Stock, Par Value (in dollars per share) | $0.01 | $0.01 |
Common Stock, Shares, Authorized | 100,000,000 | 100,000,000 |
Common Stock, Shares, Issued | 56,680,359 | 47,106,216 |
Common Stock, Shares, Outstanding | 56,680,359 | 47,106,216 |
Consolidated_Statements_of_Ope
Consolidated Statements of Operations (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Revenues: | ' | ' | ' | ' |
Oil sales | $126,406 | $53,086 | $331,446 | $119,373 |
Natural gas sales | 2,338 | 859 | 6,006 | 2,586 |
Natural gas sales - related party | 2,374 | 704 | 6,370 | 1,796 |
Natural gas liquid sales | 3,619 | 1,970 | 9,507 | 5,441 |
Natural gas liquid sales - related party | 4,390 | 1,172 | 10,806 | 2,898 |
Total revenues | 139,127 | 57,791 | 364,135 | 132,094 |
Costs and expenses: | ' | ' | ' | ' |
Lease operating expenses | 13,766 | 4,718 | 31,998 | 14,527 |
Lease operating expenses - related party | 39 | 246 | 218 | 840 |
Production and ad valorem taxes | 8,634 | 3,420 | 22,318 | 7,970 |
Production and ad valorem taxes - related party | 320 | 133 | 1,032 | 325 |
Gathering and transportation | 110 | 69 | 426 | 175 |
Gathering and transportation - related party | 750 | 192 | 1,719 | 466 |
Depreciation, depletion and amortization | 45,370 | 17,423 | 116,364 | 42,976 |
General and administrative expenses (including non-cash stock based compensation, net of capitalized amounts, of $2,069 and $490 for the three months ended September 30, 2014 and 2013, respectively, and $5,387 and $1,426 for the nine months ended September 30, 2014 and 2013, respectively) | 6,016 | 1,810 | 13,891 | 6,350 |
General and administrative expenses - related party | 479 | 311 | 1,095 | 863 |
Asset retirement obligation accretion expense | 127 | 46 | 303 | 134 |
Total costs and expenses | 75,611 | 28,368 | 189,364 | 74,626 |
Income from operations | 63,516 | 29,423 | 174,771 | 57,468 |
Other income (expense) | ' | ' | ' | ' |
Interest income | 0 | 1 | 0 | 1 |
Interest expense | -9,846 | -1,089 | -24,090 | -2,109 |
Other income | 17 | 0 | 17 | 0 |
Other income - related party | 31 | 270 | 91 | 1,047 |
Other expense | -8 | 0 | -1,416 | 0 |
Gain (loss) on derivative instruments, net | 14,909 | -4,910 | -577 | -1,881 |
Total other income (expense), net | 5,103 | -5,728 | -25,975 | -2,942 |
Income before income taxes | 68,619 | 23,695 | 148,796 | 54,526 |
Provision for income taxes | ' | ' | ' | ' |
Current | 3,982 | 0 | 3,982 | 0 |
Deferred | 19,996 | 9,099 | 48,760 | 20,063 |
Net income | 44,641 | 14,596 | 96,054 | 34,463 |
Less: Net income attributable to noncontrolling interest | 902 | 0 | 973 | 0 |
Net income attributable to Diamondback Energy, Inc. | $43,739 | $14,596 | $95,081 | $34,463 |
Earnings per common share | ' | ' | ' | ' |
Basic (in dollars per share) | $0.79 | $0.33 | $1.85 | $0.85 |
Diluted (in dollars per share) | $0.79 | $0.33 | $1.83 | $0.85 |
Weighted average common shares outstanding | ' | ' | ' | ' |
Basic (in shares) | 55,152 | 44,385 | 51,489 | 40,309 |
Diluted (in shares) | 55,442 | 44,698 | 51,888 | 40,524 |
Consolidated_Statements_of_Ope1
Consolidated Statements of Operations (Unaudited) (Parentheticals) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Income Statement [Abstract] | ' | ' | ' | ' |
Non-cash stock based compensation, net of capitalized amount | $2,069 | $490 | $5,387 | $1,426 |
Consolidated_Statement_of_Stoc
Consolidated Statement of Stockholders' Equity (Unaudited) (USD $) | Total | Common Stock [Member] | Additional Paid-in Capital [Member] | Retained Earnings [Member] | Noncontrolling Interest [Member] |
In Thousands, except Share data, unless otherwise specified | |||||
Balance at beginning of period at Dec. 31, 2013 | $845,541 | $471 | $842,557 | $2,513 | $0 |
Balance at beginning of period, shares at Dec. 31, 2013 | 47,106,216 | 47,106,000 | ' | ' | ' |
Increase (Decrease) in Stockholders' Equity | ' | ' | ' | ' | ' |
Net proceeds from issuance of common units - Viper Energy Partners LP | 232,334 | ' | ' | ' | 232,334 |
Unit-based compensation | 1,011 | ' | ' | ' | 1,011 |
Stock-based compensation | 9,134 | ' | 9,134 | ' | ' |
Tax benefits related to stock-based compensation | 3,173 | ' | 3,173 | ' | ' |
Common shares issued in public offering, net of offering costs | 693,381 | 92 | 693,289 | ' | ' |
Common shares issued in public offering, net of offering costs, shares | ' | 9,200,000 | ' | ' | ' |
Exercise of stock options and vesting of restricted stock units | 5,218 | 4 | 5,214 | ' | ' |
Exercise of stock options and awards of restricted stock, shares | ' | 380,000 | ' | ' | ' |
Net income | 96,054 | ' | ' | 95,081 | 973 |
Balance at end of period at Sep. 30, 2014 | $1,885,846 | $567 | $1,553,367 | $97,594 | $234,318 |
Balance at end of period, shares at Sep. 30, 2014 | 56,680,359 | 56,686,000 | ' | ' | ' |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Cash flows from operating activities: | ' | ' |
Net income | $96,054 | $34,463 |
Adjustments to reconcile net income to net cash provided by operating activities: | ' | ' |
Provision for deferred income taxes | 48,760 | 20,063 |
Excess tax benefit from stock-based compensation | -749 | 0 |
Asset retirement obligation accretion expense | 303 | 134 |
Depreciation, depletion, and amortization | 116,364 | 42,976 |
Amortization of debt issuance costs | 1,505 | 526 |
Change in fair value of derivative instruments | -5,630 | -3,733 |
Stock based compensation expense | 5,387 | 1,426 |
(Gain) loss on sale of assets, net | 1,405 | -31 |
Changes in operating assets and liabilities: | ' | ' |
Accounts receivable | -33,985 | -13,262 |
Accounts receivable-related party | -2,612 | -350 |
Inventories | 915 | 309 |
Prepaid expenses and other | -5,681 | -1,376 |
Accounts payable and accrued liabilities | 7,812 | 7,324 |
Accounts payable and accrued liabilities-related party | -17 | -82 |
Accrued interest | 11,940 | 0 |
Revenues and royalties payable | 8,726 | 3,260 |
Net cash provided by operating activities | 251,995 | 91,647 |
Cash flows from investing activities: | ' | ' |
Additions to oil and natural gas properties-related party | -309,009 | -188,201 |
Additions to oil and natural gas properties-related party | -3,410 | -11,594 |
Acquisition of Gulfport properties | 0 | -18,550 |
Acquisition of mineral interests | -57,688 | -440,000 |
Acquisition of leasehold interests | -840,482 | -166,635 |
Pipeline and gas gathering assets | -1,437 | 0 |
Purchase of other property and equipment | -43,215 | -4,965 |
Proceeds from sale of property and equipment | 11 | 62 |
Cost method investment | -33,851 | 0 |
Settlement of non-hedge derivative instruments | 0 | -289 |
Net cash used in investing activities | -1,289,081 | -830,172 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings on credit facility | 425,900 | 49,000 |
Repayment on credit facility | -295,900 | -49,000 |
Proceeds from senior notes | 0 | 450,000 |
Debt issuance costs | -2,358 | -9,524 |
Public offering costs | -2,203 | -505 |
Proceeds from public offerings | 928,432 | 322,680 |
Exercise of stock options | 5,131 | 2,616 |
Excess tax benefits of stock-based compensation | 3,173 | 0 |
Net cash provided by financing activities | 1,062,175 | 765,267 |
Net increase in cash and cash equivalents | 25,089 | 26,742 |
Cash and cash equivalents at beginning of period | 15,555 | 26,358 |
Cash and cash equivalents at end of period | 40,644 | 53,100 |
Supplemental disclosure of cash flow information: | ' | ' |
Interest paid, net of capitalized interest | 12,729 | 383 |
Supplemental disclosure of non-cash transactions: | ' | ' |
Asset retirement obligation incurred | 567 | 162 |
Asset retirement obligation revisions in estimated liability | 588 | 0 |
Asset retirement obligation acquired | 3,678 | 471 |
Change in accrued capital expenditures | 43,865 | 25,793 |
Capitalized stock based compensation | $4,758 | $679 |
Description_of_the_Business_an
Description of the Business and Basis of Presentation | 9 Months Ended |
Sep. 30, 2014 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Description of the Business and Basis of Presentation | ' |
DESCRIPTION OF THE BUSINESS AND BASIS OF PRESENTATION | |
Organization and Description of the Business | |
Diamondback Energy, Inc. (“Diamondback” or the “Company”), together with its subsidiaries, is an independent oil and gas company currently focused on the acquisition, development, exploration and exploitation of unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. Diamondback was incorporated in Delaware on December 30, 2011. | |
On June 17, 2014, Diamondback entered into a contribution agreement (the “Contribution Agreement”) with Viper Energy Partners LP (the “Partnership”), Viper Energy Partners GP LLC (the “General Partner”) and Viper Energy Partners LLC to transfer Diamondback’s ownership interest in Viper Energy Partners LLC to the Partnership in exchange for 70,450,000 common units. Diamondback also owns and controls the General Partner, which holds a non-economic general partner interest in the Partnership. On June 23, 2014, the Partnership completed its initial public offering (the “Viper Offering”) of 5,750,000 common units, and the Company’s common units represented an approximate 92% limited partner interest in the Partnership. On September 19, 2014, the Partnership completed an underwritten public offering of 3,500,000 common units. At the completion of this offering, the Company owned approximately 88% of the common units of the Partnership. See Note 4—Viper Energy Partners LP for additional information regarding the Partnership. | |
The wholly owned subsidiaries of Diamondback, as of September 30, 2014, include Diamondback E&P LLC, a Delaware limited liability company, Diamondback O&G LLC, a Delaware limited liability company, Viper Energy Partners GP LLC, a Delaware limited liability company, and White Fang Energy LLC, a Delaware limited liability company. The consolidated subsidiaries include the wholly owned subsidiaries as well as Viper Energy Partners LP, a Delaware limited partnership and Viper Energy Partners LLC, a Delaware limited liability company. | |
Basis of Presentation | |
The consolidated financial statements include the accounts of the Company and its subsidiaries after all significant intercompany balances and transactions have been eliminated upon consolidation. | |
The Partnership is consolidated in the financial statements of the Company. As of September 30, 2014, the Company owned approximately 88% of the common units of the Partnership and the Company’s wholly owned subsidiary, Viper Energy Partners GP LLC, is the General Partner of the Partnership. | |
These financial statements have been prepared by the Company without audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). They reflect all adjustments that are, in the opinion of management, necessary for a fair statement of the results for interim periods, on a basis consistent with the annual audited financial statements. All such adjustments are of a normal recurring nature. Certain information, accounting policies and footnote disclosures normally included in financial statements prepared in accordance with accounting principles generally accepted in the United States have been omitted pursuant to such rules and regulations, although the Company believes the disclosures are adequate to make the information presented not misleading. This Quarterly Report on Form 10–Q should be read in conjunction with the Company’s most recent Annual Report on Form 10–K for the fiscal year ended December 31, 2013, which contains a summary of the Company’s significant accounting policies and other disclosures. |
Summary_of_Significant_Account
Summary of Significant Accounting Policies | 9 Months Ended |
Sep. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Summary of Significant Accounting Policies | ' |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | |
Use of Estimates | |
Certain amounts included in or affecting the Company’s consolidated financial statements and related disclosures must be estimated by management, requiring certain assumptions to be made with respect to values or conditions that cannot be known with certainty at the time the consolidated financial statements are prepared. These estimates and assumptions affect the amounts the Company reports for assets and liabilities and the Company’s disclosure of contingent assets and liabilities at the date of the consolidated financial statements. Actual results could differ from those estimates. | |
The Company evaluates these estimates on an ongoing basis, using historical experience, consultation with experts and other methods the Company considers reasonable in the particular circumstances. Nevertheless, actual results may differ significantly from the Company’s estimates. Any effects on the Company’s business, financial position or results of operations resulting from revisions to these estimates are recorded in the period in which the facts that give rise to the revision become known. Significant items subject to such estimates and assumptions include estimates of proved oil and natural gas reserves and related present value estimates of future net cash flows therefrom, the carrying value of oil and natural gas properties, asset retirement obligations, the fair value determination of acquired assets and liabilities, stock-based compensation, fair value estimates of commodity derivatives and estimates of income taxes. | |
Recent Accounting Pronouncements | |
In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers”. ASU 2014-09 supersedes most of the existing revenue recognition requirements in accounting principles generally accepted in the United States and requires (i) an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services and (ii) requires expanded disclosures regarding the nature, amount, timing and certainty of revenue and cash flows from contracts with customers. The standard will be effective for annual and interim reporting periods beginning after December 15, 2016, with early application not permitted. The standard allows for either full retrospective adoption, meaning the standard is applied to all periods presented in the financial statements, or modified retrospective adoption, meaning the standard is applied only to the most current period presented. The Company is currently evaluating the impact this standard will have on its financial position, results of operations or cash flows. |
Acquisitions
Acquisitions | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||||||
Acquisitions | ' | ||||||||||||||||
ACQUISITIONS | |||||||||||||||||
2014 Activity | |||||||||||||||||
On September 9, 2014, the Company completed the acquisition of oil and natural gas interests in the Permian Basin from unrelated third party sellers. The Company acquired approximately 17,617 gross (12,967 net) acres with an approximate 74% working interest (approximately 75% net revenue interest). The acquisition was accounted for according to the acquisition method, which requires the recording of net assets acquired and consideration transferred at fair value. This acquisition was funded in part by the net proceeds of the July 2014 equity offering discussed in Note 8 below. | |||||||||||||||||
The following represents the estimated fair values of the assets and liabilities assumed on the acquisition date. The aggregate consideration transferred was $523,260,000 in cash, subject to post-closing adjustments, resulting in no goodwill or bargain purchase gain. | |||||||||||||||||
(in thousands) | |||||||||||||||||
Joint interest receivables | $ | 42 | |||||||||||||||
Proved oil and natural gas properties | 128,589 | ||||||||||||||||
Unevaluated oil and natural gas properties | 400,527 | ||||||||||||||||
Total assets acquired | 529,158 | ||||||||||||||||
Accrued production and ad valorem taxes | 358 | ||||||||||||||||
Revenues payable | 3,174 | ||||||||||||||||
Asset retirement obligations | 2,366 | ||||||||||||||||
Total liabilities assumed | 5,898 | ||||||||||||||||
Total fair value of net assets | $ | 523,260 | |||||||||||||||
The Company has included in its consolidated statements of operations revenues of $2,804,000 and direct operating expenses of $1,424,000 for the period from September 9, 2014 to September 30, 2014 due to the acquisition. The disclosure of net earnings is impracticable to calculate due to the full cost method of depletion. | |||||||||||||||||
On August 25, 2014, the Company completed an acquisition of surface rights in the Permian Basin from an unrelated third party seller. The Company acquired surface rights to approximately 4,200 acres for approximately $41.9 million. | |||||||||||||||||
On February 27 and 28, 2014, the Company completed acquisitions of oil and natural gas interests in the Permian Basin from unrelated third party sellers. The Company acquired approximately 6,450 gross (4,785 net) acres with a 74% working interest (56% net revenue interest). The acquisitions were accounted for according to the acquisition method, which requires the recording of net assets acquired and consideration transferred at fair value. These acquisitions were funded in part by the net proceeds of the February 2014 equity offering discussed in Note 8 below. | |||||||||||||||||
The following represents the estimated fair values of the assets and liabilities assumed on the acquisition dates. The aggregate consideration transferred was $292,159,000 in cash, subject to post-closing adjustments, resulting in no goodwill or bargain purchase gain. | |||||||||||||||||
(in thousands) | |||||||||||||||||
Proved oil and natural gas properties | $ | 170,174 | |||||||||||||||
Unevaluated oil and natural gas properties | 123,243 | ||||||||||||||||
Total assets acquired | 293,417 | ||||||||||||||||
Asset retirement obligations | 1,258 | ||||||||||||||||
Total liabilities assumed | 1,258 | ||||||||||||||||
Total fair value of net assets | $ | 292,159 | |||||||||||||||
The Company has included in its consolidated statements of operations revenues of $30,965,000 and direct operating expenses of $4,738,000 for the period from February 28, 2014 to September 30, 2014 due to the acquisitions. The disclosure of net earnings is impracticable to calculate due to the full cost method of depletion. | |||||||||||||||||
During the nine months ended September 30, 2014, the Partnership acquired (i) mineral interests underlying an aggregate of approximately 10,565 gross (3,461) net acres in the Midland and Delaware basins for approximately $57.7 million and (ii) a minor equity interest in an entity that owns mineral, overriding royalty, net profits, leasehold and other similar interests for approximately $33.9 million. The equity interest is so minor that we have no influence over partnership operating and financial polices and is accounted for under the cost method. | |||||||||||||||||
Pro Forma Financial Information | |||||||||||||||||
The following unaudited summary pro forma consolidated statement of operations data of Diamondback for the three months and nine months ended September 30, 2014 and 2013 have been prepared to give effect to the February 27 and 28, 2014 acquisitions and the September 9, 2014 acquisition as if they had occurred on January 1, 2013. The pro forma data are not necessarily indicative of financial results that would have been attained had the acquisitions occurred on January 1, 2013. The pro forma data also necessarily exclude various operation expenses related to the properties and the financial statements should not be viewed as indicative of operations in future periods. | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(Pro Forma) | |||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||
Revenues | $ | 139,127 | $ | 87,809 | $ | 409,520 | $ | 214,671 | |||||||||
Income from operations | 63,516 | 44,300 | 186,483 | 90,967 | |||||||||||||
Net income | 43,739 | 23,760 | 102,583 | 55,576 | |||||||||||||
Basic earnings per common share | $ | 0.74 | $ | 0.46 | $ | 1.74 | $ | 1.09 | |||||||||
Diluted earnings per common share | $ | 0.74 | $ | 0.46 | $ | 1.73 | $ | 1.08 | |||||||||
2013 Activity | |||||||||||||||||
In September 2013, the Company completed two separate acquisitions of additional leasehold interests in the Permian Basin from unrelated third party sellers for an aggregate purchase price of $165.0 million, subject to certain adjustments. The first of these acquisitions closed on September 4, 2013 when the Company acquired certain assets located in northwestern Martin County, Texas, consisting of a 100% working interest (80% net revenue interest) in 4,506 gross and net acres. The second of these acquisitions closed on September 26, 2013, when the Company acquired certain assets located primarily in southwestern Dawson County, Texas, consisting of a 71% working interest (55% net revenue interest) in 9,390 gross (6,638 net) acres. These acquisitions were funded with a portion of the net proceeds from the August 2013 equity offering discussed in Note 8 below. | |||||||||||||||||
On September 19, 2013, the Company completed the acquisition of the mineral interests underlying approximately 14,804 gross (12,687 net) acres in Midland County, Texas in the Permian Basin. As part of the closing of the acquisition, the mineral interests were conveyed from the previous owners to Viper Energy Partners LLC and, subsequently, were contributed to the Partnership on June 17, 2014. See Note 4—Viper Energy Partners LP for additional information regarding the Partnership. The mineral interests entitle the holder of such interests to receive a 21.4% royalty interest on all production on an acreage weighted basis from this acreage with no additional future capital or operating expense required. The $440.0 million purchase price was funded with the net proceeds of the Company’s offering of Senior Notes discussed in Note 7 below. |
Viper_Energy_Partners_LP
Viper Energy Partners LP | 9 Months Ended |
Sep. 30, 2014 | |
Noncontrolling Interest [Abstract] | ' |
Viper Energy Partners LP | ' |
VIPER ENERGY PARTNERS LP | |
The Partnership is a publicly traded Delaware limited partnership, the common units of which are listed on the NASDAQ Global Market under the symbol “VNOM”. The Partnership was formed by Diamondback on February 27, 2014, to, among other things, own, acquire and exploit oil and natural gas properties in North America. The Partnership is currently focused on oil and natural gas properties in the Permian Basin. Viper Energy Partners GP LLC, a fully consolidated subsidiary of Diamondback, serves as the general partner of, and holds a non-economic general partner interest in, the Partnership. As of September 30, 2014, the Company owned approximately 88% of the common units of the Partnership. | |
Prior to the completion on June 23, 2014 of the Viper Offering, Diamondback owned all of the general and limited partner interests in the Partnership. The Viper Offering consisted of 5,750,000 common units representing approximately 8% of the limited partner interests in the Partnership at a price to the public of $26.00 per common unit, which included 750,000 common units issued pursuant to an option to purchase additional common units granted to the underwriters on the same terms. The Partnership received net proceeds of approximately $137.2 million from the sale of these common units, net of offering expenses and underwriting discounts and commissions. | |
In connection with the Viper Offering, Diamondback contributed all of the membership interests in Viper Energy Partners LLC to the Partnership in exchange for 70,450,000 common units. In addition, in connection with the closing of the Viper Offering, the Partnership agreed to distribute to Diamondback all cash and cash equivalents and the royalty income receivable on hand in the aggregate amount of approximately $11.6 million and the net proceeds from the Viper Offering. As of September 30, 2014, the Partnership had distributed $148.8 million to Diamondback. The contribution of Viper Energy Partners LLC to the Partnership was accounted for as a combination of entities under common control with assets and liabilities transferred at their carrying amounts in a manner similar to a pooling of interests. | |
On September 19, 2014, the Partnership completed an underwritten public offering of 3,500,000 common units. The common units were sold to the public at $28.50 per unit and the Partnership received net proceeds of approximately $95.1 million from the sale of these common units, net of offering expenses and underwriting discounts and commissions. | |
The Company has also entered into the following agreements with the Partnership: | |
Partnership Agreement | |
In connection with the closing of the Viper Offering, the General Partner and Diamondback entered into the first amended and restated agreement of limited partnership (the “Partnership Agreement”), dated June 23, 2014. The Partnership Agreement requires the Partnership to reimburse the General Partner for all direct and indirect expenses incurred or paid on the Partnership’s behalf and all other expenses allocable to the Partnership or otherwise incurred by the General Partner in connection with operating the Partnership’s business. The Partnership Agreement does not set a limit on the amount of expenses for which the General Partner and its affiliates may be reimbursed. These expenses include salary, bonus, incentive compensation and other amounts paid to persons who perform services for the Partnership or on its behalf and expenses allocated to the General Partner by its affiliates. The General Partner is entitled to determine the expenses that are allocable to the Partnership. | |
Tax Sharing | |
In connection with the closing of the Viper Offering, the Partnership entered into a tax sharing agreement (the “Tax Sharing Agreement”) with Diamondback pursuant to which the Partnership will reimburse Diamondback for its share of state and local income and other taxes for which the Partnership’s results are included in a combined or consolidated tax return filed by Diamondback with respect to taxable periods including or beginning on June 23, 2014. The amount of any such reimbursement is limited to the tax the Partnership would have paid had it not been included in a combined group with Diamondback. Diamondback may use its tax attributes to cause its combined or consolidated group, of which the Partnership may be a member for this purpose, to owe less or no tax. In such a situation, the Partnership would reimburse Diamondback for the tax the Partnership would have owed had the tax attributes not been available or used for the Partnership’s benefit, even though Diamondback had no cash tax expense for that period. | |
Other Agreements | |
See Note 10—Related Party Transactions for details of the the advisory services agreement the Partnership and General Partner entered into with Wexford Capital LP (“Wexford”). | |
The Partnership has entered into a secured revolving credit facility with Wells Fargo Bank, National Association, (“Wells Fargo”) as administrative agent sole book runner and lead arranger. See Note 7—Debt for a description of this credit facility. |
Property_and_Equipment
Property and Equipment | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Property and Equipment | ' | ||||||||
PROPERTY AND EQUIPMENT | |||||||||
Property and equipment includes the following: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Oil and natural gas properties: | |||||||||
Subject to depletion | $ | 2,032,814 | $ | 1,278,799 | |||||
Not subject to depletion-acquisition costs | |||||||||
Incurred in 2014 | 594,465 | — | |||||||
Incurred in 2013 | 203,863 | 279,353 | |||||||
Incurred in 2012 | 68,387 | 87,252 | |||||||
Incurred in 2011 | 764 | 1,598 | |||||||
Incurred in 2010 | — | 1,358 | |||||||
Total not subject to depletion | 867,479 | 369,561 | |||||||
Gross oil and natural gas properties | 2,900,293 | 1,648,360 | |||||||
Less accumulated depreciation, depletion, amortization and impairment | (326,228 | ) | (210,837 | ) | |||||
Oil and natural gas properties, net | 2,574,065 | 1,437,523 | |||||||
Pipeline and gas gathering assets, net | 6,998 | 6,142 | |||||||
Other property and equipment, net | 45,096 | 2,672 | |||||||
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | $ | 2,626,159 | $ | 1,446,337 | |||||
The average depletion rate per barrel equivalent unit of production was $23.71 and $24.39 for the three months and nine months ended September 30, 2014, respectively, and $25.24 and $24.76 for the three months and nine months ended September 30, 2013, respectively. Internal costs capitalized to the full cost pool represent management’s estimate of costs incurred directly related to exploration and development activities such as geological and other administrative costs associated with overseeing the exploration and development activities. All internal costs not directly associated with exploration and development activities were charged to expense as they were incurred. Capitalized internal costs were approximately $2,383,000 and $7,311,000 for the three months and nine months ended September 30, 2014, respectively, and $1,038,000 and $2,678,000 for the three months and nine months ended September 30, 2013, respectively. Costs associated with unevaluated properties are excluded from the full cost pool until the Company has made a determination as to the existence of proved reserves. The inclusion of the Company’s unevaluated costs into the amortization base is expected to be completed within three to five years. |
Asset_Retirement_Obligations
Asset Retirement Obligations | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Asset Retirement Obligation [Abstract] | ' | |||||||
Asset Retirement Obligations | ' | |||||||
ASSET RETIREMENT OBLIGATIONS | ||||||||
The following table describes the changes to the Company’s asset retirement obligation liability for the following periods: | ||||||||
Nine Months Ended | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Asset retirement obligation, beginning of period | $ | 3,029 | $ | 2,145 | ||||
Additional liability incurred | 567 | 162 | ||||||
Liabilities acquired | 3,678 | 471 | ||||||
Liabilities settled | (10 | ) | (14 | ) | ||||
Accretion expense | 303 | 134 | ||||||
Revisions in estimated liabilities | 588 | — | ||||||
Asset retirement obligation, end of period | 8,155 | 2,898 | ||||||
Less current portion | 40 | 20 | ||||||
Asset retirement obligations - long-term | $ | 8,115 | $ | 2,878 | ||||
The Company’s asset retirement obligations primarily relate to the future plugging and abandonment of wells and related facilities. The Company estimates the future plugging and abandonment costs of wells, the ultimate productive life of the properties, a risk-adjusted discount rate and an inflation factor in order to determine the current present value of this obligation. To the extent future revisions to these assumptions impact the present value of the existing asset retirement obligation liability, a corresponding adjustment is made to the oil and natural gas property balance. |
Debt
Debt | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Debt Disclosure [Abstract] | ' | ||||||||
Debt | ' | ||||||||
DEBT | |||||||||
Long-term debt consisted of the following as of the dates indicated: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Revolving credit facility | $ | 140,000 | $ | 10,000 | |||||
7.625 % Senior Notes due 2021 | 450,000 | 450,000 | |||||||
Total long-term debt | $ | 590,000 | $ | 460,000 | |||||
Senior Notes | |||||||||
On September 18, 2013, the Company completed an offering of $450.0 million in aggregate principal amount of 7.625% senior unsecured notes due 2021 (the “Senior Notes”). The Senior Notes bear interest at the rate of 7.625% per annum, payable semi-annually, in arrears on April 1 and October 1 of each year, commencing on April 1, 2014 and will mature on October 1, 2021. On June 23, 2014, in connection with the Viper Offering, the Company designated the Partnership, the General Partner and Viper Energy LLC as unrestricted subsidiaries and, upon such designation, Viper Energy LLC, which was a guarantor under the indenture governing of the Senior Notes, was released as a guarantor under the indenture. As of September 30, 2014, the Senior Notes are now fully and unconditionally guaranteed by Diamondback O&G LLC, Diamondback E&P LLC and White Fang Energy LLC and will also be guaranteed by any future restricted subsidiaries of Diamondback. The net proceeds from the Senior Notes were used to fund the acquisition of mineral interests underlying approximately 14,804 gross (12,687 net) acres in Midland County, Texas in the Permian Basin. | |||||||||
The Senior Notes were issued under, and are governed by, an indenture among the Company, the subsidiary guarantors party thereto and Wells Fargo Bank, N.A., as the trustee, as amended and supplemented (the “Indenture”). The Indenture contains certain covenants that, subject to certain exceptions and qualifications, among other things, limit the Company’s ability and the ability of the restricted subsidiaries to incur or guarantee additional indebtedness, make certain investments, declare or pay dividends or make other distributions on, or redeem or repurchase, capital stock, prepay subordinated indebtedness, sell assets including capital stock of subsidiaries, agree to payment restrictions affecting the Company’s restricted subsidiaries, consolidate, merge, sell or otherwise dispose of all or substantially all of its assets, enter into transactions with affiliates, incur liens, engage in business other than the oil and gas business and designate certain of the Company’s subsidiaries as unrestricted subsidiaries. If the Company experiences certain kinds of changes of control or if it sells certain of its assets, holders of the Senior Notes may have the right to require the Company to repurchase their Senior Notes. | |||||||||
The Company will have the option to redeem the Senior Notes, in whole or in part, at any time on or after October 1, 2016 at the redemption prices (expressed as percentages of principal amount) of 105.719% for the 12-month period beginning on October 1, 2016, 103.813% for the 12-month period beginning on October 1, 2017, 101.906% for the 12-month period beginning on October 1, 2018 and 100.000% beginning on October 1, 2019 and at any time thereafter with any accrued and unpaid interest to, but not including, the date of redemption. In addition, prior to October 1, 2016, the Company may redeem all or a part of the Senior Notes at a price equal to 100% of the principal amount thereof, plus accrued and unpaid interest, if any, to the redemption date, plus a “make-whole” premium at the redemption date. Furthermore, before October 1, 2016, the Company may, at any time or from time to time, redeem up to 35% of the aggregate principal amount of the Senior Notes with the net cash proceeds of certain equity offerings at a redemption price of 107.625% of the principal amount of the Senior Notes being redeemed plus any accrued and unpaid interest to the date of redemption, if at least 65% of the aggregate principal amount of the Senior Notes originally issued under the Indenture remains outstanding immediately after such redemption and the redemption occurs within 120 days of the closing date of such equity offering. | |||||||||
In connection with the issuance of the Senior Notes, the Company and the subsidiary guarantors entered into a Registration Rights Agreement (the “Registration Rights Agreement”) with the initial purchasers on September 18, 2013, pursuant to which the Company and the subsidiary guarantors have agreed to file a registration statement with respect to an offer to exchange the Senior Notes for a new issue of substantially identical debt securities registered under the Securities Act, which registration statement was declared effective by the SEC on September 15, 2014 and the exchange offer completed on October 23, 2014. | |||||||||
Credit Facility-Wells Fargo Bank | |||||||||
The Company’s secured second amended and restated credit agreement, dated November 1, 2013, with a syndication of banks, including Wells Fargo as administrative agent sole book runner and lead arranger, provides for a revolving credit facility in the maximum amount of $600.0 million, subject to scheduled semi-annual and other elective collateral borrowing base redeterminations based on the Company’s oil and natural gas reserves and other factors (the “borrowing base”). The borrowing base is scheduled to be re-determined semi-annually with effective dates of April 1st and October 1st. In addition, the Company may request up to three additional redeterminations of the borrowing base during any 12-month period. As of September 30, 2014, the borrowing base was set at $350.0 million and the Company had outstanding borrowings of $140.0 million. | |||||||||
The outstanding borrowings under the credit agreement bear interest at a rate elected by the Company that is equal to an alternative base rate (which is equal to the greatest of the prime rate, the Federal Funds effective rate plus 0.5% and 3-month LIBOR plus 1.0%) or LIBOR, in each case plus the applicable margin. The applicable margin ranges from 0.5% to 1.50% in the case of the alternative base rate and from 1.50% to 2.50% in the case of LIBOR, in each case depending on the amount of the loan outstanding in relation to the borrowing base. The Company is obligated to pay a quarterly commitment fee ranging from 0.375% to 0.500% per year on the unused portion of the borrowing base, which fee is also dependent on the amount of the loan outstanding in relation to the borrowing base. Loan principal may be optionally repaid from time to time without premium or penalty (other than customary LIBOR breakage), and is required to be paid (a) if the loan amount exceeds the borrowing base, whether due to a borrowing base redetermination or otherwise (in some cases subject to a cure period) and (b) at the maturity date of November 1, 2018. | |||||||||
On June 9, 2014, Diamondback entered into a first amendment (the “First Amendment”) to the second amended and restated credit agreement, dated November 1, 2013 (together, the “Credit Agreement”). The First Amendment modified certain provisions of the credit agreement to, among other things, allow the Company to designate one or more of its subsidiaries as “Unrestricted Subsidiaries” that are not subject to certain restrictions contained in the credit agreement. In connection with the Viper Offering, the Company designated the Partnership, the General Partner and Viper Energy LLC as unrestricted subsidiaries under the credit agreement. As of September 30, 2014, the loan is guaranteed by Diamondback, Diamondback E&P LLC and White Fang Energy LLC and will also be guaranteed by any future restricted subsidiaries of Diamondback. The credit agreement is also secured by substantially all of the assets of the Company, Diamondback O&G LLC and the guarantors. | |||||||||
The credit agreement contains various affirmative, negative and financial maintenance covenants. These covenants, among other things, limit additional indebtedness, additional liens, sales of assets, mergers and consolidations, dividends and distributions, transactions with affiliates and entering into certain swap agreements and require the maintenance of the financial ratios described below. | |||||||||
Financial Covenant | Required Ratio | ||||||||
Ratio of total debt to EBITDAX | Not greater than 4.0 to 1.0 | ||||||||
Ratio of current assets to liabilities, as defined in the credit agreement | Not less than 1.0 to 1.0 | ||||||||
The covenant prohibiting additional indebtedness allows for the issuance of unsecured debt of up to $750.0 million in the form of senior or senior subordinated notes and, in connection with any such issuance, the reduction of the borrowing base by 25% of the stated principal amount of each such issuance. A borrowing base reduction in connection with such issuance may require a portion of the outstanding principal of the loan to be repaid. As of September 30, 2014, the Company had $450.0 million of senior unsecured notes outstanding. | |||||||||
As of September 30, 2014 and December 31, 2013, the Company was in compliance with all financial covenants under its revolving credit facility, as then in effect. The lenders may accelerate all of the indebtedness under the Company’s revolving credit facility upon the occurrence and during the continuance of any event of default. The credit agreement contains customary events of default, including non-payment, breach of covenants, materially incorrect representations, cross-default, bankruptcy and change of control. There are no cure periods for events of default due to non-payment of principal and breaches of negative and financial covenants, but non-payment of interest and breaches of certain affirmative covenants are subject to customary cure periods. | |||||||||
Partnership Credit Facility-Wells Fargo Bank | |||||||||
On July 8, 2014, the Partnership entered into a secured revolving credit agreement with Wells Fargo, as the administrative agent, sole book runner and lead arranger. The credit agreement, which was amended August 15, 2014 to add additional lenders to the lending group, provides for a revolving credit facility in the maximum amount of $500.0 million, subject to scheduled semi-annual and other elective collateral borrowing base redeterminations based on the Partnership’s oil and natural gas reserves and other factors (the “borrowing base”). The borrowing base is scheduled to be re-determined semi-annually with effective dates of April 1st and October 1st. In addition, the Partnership may request up to three additional redeterminations of the borrowing base during any 12-month period. As of September 30, 2014, the borrowing base was set at $110.0 million. The Partnership had no outstanding borrowings as of September 30, 2014. | |||||||||
The outstanding borrowings under the credit agreement bear interest at a rate elected by the Partnership that is equal to an alternative base rate (which is equal to the greatest of the prime rate, the Federal Funds effective rate plus 0.5% and 3-month LIBOR plus 1.0%) or LIBOR, in each case plus the applicable margin. The applicable margin ranges from 0.5% to 1.50% in the case of the alternative base rate and from 1.50% to 2.50% in the case of LIBOR, in each case depending on the amount of the loan outstanding in relation to the borrowing base. The Partnership is obligated to pay a quarterly commitment fee ranging from 0.375% to 0.500% per year on the unused portion of the borrowing base, which fee is also dependent on the amount of the loan outstanding in relation to the borrowing base. Loan principal may be optionally repaid from time to time without premium or penalty (other than customary LIBOR breakage), and is required to be paid (a) if the loan amount exceeds the borrowing base, whether due to a borrowing base redetermination or otherwise (in some cases subject to a cure period) and (b) at the maturity date of July 8, 2019. The loan is secured by substantially all of the assets of the Partnership and its subsidiaries. | |||||||||
The credit agreement contains various affirmative, negative and financial maintenance covenants. These covenants, among other things, limit additional indebtedness, additional liens, sales of assets, mergers and consolidations, dividends and distributions, transactions with affiliates and entering into certain swap agreements and require the maintenance of the financial ratios described below. | |||||||||
Financial Covenant | Required Ratio | ||||||||
Ratio of total debt to EBITDAX | Not greater than 4.0 to 1.0 | ||||||||
Ratio of current assets to liabilities, as defined in the credit agreement | Not less than 1.0 to 1.0 | ||||||||
EBITDAX will be annualized beginning with the quarter ended September 30, 2014 and ending with the quarter ending March 31, 2015 | |||||||||
The covenant prohibiting additional indebtedness allows for the issuance of unsecured debt of up to $250.0 million in the form of senior unsecured notes and, in connection with any such issuance, the reduction of the borrowing base by 25% of the stated principal amount of each such issuance. A borrowing base reduction in connection with such issuance may require a portion of the outstanding principal of the loan to be repaid. | |||||||||
The lenders may accelerate all of the indebtedness under the Partnership’s revolving credit facility upon the occurrence and during the continuance of any event of default. The credit agreement contains customary events of default, including non-payment, breach of covenants, materially incorrect representations, cross-default, bankruptcy and change of control. There are no cure periods for events of default due to non-payment of principal and breaches of negative and financial covenants, but non-payment of interest and breaches of certain affirmative covenants are subject to customary cure periods. |
Capital_Stock_and_Earnings_Per
Capital Stock and Earnings Per Share | 9 Months Ended | ||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||||
Capital Stock and Earnings Per Share | ' | ||||||||||||||||||||||
CAPITAL STOCK AND EARNINGS PER SHARE | |||||||||||||||||||||||
As of September 30, 2014, Diamondback had completed the following equity offerings since the closing of its initial public offering on October 17, 2012: | |||||||||||||||||||||||
On May 21, 2013, the Company completed an underwritten primary public offering of 5,175,000 shares of common stock, which included 675,000 shares of common stock issued pursuant to an option to purchase additional shares granted to the underwriters. The stock was sold to the public at $29.25 per share and the Company received net proceeds of approximately $144.4 million from the sale of these shares of common stock, net of offering expenses and underwriting discounts and commissions. | |||||||||||||||||||||||
In August 2013, the Company completed an underwritten public offering of 4,600,000 shares of common stock, which included 600,000 shares of common stock issued pursuant to an option to purchase additional shares granted to the underwriters. The stock was sold to the public at $40.25 per share and the Company received net proceeds of approximately $177.5 million from the sale of these shares of common stock, net of offering expenses and underwriting discounts and commissions. | |||||||||||||||||||||||
In February 2014, the Company completed an underwritten public offering of 3,450,000 shares of common stock, which included 450,000 shares of common stock issued pursuant to an option to purchase additional shares granted to the underwriters. The stock was sold to the public at $62.67 per share and the Company received net proceeds of approximately $208.4 million from the sale of these shares of common stock, net of offering expenses and underwriting discounts and commissions. | |||||||||||||||||||||||
On July 25, 2014, the Company completed an underwritten public offering of 5,750,000 shares of common stock, which included 750,000 shares of common stock issued pursuant to an option to purchase additional shares granted to the underwriters. The stock was sold to the public at $87.00 per share and the Company received net proceeds of approximately $485.0 million from the sale of these shares of common stock, net of offering expenses and underwriting discounts and commissions. | |||||||||||||||||||||||
Earnings Per Share | |||||||||||||||||||||||
The Company’s basic earnings per share amounts have been computed based on the weighted-average number of shares of common stock outstanding for the period. Diluted earnings per share include the effect of potentially dilutive shares outstanding for the period. Additionally, for the diluted earnings per share computation, the per share earnings of the Partnership are included in the consolidated earnings per share computation based on the consolidated group's holdings of the subsidiary. A reconciliation of the components of basic and diluted earnings per common share is presented in the table below: | |||||||||||||||||||||||
Three Months Ended September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||
Per | Per | ||||||||||||||||||||||
Income | Shares | Share | Income | Shares | Share | ||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||
Basic: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 43,739 | 55,152 | $ | 0.79 | $ | 14,596 | 44,385 | $ | 0.33 | |||||||||||||
Effect of Dilutive Securities: | |||||||||||||||||||||||
Dilutive effect of potential common shares issuable | $ | (53 | ) | 290 | — | 313 | |||||||||||||||||
Diluted: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 43,686 | 55,442 | $ | 0.79 | $ | 14,596 | 44,698 | $ | 0.33 | |||||||||||||
Nine Months Ended September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||
Per | Per | ||||||||||||||||||||||
Income | Shares | Share | Income | Shares | Share | ||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||
Basic: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 95,081 | 51,489 | $ | 1.85 | $ | 34,463 | 40,309 | $ | 0.85 | |||||||||||||
Effect of Dilutive Securities: | |||||||||||||||||||||||
Dilutive effect of potential common shares issuable | $ | 16 | 399 | — | 215 | ||||||||||||||||||
Diluted: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 95,097 | 51,888 | $ | 1.83 | $ | 34,463 | 40,524 | $ | 0.85 | |||||||||||||
Stock_Based_Compensation
Stock Based Compensation | 9 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ' | ||||||||||||||
Stock Based Compensation | ' | ||||||||||||||
STOCK BASED COMPENSATION | |||||||||||||||
For the three months and nine months ended September 30, 2014, the Company incurred $4,112,000 and $10,145,000, respectively, of stock based compensation, of which the Company capitalized $2,043,000 and $4,758,000, respectively, pursuant to the full cost method of accounting for oil and natural gas properties. For the three months and nine months ended September 30, 2013, the Company incurred $749,000 and $2,105,000, respectively, of stock based compensation, of which the Company capitalized $259,000 and $679,000, respectively, pursuant to the full cost method of accounting for oil and natural gas properties. | |||||||||||||||
On June 17, 2014, in connection with the Viper Offering, the Board of Directors of the General Partner adopted the Viper Energy Partners LP Long Term Incentive Plan (“Viper LTIP”), effective June 17, 2014, for employees, officers, consultants and directors of the General Partner and any of its affiliates, including Diamondback, who perform services for the Partnership. The Viper LTIP provides for the grant of unit options, unit appreciation rights, restricted units, unit awards, phantom units, distribution equivalent rights, cash awards, performance awards, other unit-based awards and substitute awards. A total of 9,144,000 common units has been reserved for issuance pursuant to the Viper LTIP. Common units that are cancelled, forfeited or withheld to satisfy exercise prices or tax withholding obligations will be available for delivery pursuant to other awards. The Viper LTIP is administered by the Board of Directors of the General Partner or a committee thereof. | |||||||||||||||
Stock Options | |||||||||||||||
The following table presents the Company’s stock option activity under the 2012 Plan for the nine months ended September 30, 2014. | |||||||||||||||
Weighted Average | |||||||||||||||
Exercise | Remaining | Intrinsic | |||||||||||||
Options | Price | Term | Value | ||||||||||||
(in years) | (in thousands) | ||||||||||||||
Outstanding at December 31, 2013 | 712,955 | $ | 17.96 | ||||||||||||
Granted | — | $ | — | ||||||||||||
Exercised | (293,450 | ) | $ | 17.78 | |||||||||||
Expired/Forfeited | — | $ | — | ||||||||||||
Outstanding at September 30, 2014 | 419,505 | $ | 18.09 | 1.97 | $ | 23,783 | |||||||||
Vested and Expected to vest at September 30, 2014 | 419,505 | $ | 18.09 | 1.97 | $ | 23,783 | |||||||||
Exercisable at September 30, 2014 | 159,755 | $ | 17.5 | 1.47 | $ | 9,151 | |||||||||
The aggregate intrinsic value of stock options that were exercised during the nine months ended September 30, 2014 was $16,778,000. As of September 30, 2014, the unrecognized compensation cost related to unvested stock options was $959,000. Such cost is expected to be recognized over a weighted-average period of 1.2 years. | |||||||||||||||
Restricted Stock Units | |||||||||||||||
The following table presents the Company’s restricted stock units activity under the 2012 Plan during the nine months ended September 30, 2014. | |||||||||||||||
Weighted Average | |||||||||||||||
Restricted Stock | Grant-Date | ||||||||||||||
Units | Fair Value | ||||||||||||||
Unvested at December 31, 2013 | 132,499 | $ | 19.2 | ||||||||||||
Granted | 148,722 | $ | 66.93 | ||||||||||||
Vested | (98,560 | ) | $ | 38.31 | |||||||||||
Forfeited | (1,200 | ) | $ | 41.66 | |||||||||||
Unvested at September 30, 2014 | 181,461 | $ | 47.8 | ||||||||||||
The aggregate fair value of restricted stock units that vested during the nine months ended September 30, 2014 was $7,248,000. As of September 30, 2014, the Company’s unrecognized compensation cost related to unvested restricted stock awards and units was $6,703,000. Such cost is expected to be recognized over a weighted-average period of 1.6 years. | |||||||||||||||
Performance Based Restricted Stock Units | |||||||||||||||
To provide long-term incentives for the executive officers to deliver competitive returns to the Company’s stockholders, the Company has granted performance based restricted stock units to eligible employees. The ultimate number of shares awarded from these conditional restricted stock units is based upon measurement of total stockholder return of the Company’s common stock (“TSR”) as compared to a designated peer group during a three-year performance period. In February 2014, eligible employees received initial performance restricted stock unit awards totaling 79,150 units from which a minimum of 0% and a maximum of 200% units could be awarded. The awards have a performance period of January 1, 2013 to December 31, 2015 and cliff vest at December 31, 2015. There were no performance restricted stock units issued or outstanding during the nine months ended September 30, 2013. | |||||||||||||||
The fair value of each performance restricted stock unit is estimated at the date of grant using a Monte Carlo simulation, which results in an expected percentage of units to be earned during the performance period. The following table presents a summary of the grant-date fair values of performance restricted stock units granted and the related assumptions. | |||||||||||||||
2014 | |||||||||||||||
Grant-date fair value | $ | 125.63 | |||||||||||||
Risk-free rate | 0.3 | % | |||||||||||||
Company volatility | 39.6 | % | |||||||||||||
The following table presents the Company’s performance restricted stock units activity under the 2012 Plan for the nine months ended September 30, 2014. | |||||||||||||||
Performance | Weighted Average | ||||||||||||||
Restricted Stock | Grant-Date | ||||||||||||||
Units | Fair Value | ||||||||||||||
Unvested at December 31, 2013 | — | $ | — | ||||||||||||
Granted | 79,150 | $ | 125.63 | ||||||||||||
Vested | — | $ | — | ||||||||||||
Forfeited | — | $ | — | ||||||||||||
Unvested at September 30, 2014 (1) | 79,150 | $ | 125.63 | ||||||||||||
-1 | A maximum of 158,300 units could be awarded based upon the Company’s final TSR ranking. | ||||||||||||||
As of September 30, 2014, the Company’s unrecognized compensation cost related to unvested performance based restricted stock awards and units was $6,751,000. Such cost is expected to be recognized over a weighted-average period of 1.3 years. | |||||||||||||||
Partnership Unit Options | |||||||||||||||
In accordance with the Viper LTIP, the exercise price of unit options granted may not be less than the market value of the common units at the date of grant. The units issued under the Viper LTIP will consist of new common units of the Partnership. On June 17, 2014, the Board of Directors of the General Partner granted 2,500,000 unit options to our executive officers of the General Partner. The unit options vest approximately 33% ratably on each of the next three anniversaries of the date of grant. In the event the fair market value per unit as of the exercise date is less than the exercise price per option unit then the vested options will automatically terminate and become null and void as of the exercise date. | |||||||||||||||
The fair value of the unit options on the date of grant is expensed over the applicable vesting period. The Partnership estimates the fair values of unit options granted using a Black-Scholes option valuation model, which requires the Partnership to make several assumptions. At the time of grant the Partnership did not have a history of market prices, thus the expected volatility was determined using the historical volatility for a peer group of companies. The expected term of options granted was determined based on the contractual term of the awards. The risk-free interest rate is based on the U.S. treasury yield curve rate for the expected term of the unit option at the date of grant. The expected dividend yield was based upon projected performance of the Partnership. | |||||||||||||||
2014 | |||||||||||||||
Grant-date fair value | $ | 4.24 | |||||||||||||
Expected volatility | 36 | % | |||||||||||||
Expected dividend yield | 5.9 | % | |||||||||||||
Expected term (in years) | 3 | ||||||||||||||
Risk-free rate | 0.99 | % | |||||||||||||
The following table presents the unit option activity under the Viper LTIP for the nine months ended September 30, 2014. | |||||||||||||||
Weighted Average | |||||||||||||||
Unit | Exercise | Remaining | Intrinsic | ||||||||||||
Options | Price | Term | Value | ||||||||||||
(in years) | (in thousands) | ||||||||||||||
Outstanding at December 31, 2013 | — | $ | — | ||||||||||||
Granted | 2,500,000 | $ | 26 | ||||||||||||
Outstanding at September 30, 2014 | 2,500,000 | $ | 26 | 2.72 | $ | — | |||||||||
Vested and Expected to vest at September 30, 2014 | 2,500,000 | $ | 26 | 2.72 | $ | — | |||||||||
Exercisable at September 30, 2014 | — | $ | — | — | $ | — | |||||||||
As of September 30, 2014, the unrecognized compensation cost related to unvested unit options was $9,589,000. Such cost is expected to be recognized over a weighted-average period of 2.7 years. |
Related_Party_Transactions
Related Party Transactions | 9 Months Ended |
Sep. 30, 2014 | |
Related Party Transactions [Abstract] | ' |
Related Party Transactions | ' |
RELATED PARTY TRANSACTIONS | |
Administrative Services | |
An entity under common management provided technical, administrative and payroll services to the Company under a shared services agreement which began March 1, 2008. The initial term of this shared service agreement was two years. Since the expiration of such two-year period on March 1, 2010, the agreement, by its terms continued on a month-to-month basis. Effective August 31, 2014, this agreement was mutually terminated. For the three months and nine months ended September 30, 2014, the Company incurred total costs of $3,000 and $6,000, respectively. For the three months and nine months ended September 30, 2013, the Company incurred total costs of $70,000 and $179,000, respectively. Costs incurred unrelated to drilling activities are expensed and costs incurred in the acquisition, exploration and development of proved oil and natural gas properties have been capitalized. As of September 30, 2014 and December 31, 2013, the Company owed the administrative services affiliate no amounts and $17,000, respectively. These amounts are included in accounts payable-related party in the accompanying consolidated balance sheets. | |
Effective January 1, 2012, the Company entered into an additional shared services agreement with this entity. Under this agreement, the Company provided this entity and, at its request, certain affiliates, with consulting, technical and administrative services. The initial term of the additional shared services agreement was two years. Thereafter, the agreement continued on a month-to-month basis subject to the right of either party to terminate the agreement upon thirty days prior written notice. Effective August 31, 2014, this agreement was mutually terminated. Costs that are attributable to and billed to other affiliates are reported as other income-related party. For the three months and nine months ended September 30, 2014, the affiliate reimbursed the Company $31,000 and $91,000, respectively, and for the three months and nine months ended September 30, 2013, the affiliate reimbursed the Company $270,000 and $1,047,000, respectively, for services under the shared services agreement. As of September 30, 2014 and December 31, 2013, the affiliate owed the Company no amounts for either period. | |
Drilling Services | |
Bison Drilling and Field Services LLC (“Bison”), an entity controlled by Wexford, has performed drilling and field services for the Company under master drilling and field service agreements. Under the Company’s most recent master drilling agreement with Bison, effective as of January 1, 2013, Bison committed to accept orders from the Company for the use of at least two of its rigs. At September 30, 2014, the Company was not utilizing any Bison rigs. This master drilling agreement is terminable by either party on 30 days’ prior written notice, although neither party will be relieved of its respective obligations arising from a drilling contract being performed prior to the termination of the master drilling agreement. For the three months and nine months ended September 30, 2014, the Company incurred total costs for services performed by Bison of $907,000 and $3,402,000, respectively. For the three months and nine months ended September 30, 2013, the Company incurred total costs for services performed by Bison of $2,168,000 and $11,795,000, respectively. The Company owed Bison no amounts as of September 30, 2014 and December 31, 2013. | |
Effective September 9, 2013, the Company entered into a master service agreement with Panther Drilling Systems LLC (“Panther Drilling”), an entity controlled by Wexford, under which Panther Drilling provides directional drilling and other services. This master service agreement is terminable by either party on 30 days’ prior written notice, although neither party will be relieved of its respective obligations arising from work performed prior to the termination of the master service agreement. In the third quarter 2013, the Company began using Panther Drilling’s directional drilling services, however the amount incurred for services performed by Panther Drilling during the nine months ended September 30, 2013 was not material. For the three months and nine months ended September 30, 2014, the Company incurred total costs for services performed by Panther Drilling of zero and $305,000, respectively. The Company owed Panther Drilling no amounts as of September 30, 2014 and December 31, 2013. | |
Coronado Midstream | |
The Company is party to a gas purchase agreement, dated May 1, 2009, as amended, with Coronado Midstream LLC (“Coronado Midstream”), formerly known as MidMar Gas LLC, an entity affiliated with Wexford that owns a gas gathering system and processing plant in the Permian Basin. Under this agreement, Coronado Midstream is obligated to purchase from the Company, and the Company is obligated to sell to Coronado Midstream, all of the gas conforming to certain quality specifications produced from certain of the Company’s Permian Basin acreage. Following the expiration of the initial ten year term, the agreement will continue on a year-to-year basis until terminated by either party on 30 days’ written notice. Under the gas purchase agreement, Coronado Midstream is obligated to pay the Company 87% of the net revenue received by Coronado Midstream for all components of the Company’s dedicated gas, including the liquid hydrocarbons, and the sale of residue gas, in each case extracted, recovered or otherwise processed at Coronado Midstream’s gas processing plant, and 94.56% of the net revenue received by Coronado Midstream from the sale of such gas components and residue gas, extracted, recovered or otherwise processed at Chevron’s Headlee plant. The Company recognized revenues from Coronado Midstream of $6,764,000 and $17,176,000 for the three months and nine months ended September 30, 2014, respectively, and $1,877,000 and $4,694,000 for the three months and nine months ended September 30, 2013, respectively. The Company recognized production and ad valorem taxes and gathering and transportation expenses from Coronado Midstream of $1,070,000 and $2,751,000 for the three months and nine months ended September 30, 2014, respectively, and $325,000 and $791,000 for the three months and nine months ended September 30, 2013, respectively. As of September 30, 2014 and December 31, 2013, Coronado Midstream owed the Company $3,915,000 and $1,303,000, respectively, for the Company’s portion of the net proceeds from the sale of gas, gas products and residue gas. | |
Sand Supply | |
Muskie Proppant LLC (“Muskie”), an entity affiliated with Wexford, processes and sells fracing grade sand for oil and natural gas operations. The Company began purchasing sand from Muskie in March 2013. On May 16, 2013, the Company entered into a master services agreement with Muskie, pursuant to which Muskie agreed to sell custom natural sand proppant to the Company based on the Company’s requirements. The Company is not obligated to place any orders with, or accept any offers from, Muskie for sand proppant. The agreement may be terminated at the option of either party on 30 days’ notice. The Company purchased no sand from Muskie, and incurred no costs payable to Muskie, for the three months and nine months ended September 30, 2014, respectively. The Company incurred no costs and costs of $234,000 for sand purchased from Muskie for the three months and nine months ended September 30, 2013, respectively. The Company owed Muskie no amounts as of September 30, 2014 or December 31, 2013. | |
Midland Leases | |
Effective May 15, 2011, the Company occupied corporate office space in Midland, Texas under a lease with a five-year term. The office space is owned by an entity controlled by an affiliate of Wexford. The Company paid $97,000 and $288,000 for the three months and nine months ended September 30, 2014, respectively, and $49,000 and $131,000, for the three months and nine months ended September 30, 2013, respectively, under this lease. In the second and third quarters of 2013, the Company amended this agreement to increase the size of the leased premises. The monthly rent under the lease increased from $13,000 to $15,000 beginning on August 1, 2013 and increased further to $25,000 beginning on October 1, 2013. The monthly rent will continue to increase approximately 4% annually on June 1 of each year during the remainder of the lease term. | |
The Company leased field office space in Midland, Texas from an unrelated third party from March 1, 2011 to March 1, 2014. Effective March 1, 2014, the building was purchased by an entity controlled by an affiliate of Wexford. The remaining term of the lease as of March 1, 2014 is four years. The Company paid rent of $37,000 and $84,000 to the related party for the three months and nine months ended September 30, 2014. The monthly base rent is $11,000 which will increase 3% annually on March 1 of each year during the remainder of the lease term. During the third quarter of 2014, the Company negotiated a sublease with Bison, in which Bison will lease the field office space for the same term as the initial lease and will pay the monthly rent of $11,000 which will increase 3% annually on March 1 of each year during the remainder of the lease term | |
Oklahoma City Lease | |
Effective January 1, 2012, the Company occupied corporate office space in Oklahoma City, Oklahoma under a lease with a 67 month term. The office space is owned by an entity controlled by an affiliate of Wexford. The Company paid $74,000 and $199,000 for the three months and nine months ended September 30, 2014, respectively, and $67,000 and $178,000 for the three months and nine months ended September 30, 2013, respectively, under this lease. Effective April 1, 2013, the Company amended this lease to increase the size of the leased premises, at which time the monthly base rent increased to $19,000 for the remainder of the lease term. The Company was also responsible for paying a portion of specified costs, fees and expenses associated with the operation of the premises. Effective September 23, 2014, this lease agreement was mutually terminated. | |
Advisory Services Agreement & Professional Services from Wexford | |
The Company entered into an advisory services agreement (the “Advisory Services Agreement”) with Wexford, dated as of October 11, 2012, under which Wexford provides the Company with general financial and strategic advisory services related to the business in return for an annual fee of $500,000, plus reasonable out-of-pocket expenses. The Advisory Services Agreement has a term of two years commencing on October 18, 2012, and will continue for additional one-year periods unless terminated in writing by either party at least ten days prior to the expiration of the then current term. It may be terminated at any time by either party upon 30 days prior written notice. In the event the Company terminates such agreement, it is obligated to pay all amounts due through the remaining term. In addition, the Company agreed to pay Wexford to-be-negotiated market-based fees approved by the Company’s independent directors for such services as may be provided by Wexford at the Company’s request in connection with future acquisitions and divestitures, financings or other transactions in which the Company may be involved. The services provided by Wexford under the Advisory Services Agreement do not extend to the Company’s day-to-day business or operations. The Company has agreed to indemnify Wexford and its affiliates from any and all losses arising out of or in connection with the Advisory Services Agreement except for losses resulting from Wexford’s or its affiliates’ gross negligence or willful misconduct. The Company incurred total costs of $125,000 and $375,000 for the three months and nine months ended September 30, 2014, respectively, and $125,000 and $375,000 for the three months and nine months ended September 30, 2013, respectively, under the Advisory Services Agreement. As of September 30, 2014 and December 31, 2013, the Company owed Wexford no amounts for either period. | |
Advisory Services Agreement- Viper Energy Partners LP | |
In connection with the closing of the Viper Offering, the Partnership and General Partner entered into an advisory services agreement (the “Viper Advisory Services Agreement”) with Wexford, dated as of June 23, 2014, under which Wexford provides the Partnership and our General Partner with general financial and strategic advisory services related to the business in return for an annual fee of $500,000, plus reasonable out-of-pocket expenses. The Viper Advisory Services Agreement has a term of two years commencing on June 23, 2014, and will continue for additional one-year periods unless terminated in writing by either party at least ten days prior to the expiration of the then current term. It may be terminated at any time by either party upon 30 days prior written notice. In the event the Partnership or General Partner terminates such agreement, the Partnership is obligated to pay all amounts due through the remaining term. In addition, the Partnership and General Partner have agreed to pay Wexford to-be-negotiated market-based fees approved by the conflict committee of the board of directors of our General Partner for such services as may be provided by Wexford at our request in connection with future acquisitions and divestitures, financings or other transactions in which we may be involved. The services provided by Wexford under the Viper Advisory Services Agreement do not extend to the Partnership or General Partners day-to-day business or operations. The Partnership and General Partner have agreed to indemnify Wexford and its affiliates from any and all losses arising out of or in connection with the Viper Advisory Services Agreement except for losses resulting from Wexford’s or its affiliates’ gross negligence or willful misconduct. For the three months and nine months ended September 30, 2014, the Partnership incurred costs of $143,000 and $143,000, respectively, under the agreement. As of September 30, 2014, the Partnership owed Wexford no amounts. | |
Secondary Offering Costs | |
On September 23, 2014, Gulfport Energy Corporation (“Gulfport”) and certain entities controlled by Wexford completed an underwritten secondary public offering of 2,500,000 shares of the Company’s common stock. The Company incurred estimated costs of approximately $100,000 related to this secondary public offering. | |
On June 27, 2014, Gulfport and certain entities controlled by Wexford completed an underwritten secondary public offering of 2,000,000 shares of the Company’s common stock. The shares were sold to the public at $90.04 per share and the selling stockholders received all proceeds from this offering after deducting the underwriting discount. The Company incurred costs of approximately $129,000 related to this secondary public offering. | |
On June 24, 2013, Gulfport and certain entities controlled by Wexford completed an underwritten secondary public offering of 6,000,000 shares of the Company’s common stock and, on July 5, 2013, the underwriters purchased an additional 869,222 shares of the Company’s common stock from these selling stockholders pursuant to an option to purchase such additional shares granted to the underwriters. The shares were sold to the public at $34.75 per share and the selling stockholders received all proceeds from this offering after deducting the underwriting discount. The Company incurred costs of approximately $185,000 related to this secondary public offering. |
Derivatives
Derivatives | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||
Derivatives | ' | ||||||||||||||||
DERIVATIVES | |||||||||||||||||
All derivative financial instruments are recorded at fair value. The Company has not designated its derivative instruments as hedges for accounting purposes and, as a result, marks its derivative instruments to fair value and recognizes the cash and non-cash changes in fair value in the consolidated statements of operations under the caption “Gain (loss) on derivative instruments, net.” | |||||||||||||||||
The Company has used price swap contracts to reduce price volatility associated with certain of its oil sales. With respect to the Company’s fixed price swap contracts, the counterparty is required to make a payment to the Company if the settlement price for any settlement period is less than the swap price, and the Company is required to make a payment to the counterparty if the settlement price for any settlement period is greater than the swap price. The Company’s derivative contracts are based upon reported settlement prices on commodity exchanges, with crude oil derivative settlements based on Argus Louisiana light sweet pricing. | |||||||||||||||||
By using derivative instruments to hedge exposure to changes in commodity prices, the Company exposes itself to credit risk and market risk. Credit risk is the failure of the counterparty to perform under the terms of the derivative contract. When the fair value of a derivative contract is positive, the counterparty owes the Company, which creates credit risk. The Company’s counterparties are participants in the secured second amended and restated credit agreement, which is secured by substantially all of the assets of the guarantor subsidiaries; therefore, the Company is not required to post any collateral. The Company does not require collateral from its counterparties. The Company has entered into derivative instruments only with counterparties that are also lenders in our credit facility and have been deemed an acceptable credit risk. | |||||||||||||||||
As of September 30, 2014, the Company had open crude oil derivative positions with respect to future production as set forth in the table below. When aggregating multiple contracts, the weighted average contract price is disclosed. | |||||||||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | |||||||||||||||||
Production Period | Volume (Bbls) | Fixed Swap Price | |||||||||||||||
October - December 2014 | 644,000 | $ | 98.64 | ||||||||||||||
January - April 2015 | 331,000 | 99.71 | |||||||||||||||
Balance sheet offsetting of derivative assets and liabilities | |||||||||||||||||
The fair value of swaps is generally determined using established index prices and other sources which are based upon, among other things, futures prices and time to maturity. These fair values are recorded by netting asset and liability positions that are with the same counterparty and are subject to contractual terms which provide for net settlement. | |||||||||||||||||
The following tables present the gross amounts of recognized derivative assets and liabilities, the amounts offset under master netting arrangements with counterparties and the resulting net amounts presented in the Company’s consolidated balance sheets as of September 30, 2014 and December 31, 2013. | |||||||||||||||||
September 30, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Gross Amounts of Recognized Assets | Gross Amounts Offset in the Consolidated Balance Sheet | Net Amounts of Assets Presented in the Consolidated Balance Sheet | |||||||||||||||
Derivative assets | $ | 6,061 | $ | — | $ | 6,061 | |||||||||||
December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Gross Amounts of Recognized Assets | Gross Amounts Offset in the Consolidated Balance Sheet | Net Amounts of Assets Presented in the Consolidated Balance Sheet | |||||||||||||||
Derivative assets | $ | 998 | $ | (567 | ) | $ | 431 | ||||||||||
The net amounts are classified as current or noncurrent based on their anticipated settlement dates. The net fair value of the Company’s derivative assets and liabilities and their locations on the consolidated balance sheet are as follows: | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
Current Assets: Derivative instruments | $ | 6,061 | $ | 213 | |||||||||||||
Noncurrent Assets: Derivative instruments | — | 218 | |||||||||||||||
Total Assets | $ | 6,061 | $ | 431 | |||||||||||||
None of the Company’s derivatives have been designated as hedges. As such, all changes in fair value are immediately recognized in earnings. The following table summarizes the gains and losses on derivative instruments included in the consolidated statements of operations: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in thousands) | |||||||||||||||||
Non-cash gain (loss) on open non-hedge derivative instruments | $ | 16,440 | $ | (1,695 | ) | $ | 5,630 | $ | 3,733 | ||||||||
Loss on settlement of non-hedge derivative instruments | (1,531 | ) | (3,215 | ) | (6,207 | ) | (5,614 | ) | |||||||||
Gain (loss) on derivative instruments | $ | 14,909 | $ | (4,910 | ) | $ | (577 | ) | $ | (1,881 | ) | ||||||
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | |||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||
Fair Value Measurements | ' | |||||||||||||||||
FAIR VALUE MEASUREMENTS | ||||||||||||||||||
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 the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. | ||||||||||||||||||
The fair value hierarchy is based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value. The Company’s assessment of the significance of a particular input to the fair value measurements requires judgment and may affect the valuation of the assets and liabilities being measured and their placement within the fair value hierarchy. The Company uses appropriate valuation techniques based on available inputs to measure the fair values of its assets and liabilities. | ||||||||||||||||||
Level 1 - Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities in active markets as of the reporting date. | ||||||||||||||||||
Level 2 - Observable market-based inputs or unobservable inputs that are corroborated by market data. These are inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. | ||||||||||||||||||
Level 3 - Unobservable inputs that are not corroborated by market data and may be used with internally developed methodologies that result in management’s best estimate of fair value. | ||||||||||||||||||
Financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. | ||||||||||||||||||
Assets and Liabilities Measured at Fair Value on a Recurring Basis | ||||||||||||||||||
Certain assets and liabilities are reported at fair value on a recurring basis, including the Company’s derivative instruments. The fair values of the Company’s fixed price crude oil swaps are measured internally using established commodity futures price strips for the underlying commodity provided by a reputable third party, the contracted notional volumes, and time to maturity. These valuations are Level 2 inputs. | ||||||||||||||||||
The following table provides fair value measurement information for financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2014 and December 31, 2013. | ||||||||||||||||||
Fair value measurements at September 30, 2014 using: | ||||||||||||||||||
(in thousands) | ||||||||||||||||||
Quoted Prices in Active Markets Level 1 | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||||
Level 2 | Level 3 | |||||||||||||||||
Assets: | ||||||||||||||||||
Fixed price swaps | $ | — | $ | 6,061 | $ | — | $ | 6,061 | ||||||||||
Fair value measurements at December 31, 2013 using: | ||||||||||||||||||
(in thousands) | ||||||||||||||||||
Quoted Prices in Active Markets Level 1 | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||||
Level 2 | Level 3 | |||||||||||||||||
Assets: | ||||||||||||||||||
Fixed price swaps | $ | — | $ | 431 | $ | — | $ | 431 | ||||||||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis | ||||||||||||||||||
The following table provides the fair value of financial instruments that are not recorded at fair value in the consolidated financial statements. | ||||||||||||||||||
September 30, 2014 | December 31, 2013 | |||||||||||||||||
Carrying | Carrying | |||||||||||||||||
Amount | Fair Value | Amount | Fair Value | |||||||||||||||
(in thousands) | ||||||||||||||||||
Debt: | ||||||||||||||||||
Revolving credit facility | $ | 140,000 | $ | 140,000 | $ | 10,000 | $ | 10,000 | ||||||||||
7.625% Senior Notes due 2021 | 450,000 | 486,000 | 450,000 | 460,406 | ||||||||||||||
Partnership revolving credit facility | — | — | — | — | ||||||||||||||
The fair value of the revolving credit facility approximates its carrying value based on borrowing rates available to the Company for bank loans with similar terms and maturities and is classified as Level 2 in the fair value hierarchy. The fair value of the Senior Notes was determined using the September 30, 2014 quoted market price, a Level 1 classification in the fair value hierarchy. The fair value of the Partnership’s revolving credit facility approximates its carrying value based on borrowing rates available to us for bank loans with similar terms and maturities and is classified as Level 2 in the fair value hierarchy. The Partnership had no outstanding borrowings as of September 30, 2014. |
Contingencies
Contingencies | 9 Months Ended |
Sep. 30, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Contingencies | ' |
CONTINGENCIES | |
In September 2010, Windsor Permian LLC (“Windsor Permian”) (now known as Diamondback O&G LLC) purchased certain property in Goodhue County, Minnesota, that was prospective for hydraulic fracturing grade sand. Prior to the purchase, the prior owners of the property had entered into a Mineral Development Agreement with the plaintiff and the Company purchased the property subject to that agreement. Windsor Permian subsequently contributed the property to Muskie. In an amended complaint filed in November 2012 by the plaintiff against the prior owners of the property, Windsor Permian and certain affiliates of Windsor Permian in the first judicial district court in Goodhue County, Minnesota, the plaintiff sought damages from the Company and the other defendants alleging, among other things, interference with contractual relationship, interference with prospective advantage and unjust enrichment. In an order filed on May 24, 2013, the judge denied certain motions made by the defendants and set a trial date to determine liability, with a damage phase of the matter to commence on a later date if there is a determination of liability. Following a trial on the liability phase on June 21, 2013, the jury determined that the defendants intentionally interfered with plaintiff’s contract but that the interference did not cause the plaintiff to be unable to acquire mining permits prior to the enactment of the moratorium by Goodhue County. In an order filed on July 10, 2013, the judge ordered the damage phase to be set for trial following a pretrial and scheduling conference. Subsequently, the plaintiff disclosed a new damage theory, and the defendants filed motions with the court to dismiss plaintiff’s claims on the grounds that the damage claim was speculative and that plaintiff could not prove damages as a matter of law. Plaintiff also filed a motion for leave to amend its complaint to assert a punitive damage claim. The motions were argued in December 2013. In March 2014, the judge entered an order granting the defendants’ motions to exclude testimony and for summary judgment. All parties agreed not to pursue an appeal from the order and waived any entitlement to costs, which effectively concluded this matter. | |
The Company could be subject to various possible loss contingencies which arise primarily from interpretation of federal and state laws and regulations affecting the natural gas and crude oil industry. Such contingencies include differing interpretations as to the prices at which natural gas and crude oil sales may be made, the prices at which royalty owners may be paid for production from their leases, environmental issues and other matters. Management believes it has complied with the various laws and regulations, administrative rulings and interpretations. |
Subsequent_Events
Subsequent Events | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Subsequent Events [Abstract] | ' | |||||||||||
Subsequent Events | ' | |||||||||||
SUBSEQUENT EVENTS | ||||||||||||
Subsequent to September 30, 2014, the Company entered into new commodity contracts. The contracts are fixed price oil swaps that will settle against the weighted average price per barrel of | ||||||||||||
Argus Louisiana light sweet or NYMEX West Texas Intermediate during the calculation period. The following table presents the terms of the contracts: | ||||||||||||
Fixed Swap | ||||||||||||
Volumes (Bbls) | Price | Production Period | ||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | 183,000 | $ | 82.95 | Nov-14 | - | Dec-14 | ||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | 1,095,000 | $ | 90.99 | Jan-15 | - | Dec-15 | ||||||
Crude Oil—NYMEX West Texas Intermediate Fixed Price Swap | 1,825,000 | $ | 84.1 | Jan-15 | - | Dec-15 | ||||||
Crude Oil—ICE Brent Fixed Price Swap | 640,000 | $ | 88.78 | Feb-15 | - | Jan-16 | ||||||
Crude Oil—ICE Brent Fixed Price Swap | 91,000 | $ | 88.72 | Jan-16 | - | Feb-16 | ||||||
The Company’s lead lender under its revolving credit agreement recently approved an increase in the Company’s borrowing base to $750.0 million, however the Company has elected to limit the lenders’ aggregate commitment to $500.0 million. |
Guarantor_Financial_Statements
Guarantor Financial Statements | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||||||||||||||||||||
Guarantor Financial Statements | ' | ||||||||||||||||||||
GUARANTOR FINANCIAL STATEMENTS | |||||||||||||||||||||
Diamondback E&P, Diamondback O&G and White Fang Energy LLC (the “Guarantor Subsidiaries”) are guarantors under the Indenture relating to the Senior Notes. On June 23, 2014, in connection with the initial public offering of Viper Energy Partners LP, the Company designated the Partnership, its general partner, Viper Energy Partners GP, and the Partnership’s subsidiary Viper Energy Partners LLC (the “Non-Guarantor Subsidiaries”) as unrestricted subsidiaries under the Indenture and, upon such designation, Viper Energy Partners LLC, which was a guarantor under the Indenture prior to such designation, was released as a guarantor under the Indenture. Viper Energy Partners LLC is a limited liability company formed on September 18, 2013 to own and acquire mineral and other oil and natural gas interests in properties in the Permian Basin in West Texas. The following presents condensed consolidated financial information for the Company (“Parent”), the Guarantor Subsidiaries, the Non–Guarantor Subsidiaries and on a consolidated basis. Elimination entries presented are necessary to combine the entities. The information is presented in accordance with the requirements of Rule 3-10 under the SEC’s Regulation S-X. The financial information may not necessarily be indicative of results of operations, cash flows or financial position had the Guarantor Subsidiaries operated as independent entities. The Company has not presented separate financial and narrative information for each of the Guarantor Subsidiaries because it believes such financial and narrative information would not provide any additional information that would be material in evaluating the sufficiency of the Guarantor Subsidiaries. | |||||||||||||||||||||
Condensed Consolidated Balance Sheet | |||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 6,518 | $ | 20,622 | $ | 13,504 | $ | — | $ | 40,644 | |||||||||||
Accounts receivable | — | 76,346 | 9,965 | 2 | 86,313 | ||||||||||||||||
Accounts receivable - related party | — | 3,915 | — | — | 3,915 | ||||||||||||||||
Intercompany receivable | 1,634,314 | 1,716,401 | — | (3,350,715 | ) | — | |||||||||||||||
Inventories | — | 3,105 | — | — | 3,105 | ||||||||||||||||
Other current assets | 336 | 8,381 | 567 | — | 9,284 | ||||||||||||||||
Total current assets | 1,641,168 | 1,828,770 | 24,036 | (3,350,713 | ) | 143,261 | |||||||||||||||
Property and equipment | |||||||||||||||||||||
Oil and natural gas properties, at cost, based on the full cost method of accounting | — | 2,389,296 | 510,997 | — | 2,900,293 | ||||||||||||||||
Pipeline and gas gathering assets | — | 7,102 | — | — | 7,102 | ||||||||||||||||
Other property and equipment | — | 47,286 | — | — | 47,286 | ||||||||||||||||
Accumulated depletion, depreciation, amortization and impairment | — | (306,187 | ) | (24,801 | ) | 2,466 | (328,522 | ) | |||||||||||||
— | 2,137,497 | 486,196 | 2,466 | 2,626,159 | |||||||||||||||||
Investment in subsidiaries | 693,594 | — | — | (693,594 | ) | — | |||||||||||||||
Other assets | 9,395 | 6,664 | 35,076 | — | 51,135 | ||||||||||||||||
Total assets | $ | 2,344,157 | $ | 3,972,931 | $ | 545,308 | $ | (4,041,841 | ) | $ | 2,820,555 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable-trade | $ | — | $ | 8,009 | $ | — | $ | — | $ | 8,009 | |||||||||||
Intercompany payable | 83,318 | 3,267,397 | — | (3,350,715 | ) | — | |||||||||||||||
Other current liabilities | 19,003 | 167,485 | 1,789 | — | 188,277 | ||||||||||||||||
Total current liabilities | 102,321 | 3,442,891 | 1,789 | (3,350,715 | ) | 196,286 | |||||||||||||||
Long-term debt | 450,000 | 140,000 | — | — | 590,000 | ||||||||||||||||
Asset retirement obligations | — | 8,115 | — | — | 8,115 | ||||||||||||||||
Deferred income taxes | 140,308 | — | — | — | 140,308 | ||||||||||||||||
Total liabilities | 692,629 | 3,591,006 | 1,789 | (3,350,715 | ) | 934,709 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | 1,651,528 | 381,925 | 543,519 | (925,444 | ) | 1,651,528 | |||||||||||||||
Noncontrolling interest | — | — | — | 234,318 | 234,318 | ||||||||||||||||
Total equity | 1,651,528 | 381,925 | 543,519 | (691,126 | ) | 1,885,846 | |||||||||||||||
Total liabilities and equity | $ | 2,344,157 | $ | 3,972,931 | $ | 545,308 | $ | (4,041,841 | ) | $ | 2,820,555 | ||||||||||
Condensed Consolidated Balance Sheet | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 526 | $ | 14,267 | $ | 762 | $ | — | $ | 15,555 | |||||||||||
Accounts receivable | — | 28,544 | — | 9,426 | 37,970 | ||||||||||||||||
Accounts receivable - related party | — | 1,303 | — | — | 1,303 | ||||||||||||||||
Royalty income receivable | — | — | 9,426 | (9,426 | ) | — | |||||||||||||||
Intercompany receivable | 715,169 | 413,744 | — | (1,128,913 | ) | — | |||||||||||||||
Intercompany note receivable | 440,000 | — | — | (440,000 | ) | — | |||||||||||||||
Inventories | — | 5,631 | — | — | 5,631 | ||||||||||||||||
Deferred income taxes | 112 | — | — | — | 112 | ||||||||||||||||
Other current assets | — | 1,397 | — | — | 1,397 | ||||||||||||||||
Total current assets | 1,155,807 | 464,886 | 10,188 | (1,568,913 | ) | 61,968 | |||||||||||||||
Property and equipment | |||||||||||||||||||||
Oil and natural gas properties, at cost, based on the full cost method of accounting | — | 1,200,326 | 448,034 | — | 1,648,360 | ||||||||||||||||
Pipeline and gas gathering assets | — | 6,142 | — | — | 6,142 | ||||||||||||||||
Other property and equipment | — | 4,071 | — | — | 4,071 | ||||||||||||||||
Accumulated depletion, depreciation, amortization and impairment | — | (207,037 | ) | (5,199 | ) | — | (212,236 | ) | |||||||||||||
— | 1,003,502 | 442,835 | — | 1,446,337 | |||||||||||||||||
Investment in subsidiaries | 235,334 | — | — | (235,334 | ) | — | |||||||||||||||
Other assets | 10,207 | 3,102 | — | — | 13,309 | ||||||||||||||||
Total assets | $ | 1,401,348 | $ | 1,471,490 | $ | 453,023 | $ | (1,804,247 | ) | $ | 1,521,614 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable-trade | $ | — | $ | 2,679 | $ | — | $ | — | $ | 2,679 | |||||||||||
Accounts payable-related party | — | 17 | — | — | 17 | ||||||||||||||||
Intercompany payable | 3,920 | 1,115,214 | 87 | (1,119,221 | ) | — | |||||||||||||||
Intercompany accrued interest | — | — | 9,692 | (9,692 | ) | — | |||||||||||||||
Other current liabilities | 10,123 | 108,245 | 256 | — | 118,624 | ||||||||||||||||
Total current liabilities | 14,043 | 1,226,155 | 10,035 | (1,128,913 | ) | 121,320 | |||||||||||||||
Long-term debt | 450,000 | 10,000 | — | — | 460,000 | ||||||||||||||||
Intercompany note payable | — | — | 440,000 | (440,000 | ) | — | |||||||||||||||
Asset retirement obligations | — | 2,989 | — | — | 2,989 | ||||||||||||||||
Deferred income taxes | 91,764 | — | — | — | 91,764 | ||||||||||||||||
Total liabilities | 555,807 | 1,239,144 | 450,035 | (1,568,913 | ) | 676,073 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | 845,541 | 232,346 | 2,988 | (235,334 | ) | 845,541 | |||||||||||||||
Total equity | 845,541 | 232,346 | 2,988 | (235,334 | ) | 845,541 | |||||||||||||||
Total liabilities and equity | $ | 1,401,348 | $ | 1,471,490 | $ | 453,023 | $ | (1,804,247 | ) | $ | 1,521,614 | ||||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Three Months Ended September 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 105,202 | $ | — | $ | 21,204 | $ | 126,406 | |||||||||||
Natural gas sales | — | 3,824 | — | 888 | 4,712 | ||||||||||||||||
Natural gas liquid sales | — | 6,880 | — | 1,129 | 8,009 | ||||||||||||||||
Royalty income | — | — | 22,767 | (22,767 | ) | — | |||||||||||||||
Total revenues | — | 115,906 | 22,767 | 454 | 139,127 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 13,805 | — | — | 13,805 | ||||||||||||||||
Production and ad valorem taxes | — | 7,475 | 1,460 | 19 | 8,954 | ||||||||||||||||
Gathering and transportation | — | 866 | — | (6 | ) | 860 | |||||||||||||||
Depreciation, depletion and amortization | — | 38,028 | 9,025 | (1,683 | ) | 45,370 | |||||||||||||||
General and administrative expenses | 4,063 | 1,039 | 2,143 | (750 | ) | 6,495 | |||||||||||||||
Asset retirement obligation accretion expense | — | 127 | — | — | 127 | ||||||||||||||||
Total costs and expenses | 4,063 | 61,340 | 12,628 | (2,420 | ) | 75,611 | |||||||||||||||
Income (loss) from operations | (4,063 | ) | 54,566 | 10,139 | 2,874 | 63,516 | |||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest expense | (8,821 | ) | (708 | ) | (317 | ) | — | (9,846 | ) | ||||||||||||
Other income | 6 | 31 | 11 | — | 48 | ||||||||||||||||
Other income - intercompany | — | 750 | — | (750 | ) | — | |||||||||||||||
Other expense | — | (8 | ) | — | — | (8 | ) | ||||||||||||||
Other expense - intercompany | — | — | (750 | ) | 750 | — | |||||||||||||||
Gain (loss) on derivative instruments, net | — | 14,909 | — | — | 14,909 | ||||||||||||||||
Total other income (expense), net | (8,815 | ) | 14,974 | (1,056 | ) | — | 5,103 | ||||||||||||||
Income (loss) before income taxes | (12,878 | ) | 69,540 | 9,083 | 2,874 | 68,619 | |||||||||||||||
Provision for income taxes | 23,978 | — | — | — | 23,978 | ||||||||||||||||
Net income (loss) | (36,856 | ) | 69,540 | 9,083 | 2,874 | 44,641 | |||||||||||||||
Less: Net income attributable to noncontrolling interest | — | — | — | 902 | 902 | ||||||||||||||||
Net income (loss) attributable to Diamondback Energy, Inc. | $ | (36,856 | ) | $ | 69,540 | $ | 9,083 | $ | 1,972 | $ | 43,739 | ||||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 51,745 | $ | — | $ | 1,341 | $ | 53,086 | |||||||||||
Natural gas sales | — | 1,527 | — | 36 | 1,563 | ||||||||||||||||
Natural gas liquid sales | — | 3,080 | — | 62 | 3,142 | ||||||||||||||||
Royalty income | — | — | 1,439 | (1,439 | ) | — | |||||||||||||||
Total revenues | — | 56,352 | 1,439 | — | 57,791 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 4,964 | — | — | 4,964 | ||||||||||||||||
Production and ad valorem taxes | — | 3,460 | 93 | — | 3,553 | ||||||||||||||||
Gathering and transportation | — | 260 | 1 | — | 261 | ||||||||||||||||
Depreciation, depletion and amortization | — | 16,944 | 445 | 34 | 17,423 | ||||||||||||||||
General and administrative expenses | 703 | 1,418 | 9 | (9 | ) | 2,121 | |||||||||||||||
Asset retirement obligation accretion expense | — | 46 | — | — | 46 | ||||||||||||||||
Total costs and expenses | 703 | 27,092 | 548 | 25 | 28,368 | ||||||||||||||||
Income (loss) from operations | (703 | ) | 29,260 | 891 | (25 | ) | 29,423 | ||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest income | 1 | — | — | — | 1 | ||||||||||||||||
Interest expense | (68 | ) | (399 | ) | (622 | ) | — | (1,089 | ) | ||||||||||||
Other income | — | 270 | — | — | 270 | ||||||||||||||||
Gain on derivative instruments, net | — | (4,910 | ) | — | — | (4,910 | ) | ||||||||||||||
Total other income (expense), net | (67 | ) | (5,039 | ) | (622 | ) | — | (5,728 | ) | ||||||||||||
Income (loss) before income taxes | (770 | ) | 24,221 | 269 | (25 | ) | 23,695 | ||||||||||||||
Provision for income taxes | 9,099 | — | — | — | 9,099 | ||||||||||||||||
Net income (loss) | $ | (9,869 | ) | $ | 24,221 | $ | 269 | $ | (25 | ) | $ | 14,596 | |||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 280,024 | $ | — | $ | 51,422 | $ | 331,446 | |||||||||||
Natural gas sales | — | 10,394 | — | 1,982 | 12,376 | ||||||||||||||||
Natural gas liquid sales | — | 17,394 | — | 2,919 | 20,313 | ||||||||||||||||
Royalty income | — | — | 55,869 | (55,869 | ) | — | |||||||||||||||
Total revenues | — | 307,812 | 55,869 | 454 | 364,135 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 32,216 | — | — | 32,216 | ||||||||||||||||
Production and ad valorem taxes | — | 19,540 | 3,791 | 19 | 23,350 | ||||||||||||||||
Gathering and transportation | — | 2,151 | — | (6 | ) | 2,145 | |||||||||||||||
Depreciation, depletion and amortization | — | 98,445 | 19,602 | (1,683 | ) | 116,364 | |||||||||||||||
General and administrative expenses | 11,476 | 1,832 | 2,584 | (906 | ) | 14,986 | |||||||||||||||
Asset retirement obligation accretion expense | — | 303 | — | — | 303 | ||||||||||||||||
Total costs and expenses | 11,476 | 154,487 | 25,977 | (2,576 | ) | 189,364 | |||||||||||||||
Income (loss) from operations | (11,476 | ) | 153,325 | 29,892 | 3,030 | 174,771 | |||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest income - intercompany | 10,755 | — | — | (10,755 | ) | — | |||||||||||||||
Interest expense | (21,365 | ) | (2,408 | ) | (317 | ) | — | (24,090 | ) | ||||||||||||
Interest expense - intercompany | — | — | (10,755 | ) | 10,755 | — | |||||||||||||||
Other income | 6 | 91 | 11 | — | 108 | ||||||||||||||||
Other income - intercompany | — | 906 | — | (906 | ) | — | |||||||||||||||
Other expense | — | (1,416 | ) | — | — | (1,416 | ) | ||||||||||||||
Other expense - intercompany | — | — | (906 | ) | 906 | — | |||||||||||||||
Gain (loss) on derivative instruments, net | — | (577 | ) | — | — | (577 | ) | ||||||||||||||
Total other income (expense), net | (10,604 | ) | (3,404 | ) | (11,967 | ) | — | (25,975 | ) | ||||||||||||
Income (loss) before income taxes | (22,080 | ) | 149,921 | 17,925 | 3,030 | 148,796 | |||||||||||||||
Provision for income taxes | 52,742 | — | — | — | 52,742 | ||||||||||||||||
Net income (loss) | (74,822 | ) | 149,921 | 17,925 | 3,030 | 96,054 | |||||||||||||||
Less: Net income attributable to noncontrolling interest | — | — | — | 973 | 973 | ||||||||||||||||
Net income (loss) attributable to Diamondback Energy, Inc. | $ | (74,822 | ) | $ | 149,921 | $ | 17,925 | $ | 2,057 | $ | 95,081 | ||||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 118,032 | $ | — | $ | 1,341 | $ | 119,373 | |||||||||||
Natural gas sales | — | 4,346 | — | 36 | 4,382 | ||||||||||||||||
Natural gas liquid sales | — | 8,277 | — | 62 | 8,339 | ||||||||||||||||
Royalty income | — | — | 1,439 | (1,439 | ) | — | |||||||||||||||
Total revenues | — | 130,655 | 1,439 | — | 132,094 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 15,367 | — | — | 15,367 | ||||||||||||||||
Production and ad valorem taxes | — | 8,202 | 93 | — | 8,295 | ||||||||||||||||
Gathering and transportation | — | 640 | 1 | — | 641 | ||||||||||||||||
Depreciation, depletion and amortization | — | 42,497 | 445 | 34 | 42,976 | ||||||||||||||||
General and administrative expenses | 2,399 | 4,814 | 9 | (9 | ) | 7,213 | |||||||||||||||
Asset retirement obligation accretion expense | — | 134 | — | — | 134 | ||||||||||||||||
Total costs and expenses | 2,399 | 71,654 | 548 | 25 | 74,626 | ||||||||||||||||
Income (loss) from operations | (2,399 | ) | 59,001 | 891 | (25 | ) | 57,468 | ||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest income | 1 | — | — | — | 1 | ||||||||||||||||
Interest expense | (68 | ) | (1,419 | ) | (622 | ) | — | (2,109 | ) | ||||||||||||
Other income | — | 1,047 | — | — | 1,047 | ||||||||||||||||
Gain on derivative instruments, net | — | (1,881 | ) | — | — | (1,881 | ) | ||||||||||||||
Total other income (expense), net | (67 | ) | (2,253 | ) | (622 | ) | — | (2,942 | ) | ||||||||||||
Income (loss) before income taxes | (2,466 | ) | 56,748 | 269 | (25 | ) | 54,526 | ||||||||||||||
Provision for income taxes | 20,063 | — | — | — | 20,063 | ||||||||||||||||
Net income (loss) | $ | (22,529 | ) | $ | 56,748 | $ | 269 | $ | (25 | ) | $ | 34,463 | |||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Net cash provided by operating activities | $ | 1,915 | $ | 220,447 | $ | 29,633 | $ | — | $ | 251,995 | |||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Additions to oil and natural gas properties | — | (307,144 | ) | (5,275 | ) | — | (312,419 | ) | |||||||||||||
Acquisition of leasehold interests | — | (840,482 | ) | — | — | (840,482 | ) | ||||||||||||||
Acquisition of mineral interests | — | — | (57,688 | ) | — | (57,688 | ) | ||||||||||||||
Purchase of other property and equipment | — | (43,215 | ) | — | — | (43,215 | ) | ||||||||||||||
Cost method investment | — | — | (33,851 | ) | — | (33,851 | ) | ||||||||||||||
Intercompany transfers | (631,100 | ) | 631,100 | — | — | — | |||||||||||||||
Other investing activities | — | (1,426 | ) | — | — | (1,426 | ) | ||||||||||||||
Net cash used in investing activities | (631,100 | ) | (561,167 | ) | (96,814 | ) | — | (1,289,081 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Proceeds from borrowing on credit facility | — | 347,900 | 78,000 | — | 425,900 | ||||||||||||||||
Repayment on credit facility | — | (217,900 | ) | (78,000 | ) | — | (295,900 | ) | |||||||||||||
Proceeds from public offerings | 693,886 | — | 234,546 | — | 928,432 | ||||||||||||||||
Distribution to parent | — | — | (148,760 | ) | — | (148,760 | ) | ||||||||||||||
Distribution from subsidiary | 148,760 | — | — | — | 148,760 | ||||||||||||||||
Intercompany transfers | (217,900 | ) | 217,900 | — | — | — | |||||||||||||||
Other financing activities | 10,431 | (825 | ) | (5,863 | ) | — | 3,743 | ||||||||||||||
Net cash provided by (used in) financing activities | 635,177 | 347,075 | 79,923 | — | 1,062,175 | ||||||||||||||||
Net increase in cash and cash equivalents | 5,992 | 6,355 | 12,742 | — | 25,089 | ||||||||||||||||
Cash and cash equivalents at beginning of period | 526 | 14,267 | 762 | — | 15,555 | ||||||||||||||||
Cash and cash equivalents at end of period | $ | 6,518 | $ | 20,622 | $ | 13,504 | $ | — | $ | 40,644 | |||||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Net cash provided by operating activities | $ | (182 | ) | $ | 91,243 | $ | 586 | $ | — | $ | 91,647 | ||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Additions to oil and natural gas properties | — | (199,209 | ) | (586 | ) | — | (199,795 | ) | |||||||||||||
Acquisition of leasehold interests | — | (185,185 | ) | — | — | (185,185 | ) | ||||||||||||||
Acquisition of mineral interests | — | — | (440,000 | ) | — | (440,000 | ) | ||||||||||||||
Purchase of other property and equipment | — | (4,965 | ) | — | — | (4,965 | ) | ||||||||||||||
Intercompany transfers | (245,680 | ) | 245,680 | — | — | — | |||||||||||||||
Other investing activities | — | (227 | ) | — | — | (227 | ) | ||||||||||||||
Net cash used in investing activities | (245,680 | ) | (143,906 | ) | (440,586 | ) | — | (830,172 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Proceeds from borrowing on credit facility | — | 49,000 | — | — | 49,000 | ||||||||||||||||
Repayment on credit facility | — | (49,000 | ) | — | — | (49,000 | ) | ||||||||||||||
Proceeds from senior notes | 10,000 | — | 440,000 | — | 450,000 | ||||||||||||||||
Proceeds from public offerings | 322,680 | — | — | — | 322,680 | ||||||||||||||||
Distribution to parent | — | — | — | — | — | ||||||||||||||||
Intercompany transfers | (49,000 | ) | 49,000 | — | — | — | |||||||||||||||
Other financing activities | (7,267 | ) | (146 | ) | — | — | (7,413 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 276,413 | 48,854 | 440,000 | — | 765,267 | ||||||||||||||||
Net increase in cash and cash equivalents | 30,551 | (3,809 | ) | — | — | 26,742 | |||||||||||||||
Cash and cash equivalents at beginning of period | 14 | 26,344 | — | — | 26,358 | ||||||||||||||||
Cash and cash equivalents at end of period | $ | 30,565 | $ | 22,535 | $ | — | $ | — | $ | 53,100 | |||||||||||
Summary_of_Significant_Account1
Summary of Significant Accounting Policies (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Accounting Policies [Abstract] | ' |
Basis of Presentation | ' |
Basis of Presentation | |
The consolidated financial statements include the accounts of the Company and its subsidiaries after all significant intercompany balances and transactions have been eliminated upon consolidation. | |
Use of Estimates | ' |
Use of Estimates | |
Certain amounts included in or affecting the Company’s consolidated financial statements and related disclosures must be estimated by management, requiring certain assumptions to be made with respect to values or conditions that cannot be known with certainty at the time the consolidated financial statements are prepared. These estimates and assumptions affect the amounts the Company reports for assets and liabilities and the Company’s disclosure of contingent assets and liabilities at the date of the consolidated financial statements. Actual results could differ from those estimates. | |
The Company evaluates these estimates on an ongoing basis, using historical experience, consultation with experts and other methods the Company considers reasonable in the particular circumstances. Nevertheless, actual results may differ significantly from the Company’s estimates. Any effects on the Company’s business, financial position or results of operations resulting from revisions to these estimates are recorded in the period in which the facts that give rise to the revision become known. Significant items subject to such estimates and assumptions include estimates of proved oil and natural gas reserves and related present value estimates of future net cash flows therefrom, the carrying value of oil and natural gas properties, asset retirement obligations, the fair value determination of acquired assets and liabilities, stock-based compensation, fair value estimates of commodity derivatives and estimates of income taxes. | |
Recent Accounting Pronouncements | ' |
Recent Accounting Pronouncements | |
In May 2014, the Financial Accounting Standards Board issued Accounting Standards Update (“ASU”) 2014-09, “Revenue from Contracts with Customers”. ASU 2014-09 supersedes most of the existing revenue recognition requirements in accounting principles generally accepted in the United States and requires (i) an entity to recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled to in exchange for those goods or services and (ii) requires expanded disclosures regarding the nature, amount, timing and certainty of revenue and cash flows from contracts with customers. The standard will be effective for annual and interim reporting periods beginning after December 15, 2016, with early application not permitted. The standard allows for either full retrospective adoption, meaning the standard is applied to all periods presented in the financial statements, or modified retrospective adoption, meaning the standard is applied only to the most current period presented. The Company is currently evaluating the impact this standard will have on its financial position, results of operations or cash flows. | |
Fair Value Measurements | ' |
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 the measurement date. Valuation techniques used to measure fair value must maximize the use of observable inputs and minimize the use of unobservable inputs. | |
The fair value hierarchy is based on three levels of inputs, of which the first two are considered observable and the last unobservable, that may be used to measure fair value. The Company’s assessment of the significance of a particular input to the fair value measurements requires judgment and may affect the valuation of the assets and liabilities being measured and their placement within the fair value hierarchy. The Company uses appropriate valuation techniques based on available inputs to measure the fair values of its assets and liabilities. | |
Level 1 - Observable inputs that reflect unadjusted quoted prices for identical assets or liabilities in active markets as of the reporting date. | |
Level 2 - Observable market-based inputs or unobservable inputs that are corroborated by market data. These are inputs other than quoted prices in active markets included in Level 1, which are either directly or indirectly observable as of the reporting date. | |
Level 3 - Unobservable inputs that are not corroborated by market data and may be used with internally developed methodologies that result in management’s best estimate of fair value. | |
Financial assets and liabilities are classified based on the lowest level of input that is significant to the fair value measurement. |
Acquisitions_Tables
Acquisitions (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Business Combinations [Abstract] | ' | ||||||||||||||||
Schedule of estimated fair values of assets acquired and liabilities assumed | ' | ||||||||||||||||
The following represents the estimated fair values of the assets and liabilities assumed on the acquisition dates. The aggregate consideration transferred was $292,159,000 in cash, subject to post-closing adjustments, resulting in no goodwill or bargain purchase gain. | |||||||||||||||||
(in thousands) | |||||||||||||||||
Proved oil and natural gas properties | $ | 170,174 | |||||||||||||||
Unevaluated oil and natural gas properties | 123,243 | ||||||||||||||||
Total assets acquired | 293,417 | ||||||||||||||||
Asset retirement obligations | 1,258 | ||||||||||||||||
Total liabilities assumed | 1,258 | ||||||||||||||||
Total fair value of net assets | $ | 292,159 | |||||||||||||||
Schedule of business acquisition pro forma | ' | ||||||||||||||||
The following unaudited summary pro forma consolidated statement of operations data of Diamondback for the three months and nine months ended September 30, 2014 and 2013 have been prepared to give effect to the February 27 and 28, 2014 acquisitions and the September 9, 2014 acquisition as if they had occurred on January 1, 2013. The pro forma data are not necessarily indicative of financial results that would have been attained had the acquisitions occurred on January 1, 2013. The pro forma data also necessarily exclude various operation expenses related to the properties and the financial statements should not be viewed as indicative of operations in future periods. | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(Pro Forma) | |||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||
Revenues | $ | 139,127 | $ | 87,809 | $ | 409,520 | $ | 214,671 | |||||||||
Income from operations | 63,516 | 44,300 | 186,483 | 90,967 | |||||||||||||
Net income | 43,739 | 23,760 | 102,583 | 55,576 | |||||||||||||
Basic earnings per common share | $ | 0.74 | $ | 0.46 | $ | 1.74 | $ | 1.09 | |||||||||
Diluted earnings per common share | $ | 0.74 | $ | 0.46 | $ | 1.73 | $ | 1.08 | |||||||||
Property_and_Equipment_Tables
Property and Equipment (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Property, Plant and Equipment [Abstract] | ' | ||||||||
Property and Equipment | ' | ||||||||
Property and equipment includes the following: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Oil and natural gas properties: | |||||||||
Subject to depletion | $ | 2,032,814 | $ | 1,278,799 | |||||
Not subject to depletion-acquisition costs | |||||||||
Incurred in 2014 | 594,465 | — | |||||||
Incurred in 2013 | 203,863 | 279,353 | |||||||
Incurred in 2012 | 68,387 | 87,252 | |||||||
Incurred in 2011 | 764 | 1,598 | |||||||
Incurred in 2010 | — | 1,358 | |||||||
Total not subject to depletion | 867,479 | 369,561 | |||||||
Gross oil and natural gas properties | 2,900,293 | 1,648,360 | |||||||
Less accumulated depreciation, depletion, amortization and impairment | (326,228 | ) | (210,837 | ) | |||||
Oil and natural gas properties, net | 2,574,065 | 1,437,523 | |||||||
Pipeline and gas gathering assets, net | 6,998 | 6,142 | |||||||
Other property and equipment, net | 45,096 | 2,672 | |||||||
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | $ | 2,626,159 | $ | 1,446,337 | |||||
Asset_Retirement_Obligations_T
Asset Retirement Obligations (Tables) | 9 Months Ended | |||||||
Sep. 30, 2014 | ||||||||
Asset Retirement Obligation [Abstract] | ' | |||||||
Asset Retirement Obligations | ' | |||||||
The following table describes the changes to the Company’s asset retirement obligation liability for the following periods: | ||||||||
Nine Months Ended | ||||||||
September 30, | ||||||||
2014 | 2013 | |||||||
(in thousands) | ||||||||
Asset retirement obligation, beginning of period | $ | 3,029 | $ | 2,145 | ||||
Additional liability incurred | 567 | 162 | ||||||
Liabilities acquired | 3,678 | 471 | ||||||
Liabilities settled | (10 | ) | (14 | ) | ||||
Accretion expense | 303 | 134 | ||||||
Revisions in estimated liabilities | 588 | — | ||||||
Asset retirement obligation, end of period | 8,155 | 2,898 | ||||||
Less current portion | 40 | 20 | ||||||
Asset retirement obligations - long-term | $ | 8,115 | $ | 2,878 | ||||
Debt_Tables
Debt (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Line of Credit Facility [Line Items] | ' | ||||||||
Schedule of long-term debt | ' | ||||||||
Long-term debt consisted of the following as of the dates indicated: | |||||||||
September 30, | December 31, | ||||||||
2014 | 2013 | ||||||||
(in thousands) | |||||||||
Revolving credit facility | $ | 140,000 | $ | 10,000 | |||||
7.625 % Senior Notes due 2021 | 450,000 | 450,000 | |||||||
Total long-term debt | $ | 590,000 | $ | 460,000 | |||||
Financial Covenants | ' | ||||||||
Financial Covenant | Required Ratio | ||||||||
Ratio of total debt to EBITDAX | Not greater than 4.0 to 1.0 | ||||||||
Ratio of current assets to liabilities, as defined in the credit agreement | Not less than 1.0 to 1.0 | ||||||||
Viper Energy Partners LP [Member] | ' | ||||||||
Line of Credit Facility [Line Items] | ' | ||||||||
Financial Covenants | ' | ||||||||
Financial Covenant | Required Ratio | ||||||||
Ratio of total debt to EBITDAX | Not greater than 4.0 to 1.0 | ||||||||
Ratio of current assets to liabilities, as defined in the credit agreement | Not less than 1.0 to 1.0 | ||||||||
EBITDAX will be annualized beginning with the quarter ended September 30, 2014 and ending with the quarter ending March 31, 2015 |
Capital_Stock_and_Earnings_Per1
Capital Stock and Earnings Per Share (Tables) | 9 Months Ended | ||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||
Equity [Abstract] | ' | ||||||||||||||||||||||
Schedule of reconciliation of basic and diluted net income per share | ' | ||||||||||||||||||||||
A reconciliation of the components of basic and diluted earnings per common share is presented in the table below: | |||||||||||||||||||||||
Three Months Ended September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||
Per | Per | ||||||||||||||||||||||
Income | Shares | Share | Income | Shares | Share | ||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||
Basic: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 43,739 | 55,152 | $ | 0.79 | $ | 14,596 | 44,385 | $ | 0.33 | |||||||||||||
Effect of Dilutive Securities: | |||||||||||||||||||||||
Dilutive effect of potential common shares issuable | $ | (53 | ) | 290 | — | 313 | |||||||||||||||||
Diluted: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 43,686 | 55,442 | $ | 0.79 | $ | 14,596 | 44,698 | $ | 0.33 | |||||||||||||
Nine Months Ended September 30, | |||||||||||||||||||||||
2014 | 2013 | ||||||||||||||||||||||
Per | Per | ||||||||||||||||||||||
Income | Shares | Share | Income | Shares | Share | ||||||||||||||||||
(in thousands, except per share amounts) | |||||||||||||||||||||||
Basic: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 95,081 | 51,489 | $ | 1.85 | $ | 34,463 | 40,309 | $ | 0.85 | |||||||||||||
Effect of Dilutive Securities: | |||||||||||||||||||||||
Dilutive effect of potential common shares issuable | $ | 16 | 399 | — | 215 | ||||||||||||||||||
Diluted: | |||||||||||||||||||||||
Net income attributable to common stock | $ | 95,097 | 51,888 | $ | 1.83 | $ | 34,463 | 40,524 | $ | 0.85 | |||||||||||||
Stock_Based_Compensation_Table
Stock Based Compensation (Tables) | 9 Months Ended | ||||||||||||||
Sep. 30, 2014 | |||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||||||||||
Schedule of stock/unit option activity | ' | ||||||||||||||
The following table presents the Company’s stock option activity under the 2012 Plan for the nine months ended September 30, 2014. | |||||||||||||||
Weighted Average | |||||||||||||||
Exercise | Remaining | Intrinsic | |||||||||||||
Options | Price | Term | Value | ||||||||||||
(in years) | (in thousands) | ||||||||||||||
Outstanding at December 31, 2013 | 712,955 | $ | 17.96 | ||||||||||||
Granted | — | $ | — | ||||||||||||
Exercised | (293,450 | ) | $ | 17.78 | |||||||||||
Expired/Forfeited | — | $ | — | ||||||||||||
Outstanding at September 30, 2014 | 419,505 | $ | 18.09 | 1.97 | $ | 23,783 | |||||||||
Vested and Expected to vest at September 30, 2014 | 419,505 | $ | 18.09 | 1.97 | $ | 23,783 | |||||||||
Exercisable at September 30, 2014 | 159,755 | $ | 17.5 | 1.47 | $ | 9,151 | |||||||||
Summary of restricted stock awards and units | ' | ||||||||||||||
The following table presents the Company’s restricted stock units activity under the 2012 Plan during the nine months ended September 30, 2014. | |||||||||||||||
Weighted Average | |||||||||||||||
Restricted Stock | Grant-Date | ||||||||||||||
Units | Fair Value | ||||||||||||||
Unvested at December 31, 2013 | 132,499 | $ | 19.2 | ||||||||||||
Granted | 148,722 | $ | 66.93 | ||||||||||||
Vested | (98,560 | ) | $ | 38.31 | |||||||||||
Forfeited | (1,200 | ) | $ | 41.66 | |||||||||||
Unvested at September 30, 2014 | 181,461 | $ | 47.8 | ||||||||||||
Summary of grant-date fair values of performance restricted stock units granted and related assumptions | ' | ||||||||||||||
The following table presents a summary of the grant-date fair values of performance restricted stock units granted and the related assumptions. | |||||||||||||||
2014 | |||||||||||||||
Grant-date fair value | $ | 125.63 | |||||||||||||
Risk-free rate | 0.3 | % | |||||||||||||
Company volatility | 39.6 | % | |||||||||||||
Schedule of performance restricted stock units activity | ' | ||||||||||||||
The following table presents the Company’s performance restricted stock units activity under the 2012 Plan for the nine months ended September 30, 2014. | |||||||||||||||
Performance | Weighted Average | ||||||||||||||
Restricted Stock | Grant-Date | ||||||||||||||
Units | Fair Value | ||||||||||||||
Unvested at December 31, 2013 | — | $ | — | ||||||||||||
Granted | 79,150 | $ | 125.63 | ||||||||||||
Vested | — | $ | — | ||||||||||||
Forfeited | — | $ | — | ||||||||||||
Unvested at September 30, 2014 (1) | 79,150 | $ | 125.63 | ||||||||||||
-1 | A maximum of 158,300 units could be awarded based upon the Company’s final TSR ranking. | ||||||||||||||
Viper Energy Partners LP [Member] | ' | ||||||||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ||||||||||||||
Schedule of stock/unit option activity | ' | ||||||||||||||
The following table presents the unit option activity under the Viper LTIP for the nine months ended September 30, 2014. | |||||||||||||||
Weighted Average | |||||||||||||||
Unit | Exercise | Remaining | Intrinsic | ||||||||||||
Options | Price | Term | Value | ||||||||||||
(in years) | (in thousands) | ||||||||||||||
Outstanding at December 31, 2013 | — | $ | — | ||||||||||||
Granted | 2,500,000 | $ | 26 | ||||||||||||
Outstanding at September 30, 2014 | 2,500,000 | $ | 26 | 2.72 | $ | — | |||||||||
Vested and Expected to vest at September 30, 2014 | 2,500,000 | $ | 26 | 2.72 | $ | — | |||||||||
Exercisable at September 30, 2014 | — | $ | — | — | $ | — | |||||||||
Summary of grant-date fair value and related assumptions | ' | ||||||||||||||
2014 | |||||||||||||||
Grant-date fair value | $ | 4.24 | |||||||||||||
Expected volatility | 36 | % | |||||||||||||
Expected dividend yield | 5.9 | % | |||||||||||||
Expected term (in years) | 3 | ||||||||||||||
Risk-free rate | 0.99 | % | |||||||||||||
Derivatives_Tables
Derivatives (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ||||||||||||||||
Schedule of derivative instruments | ' | ||||||||||||||||
As of September 30, 2014, the Company had open crude oil derivative positions with respect to future production as set forth in the table below. When aggregating multiple contracts, the weighted average contract price is disclosed. | |||||||||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | |||||||||||||||||
Production Period | Volume (Bbls) | Fixed Swap Price | |||||||||||||||
October - December 2014 | 644,000 | $ | 98.64 | ||||||||||||||
January - April 2015 | 331,000 | 99.71 | |||||||||||||||
The following table presents the terms of the contracts: | |||||||||||||||||
Fixed Swap | |||||||||||||||||
Volumes (Bbls) | Price | Production Period | |||||||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | 183,000 | $ | 82.95 | Nov-14 | - | Dec-14 | |||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | 1,095,000 | $ | 90.99 | Jan-15 | - | Dec-15 | |||||||||||
Crude Oil—NYMEX West Texas Intermediate Fixed Price Swap | 1,825,000 | $ | 84.1 | Jan-15 | - | Dec-15 | |||||||||||
Crude Oil—ICE Brent Fixed Price Swap | 640,000 | $ | 88.78 | Feb-15 | - | Jan-16 | |||||||||||
Crude Oil—ICE Brent Fixed Price Swap | 91,000 | $ | 88.72 | Jan-16 | - | Feb-16 | |||||||||||
Schedule of netting offsets of derivative assets and liabilities | ' | ||||||||||||||||
The following tables present the gross amounts of recognized derivative assets and liabilities, the amounts offset under master netting arrangements with counterparties and the resulting net amounts presented in the Company’s consolidated balance sheets as of September 30, 2014 and December 31, 2013. | |||||||||||||||||
September 30, 2014 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Gross Amounts of Recognized Assets | Gross Amounts Offset in the Consolidated Balance Sheet | Net Amounts of Assets Presented in the Consolidated Balance Sheet | |||||||||||||||
Derivative assets | $ | 6,061 | $ | — | $ | 6,061 | |||||||||||
December 31, 2013 | |||||||||||||||||
(in thousands) | |||||||||||||||||
Gross Amounts of Recognized Assets | Gross Amounts Offset in the Consolidated Balance Sheet | Net Amounts of Assets Presented in the Consolidated Balance Sheet | |||||||||||||||
Derivative assets | $ | 998 | $ | (567 | ) | $ | 431 | ||||||||||
Schedule of derivative instruments included in the consolidated balance sheet | ' | ||||||||||||||||
The net fair value of the Company’s derivative assets and liabilities and their locations on the consolidated balance sheet are as follows: | |||||||||||||||||
September 30, | December 31, | ||||||||||||||||
2014 | 2013 | ||||||||||||||||
(in thousands) | |||||||||||||||||
Current Assets: Derivative instruments | $ | 6,061 | $ | 213 | |||||||||||||
Noncurrent Assets: Derivative instruments | — | 218 | |||||||||||||||
Total Assets | $ | 6,061 | $ | 431 | |||||||||||||
Summary of derivative contract gains and losses included in the consolidated statements of operations | ' | ||||||||||||||||
The following table summarizes the gains and losses on derivative instruments included in the consolidated statements of operations: | |||||||||||||||||
Three Months Ended September 30, | Nine Months Ended September 30, | ||||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||||
(in thousands) | |||||||||||||||||
Non-cash gain (loss) on open non-hedge derivative instruments | $ | 16,440 | $ | (1,695 | ) | $ | 5,630 | $ | 3,733 | ||||||||
Loss on settlement of non-hedge derivative instruments | (1,531 | ) | (3,215 | ) | (6,207 | ) | (5,614 | ) | |||||||||
Gain (loss) on derivative instruments | $ | 14,909 | $ | (4,910 | ) | $ | (577 | ) | $ | (1,881 | ) | ||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||||||||
Sep. 30, 2014 | ||||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||||
Fair value measurement information for financial instruments measured on a recurring basis | ' | |||||||||||||||||
The following table provides fair value measurement information for financial assets and liabilities measured at fair value on a recurring basis as of September 30, 2014 and December 31, 2013. | ||||||||||||||||||
Fair value measurements at September 30, 2014 using: | ||||||||||||||||||
(in thousands) | ||||||||||||||||||
Quoted Prices in Active Markets Level 1 | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||||
Level 2 | Level 3 | |||||||||||||||||
Assets: | ||||||||||||||||||
Fixed price swaps | $ | — | $ | 6,061 | $ | — | $ | 6,061 | ||||||||||
Fair value measurements at December 31, 2013 using: | ||||||||||||||||||
(in thousands) | ||||||||||||||||||
Quoted Prices in Active Markets Level 1 | Significant Other Observable Inputs | Significant Unobservable Inputs | Total | |||||||||||||||
Level 2 | Level 3 | |||||||||||||||||
Assets: | ||||||||||||||||||
Fixed price swaps | $ | — | $ | 431 | $ | — | $ | 431 | ||||||||||
Fair value measurement information for financial instruments measured on a nonrecurring basis | ' | |||||||||||||||||
The following table provides the fair value of financial instruments that are not recorded at fair value in the consolidated financial statements. | ||||||||||||||||||
September 30, 2014 | December 31, 2013 | |||||||||||||||||
Carrying | Carrying | |||||||||||||||||
Amount | Fair Value | Amount | Fair Value | |||||||||||||||
(in thousands) | ||||||||||||||||||
Debt: | ||||||||||||||||||
Revolving credit facility | $ | 140,000 | $ | 140,000 | $ | 10,000 | $ | 10,000 | ||||||||||
7.625% Senior Notes due 2021 | 450,000 | 486,000 | 450,000 | 460,406 | ||||||||||||||
Partnership revolving credit facility | — | — | — | — | ||||||||||||||
Subsequent_Events_Tables
Subsequent Events (Tables) | 9 Months Ended | |||||||||||
Sep. 30, 2014 | ||||||||||||
Subsequent Events [Abstract] | ' | |||||||||||
Schedule of derivative instruments | ' | |||||||||||
As of September 30, 2014, the Company had open crude oil derivative positions with respect to future production as set forth in the table below. When aggregating multiple contracts, the weighted average contract price is disclosed. | ||||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | ||||||||||||
Production Period | Volume (Bbls) | Fixed Swap Price | ||||||||||
October - December 2014 | 644,000 | $ | 98.64 | |||||||||
January - April 2015 | 331,000 | 99.71 | ||||||||||
The following table presents the terms of the contracts: | ||||||||||||
Fixed Swap | ||||||||||||
Volumes (Bbls) | Price | Production Period | ||||||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | 183,000 | $ | 82.95 | Nov-14 | - | Dec-14 | ||||||
Crude Oil—Argus Louisiana Light Sweet Fixed Price Swap | 1,095,000 | $ | 90.99 | Jan-15 | - | Dec-15 | ||||||
Crude Oil—NYMEX West Texas Intermediate Fixed Price Swap | 1,825,000 | $ | 84.1 | Jan-15 | - | Dec-15 | ||||||
Crude Oil—ICE Brent Fixed Price Swap | 640,000 | $ | 88.78 | Feb-15 | - | Jan-16 | ||||||
Crude Oil—ICE Brent Fixed Price Swap | 91,000 | $ | 88.72 | Jan-16 | - | Feb-16 | ||||||
Guarantor_Financial_Statements1
Guarantor Financial Statements (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' | ||||||||||||||||||||
Condensed Consolidated Balance Sheet | ' | ||||||||||||||||||||
Condensed Consolidated Balance Sheet | |||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 6,518 | $ | 20,622 | $ | 13,504 | $ | — | $ | 40,644 | |||||||||||
Accounts receivable | — | 76,346 | 9,965 | 2 | 86,313 | ||||||||||||||||
Accounts receivable - related party | — | 3,915 | — | — | 3,915 | ||||||||||||||||
Intercompany receivable | 1,634,314 | 1,716,401 | — | (3,350,715 | ) | — | |||||||||||||||
Inventories | — | 3,105 | — | — | 3,105 | ||||||||||||||||
Other current assets | 336 | 8,381 | 567 | — | 9,284 | ||||||||||||||||
Total current assets | 1,641,168 | 1,828,770 | 24,036 | (3,350,713 | ) | 143,261 | |||||||||||||||
Property and equipment | |||||||||||||||||||||
Oil and natural gas properties, at cost, based on the full cost method of accounting | — | 2,389,296 | 510,997 | — | 2,900,293 | ||||||||||||||||
Pipeline and gas gathering assets | — | 7,102 | — | — | 7,102 | ||||||||||||||||
Other property and equipment | — | 47,286 | — | — | 47,286 | ||||||||||||||||
Accumulated depletion, depreciation, amortization and impairment | — | (306,187 | ) | (24,801 | ) | 2,466 | (328,522 | ) | |||||||||||||
— | 2,137,497 | 486,196 | 2,466 | 2,626,159 | |||||||||||||||||
Investment in subsidiaries | 693,594 | — | — | (693,594 | ) | — | |||||||||||||||
Other assets | 9,395 | 6,664 | 35,076 | — | 51,135 | ||||||||||||||||
Total assets | $ | 2,344,157 | $ | 3,972,931 | $ | 545,308 | $ | (4,041,841 | ) | $ | 2,820,555 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable-trade | $ | — | $ | 8,009 | $ | — | $ | — | $ | 8,009 | |||||||||||
Intercompany payable | 83,318 | 3,267,397 | — | (3,350,715 | ) | — | |||||||||||||||
Other current liabilities | 19,003 | 167,485 | 1,789 | — | 188,277 | ||||||||||||||||
Total current liabilities | 102,321 | 3,442,891 | 1,789 | (3,350,715 | ) | 196,286 | |||||||||||||||
Long-term debt | 450,000 | 140,000 | — | — | 590,000 | ||||||||||||||||
Asset retirement obligations | — | 8,115 | — | — | 8,115 | ||||||||||||||||
Deferred income taxes | 140,308 | — | — | — | 140,308 | ||||||||||||||||
Total liabilities | 692,629 | 3,591,006 | 1,789 | (3,350,715 | ) | 934,709 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | 1,651,528 | 381,925 | 543,519 | (925,444 | ) | 1,651,528 | |||||||||||||||
Noncontrolling interest | — | — | — | 234,318 | 234,318 | ||||||||||||||||
Total equity | 1,651,528 | 381,925 | 543,519 | (691,126 | ) | 1,885,846 | |||||||||||||||
Total liabilities and equity | $ | 2,344,157 | $ | 3,972,931 | $ | 545,308 | $ | (4,041,841 | ) | $ | 2,820,555 | ||||||||||
Condensed Consolidated Balance Sheet | |||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Assets | |||||||||||||||||||||
Current assets: | |||||||||||||||||||||
Cash and cash equivalents | $ | 526 | $ | 14,267 | $ | 762 | $ | — | $ | 15,555 | |||||||||||
Accounts receivable | — | 28,544 | — | 9,426 | 37,970 | ||||||||||||||||
Accounts receivable - related party | — | 1,303 | — | — | 1,303 | ||||||||||||||||
Royalty income receivable | — | — | 9,426 | (9,426 | ) | — | |||||||||||||||
Intercompany receivable | 715,169 | 413,744 | — | (1,128,913 | ) | — | |||||||||||||||
Intercompany note receivable | 440,000 | — | — | (440,000 | ) | — | |||||||||||||||
Inventories | — | 5,631 | — | — | 5,631 | ||||||||||||||||
Deferred income taxes | 112 | — | — | — | 112 | ||||||||||||||||
Other current assets | — | 1,397 | — | — | 1,397 | ||||||||||||||||
Total current assets | 1,155,807 | 464,886 | 10,188 | (1,568,913 | ) | 61,968 | |||||||||||||||
Property and equipment | |||||||||||||||||||||
Oil and natural gas properties, at cost, based on the full cost method of accounting | — | 1,200,326 | 448,034 | — | 1,648,360 | ||||||||||||||||
Pipeline and gas gathering assets | — | 6,142 | — | — | 6,142 | ||||||||||||||||
Other property and equipment | — | 4,071 | — | — | 4,071 | ||||||||||||||||
Accumulated depletion, depreciation, amortization and impairment | — | (207,037 | ) | (5,199 | ) | — | (212,236 | ) | |||||||||||||
— | 1,003,502 | 442,835 | — | 1,446,337 | |||||||||||||||||
Investment in subsidiaries | 235,334 | — | — | (235,334 | ) | — | |||||||||||||||
Other assets | 10,207 | 3,102 | — | — | 13,309 | ||||||||||||||||
Total assets | $ | 1,401,348 | $ | 1,471,490 | $ | 453,023 | $ | (1,804,247 | ) | $ | 1,521,614 | ||||||||||
Liabilities and Stockholders’ Equity | |||||||||||||||||||||
Current liabilities: | |||||||||||||||||||||
Accounts payable-trade | $ | — | $ | 2,679 | $ | — | $ | — | $ | 2,679 | |||||||||||
Accounts payable-related party | — | 17 | — | — | 17 | ||||||||||||||||
Intercompany payable | 3,920 | 1,115,214 | 87 | (1,119,221 | ) | — | |||||||||||||||
Intercompany accrued interest | — | — | 9,692 | (9,692 | ) | — | |||||||||||||||
Other current liabilities | 10,123 | 108,245 | 256 | — | 118,624 | ||||||||||||||||
Total current liabilities | 14,043 | 1,226,155 | 10,035 | (1,128,913 | ) | 121,320 | |||||||||||||||
Long-term debt | 450,000 | 10,000 | — | — | 460,000 | ||||||||||||||||
Intercompany note payable | — | — | 440,000 | (440,000 | ) | — | |||||||||||||||
Asset retirement obligations | — | 2,989 | — | — | 2,989 | ||||||||||||||||
Deferred income taxes | 91,764 | — | — | — | 91,764 | ||||||||||||||||
Total liabilities | 555,807 | 1,239,144 | 450,035 | (1,568,913 | ) | 676,073 | |||||||||||||||
Commitments and contingencies | |||||||||||||||||||||
Stockholders’ equity: | 845,541 | 232,346 | 2,988 | (235,334 | ) | 845,541 | |||||||||||||||
Total equity | 845,541 | 232,346 | 2,988 | (235,334 | ) | 845,541 | |||||||||||||||
Total liabilities and equity | $ | 1,401,348 | $ | 1,471,490 | $ | 453,023 | $ | (1,804,247 | ) | $ | 1,521,614 | ||||||||||
Condensed Consolidated Statement of Operations | ' | ||||||||||||||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Three Months Ended September 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 105,202 | $ | — | $ | 21,204 | $ | 126,406 | |||||||||||
Natural gas sales | — | 3,824 | — | 888 | 4,712 | ||||||||||||||||
Natural gas liquid sales | — | 6,880 | — | 1,129 | 8,009 | ||||||||||||||||
Royalty income | — | — | 22,767 | (22,767 | ) | — | |||||||||||||||
Total revenues | — | 115,906 | 22,767 | 454 | 139,127 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 13,805 | — | — | 13,805 | ||||||||||||||||
Production and ad valorem taxes | — | 7,475 | 1,460 | 19 | 8,954 | ||||||||||||||||
Gathering and transportation | — | 866 | — | (6 | ) | 860 | |||||||||||||||
Depreciation, depletion and amortization | — | 38,028 | 9,025 | (1,683 | ) | 45,370 | |||||||||||||||
General and administrative expenses | 4,063 | 1,039 | 2,143 | (750 | ) | 6,495 | |||||||||||||||
Asset retirement obligation accretion expense | — | 127 | — | — | 127 | ||||||||||||||||
Total costs and expenses | 4,063 | 61,340 | 12,628 | (2,420 | ) | 75,611 | |||||||||||||||
Income (loss) from operations | (4,063 | ) | 54,566 | 10,139 | 2,874 | 63,516 | |||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest expense | (8,821 | ) | (708 | ) | (317 | ) | — | (9,846 | ) | ||||||||||||
Other income | 6 | 31 | 11 | — | 48 | ||||||||||||||||
Other income - intercompany | — | 750 | — | (750 | ) | — | |||||||||||||||
Other expense | — | (8 | ) | — | — | (8 | ) | ||||||||||||||
Other expense - intercompany | — | — | (750 | ) | 750 | — | |||||||||||||||
Gain (loss) on derivative instruments, net | — | 14,909 | — | — | 14,909 | ||||||||||||||||
Total other income (expense), net | (8,815 | ) | 14,974 | (1,056 | ) | — | 5,103 | ||||||||||||||
Income (loss) before income taxes | (12,878 | ) | 69,540 | 9,083 | 2,874 | 68,619 | |||||||||||||||
Provision for income taxes | 23,978 | — | — | — | 23,978 | ||||||||||||||||
Net income (loss) | (36,856 | ) | 69,540 | 9,083 | 2,874 | 44,641 | |||||||||||||||
Less: Net income attributable to noncontrolling interest | — | — | — | 902 | 902 | ||||||||||||||||
Net income (loss) attributable to Diamondback Energy, Inc. | $ | (36,856 | ) | $ | 69,540 | $ | 9,083 | $ | 1,972 | $ | 43,739 | ||||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Three Months Ended September 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 51,745 | $ | — | $ | 1,341 | $ | 53,086 | |||||||||||
Natural gas sales | — | 1,527 | — | 36 | 1,563 | ||||||||||||||||
Natural gas liquid sales | — | 3,080 | — | 62 | 3,142 | ||||||||||||||||
Royalty income | — | — | 1,439 | (1,439 | ) | — | |||||||||||||||
Total revenues | — | 56,352 | 1,439 | — | 57,791 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 4,964 | — | — | 4,964 | ||||||||||||||||
Production and ad valorem taxes | — | 3,460 | 93 | — | 3,553 | ||||||||||||||||
Gathering and transportation | — | 260 | 1 | — | 261 | ||||||||||||||||
Depreciation, depletion and amortization | — | 16,944 | 445 | 34 | 17,423 | ||||||||||||||||
General and administrative expenses | 703 | 1,418 | 9 | (9 | ) | 2,121 | |||||||||||||||
Asset retirement obligation accretion expense | — | 46 | — | — | 46 | ||||||||||||||||
Total costs and expenses | 703 | 27,092 | 548 | 25 | 28,368 | ||||||||||||||||
Income (loss) from operations | (703 | ) | 29,260 | 891 | (25 | ) | 29,423 | ||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest income | 1 | — | — | — | 1 | ||||||||||||||||
Interest expense | (68 | ) | (399 | ) | (622 | ) | — | (1,089 | ) | ||||||||||||
Other income | — | 270 | — | — | 270 | ||||||||||||||||
Gain on derivative instruments, net | — | (4,910 | ) | — | — | (4,910 | ) | ||||||||||||||
Total other income (expense), net | (67 | ) | (5,039 | ) | (622 | ) | — | (5,728 | ) | ||||||||||||
Income (loss) before income taxes | (770 | ) | 24,221 | 269 | (25 | ) | 23,695 | ||||||||||||||
Provision for income taxes | 9,099 | — | — | — | 9,099 | ||||||||||||||||
Net income (loss) | $ | (9,869 | ) | $ | 24,221 | $ | 269 | $ | (25 | ) | $ | 14,596 | |||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 280,024 | $ | — | $ | 51,422 | $ | 331,446 | |||||||||||
Natural gas sales | — | 10,394 | — | 1,982 | 12,376 | ||||||||||||||||
Natural gas liquid sales | — | 17,394 | — | 2,919 | 20,313 | ||||||||||||||||
Royalty income | — | — | 55,869 | (55,869 | ) | — | |||||||||||||||
Total revenues | — | 307,812 | 55,869 | 454 | 364,135 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 32,216 | — | — | 32,216 | ||||||||||||||||
Production and ad valorem taxes | — | 19,540 | 3,791 | 19 | 23,350 | ||||||||||||||||
Gathering and transportation | — | 2,151 | — | (6 | ) | 2,145 | |||||||||||||||
Depreciation, depletion and amortization | — | 98,445 | 19,602 | (1,683 | ) | 116,364 | |||||||||||||||
General and administrative expenses | 11,476 | 1,832 | 2,584 | (906 | ) | 14,986 | |||||||||||||||
Asset retirement obligation accretion expense | — | 303 | — | — | 303 | ||||||||||||||||
Total costs and expenses | 11,476 | 154,487 | 25,977 | (2,576 | ) | 189,364 | |||||||||||||||
Income (loss) from operations | (11,476 | ) | 153,325 | 29,892 | 3,030 | 174,771 | |||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest income - intercompany | 10,755 | — | — | (10,755 | ) | — | |||||||||||||||
Interest expense | (21,365 | ) | (2,408 | ) | (317 | ) | — | (24,090 | ) | ||||||||||||
Interest expense - intercompany | — | — | (10,755 | ) | 10,755 | — | |||||||||||||||
Other income | 6 | 91 | 11 | — | 108 | ||||||||||||||||
Other income - intercompany | — | 906 | — | (906 | ) | — | |||||||||||||||
Other expense | — | (1,416 | ) | — | — | (1,416 | ) | ||||||||||||||
Other expense - intercompany | — | — | (906 | ) | 906 | — | |||||||||||||||
Gain (loss) on derivative instruments, net | — | (577 | ) | — | — | (577 | ) | ||||||||||||||
Total other income (expense), net | (10,604 | ) | (3,404 | ) | (11,967 | ) | — | (25,975 | ) | ||||||||||||
Income (loss) before income taxes | (22,080 | ) | 149,921 | 17,925 | 3,030 | 148,796 | |||||||||||||||
Provision for income taxes | 52,742 | — | — | — | 52,742 | ||||||||||||||||
Net income (loss) | (74,822 | ) | 149,921 | 17,925 | 3,030 | 96,054 | |||||||||||||||
Less: Net income attributable to noncontrolling interest | — | — | — | 973 | 973 | ||||||||||||||||
Net income (loss) attributable to Diamondback Energy, Inc. | $ | (74,822 | ) | $ | 149,921 | $ | 17,925 | $ | 2,057 | $ | 95,081 | ||||||||||
Condensed Consolidated Statement of Operations | |||||||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Revenues: | |||||||||||||||||||||
Oil sales | $ | — | $ | 118,032 | $ | — | $ | 1,341 | $ | 119,373 | |||||||||||
Natural gas sales | — | 4,346 | — | 36 | 4,382 | ||||||||||||||||
Natural gas liquid sales | — | 8,277 | — | 62 | 8,339 | ||||||||||||||||
Royalty income | — | — | 1,439 | (1,439 | ) | — | |||||||||||||||
Total revenues | — | 130,655 | 1,439 | — | 132,094 | ||||||||||||||||
Costs and expenses: | |||||||||||||||||||||
Lease operating expenses | — | 15,367 | — | — | 15,367 | ||||||||||||||||
Production and ad valorem taxes | — | 8,202 | 93 | — | 8,295 | ||||||||||||||||
Gathering and transportation | — | 640 | 1 | — | 641 | ||||||||||||||||
Depreciation, depletion and amortization | — | 42,497 | 445 | 34 | 42,976 | ||||||||||||||||
General and administrative expenses | 2,399 | 4,814 | 9 | (9 | ) | 7,213 | |||||||||||||||
Asset retirement obligation accretion expense | — | 134 | — | — | 134 | ||||||||||||||||
Total costs and expenses | 2,399 | 71,654 | 548 | 25 | 74,626 | ||||||||||||||||
Income (loss) from operations | (2,399 | ) | 59,001 | 891 | (25 | ) | 57,468 | ||||||||||||||
Other income (expense) | |||||||||||||||||||||
Interest income | 1 | — | — | — | 1 | ||||||||||||||||
Interest expense | (68 | ) | (1,419 | ) | (622 | ) | — | (2,109 | ) | ||||||||||||
Other income | — | 1,047 | — | — | 1,047 | ||||||||||||||||
Gain on derivative instruments, net | — | (1,881 | ) | — | — | (1,881 | ) | ||||||||||||||
Total other income (expense), net | (67 | ) | (2,253 | ) | (622 | ) | — | (2,942 | ) | ||||||||||||
Income (loss) before income taxes | (2,466 | ) | 56,748 | 269 | (25 | ) | 54,526 | ||||||||||||||
Provision for income taxes | 20,063 | — | — | — | 20,063 | ||||||||||||||||
Net income (loss) | $ | (22,529 | ) | $ | 56,748 | $ | 269 | $ | (25 | ) | $ | 34,463 | |||||||||
Condensed Consolidated Statement of Cash Flows | ' | ||||||||||||||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||
Nine Months Ended September 30, 2014 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Net cash provided by operating activities | $ | 1,915 | $ | 220,447 | $ | 29,633 | $ | — | $ | 251,995 | |||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Additions to oil and natural gas properties | — | (307,144 | ) | (5,275 | ) | — | (312,419 | ) | |||||||||||||
Acquisition of leasehold interests | — | (840,482 | ) | — | — | (840,482 | ) | ||||||||||||||
Acquisition of mineral interests | — | — | (57,688 | ) | — | (57,688 | ) | ||||||||||||||
Purchase of other property and equipment | — | (43,215 | ) | — | — | (43,215 | ) | ||||||||||||||
Cost method investment | — | — | (33,851 | ) | — | (33,851 | ) | ||||||||||||||
Intercompany transfers | (631,100 | ) | 631,100 | — | — | — | |||||||||||||||
Other investing activities | — | (1,426 | ) | — | — | (1,426 | ) | ||||||||||||||
Net cash used in investing activities | (631,100 | ) | (561,167 | ) | (96,814 | ) | — | (1,289,081 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Proceeds from borrowing on credit facility | — | 347,900 | 78,000 | — | 425,900 | ||||||||||||||||
Repayment on credit facility | — | (217,900 | ) | (78,000 | ) | — | (295,900 | ) | |||||||||||||
Proceeds from public offerings | 693,886 | — | 234,546 | — | 928,432 | ||||||||||||||||
Distribution to parent | — | — | (148,760 | ) | — | (148,760 | ) | ||||||||||||||
Distribution from subsidiary | 148,760 | — | — | — | 148,760 | ||||||||||||||||
Intercompany transfers | (217,900 | ) | 217,900 | — | — | — | |||||||||||||||
Other financing activities | 10,431 | (825 | ) | (5,863 | ) | — | 3,743 | ||||||||||||||
Net cash provided by (used in) financing activities | 635,177 | 347,075 | 79,923 | — | 1,062,175 | ||||||||||||||||
Net increase in cash and cash equivalents | 5,992 | 6,355 | 12,742 | — | 25,089 | ||||||||||||||||
Cash and cash equivalents at beginning of period | 526 | 14,267 | 762 | — | 15,555 | ||||||||||||||||
Cash and cash equivalents at end of period | $ | 6,518 | $ | 20,622 | $ | 13,504 | $ | — | $ | 40,644 | |||||||||||
Condensed Consolidated Statement of Cash Flows | |||||||||||||||||||||
Nine Months Ended September 30, 2013 | |||||||||||||||||||||
(In thousands) | |||||||||||||||||||||
Non– | |||||||||||||||||||||
Guarantor | Guarantor | ||||||||||||||||||||
Parent | Subsidiaries | Subsidiaries | Eliminations | Consolidated | |||||||||||||||||
Net cash provided by operating activities | $ | (182 | ) | $ | 91,243 | $ | 586 | $ | — | $ | 91,647 | ||||||||||
Cash flows from investing activities: | |||||||||||||||||||||
Additions to oil and natural gas properties | — | (199,209 | ) | (586 | ) | — | (199,795 | ) | |||||||||||||
Acquisition of leasehold interests | — | (185,185 | ) | — | — | (185,185 | ) | ||||||||||||||
Acquisition of mineral interests | — | — | (440,000 | ) | — | (440,000 | ) | ||||||||||||||
Purchase of other property and equipment | — | (4,965 | ) | — | — | (4,965 | ) | ||||||||||||||
Intercompany transfers | (245,680 | ) | 245,680 | — | — | — | |||||||||||||||
Other investing activities | — | (227 | ) | — | — | (227 | ) | ||||||||||||||
Net cash used in investing activities | (245,680 | ) | (143,906 | ) | (440,586 | ) | — | (830,172 | ) | ||||||||||||
Cash flows from financing activities: | |||||||||||||||||||||
Proceeds from borrowing on credit facility | — | 49,000 | — | — | 49,000 | ||||||||||||||||
Repayment on credit facility | — | (49,000 | ) | — | — | (49,000 | ) | ||||||||||||||
Proceeds from senior notes | 10,000 | — | 440,000 | — | 450,000 | ||||||||||||||||
Proceeds from public offerings | 322,680 | — | — | — | 322,680 | ||||||||||||||||
Distribution to parent | — | — | — | — | — | ||||||||||||||||
Intercompany transfers | (49,000 | ) | 49,000 | — | — | — | |||||||||||||||
Other financing activities | (7,267 | ) | (146 | ) | — | — | (7,413 | ) | |||||||||||||
Net cash provided by (used in) financing activities | 276,413 | 48,854 | 440,000 | — | 765,267 | ||||||||||||||||
Net increase in cash and cash equivalents | 30,551 | (3,809 | ) | — | — | 26,742 | |||||||||||||||
Cash and cash equivalents at beginning of period | 14 | 26,344 | — | — | 26,358 | ||||||||||||||||
Cash and cash equivalents at end of period | $ | 30,565 | $ | 22,535 | $ | — | $ | — | $ | 53,100 | |||||||||||
Description_of_the_Business_an1
Description of the Business and Basis of Presentation (Details) (Viper Energy Partners LP [Member]) | Sep. 30, 2014 | Jun. 23, 2014 | Jun. 23, 2014 | Sep. 19, 2014 | Jun. 23, 2014 |
IPO [Member] | Public Offering [Member] | Limited Partner [Member] | |||
Diamondback Energy, Inc. [Member] | |||||
Noncontrolling Interest [Line Items] | ' | ' | ' | ' | ' |
Exchange of membership interests for common units | ' | ' | ' | ' | 70,450,000 |
Interest in Viper Energy Partners LP | 88.00% | 92.00% | ' | ' | ' |
Units issued by Viper Energy Partners LP | ' | ' | 5,750,000 | 3,500,000 | ' |
Acquisitions_2014_Activity_Det
Acquisitions - 2014 Activity (Details) (USD $) | 9 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 1 Months Ended | 0 Months Ended | 7 Months Ended | 9 Months Ended | ||||
Sep. 30, 2014 | Sep. 30, 2013 | Aug. 25, 2014 | Sep. 30, 2013 | Aug. 25, 2014 | Sep. 09, 2014 | Sep. 30, 2014 | Sep. 09, 2014 | Feb. 28, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | |
Permian Basin [Member] | Permian Basin [Member] | Permian Basin [Member] | Oil and Gas Interest in Permian Basin Acquired in September 2014 [Member] | Oil and Gas Interest in Permian Basin Acquired in September 2014 [Member] | Oil and Gas Interest in Permian Basin Acquired in September 2014 [Member] | Oil and Gas Interest in Permian Basin Acquired in February 2014 [Member] | Oil and Gas Interest in Permian Basin Acquired in February 2014 [Member] | Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | |||
acre | Permian Basin [Member] | Permian Basin [Member] | Permian Basin [Member] | Permian Basin [Member] | Permian Basin [Member] | Midland and Delaware Basin [Member] | ||||||
acre | acre | acre | ||||||||||
Business Acquisition [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acres of oil and gas property, working interest, gross | ' | ' | ' | ' | ' | ' | ' | 17,617 | 6,450 | ' | ' | ' |
Acres of oil and gas property, working interest, net | ' | ' | ' | ' | ' | ' | ' | 12,967 | 4,785 | ' | ' | ' |
Percent of working interest | ' | ' | ' | ' | ' | 74.00% | ' | ' | 74.00% | ' | ' | ' |
Percent of net revenue interest | ' | ' | ' | ' | ' | 75.00% | ' | ' | 56.00% | ' | ' | ' |
Payments to acquire leasehold interests | $840,482,000 | $166,635,000 | ' | $165,000,000 | ' | $523,260,000 | ' | ' | $292,159,000 | ' | ' | ' |
Revenues included in consolidated statements of operations since acquisition date | ' | ' | ' | ' | ' | ' | 2,804,000 | ' | ' | 30,965,000 | ' | ' |
Direct operating expenses included in consolidated statements of operations since acquisition date | ' | ' | ' | ' | ' | ' | 1,424,000 | ' | ' | 4,738,000 | ' | ' |
Surface rights area (in acres) | ' | ' | ' | ' | 4,200 | ' | ' | ' | ' | ' | ' | ' |
Payments to acquire surface rights | 43,215,000 | 4,965,000 | 41,900,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Acres of oil and gas property, mineral interest, gross | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 10,565 |
Acres of oil and gas property, mineral interest, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 3,461 |
Payments to acquire mineral interests | 57,688,000 | 440,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | 57,700,000 |
Cost method investment | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | $33,900,000 | ' |
Acquisitions_2014_Activity_Est
Acquisitions - 2014 Activity, Estimated Fair Values of Assets Acquired and Liabilities Assumed (Details) (USD $) | Sep. 09, 2014 | Feb. 28, 2014 | Feb. 28, 2014 |
In Thousands, unless otherwise specified | Oil and Gas Interest in Permian Basin Acquired in September 2014 [Member] | Oil and Gas Interest in Permian Basin Acquired in February 2014 [Member] | Oil and Gas Interest in Permian Basin Acquired in February 2014 [Member] |
Permian Basin [Member] | Permian Basin [Member] | ||
Business Acquisition [Line Items] | ' | ' | ' |
Joint interest receivables | $42 | ' | ' |
Proved oil and gas properties | 128,589 | ' | 170,174 |
Unevaluated oil and natural gas properties | 400,527 | ' | 123,243 |
Total assets acquired | 529,158 | 293,417 | ' |
Accrued production and ad valorem taxes | 358 | ' | ' |
Revenues payable | 3,174 | ' | ' |
Asset retirement obligations | 2,366 | ' | 1,258 |
Total liabilities assumed | 5,898 | 1,258 | ' |
Total fair value of net assets | $523,260 | ' | $292,159 |
Acquisitions_Pro_Forma_Financi
Acquisitions - Pro Forma Financial Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Business Acquisition [Line Items] | ' | ' | ' | ' |
Pro forma total revenues | $139,127 | $87,809 | $409,520 | $214,671 |
Pro forma income from operations | 63,516 | 44,300 | 186,483 | 90,967 |
Pro forma net income | $43,739 | $23,760 | $102,583 | $55,576 |
Basic earnings per common share (in dollars per share) | $0.74 | $0.46 | $1.74 | $1.09 |
Diluted earnings per common share (in dollars per share) | $0.74 | $0.46 | $1.73 | $1.08 |
Acquisitions_2013_Activity_Det
Acquisitions - 2013 Activity (Details) (USD $) | 9 Months Ended | 1 Months Ended | 0 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2013 | Sep. 04, 2013 | Sep. 26, 2013 | Sep. 19, 2013 |
Permian Basin [Member] | Martin County, Texas [Member] | Dawson County, Texas [Member] | Midland County, Texas [Member] | |||
leasehold_interest | acre | acre | acre | |||
Costs Incurred, Oil and Gas Property Acquisition, Exploration, and Development Activities [Line Items] | ' | ' | ' | ' | ' | ' |
Number of leasehold interest acquisitions | ' | ' | 2 | ' | ' | ' |
Payments to acquire leasehold interests | $840,482 | $166,635 | $165,000 | ' | ' | ' |
Percent of working interest | ' | ' | ' | 100.00% | 71.00% | ' |
Percent of net revenue interest | ' | ' | ' | 80.00% | 55.00% | ' |
Acres of oil and gas property, working interest, gross | ' | ' | ' | 4,506 | 9,390 | ' |
Acres of oil and gas property, working interest, net | ' | ' | ' | 4,506 | 6,638 | ' |
Acres of oil and gas property, mineral interest, gross | ' | ' | ' | ' | ' | 14,804 |
Acres of oil and gas property, mineral interest, net | ' | ' | ' | ' | ' | 12,687 |
Percent of royalty interest | ' | ' | ' | ' | ' | 21.40% |
Payments to acquire mineral interests | $57,688 | $440,000 | ' | ' | ' | $440,000 |
Viper_Energy_Partners_LP_Detai
Viper Energy Partners LP (Details) (Viper Energy Partners LP [Member], USD $) | Sep. 30, 2014 | Jun. 23, 2014 | Jun. 23, 2014 | Jun. 23, 2014 | Jun. 23, 2014 | Sep. 19, 2014 | Sep. 19, 2014 | Jun. 23, 2014 | Jun. 23, 2014 | Sep. 30, 2014 |
In Millions, except Share data, unless otherwise specified | IPO [Member] | IPO [Member] | Over-Allotment Option [Member] | Public Offering [Member] | Public Offering [Member] | Diamondback Energy, Inc. [Member] | Diamondback Energy, Inc. [Member] | Diamondback Energy, Inc. [Member] | ||
Limited Partner [Member] | Limited Partner [Member] | |||||||||
Noncontrolling Interest [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Interest in Viper Energy Partners LP | 88.00% | 92.00% | ' | ' | ' | ' | ' | ' | ' | ' |
Units issued by Viper Energy Partners LP | ' | ' | 5,750,000 | ' | 750,000 | 3,500,000 | ' | ' | ' | ' |
Noncontrolling owners' interest in Viper Energy Partners LP | ' | ' | ' | 8.00% | ' | ' | ' | ' | ' | ' |
Price per common unit (in dollars per unit) | ' | ' | ' | $26 | ' | ' | $28.50 | ' | ' | ' |
Proceeds from sale of common units, net of offering expenses and underwriting discounts and commissions | ' | ' | $137.20 | ' | ' | $95.10 | ' | ' | ' | ' |
Exchange of membership interests for common units | ' | ' | ' | ' | ' | ' | ' | ' | 70,450,000 | ' |
Distribution payable | ' | ' | ' | ' | ' | ' | ' | 11.6 | ' | ' |
Cash distributions | ' | ' | ' | ' | ' | ' | ' | ' | ' | $148.80 |
Property_and_Equipment_Details
Property and Equipment (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Property, Plant and Equipment | ' | ' | ' | ' | ' |
Subject to depletion | $2,032,814 | ' | $2,032,814 | ' | $1,278,799 |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Not subject to depletion-acquisition costs | 867,479 | ' | 867,479 | ' | 369,561 |
Gross oil and natural gas properties | 2,900,293 | ' | 2,900,293 | ' | 1,648,360 |
Less accumulated depreciation, depletion, amortization and impairment | -326,228 | ' | -326,228 | ' | -210,837 |
Net oil and natural gas properties capitalized | 2,574,065 | ' | 2,574,065 | ' | 1,437,523 |
Pipeline and gas gathering assets | 6,998 | ' | 6,998 | ' | 6,142 |
Other property and equipment, net | 45,096 | ' | 45,096 | ' | 2,672 |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 2,626,159 | ' | 2,626,159 | ' | 1,446,337 |
Average depletion rate per barrel equivalent unit of production | 23.71 | 25.24 | 24.39 | 24.76 | ' |
Capitalized general and administrative costs | 2,383 | 1,038 | 7,311 | 2,678 | ' |
Incurred in 2014 [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Not subject to depletion-acquisition costs | 594,465 | ' | 594,465 | ' | 0 |
Incurred in 2013 [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Not subject to depletion-acquisition costs | 203,863 | ' | 203,863 | ' | 279,353 |
Incurred in 2012 [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Not subject to depletion-acquisition costs | 68,387 | ' | 68,387 | ' | 87,252 |
Incurred in 2011 [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Not subject to depletion-acquisition costs | 764 | ' | 764 | ' | 1,598 |
Incurred in 2010 [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Not subject to depletion-acquisition costs | $0 | ' | $0 | ' | $1,358 |
Minimum [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Number of years until unevaluated properties are included in full cost pool | ' | ' | '3 years | ' | ' |
Maximum [Member] | ' | ' | ' | ' | ' |
Oil and Natural Gas Properties: | ' | ' | ' | ' | ' |
Number of years until unevaluated properties are included in full cost pool | ' | ' | '5 years | ' | ' |
Asset_Retirement_Obligations_D
Asset Retirement Obligations (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 |
Changes in ARO liability | ' | ' | ' | ' | ' |
Asset retirement obligation, beginning of period | ' | ' | $3,029 | $2,145 | ' |
Additional liability incurred | ' | ' | 567 | 162 | ' |
Liabilities acquired | ' | ' | 3,678 | 471 | ' |
Liabilities settled | ' | ' | -10 | -14 | ' |
Accretion expense | 127 | 46 | 303 | 134 | ' |
Revisions in estimated liability | ' | ' | 588 | 0 | ' |
Asset retirement obligation, end of period | 8,155 | 2,898 | 8,155 | 2,898 | ' |
Less current portion | 40 | 20 | 40 | 20 | ' |
Asset retirement obligations - long-term | $8,115 | $2,878 | $8,115 | $2,878 | $2,989 |
Debt_Longterm_Debt_Details
Debt - Long-term Debt (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Debt Instrument [Line Items] | ' | ' |
Long-term Debt | $590,000 | $460,000 |
Revolving Credit Facility [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term Debt | 140,000 | 10,000 |
Senior Notes [Member] | Senior Unsecured Notes due 2021 [Member] | ' | ' |
Debt Instrument [Line Items] | ' | ' |
Long-term Debt | $450,000 | $450,000 |
Debt_Senior_Notes_Details
Debt - Senior Notes (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 18, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 19, 2013 |
Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Senior Notes [Member] | Make-whole premium option [Member] | Net cash proceeds of certain equity offerings [Member] | Midland County, Texas [Member] | |
Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Notes [Member] | Senior Notes [Member] | acre | |
12-month period beginning October 1, 2016 [Member] | 12-month period beginning October 1, 2017 [Member] | 12-month period beginning October 1, 2018 [Member] | 12-month period beginning October 1, 2019 and thereafter [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | |||||
Period prior to October 1, 2016 [Member] | Period prior to October 1, 2016 [Member] | |||||||||
Debt Instrument [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Aggregate principal amount | ' | ' | $450,000,000 | ' | ' | ' | ' | ' | ' | ' |
Stated interest rate | 7.63% | 7.63% | 7.63% | ' | ' | ' | ' | ' | ' | ' |
Acres of oil and gas property, mineral interest, gross | ' | ' | ' | ' | ' | ' | ' | ' | ' | 14,804 |
Acres of oil and gas property, mineral interest, net | ' | ' | ' | ' | ' | ' | ' | ' | ' | 12,687 |
Redemption price, expressed as percentage of principal amount | ' | ' | ' | 105.72% | 103.81% | 101.91% | 100.00% | 100.00% | 107.63% | ' |
Maximum percent of aggregate principal amount redeemable | ' | ' | ' | ' | ' | ' | ' | ' | 35.00% | ' |
Minimum required principal amount to remain outstanding subsequent to redemption | ' | ' | ' | ' | ' | ' | ' | ' | 65.00% | ' |
Number of days within closing date redemption can occur | ' | ' | ' | ' | ' | ' | ' | ' | '120 days | ' |
Debt_Credit_Facility_Wells_Far
Debt - Credit Facility - Wells Fargo Bank (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2014 | Nov. 02, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 |
Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Senior Unsecured Notes due 2021 [Member] | Senior Unsecured Notes due 2021 [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | |||
Senior Notes [Member] | Senior Notes [Member] | redetermindation | Minimum [Member] | Maximum [Member] | Base Rate [Member] | Base Rate [Member] | Federal Funds Rate [Member] | LIBOR, 3-month [Member] | LIBOR [Member] | LIBOR [Member] | ||||||
Minimum [Member] | Maximum [Member] | Minimum [Member] | Maximum [Member] | |||||||||||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | ' | $600,000,000 | ' | ' | ' | ' | ' | ' | ' | ' |
Number of additional redeterminations that may be requested | ' | ' | ' | ' | ' | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of Redeterminations | ' | ' | ' | ' | ' | ' | '12 months | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current borrowing base | ' | ' | ' | ' | ' | ' | 350,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt outstanding | 590,000,000 | 460,000,000 | 140,000,000 | 10,000,000 | 450,000,000 | 450,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basis spread on variable rate | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.50% | 1.50% | 0.50% | 1.00% | 1.50% | 2.50% |
Quarterly commitment fee percentage based on unused portion of borrowing base | ' | ' | ' | ' | ' | ' | ' | ' | 0.38% | 0.50% | ' | ' | ' | ' | ' | ' |
Financial covenant, maximum issuance of unsecured debt | ' | ' | ' | ' | ' | ' | $750,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial covenant, reduction of borrowing base | ' | ' | ' | ' | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt_Partnership_Credit_Facili
Debt - Partnership Credit Facility - Wells Fargo Bank (Details) (Revolving Credit Facility [Member], USD $) | 9 Months Ended | 0 Months Ended | 9 Months Ended | ||||||||||||||||||
Sep. 30, 2014 | Nov. 02, 2013 | Jul. 08, 2014 | Sep. 30, 2014 | Jul. 08, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | |
redetermindation | Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | Federal Funds Rate [Member] | Federal Funds Rate [Member] | LIBOR, 3-month [Member] | LIBOR, 3-month [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Minimum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | Maximum [Member] | ||
Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | Viper Energy Partners LP [Member] | Base Rate [Member] | Base Rate [Member] | LIBOR [Member] | LIBOR [Member] | Viper Energy Partners LP [Member] | Base Rate [Member] | Base Rate [Member] | LIBOR [Member] | LIBOR [Member] | |||||||
redetermindation | Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | Wells Fargo [Member] | |||||||||||||||
Line of Credit Facility [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Maximum borrowing capacity | ' | $600,000,000 | ' | ' | $500,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Number of additional redeterminations that may be requested | 3 | ' | 3 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Period of Redeterminations | '12 months | ' | '12 months | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Current borrowing base | 350,000,000 | ' | ' | 110,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Outstanding borrowings | ' | ' | ' | 0 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Basis spread on variable rate | ' | ' | ' | ' | ' | 0.50% | 0.50% | 1.00% | 1.00% | ' | ' | 0.50% | 0.50% | 1.50% | 1.50% | ' | ' | 1.50% | 1.50% | 2.50% | 2.50% |
Quarterly commitment fee percentage based on unused portion of borrowing base | ' | ' | ' | ' | ' | ' | ' | ' | ' | 0.38% | 0.38% | ' | ' | ' | ' | 0.50% | 0.50% | ' | ' | ' | ' |
Financial covenant, maximum issuance of unsecured debt | $750,000,000 | ' | ' | $250,000,000 | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Financial covenant, reduction of borrowing base | 25.00% | ' | ' | 25.00% | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Debt_Financial_Covenant_Table_
Debt - Financial Covenant Table (Details) (Revolving Credit Facility [Member]) | Sep. 30, 2014 |
Maximum [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Ratio of total debt to EBITDAX, not greater than 4.0 | 4 |
Minimum [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Ratio of current assets to liabilities, as defined in the credit agreement, not less than 1.0 | 1 |
Viper Energy Partners LP [Member] | Wells Fargo [Member] | ' |
Line of Credit Facility [Line Items] | ' |
Ratio of total debt to EBITDAX, not greater than 4.0 | 4 |
Ratio of current assets to liabilities, as defined in the credit agreement, not less than 1.0 | 1 |
Capital_Stock_and_Earnings_Per2
Capital Stock and Earnings Per Share - Capital Stock (Details) (Common Stock [Member], USD $) | 0 Months Ended | 1 Months Ended | |||
In Millions, except Share data, unless otherwise specified | Jul. 25, 2014 | 21-May-13 | Feb. 28, 2014 | Aug. 31, 2013 | Jul. 25, 2014 |
Common Stock [Member] | ' | ' | ' | ' | ' |
Class of Stock [Line Items] | ' | ' | ' | ' | ' |
Shares issued upon public offering | 5,750,000 | 5,175,000 | 3,450,000 | 4,600,000 | ' |
Common stock issued pursuant to underwriters over allotment option | 750,000 | 675,000 | 450,000 | 600,000 | ' |
Stock price per share at public offering (in dollars per share) | ' | $29.25 | $62.67 | $40.25 | $87 |
Net proceeds received from public offering | $485 | $144.40 | $208.40 | $177.50 | ' |
Capital_Stock_and_Earnings_Per3
Capital Stock and Earnings Per Share - Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Basic: | ' | ' | ' | ' |
Net income attributable to common stock, basic | $43,739 | $14,596 | $95,081 | $34,463 |
Net income attributable to common stock, basic (in shares) | 55,152 | 44,385 | 51,489 | 40,309 |
Net income attributable to common stock, basic, (in dollars per share) | $0.79 | $0.33 | $1.85 | $0.85 |
Effect of Dilutive Securities: | ' | ' | ' | ' |
Dilutive effect of potential common shares issuable | -53 | 0 | 16 | 0 |
Dilutive effect of potential common shares issuable (in shares) | 290 | 313 | 399 | 215 |
Diluted: | ' | ' | ' | ' |
Net income attributable to common stock, diluted | $43,686 | $14,596 | $95,097 | $34,463 |
Net income attributable to common stock, diluted (in shares) | 55,442 | 44,698 | 51,888 | 40,524 |
Net income attributable to common stock, diluted (in dollars per share) | $0.79 | $0.33 | $1.83 | $0.85 |
Stock_Based_Compensation_Addit
Stock Based Compensation - Additional Disclosures (Details) (USD $) | 3 Months Ended | 9 Months Ended | 0 Months Ended | |||||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Jun. 17, 2014 | Jun. 17, 2014 | Jun. 17, 2014 |
Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | Executive Officers of General Partner [Member] | Executive Officers of General Partner [Member] | |||||
Viper LTIP [Member] | Viper LTIP [Member] | Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | |||||
Viper LTIP [Member] | Viper LTIP [Member] | |||||||
Stock/Unit Options [Member] | ||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Stock and equity based compensation | $4,112 | $749 | $10,145 | $2,105 | ' | ' | ' | ' |
Capitalized stock and equity based compensation | $2,043 | $259 | $4,758 | $679 | ' | ' | ' | ' |
Maximum number of units that could be awarded | ' | ' | ' | ' | ' | 9,144,000 | ' | ' |
Options granted (shares) | ' | ' | 0 | ' | 2,500,000 | ' | 2,500,000 | ' |
Award vesting percentage | ' | ' | ' | ' | ' | ' | ' | 33.00% |
Stock_Based_Compensation_Stock
Stock Based Compensation - Stock/Unit Option Activity (Details) (USD $) | 9 Months Ended |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 |
Number of Options (in shares) | ' |
Outstanding, beginning of period | 712,955 |
Granted | 0 |
Exercised | -293,450 |
Expired/forfeited | 0 |
Outstanding, end of period | 419,505 |
Vested and expected to vest, at period end | 419,505 |
Exercisable, at period end | 159,755 |
Weighted Average Exercise Price (in dollars per share) | ' |
Outstanding, beginning of period | $17.96 |
Granted | $0 |
Exercised | $17.78 |
Expired/forfeited | $0 |
Outstanding, end of period | $18.09 |
Vested and expected to vest, period end | $18.09 |
Exercisable, period end | $17.50 |
Outstanding, period end, remaining term | '1 year 11 months 20 days |
Vested and expected to vest, period end, remaining term | '1 year 11 months 20 days |
Exercisable, period end, remaining term | '1 year 5 months 20 days |
Outstanding, period end, intrinsic value | $23,783 |
Vested and expected to vest, period end, intrinsic value | 23,783 |
Exercisable, period end, intrinsic value | 9,151 |
Options exercised, intrinsic value | 16,778 |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized [Abstract] | ' |
Unrecognized compensation cost related to unvested stock options | 959 |
Stock/Unit Options [Member] | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized [Abstract] | ' |
Unrecognized compensation cost, period of recognition | '1 year 1 month 25 days |
Viper Energy Partners LP [Member] | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized [Abstract] | ' |
Unrecognized compensation cost related to unvested stock options | 9,589 |
Viper Energy Partners LP [Member] | Stock/Unit Options [Member] | ' |
Employee Service Share-based Compensation, Nonvested Awards, Total Compensation Cost Not yet Recognized [Abstract] | ' |
Unrecognized compensation cost, period of recognition | '2 years 8 months 18 days |
Viper LTIP [Member] | Viper Energy Partners LP [Member] | ' |
Number of Options (in shares) | ' |
Outstanding, beginning of period | 0 |
Granted | 2,500,000 |
Outstanding, end of period | 2,500,000 |
Vested and expected to vest, at period end | 2,500,000 |
Exercisable, at period end | 0 |
Weighted Average Exercise Price (in dollars per share) | ' |
Outstanding, beginning of period | $0 |
Granted | $26 |
Outstanding, end of period | $26 |
Vested and expected to vest, period end | $26 |
Exercisable, period end | $0 |
Outstanding, period end, remaining term | '2 years 8 months 18 days |
Vested and expected to vest, period end, remaining term | '2 years 8 months 18 days |
Exercisable, period end, remaining term | '0 years |
Outstanding, period end, intrinsic value | 0 |
Vested and expected to vest, period end, intrinsic value | 0 |
Exercisable, period end, intrinsic value | $0 |
Stock_Based_Compensation_Restr
Stock Based Compensation - Restricted Stock Units (Details) (Restricted Stock Units (RSUs) [Member], USD $) | 9 Months Ended |
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 |
Weighted Average Grant-Date Fair Value (in dollars per share) | ' |
Aggregate fair value of restricted stock units that vested | $7,248 |
Unrecognized compensation cost related to unvested awards | $6,703 |
Unrecognized compensation cost, period of recognition | '1 year 6 months 25 days |
2012 Plan [Member] | ' |
Awards & Units (in shares) | ' |
Unvested at Beginning of period | 132,499 |
Granted | 148,722 |
Vested | -98,560 |
Forfeited | -1,200 |
Unvested at end of period | 181,461 |
Weighted Average Grant-Date Fair Value (in dollars per share) | ' |
Unvested at beginning of period | $19.20 |
Granted | $66.93 |
Vested | $38.31 |
Forfeited | $41.66 |
Unvested at end of period | $47.80 |
Stock_Based_Compensation_Valua
Stock Based Compensation - Valuation Assumptions (Details) (USD $) | 9 Months Ended |
Sep. 30, 2014 | |
Performance Restricted Stock Units [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Grant-date fair value, performance restricted stock units (in dollars per share) | $125.63 |
Risk-free rate | 0.30% |
Company volatility | 39.60% |
Viper Energy Partners LP [Member] | Stock/Unit Options [Member] | ' |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' |
Grant-date fair value, unit options (in dollars per share) | $4.24 |
Risk-free rate | 0.99% |
Company volatility | 36.00% |
Expected dividend yield | 5.90% |
Expected term (in years) | '3 years |
Stock_Based_Compensation_Perfo
Stock Based Compensation - Performance Restricted Stock Activity (Details) (Performance Restricted Stock Units [Member], USD $) | 1 Months Ended | 9 Months Ended | |
In Thousands, except Share data, unless otherwise specified | Feb. 28, 2014 | Sep. 30, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | |
Performance shares, performance period | ' | '3 years | |
Maximum number of units that could be awarded | ' | 158,300 | |
Awards & Units (in shares) | ' | ' | |
Granted | 79,150 | ' | |
Weighted Average Grant-Date Fair Value (in dollars per share) | ' | ' | |
Granted | ' | $125.63 | |
Unrecognized compensation cost related to unvested awards | ' | $6,751 | |
Unrecognized compensation cost, period of recognition | ' | '1 year 3 months 1 day | |
2012 Plan [Member] | ' | ' | |
Awards & Units (in shares) | ' | ' | |
Unvested at Beginning of period | ' | 0 | |
Granted | ' | 79,150 | |
Vested | ' | 0 | |
Forfeited | ' | 0 | |
Unvested at end of period | ' | 79,150 | [1] |
Weighted Average Grant-Date Fair Value (in dollars per share) | ' | ' | |
Unvested at beginning of period | ' | $0 | |
Granted | ' | $125.63 | |
Vested | ' | $0 | |
Forfeited | ' | $0 | |
Unvested at end of period | ' | $125.63 | [1] |
Minimum [Member] | ' | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | |
Number of shares authorized to be awarded, percent of initial awards received | 0.00% | ' | |
Maximum [Member] | ' | ' | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ' | ' | |
Number of shares authorized to be awarded, percent of initial awards received | 200.00% | ' | |
[1] | A maximum of 158,300 units could be awarded based upon the Company’s final TSR ranking. |
Related_Party_Transactions_Adm
Related Party Transactions - Administrative Services (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Related Party Transaction | ' | ' | ' | ' | ' |
Accounts payable-related party | $0 | ' | $0 | ' | $17,000 |
Subsidiary of Common Parent [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Initial term of the additional shared services agreement | ' | ' | '2 years | ' | ' |
Related party incurred costs | 3,000 | 70,000 | 6,000 | 179,000 | ' |
Accounts payable-related party | 0 | ' | 0 | ' | 17,000 |
Affiliated Entity [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Initial term of the additional shared services agreement | ' | ' | '2 years | ' | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' |
Reimbursement from affiliate | 31,000 | 270,000 | 91,000 | 1,047,000 | ' |
Amount owed by affiliate | $0 | ' | $0 | ' | $0 |
Related_Party_Transactions_Dri
Related Party Transactions - Drilling Services (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
drilling_rig | |||||
Bison [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Number of drilling rigs committed to use during the period | ' | ' | 2 | ' | ' |
Number of drilling rigs | ' | ' | 0 | ' | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' |
Related party incurred costs | $907,000 | $2,168,000 | $3,402,000 | $11,795,000 | ' |
Amount owed to related party | 0 | ' | 0 | ' | 0 |
Panther Drilling [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' |
Related party incurred costs | 0 | ' | 305,000 | ' | ' |
Amount owed to related party | $0 | ' | $0 | ' | $0 |
Related_Party_Transactions_Cor
Related Party Transactions - Coronado Midstream (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Related Party Transaction | ' | ' | ' | ' | ' |
Natural gas revenue from related party | $4,390,000 | $1,172,000 | $10,806,000 | $2,898,000 | ' |
Coronado Midstream [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Initial term of the additional shared services agreement | ' | ' | '10 years | ' | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' |
Natural gas revenue from related party | 6,764,000 | 1,877,000 | 17,176,000 | 4,694,000 | ' |
Related party incurred costs | 1,070,000 | 325,000 | 2,751,000 | 791,000 | ' |
Amount owed from related party from the sale of gas, gas products and residue gas | $3,915,000 | ' | $3,915,000 | ' | $1,303,000 |
Coronado Midstream [Member] | Coronado Midstream Plant [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Percent of natural gas revenue from related party | 87.00% | ' | 87.00% | ' | ' |
Coronado Midstream [Member] | Chevron Headlee Plant [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Percent of natural gas revenue from related party | 94.56% | ' | 94.56% | ' | ' |
Related_Party_Transactions_San
Related Party Transactions - Sand Supply (Details) (Muskie [Member], USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Muskie [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' |
Related party incurred costs | $0 | $0 | $0 | $234,000 | ' |
Amount owed to related party | $0 | ' | $0 | ' | $0 |
Related_Party_Transactions_Mid
Related Party Transactions - Midland Leases (Details) (Midland, Texas [Member], Wexford Affiliate [Member], USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 7 Months Ended | 9 Months Ended | |||||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Oct. 02, 2013 | Aug. 02, 2013 | Jul. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 |
Corporate Office Space [Member] | Corporate Office Space [Member] | Corporate Office Space [Member] | Corporate Office Space [Member] | Corporate Office Space [Member] | Corporate Office Space [Member] | Corporate Office Space [Member] | Field Office Space [Member] | Field Office Space [Member] | Field Office Space [Member] | |
Related Party Transaction | ' | ' | ' | ' | ' | ' | ' | ' | ' | ' |
Term of lease from related party | ' | ' | '5 years | ' | ' | ' | ' | ' | '4 years | ' |
Office rent to affiliate | $97 | $49 | $288 | $131 | ' | ' | ' | $37 | ' | $84 |
Monthly rent | ' | ' | ' | ' | $25 | $15 | $13 | $11 | $11 | $11 |
Annual monthly rent increase | 4.00% | ' | 4.00% | ' | ' | ' | ' | 3.00% | 3.00% | 3.00% |
Related_Party_Transactions_Okl
Related Party Transactions - Oklahoma City Lease (Details) (Oklahoma City, Oklahoma [Member], Wexford Affiliate [Member], USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Oklahoma City, Oklahoma [Member] | Wexford Affiliate [Member] | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' |
Term of lease from related party | ' | ' | '67 months | ' |
Office rent to affiliate | $74 | $67 | $199 | $178 |
Monthly rent | $19 | ' | $19 | ' |
Related_Party_Transactions_Adv
Related Party Transactions - Advisory Services Agreement & Professional Services from Wexford (Details) (Advisory Services Agreement [Member], Wexford [Member], USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Advisory Services Agreement [Member] | Wexford [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Advisory services agreement, annual fee | ' | ' | $500,000 | ' | ' |
Term of advisory services agreement | ' | ' | '2 years | ' | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' |
Related party incurred costs | 125,000 | 125,000 | 375,000 | 375,000 | ' |
Amount owed to related party | $0 | ' | $0 | ' | $0 |
Related_Party_Transactions_Adv1
Related Party Transactions - Advisory Services Agreement - Viper Energy Partners LP (Details) (Wexford [Member], Advisory Services Agreement [Member], USD $) | 3 Months Ended | 9 Months Ended | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | Sep. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2014 | |
Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | Viper Energy Partners LP [Member] | ||||||
Related Party Transaction | ' | ' | ' | ' | ' | ' | ' | ' |
Advisory services agreement, annual fee | ' | ' | $500,000 | ' | ' | ' | $500,000 | ' |
Term of advisory services agreement | ' | ' | '2 years | ' | ' | ' | '2 years | ' |
Renewal term of advisory services agreement | ' | ' | ' | ' | ' | ' | '1 year | ' |
Minimum period for cancellation of additional one-year periods | ' | ' | ' | ' | ' | ' | '10 days | ' |
Agreement termination, written notice period | ' | ' | '30 days | ' | ' | ' | '30 days | ' |
Related party incurred costs | 125,000 | 125,000 | 375,000 | 375,000 | ' | 143,000 | ' | 143,000 |
Amount owed to related party | $0 | ' | $0 | ' | $0 | $0 | $0 | $0 |
Related_Party_Transactions_Sec
Related Party Transactions - Secondary Offering Costs (Details) (Wexford and Gulfport Affiliates [Member], USD $) | 0 Months Ended | ||||
Sep. 23, 2014 | Jun. 27, 2014 | Jul. 05, 2013 | Jun. 24, 2013 | Jul. 05, 2013 | |
Related Party Transaction | ' | ' | ' | ' | ' |
Related party incurred costs | ' | ' | ' | ' | $185,000 |
Common Stock [Member] | ' | ' | ' | ' | ' |
Related Party Transaction | ' | ' | ' | ' | ' |
Shares sold in secondary public offering | 2,500,000 | 2,000,000 | ' | 6,000,000 | ' |
Shares sold by existing stockholders | ' | ' | 869,222 | ' | ' |
Stock price per share, selling stockholders (in dollars per share) | ' | $90.04 | ' | ' | $34.75 |
Related party incurred costs | $100,000 | $129,000 | ' | ' | ' |
Derivatives_Open_Derivative_Po
Derivatives - Open Derivative Positions (Details) (Argus Louisiana Light Sweet [Member], Crude Oil [Member], Swap [Member]) | Sep. 30, 2014 |
bbl | |
October - December 2014 [Member] | ' |
Derivative [Line Items] | ' |
Volume (Bbls) | 644,000 |
Fixed Swap Price | 98.64 |
January - April 2015 [Member] | ' |
Derivative [Line Items] | ' |
Volume (Bbls) | 331,000 |
Fixed Swap Price | 99.71 |
Derivatives_Offsetting_Derivat
Derivatives - Offsetting Derivative Instruments (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ' |
Gross Amounts of Recognized Assets | $6,061 | $998 |
Gross Amounts Offset in the Consolidated Balance Sheet | 0 | -567 |
Net Amounts of Assets Presented in the Consolidated Balance Sheet | $6,061 | $431 |
Derivatives_Balance_Sheet_Loca
Derivatives - Balance Sheet Location (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ' |
Current Assets: Derivative instruments | $6,061 | $213 |
Noncurrent Assets: Derivative instruments | 0 | 218 |
Total Assets | $6,061 | $431 |
Derivatives_Gains_and_Losses_o
Derivatives - Gains and Losses on Derivative Instruments Included in Statement of Operations (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | ' | ' | ' |
Non-cash gain (loss) on open non-hedge derivative instruments | $16,440 | ($1,695) | $5,630 | $3,733 |
Loss on settlement of non-hedge derivative instruments | -1,531 | -3,215 | -6,207 | -5,614 |
Gain (loss) on derivative instruments | $14,909 | ($4,910) | ($577) | ($1,881) |
Fair_Value_Measurements_Recurr
Fair Value Measurements - Recurring Measurements (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets: | ' | ' |
Fixed price swaps | $6,061 | $431 |
Recurring [Member] | Quoted Prices in Active Markets Level 1 [Member] | ' | ' |
Assets: | ' | ' |
Fixed price swaps | 0 | 0 |
Recurring [Member] | Significant Other Observable Inputs Level 2 [Member] | ' | ' |
Assets: | ' | ' |
Fixed price swaps | 6,061 | 431 |
Recurring [Member] | Significant Unobservable Inputs Level 3 [Member] | ' | ' |
Assets: | ' | ' |
Fixed price swaps | 0 | 0 |
Recurring [Member] | Total [Member] | ' | ' |
Assets: | ' | ' |
Fixed price swaps | $6,061 | $431 |
Fair_Value_Measurements_Nonrec
Fair Value Measurements - Nonrecurring Measurements (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 18, 2013 |
Carrying Amount [Member] | Nonrecurring [Member] | ' | ' | ' |
Fair value of assets and liabilities measured on a recurring and nonrecurring basis | ' | ' | ' |
Revolving credit facility | 140,000,000 | 10,000,000 | ' |
7.625% Senior Notes due 2021 | 450,000,000 | 450,000,000 | ' |
Fair Value [Member] | Nonrecurring [Member] | ' | ' | ' |
Fair value of assets and liabilities measured on a recurring and nonrecurring basis | ' | ' | ' |
Revolving credit facility | 140,000,000 | 10,000,000 | ' |
7.625% Senior Notes due 2021 | 486,000,000 | 460,406,000 | ' |
Senior Unsecured Notes due 2021 [Member] | Senior Notes [Member] | ' | ' | ' |
Fair value of assets and liabilities measured on a recurring and nonrecurring basis | ' | ' | ' |
Stated interest rate | 7.63% | 7.63% | 7.63% |
Viper Energy Partners LP [Member] | Carrying Amount [Member] | Nonrecurring [Member] | ' | ' | ' |
Fair value of assets and liabilities measured on a recurring and nonrecurring basis | ' | ' | ' |
Revolving credit facility | 0 | 0 | ' |
Viper Energy Partners LP [Member] | Fair Value [Member] | Nonrecurring [Member] | ' | ' | ' |
Fair value of assets and liabilities measured on a recurring and nonrecurring basis | ' | ' | ' |
Revolving credit facility | 0 | 0 | ' |
Subsequent_Events_Details
Subsequent Events (Details) (USD $) | Nov. 06, 2014 | Nov. 06, 2014 | Nov. 06, 2014 | Nov. 06, 2014 | Nov. 06, 2014 | Sep. 30, 2014 | Nov. 02, 2013 | Nov. 06, 2014 |
Swap [Member] | Swap [Member] | Swap [Member] | Swap [Member] | Swap [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | Revolving Credit Facility [Member] | |
November 2014 - December 2014 [Member] | January 2015 - December 2015 [Member] | January 2015 - December 2015 [Member] | February 2015 - January 2016 [Member] | March 2015 - February 2016 [Member] | Subsequent Event [Member] | |||
Argus Louisiana Light Sweet [Member] | Argus Louisiana Light Sweet [Member] | NYMEX West Texas Intermediate [Member] | ICE Brent [Member] | ICE Brent [Member] | ||||
Crude Oil [Member] | Crude Oil [Member] | Crude Oil [Member] | Crude Oil [Member] | Crude Oil [Member] | ||||
Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | Subsequent Event [Member] | ||||
bbl | bbl | bbl | bbl | bbl | ||||
Subsequent Event [Line Items] | ' | ' | ' | ' | ' | ' | ' | ' |
Volume (Bbls) | 183,000 | 1,095,000 | 1,825,000 | 640,000 | 91,000 | ' | ' | ' |
Fixed Swap Price | 82.95 | 90.99 | 84.1 | 88.78 | 88.72 | ' | ' | ' |
Maximum borrowing capacity | ' | ' | ' | ' | ' | ' | $600,000,000 | $750,000,000 |
Current borrowing base | ' | ' | ' | ' | ' | $350,000,000 | ' | $500,000,000 |
Guarantor_Financial_Statements2
Guarantor Financial Statements - Balance Sheet (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 | Sep. 30, 2013 | Dec. 31, 2012 |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | $40,644,000 | $15,555,000 | $53,100,000 | $26,358,000 |
Accounts receivable | 86,313,000 | 37,970,000 | ' | ' |
Accounts receivable - related party | 3,915,000 | 1,303,000 | ' | ' |
Royalty income receivable | ' | 0 | ' | ' |
Intercompany receivable | 0 | 0 | ' | ' |
Intercompany note receivable | ' | 0 | ' | ' |
Inventories | 3,105,000 | 5,631,000 | ' | ' |
Deferred income taxes | 0 | 112,000 | ' | ' |
Other current assets | 9,284,000 | 1,397,000 | ' | ' |
Total current assets | 143,261,000 | 61,968,000 | ' | ' |
Property and equipment | ' | ' | ' | ' |
Oil and natural gas properties, at cost, based on the full cost method of accounting | 2,900,293,000 | 1,648,360,000 | ' | ' |
Pipeline and gas gathering assets | 7,102,000 | 6,142,000 | ' | ' |
Other property and equipment | 47,286,000 | 4,071,000 | ' | ' |
Accumulated depletion, depreciation, amortization and impairment | -328,522,000 | -212,236,000 | ' | ' |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 2,626,159,000 | 1,446,337,000 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other assets | 51,135,000 | 13,309,000 | ' | ' |
Total assets | 2,820,555,000 | 1,521,614,000 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable-trade | 8,009,000 | 2,679,000 | ' | ' |
Accounts payable-related party | 0 | 17,000 | ' | ' |
Intercompany payable | 0 | 0 | ' | ' |
Intercompany accrued interest | ' | 0 | ' | ' |
Other current liabilities | 188,277,000 | 118,624,000 | ' | ' |
Total current liabilities | 196,286,000 | 121,320,000 | ' | ' |
Long-term debt | 590,000,000 | 460,000,000 | ' | ' |
Intercompany note payable | ' | 0 | ' | ' |
Asset retirement obligations | 8,115,000 | 2,989,000 | 2,878,000 | ' |
Deferred income taxes | 140,308,000 | 91,764,000 | ' | ' |
Total liabilities | 934,709,000 | 676,073,000 | ' | ' |
Commitments and contingencies | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Stockholders’ equity: | 1,651,528,000 | 845,541,000 | ' | ' |
Noncontrolling interest | 234,318,000 | 0 | ' | ' |
Total equity | 1,885,846,000 | 845,541,000 | ' | ' |
Total liabilities and equity | 2,820,555,000 | 1,521,614,000 | ' | ' |
Eliminations [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 0 | 0 | 0 | 0 |
Accounts receivable | 2,000 | 9,426,000 | ' | ' |
Accounts receivable - related party | 0 | 0 | ' | ' |
Royalty income receivable | ' | -9,426,000 | ' | ' |
Intercompany receivable | -3,350,715,000 | -1,128,913,000 | ' | ' |
Intercompany note receivable | ' | -440,000,000 | ' | ' |
Inventories | 0 | 0 | ' | ' |
Deferred income taxes | ' | 0 | ' | ' |
Other current assets | 0 | 0 | ' | ' |
Total current assets | -3,350,713,000 | -1,568,913,000 | ' | ' |
Property and equipment | ' | ' | ' | ' |
Oil and natural gas properties, at cost, based on the full cost method of accounting | 0 | 0 | ' | ' |
Pipeline and gas gathering assets | 0 | 0 | ' | ' |
Other property and equipment | 0 | 0 | ' | ' |
Accumulated depletion, depreciation, amortization and impairment | 2,466,000 | 0 | ' | ' |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 2,466,000 | 0 | ' | ' |
Investment in subsidiaries | -693,594,000 | -235,334,000 | ' | ' |
Other assets | 0 | 0 | ' | ' |
Total assets | -4,041,841,000 | -1,804,247,000 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable-trade | 0 | 0 | ' | ' |
Accounts payable-related party | ' | 0 | ' | ' |
Intercompany payable | -3,350,715,000 | -1,119,221,000 | ' | ' |
Intercompany accrued interest | ' | -9,692,000 | ' | ' |
Other current liabilities | 0 | 0 | ' | ' |
Total current liabilities | -3,350,715,000 | -1,128,913,000 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Intercompany note payable | ' | -440,000,000 | ' | ' |
Asset retirement obligations | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Total liabilities | -3,350,715,000 | -1,568,913,000 | ' | ' |
Commitments and contingencies | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Stockholders’ equity: | -925,444,000 | -235,334,000 | ' | ' |
Noncontrolling interest | 234,318,000 | ' | ' | ' |
Total equity | -691,126,000 | -235,334,000 | ' | ' |
Total liabilities and equity | -4,041,841,000 | -1,804,247,000 | ' | ' |
Parent Company [Member] | Reportable Legal Entities [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 6,518,000 | 526,000 | 30,565,000 | 14,000 |
Accounts receivable | 0 | 0 | ' | ' |
Accounts receivable - related party | 0 | 0 | ' | ' |
Royalty income receivable | ' | 0 | ' | ' |
Intercompany receivable | 1,634,314,000 | 715,169,000 | ' | ' |
Intercompany note receivable | ' | 440,000,000 | ' | ' |
Inventories | 0 | 0 | ' | ' |
Deferred income taxes | ' | 112,000 | ' | ' |
Other current assets | 336,000 | 0 | ' | ' |
Total current assets | 1,641,168,000 | 1,155,807,000 | ' | ' |
Property and equipment | ' | ' | ' | ' |
Oil and natural gas properties, at cost, based on the full cost method of accounting | 0 | 0 | ' | ' |
Pipeline and gas gathering assets | 0 | 0 | ' | ' |
Other property and equipment | 0 | 0 | ' | ' |
Accumulated depletion, depreciation, amortization and impairment | 0 | 0 | ' | ' |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 0 | 0 | ' | ' |
Investment in subsidiaries | 693,594,000 | 235,334,000 | ' | ' |
Other assets | 9,395,000 | 10,207,000 | ' | ' |
Total assets | 2,344,157,000 | 1,401,348,000 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable-trade | 0 | 0 | ' | ' |
Accounts payable-related party | ' | 0 | ' | ' |
Intercompany payable | 83,318,000 | 3,920,000 | ' | ' |
Intercompany accrued interest | ' | 0 | ' | ' |
Other current liabilities | 19,003,000 | 10,123,000 | ' | ' |
Total current liabilities | 102,321,000 | 14,043,000 | ' | ' |
Long-term debt | 450,000,000 | 450,000,000 | ' | ' |
Intercompany note payable | ' | 0 | ' | ' |
Asset retirement obligations | 0 | 0 | ' | ' |
Deferred income taxes | 140,308,000 | 91,764,000 | ' | ' |
Total liabilities | 692,629,000 | 555,807,000 | ' | ' |
Commitments and contingencies | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Stockholders’ equity: | 1,651,528,000 | 845,541,000 | ' | ' |
Noncontrolling interest | 0 | ' | ' | ' |
Total equity | 1,651,528,000 | 845,541,000 | ' | ' |
Total liabilities and equity | 2,344,157,000 | 1,401,348,000 | ' | ' |
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 20,622,000 | 14,267,000 | 22,535,000 | 26,344,000 |
Accounts receivable | 76,346,000 | 28,544,000 | ' | ' |
Accounts receivable - related party | 3,915,000 | 1,303,000 | ' | ' |
Royalty income receivable | ' | 0 | ' | ' |
Intercompany receivable | 1,716,401,000 | 413,744,000 | ' | ' |
Intercompany note receivable | ' | 0 | ' | ' |
Inventories | 3,105,000 | 5,631,000 | ' | ' |
Deferred income taxes | ' | 0 | ' | ' |
Other current assets | 8,381,000 | 1,397,000 | ' | ' |
Total current assets | 1,828,770,000 | 464,886,000 | ' | ' |
Property and equipment | ' | ' | ' | ' |
Oil and natural gas properties, at cost, based on the full cost method of accounting | 2,389,296,000 | 1,200,326,000 | ' | ' |
Pipeline and gas gathering assets | 7,102,000 | 6,142,000 | ' | ' |
Other property and equipment | 47,286,000 | 4,071,000 | ' | ' |
Accumulated depletion, depreciation, amortization and impairment | -306,187,000 | -207,037,000 | ' | ' |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 2,137,497,000 | 1,003,502,000 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other assets | 6,664,000 | 3,102,000 | ' | ' |
Total assets | 3,972,931,000 | 1,471,490,000 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable-trade | 8,009,000 | 2,679,000 | ' | ' |
Accounts payable-related party | ' | 17,000 | ' | ' |
Intercompany payable | 3,267,397,000 | 1,115,214,000 | ' | ' |
Intercompany accrued interest | ' | 0 | ' | ' |
Other current liabilities | 167,485,000 | 108,245,000 | ' | ' |
Total current liabilities | 3,442,891,000 | 1,226,155,000 | ' | ' |
Long-term debt | 140,000,000 | 10,000,000 | ' | ' |
Intercompany note payable | ' | 0 | ' | ' |
Asset retirement obligations | 8,115,000 | 2,989,000 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Total liabilities | 3,591,006,000 | 1,239,144,000 | ' | ' |
Commitments and contingencies | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Stockholders’ equity: | 381,925,000 | 232,346,000 | ' | ' |
Noncontrolling interest | 0 | ' | ' | ' |
Total equity | 381,925,000 | 232,346,000 | ' | ' |
Total liabilities and equity | 3,972,931,000 | 1,471,490,000 | ' | ' |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ' | ' | ' | ' |
Current assets: | ' | ' | ' | ' |
Cash and cash equivalents | 13,504,000 | 762,000 | 0 | 0 |
Accounts receivable | 9,965,000 | 0 | ' | ' |
Accounts receivable - related party | 0 | 0 | ' | ' |
Royalty income receivable | ' | 9,426,000 | ' | ' |
Intercompany receivable | 0 | 0 | ' | ' |
Intercompany note receivable | ' | 0 | ' | ' |
Inventories | 0 | 0 | ' | ' |
Deferred income taxes | ' | 0 | ' | ' |
Other current assets | 567,000 | 0 | ' | ' |
Total current assets | 24,036,000 | 10,188,000 | ' | ' |
Property and equipment | ' | ' | ' | ' |
Oil and natural gas properties, at cost, based on the full cost method of accounting | 510,997,000 | 448,034,000 | ' | ' |
Pipeline and gas gathering assets | 0 | 0 | ' | ' |
Other property and equipment | 0 | 0 | ' | ' |
Accumulated depletion, depreciation, amortization and impairment | -24,801,000 | -5,199,000 | ' | ' |
Property and equipment, net of accumulated depreciation, depletion, amortization and impairment | 486,196,000 | 442,835,000 | ' | ' |
Investment in subsidiaries | 0 | 0 | ' | ' |
Other assets | 35,076,000 | 0 | ' | ' |
Total assets | 545,308,000 | 453,023,000 | ' | ' |
Current liabilities: | ' | ' | ' | ' |
Accounts payable-trade | 0 | 0 | ' | ' |
Accounts payable-related party | ' | 0 | ' | ' |
Intercompany payable | 0 | 87,000 | ' | ' |
Intercompany accrued interest | ' | 9,692,000 | ' | ' |
Other current liabilities | 1,789,000 | 256,000 | ' | ' |
Total current liabilities | 1,789,000 | 10,035,000 | ' | ' |
Long-term debt | 0 | 0 | ' | ' |
Intercompany note payable | ' | 440,000,000 | ' | ' |
Asset retirement obligations | 0 | 0 | ' | ' |
Deferred income taxes | 0 | 0 | ' | ' |
Total liabilities | 1,789,000 | 450,035,000 | ' | ' |
Commitments and contingencies | ' | ' | ' | ' |
Stockholders’ equity: | ' | ' | ' | ' |
Stockholders’ equity: | 543,519,000 | 2,988,000 | ' | ' |
Noncontrolling interest | 0 | ' | ' | ' |
Total equity | 543,519,000 | 2,988,000 | ' | ' |
Total liabilities and equity | $545,308,000 | $453,023,000 | ' | ' |
Guarantor_Financial_Statements3
Guarantor Financial Statements - Income Statement (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Revenues: | ' | ' | ' | ' |
Oil sales | $126,406 | $53,086 | $331,446 | $119,373 |
Natural gas sales | 4,712 | 1,563 | 12,376 | 4,382 |
Natural gas liquid sales | 8,009 | 3,142 | 20,313 | 8,339 |
Royalty income | 0 | 0 | 0 | 0 |
Total revenues | 139,127 | 57,791 | 364,135 | 132,094 |
Costs and expenses: | ' | ' | ' | ' |
Lease operating expenses | 13,805 | 4,964 | 32,216 | 15,367 |
Production and ad valorem taxes | 8,954 | 3,553 | 23,350 | 8,295 |
Gathering and transportation | 860 | 261 | 2,145 | 641 |
Depreciation, depletion and amortization | 45,370 | 17,423 | 116,364 | 42,976 |
General and administrative expenses | 6,495 | 2,121 | 14,986 | 7,213 |
Asset retirement obligation accretion expense | 127 | 46 | 303 | 134 |
Total costs and expenses | 75,611 | 28,368 | 189,364 | 74,626 |
Income from operations | 63,516 | 29,423 | 174,771 | 57,468 |
Other income (expense) | ' | ' | ' | ' |
Interest income | 0 | 1 | 0 | 1 |
Interest income - intercompany | ' | ' | 0 | ' |
Interest expense | -9,846 | -1,089 | -24,090 | -2,109 |
Interest expense - intercompany | ' | ' | 0 | ' |
Other income | 48 | 270 | 108 | 1,047 |
Other income - intercompany | 0 | ' | 0 | ' |
Other expense | -8 | 0 | -1,416 | 0 |
Other expense - intercompany | 0 | ' | 0 | ' |
Gain (loss) on derivative instruments, net | 14,909 | -4,910 | -577 | -1,881 |
Total other income (expense), net | 5,103 | -5,728 | -25,975 | -2,942 |
Income before income taxes | 68,619 | 23,695 | 148,796 | 54,526 |
Provision for income taxes | 23,978 | 9,099 | 52,742 | 20,063 |
Net income | 44,641 | 14,596 | 96,054 | 34,463 |
Less: Net income attributable to noncontrolling interest | 902 | 0 | 973 | 0 |
Net income attributable to Diamondback Energy, Inc. | 43,739 | 14,596 | 95,081 | 34,463 |
Eliminations [Member] | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' |
Oil sales | 21,204 | 1,341 | 51,422 | 1,341 |
Natural gas sales | 888 | 36 | 1,982 | 36 |
Natural gas liquid sales | 1,129 | 62 | 2,919 | 62 |
Royalty income | -22,767 | -1,439 | -55,869 | -1,439 |
Total revenues | 454 | 0 | 454 | 0 |
Costs and expenses: | ' | ' | ' | ' |
Lease operating expenses | 0 | 0 | 0 | 0 |
Production and ad valorem taxes | 19 | 0 | 19 | 0 |
Gathering and transportation | -6 | 0 | -6 | 0 |
Depreciation, depletion and amortization | -1,683 | 34 | -1,683 | 34 |
General and administrative expenses | -750 | -9 | -906 | -9 |
Asset retirement obligation accretion expense | 0 | 0 | 0 | 0 |
Total costs and expenses | -2,420 | 25 | -2,576 | 25 |
Income from operations | 2,874 | -25 | 3,030 | -25 |
Other income (expense) | ' | ' | ' | ' |
Interest income | ' | 0 | ' | 0 |
Interest income - intercompany | ' | ' | -10,755 | ' |
Interest expense | 0 | 0 | 0 | 0 |
Interest expense - intercompany | ' | ' | 10,755 | ' |
Other income | 0 | 0 | 0 | 0 |
Other income - intercompany | -750 | ' | -906 | ' |
Other expense | 0 | ' | 0 | ' |
Other expense - intercompany | 750 | ' | 906 | ' |
Gain (loss) on derivative instruments, net | 0 | 0 | 0 | 0 |
Total other income (expense), net | 0 | 0 | 0 | 0 |
Income before income taxes | 2,874 | -25 | 3,030 | -25 |
Provision for income taxes | 0 | 0 | 0 | 0 |
Net income | 2,874 | ' | 3,030 | ' |
Less: Net income attributable to noncontrolling interest | 902 | ' | 973 | ' |
Net income attributable to Diamondback Energy, Inc. | 1,972 | -25 | 2,057 | -25 |
Parent Company [Member] | Reportable Legal Entities [Member] | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' |
Oil sales | 0 | 0 | 0 | 0 |
Natural gas sales | 0 | 0 | 0 | 0 |
Natural gas liquid sales | 0 | 0 | 0 | 0 |
Royalty income | 0 | 0 | 0 | 0 |
Total revenues | 0 | 0 | 0 | 0 |
Costs and expenses: | ' | ' | ' | ' |
Lease operating expenses | 0 | 0 | 0 | 0 |
Production and ad valorem taxes | 0 | 0 | 0 | 0 |
Gathering and transportation | 0 | 0 | 0 | 0 |
Depreciation, depletion and amortization | 0 | 0 | 0 | 0 |
General and administrative expenses | 4,063 | 703 | 11,476 | 2,399 |
Asset retirement obligation accretion expense | 0 | 0 | 0 | 0 |
Total costs and expenses | 4,063 | 703 | 11,476 | 2,399 |
Income from operations | -4,063 | -703 | -11,476 | -2,399 |
Other income (expense) | ' | ' | ' | ' |
Interest income | ' | 1 | ' | 1 |
Interest income - intercompany | ' | ' | 10,755 | ' |
Interest expense | -8,821 | -68 | -21,365 | -68 |
Interest expense - intercompany | ' | ' | 0 | ' |
Other income | 6 | 0 | 6 | 0 |
Other income - intercompany | 0 | ' | 0 | ' |
Other expense | 0 | ' | 0 | ' |
Other expense - intercompany | 0 | ' | 0 | ' |
Gain (loss) on derivative instruments, net | 0 | 0 | 0 | 0 |
Total other income (expense), net | -8,815 | -67 | -10,604 | -67 |
Income before income taxes | -12,878 | -770 | -22,080 | -2,466 |
Provision for income taxes | 23,978 | 9,099 | 52,742 | 20,063 |
Net income | -36,856 | ' | -74,822 | ' |
Less: Net income attributable to noncontrolling interest | 0 | ' | 0 | ' |
Net income attributable to Diamondback Energy, Inc. | -36,856 | -9,869 | -74,822 | -22,529 |
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' |
Oil sales | 105,202 | 51,745 | 280,024 | 118,032 |
Natural gas sales | 3,824 | 1,527 | 10,394 | 4,346 |
Natural gas liquid sales | 6,880 | 3,080 | 17,394 | 8,277 |
Royalty income | 0 | 0 | 0 | 0 |
Total revenues | 115,906 | 56,352 | 307,812 | 130,655 |
Costs and expenses: | ' | ' | ' | ' |
Lease operating expenses | 13,805 | 4,964 | 32,216 | 15,367 |
Production and ad valorem taxes | 7,475 | 3,460 | 19,540 | 8,202 |
Gathering and transportation | 866 | 260 | 2,151 | 640 |
Depreciation, depletion and amortization | 38,028 | 16,944 | 98,445 | 42,497 |
General and administrative expenses | 1,039 | 1,418 | 1,832 | 4,814 |
Asset retirement obligation accretion expense | 127 | 46 | 303 | 134 |
Total costs and expenses | 61,340 | 27,092 | 154,487 | 71,654 |
Income from operations | 54,566 | 29,260 | 153,325 | 59,001 |
Other income (expense) | ' | ' | ' | ' |
Interest income | ' | 0 | ' | 0 |
Interest income - intercompany | ' | ' | 0 | ' |
Interest expense | -708 | -399 | -2,408 | -1,419 |
Interest expense - intercompany | ' | ' | 0 | ' |
Other income | 31 | 270 | 91 | 1,047 |
Other income - intercompany | 750 | ' | 906 | ' |
Other expense | -8 | ' | -1,416 | ' |
Other expense - intercompany | 0 | ' | 0 | ' |
Gain (loss) on derivative instruments, net | 14,909 | -4,910 | -577 | -1,881 |
Total other income (expense), net | 14,974 | -5,039 | -3,404 | -2,253 |
Income before income taxes | 69,540 | 24,221 | 149,921 | 56,748 |
Provision for income taxes | 0 | 0 | 0 | 0 |
Net income | 69,540 | ' | 149,921 | ' |
Less: Net income attributable to noncontrolling interest | 0 | ' | 0 | ' |
Net income attributable to Diamondback Energy, Inc. | 69,540 | 24,221 | 149,921 | 56,748 |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ' | ' | ' | ' |
Revenues: | ' | ' | ' | ' |
Oil sales | 0 | 0 | 0 | 0 |
Natural gas sales | 0 | 0 | 0 | 0 |
Natural gas liquid sales | 0 | 0 | 0 | 0 |
Royalty income | 22,767 | 1,439 | 55,869 | 1,439 |
Total revenues | 22,767 | 1,439 | 55,869 | 1,439 |
Costs and expenses: | ' | ' | ' | ' |
Lease operating expenses | 0 | 0 | 0 | 0 |
Production and ad valorem taxes | 1,460 | 93 | 3,791 | 93 |
Gathering and transportation | 0 | 1 | 0 | 1 |
Depreciation, depletion and amortization | 9,025 | 445 | 19,602 | 445 |
General and administrative expenses | 2,143 | 9 | 2,584 | 9 |
Asset retirement obligation accretion expense | 0 | 0 | 0 | 0 |
Total costs and expenses | 12,628 | 548 | 25,977 | 548 |
Income from operations | 10,139 | 891 | 29,892 | 891 |
Other income (expense) | ' | ' | ' | ' |
Interest income | ' | 0 | ' | 0 |
Interest income - intercompany | ' | ' | 0 | ' |
Interest expense | -317 | -622 | -317 | -622 |
Interest expense - intercompany | ' | ' | -10,755 | ' |
Other income | 11 | 0 | 11 | 0 |
Other income - intercompany | 0 | ' | 0 | ' |
Other expense | 0 | ' | 0 | ' |
Other expense - intercompany | -750 | ' | -906 | ' |
Gain (loss) on derivative instruments, net | 0 | 0 | 0 | 0 |
Total other income (expense), net | -1,056 | -622 | -11,967 | -622 |
Income before income taxes | 9,083 | 269 | 17,925 | 269 |
Provision for income taxes | 0 | 0 | 0 | 0 |
Net income | 9,083 | ' | 17,925 | ' |
Less: Net income attributable to noncontrolling interest | 0 | ' | 0 | ' |
Net income attributable to Diamondback Energy, Inc. | $9,083 | $269 | $17,925 | $269 |
Guarantor_Financial_Statements4
Guarantor Financial Statements - Cash Flow Statement (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by operating activities | $251,995 | $91,647 |
Cash flows from investing activities: | ' | ' |
Additions to oil and natural gas properties | -312,419 | -199,795 |
Acquisition of leasehold interests | -840,482 | -185,185 |
Acquisition of mineral interests | -57,688 | -440,000 |
Purchase of other property and equipment | -43,215 | -4,965 |
Cost method investment | -33,851 | 0 |
Intercompany transfers | 0 | 0 |
Other investing activities | -1,426 | -227 |
Net cash used in investing activities | -1,289,081 | -830,172 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings on credit facility | 425,900 | 49,000 |
Repayment on credit facility | -295,900 | -49,000 |
Proceeds from senior notes | 0 | 450,000 |
Proceeds from public offerings | 928,432 | 322,680 |
Distribution to parent | -148,760 | 0 |
Distribution from subsidiary | 148,760 | ' |
Intercompany transfers | 0 | 0 |
Other financing activities | 3,743 | -7,413 |
Net cash provided by financing activities | 1,062,175 | 765,267 |
Net increase in cash and cash equivalents | 25,089 | 26,742 |
Cash and cash equivalents at beginning of period | 15,555 | 26,358 |
Cash and cash equivalents at end of period | 40,644 | 53,100 |
Eliminations [Member] | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by operating activities | 0 | 0 |
Cash flows from investing activities: | ' | ' |
Additions to oil and natural gas properties | 0 | 0 |
Acquisition of leasehold interests | 0 | 0 |
Acquisition of mineral interests | 0 | 0 |
Purchase of other property and equipment | 0 | 0 |
Cost method investment | 0 | ' |
Intercompany transfers | 0 | 0 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | 0 | 0 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings on credit facility | 0 | 0 |
Repayment on credit facility | 0 | 0 |
Proceeds from senior notes | ' | 0 |
Proceeds from public offerings | 0 | 0 |
Distribution to parent | 0 | 0 |
Distribution from subsidiary | 0 | ' |
Intercompany transfers | 0 | 0 |
Other financing activities | 0 | 0 |
Net cash provided by financing activities | 0 | 0 |
Net increase in cash and cash equivalents | 0 | 0 |
Cash and cash equivalents at beginning of period | 0 | 0 |
Cash and cash equivalents at end of period | 0 | 0 |
Parent Company [Member] | Reportable Legal Entities [Member] | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by operating activities | 1,915 | -182 |
Cash flows from investing activities: | ' | ' |
Additions to oil and natural gas properties | 0 | 0 |
Acquisition of leasehold interests | 0 | 0 |
Acquisition of mineral interests | 0 | 0 |
Purchase of other property and equipment | 0 | 0 |
Cost method investment | 0 | ' |
Intercompany transfers | -631,100 | -245,680 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | -631,100 | -245,680 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings on credit facility | 0 | 0 |
Repayment on credit facility | 0 | 0 |
Proceeds from senior notes | ' | 10,000 |
Proceeds from public offerings | 693,886 | 322,680 |
Distribution to parent | 0 | 0 |
Distribution from subsidiary | 148,760 | ' |
Intercompany transfers | -217,900 | -49,000 |
Other financing activities | 10,431 | -7,267 |
Net cash provided by financing activities | 635,177 | 276,413 |
Net increase in cash and cash equivalents | 5,992 | 30,551 |
Cash and cash equivalents at beginning of period | 526 | 14 |
Cash and cash equivalents at end of period | 6,518 | 30,565 |
Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by operating activities | 220,447 | 91,243 |
Cash flows from investing activities: | ' | ' |
Additions to oil and natural gas properties | -307,144 | -199,209 |
Acquisition of leasehold interests | -840,482 | -185,185 |
Acquisition of mineral interests | 0 | 0 |
Purchase of other property and equipment | -43,215 | -4,965 |
Cost method investment | 0 | ' |
Intercompany transfers | 631,100 | 245,680 |
Other investing activities | -1,426 | -227 |
Net cash used in investing activities | -561,167 | -143,906 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings on credit facility | 347,900 | 49,000 |
Repayment on credit facility | -217,900 | -49,000 |
Proceeds from senior notes | ' | 0 |
Proceeds from public offerings | 0 | 0 |
Distribution to parent | 0 | 0 |
Distribution from subsidiary | 0 | ' |
Intercompany transfers | 217,900 | 49,000 |
Other financing activities | -825 | -146 |
Net cash provided by financing activities | 347,075 | 48,854 |
Net increase in cash and cash equivalents | 6,355 | -3,809 |
Cash and cash equivalents at beginning of period | 14,267 | 26,344 |
Cash and cash equivalents at end of period | 20,622 | 22,535 |
Non-Guarantor Subsidiaries [Member] | Reportable Legal Entities [Member] | ' | ' |
Condensed Financial Statements, Captions [Line Items] | ' | ' |
Net cash provided by operating activities | 29,633 | 586 |
Cash flows from investing activities: | ' | ' |
Additions to oil and natural gas properties | -5,275 | -586 |
Acquisition of leasehold interests | 0 | 0 |
Acquisition of mineral interests | -57,688 | -440,000 |
Purchase of other property and equipment | 0 | 0 |
Cost method investment | -33,851 | ' |
Intercompany transfers | 0 | 0 |
Other investing activities | 0 | 0 |
Net cash used in investing activities | -96,814 | -440,586 |
Cash flows from financing activities: | ' | ' |
Proceeds from borrowings on credit facility | 78,000 | 0 |
Repayment on credit facility | -78,000 | 0 |
Proceeds from senior notes | ' | 440,000 |
Proceeds from public offerings | 234,546 | 0 |
Distribution to parent | -148,760 | 0 |
Distribution from subsidiary | 0 | ' |
Intercompany transfers | 0 | 0 |
Other financing activities | -5,863 | 0 |
Net cash provided by financing activities | 79,923 | 440,000 |
Net increase in cash and cash equivalents | 12,742 | 0 |
Cash and cash equivalents at beginning of period | 762 | 0 |
Cash and cash equivalents at end of period | $13,504 | $0 |